iShares Core MSCI Emerging Markets ETF

IEMG

Market cap $154B

The action in Emerging Markets ETFs this year has been really interesting to watch. From record-breaking asset flows to impressive results, albeit massively dispersed, this category of funds has had quite a ride so far in 2026.

IEMG offers diversified, cost-effective exposure to emerging markets and the AI theme at a significant valuation discount to US equities. IEMG's 40% technology weighting, broad diversification across 2,700 stocks, and superior dividend growth position it ahead of VWO and EEM. The ETF's low 0.09% expense ratio and inclusion of small caps enhance long-term return potential while reducing concentration risk.

I downgrade iShares Core MSCI Emerging Markets ETF (IEMG) to hold after a 39% YoY surge, citing elevated volatility and tech/AI concentration. IEMG's recent outperformance is driven by South Korean and Taiwanese chip/memory stocks, but its implied volatility now stands at 37%, double that of the S&P 500. The ETF's portfolio is heavily tilted toward Information Technology (over 40%), with a notable increase in growth style exposure and large-cap dominance.

The iShares Core MSCI Emerging Markets ETF (IEMG) has doubled the performance of the Vanguard S&P 500 ETF (VOO) over the past year. The upside of attractive valuations and better growth opportunities has helped unlock value in this long-underperforming group.

If you hold iShares MSCI Emerging Markets ETF (NYSEARCA:EEM), BlackRock skims 0.69% of your account every year before you see a single dividend.

When the SpaceX IPO blasts off, it could send shockwaves through the ETF marketplace, especially levered products. Strategas Securities chief ETF strategist Todd Sohn joins CNBC's Dominic Chu on "Halftime Report" to talk about this and more.

On Thursday, June 11, Schwab Asset Management announced that it cut down the expense ratios on four of its existing indexed ETFs. Each of these funds is a longstanding strategy in Schwab's collection, with a significant asset base and compelling track record.

Investors have poured billions into ETFs this year, but the flow data tells a more nuanced story than simple optimism towards equities. While broad U.S. market funds continue to attract the lion's share of inflows, investors are increasingly allocating capital towards international markets, fixed income, and specialized themes tied to the AI buildout.

The U.S. has added some of the world's largest solar ​and battery manufacturers to a list ‌of companies it believes are aiding China's military.

Asian equities fell on Tuesday as doubts over a Middle East ceasefire weighed on risk appetite, offsetting optimism around artificial intelligence funding and potential listings. MSCI's Asia-Pacific index excluding Japan slipped 0.6% after a volatile open.