iShares MSCI Emerging Markets ETF Offers 5.7% SK Hynix Stake as 1-Year Return Hits 45.1%
Updated
Updated · The Motley Fool · Jul 17
iShares MSCI Emerging Markets ETF Offers 5.7% SK Hynix Stake as 1-Year Return Hits 45.1%
3 articles · Updated · The Motley Fool · Jul 17
Summary
EEM gives investors indirect exposure to SK Hynix through a 5.7% portfolio weight, alongside 1,194 emerging-market stocks across more than 10 countries.
Tech drives the fund: TSMC is its largest holding at 15.7%, followed by Samsung at 6.7%, while information technology makes up 41.8% of assets.
Recent performance has been strong, with average annual returns of 22.9% over three years and 45.1% over the past year.
Longer term, the ETF has returned 10.17% annually since 2003, trades at a 19.50 P/E versus the S&P 500's 25.62, and has shown lower three-year volatility with a 0.82 beta.
Its 0.72% expense ratio and emerging-market risks—including a stronger dollar and oil shocks tied to the Iran war—temper the case for long-term investors.