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Why Emerging Markets? Why EMC?

May 17, 2024

View all Malcolm Dorson's ArticlesMalcolm DorsonMalcolm DorsonView all Paul Dmitriev's ArticlesPaul DmitrievPaul Dmitriev

We believe emerging market (EM) equities appear overlooked, underpriced, and ripe for outperformance relative to the S&P 500 Index. We see an abundance of structural stock picking opportunities in EMs, most notably in India, Brazil, Southeast Asia, Greece, and Mexico. Despite attractive valuations and a potential tailwind from a weaker U.S. dollar, driven by the likely peak of the U.S. monetary policy cycle, it is our view that active management remains vital, as the asset class also carries pockets of risk. The Global X Emerging Markets Great Consumer ETF focuses on identifying companies with high-quality management teams and business models that we believe are best placed to benefit from secular growth in domestic spending across emerging markets. View the full report here.

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EMC – Global X Emerging Markets Great Consumer ETF

Category: Articles

Topics: Emerging Markets

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This material represents an assessment of the market environment at a specific point in time and is not intended to be a forecast of future events, or a guarantee of future results. This information should not be relied upon by the reader as research or investment advice regarding the funds or any stock in particular. Some of the statements contained in this material may be forward-looking and contain certain risks and uncertainties.

Investing involves risk, including the possible loss of principal. International investments may involve risk of capital loss from unfavorable fluctuation in currency values, from differences in generally accepted accounting principles or from social, economic, or political instability in other nations. Emerging markets involve heightened risks related to the same factors as well as increased volatility and lower trading volume.

EMC is actively managed, which could increase its transaction costs (thereby lowering the fund’s performance) and could increase the amount of taxes you owe by generating short-term gains, which may be taxed at a higher rate. As an actively managed fund, EMC does not seek to replicate a specific index. There can be no guarantee that active management strategies and processes will be successful.

Shares of ETFs are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Brokerage commissions will reduce returns.

Carefully consider the fund’s investment objectives, risks, and charges and expenses before investing. This and other information can be found in the fund’s full or summary prospectuses, which may be obtained at globalxetfs.com. Please read the prospectus carefully before investing.

Global X Management Company LLC serves as an advisor to Global X Funds. The Funds are distributed by SEI Investments Distribution Co. (SIDCO), which is not affiliated with Global X Management Company LLC or Mirae Asset Global Investments. Global X Funds are not sponsored, endorsed, issued, sold or promoted by MSCI, nor does MSCI make any representations regarding the advisability of investing in the Global X Funds. Neither SIDCO, Global X nor Mirae Asset Global Investments are affiliated with MSCI.