Emerging markets drive their gains

Article Excerpt

Consumers in emerging markets still spend considerably less on goods than their peers in high-income countries. But the situation is changing. Rapid growth of the middle class in developing countries—especially in China and India—continues to provide a big boost to global consumer spending. Here are two ETFs that offer investors exposure to consumer-focused companies operating in emerging markets. (Click here for more information.) WISDOMTREE EMERGING MARKETS CONSUMER GROWTH ETF $21.84 (Nasdaq symbol EMCG; TSINetwork ETF Rating: Aggressive; Market cap: $34.8 million) invests in consumer stocks in the emerging economies. The fund is actively managed using a quantitative, rules-based approach focused on companies that operate primarily in emerging consumer markets. The largest country allocations are China (25.4%), India (12.1%), Taiwan (11.7%), South Korea (10%), South Africa (6.3%), Thailand (4.8%), Hong Kong (4.7%), Mexico (4.6%) Brazil (4.3%) and Malaysia (4.2%). The ETF holds a well-diversified portfolio of 230 stocks, with 16.8% of the portfolio allocated to its top 10 holdings. They include Tencent Holdings (China; Internet, 2.6%), Naspers…