EMQQ: EMQQ THE EMERGING MARKETS INTERNET ETF
EMQQ: EMQQ THE EMERGING MARKETS INTERNET ETF
What this ETF is trying to do
EMQQ is an ETF designed to invest in the internet sector within emerging markets. It focuses on companies that are part of the digital economy in growing parts of the world.
What the numbers show
The current price of EMQQ is $32.01. When looking at how the share price has moved, the numbers show some recent declines:
• Year-to-Date (YTD) Price Return: The share price has fallen by approximately 20.69%.
• One-Year Price Return: The share price has fallen by approximately 30.22%.
• Three-Year Price Return: Over a three-year period, the share price has increased by approximately 8.88%.
To understand the full picture, we also look at total return, which includes the impact of distributions. The one-year total return was approximately -28.06%, while the three-year total return was approximately 15.07%. An estimated price from roughly one year ago was $45.87.
Top Holdings
The following are the top holdings in this portfolio (note that this is a partial list):
• MERCADOLIBRE INC (8.39%)
• RELIANCE INDUSTRIES LTD (7.36%)
• TENCENT HOLDINGS LTD (7.06%)
• SEA LTD ADR (7.01%)
• NU HOLDINGS LTD ORDINARY SHARES CLASS A (6.42%)
• PDD HOLDINGS INC ADR (6.33%)
• MEITUAN CLASS B (4.13%)
• NETEASE INC ORDINARY SHARES (3.59%)
• BAJAJ FINANCE LTD (3.56%)
• ETERNAL LTD (3.29%)
Income and distribution explanation
EMQQ has a distribution yield of approximately 3.90%. This means the cash distributions paid out represent about 3.90% of the ETF's price. The trailing distributions were $1.25. However, the distribution frequency is described as "irregular" or "less frequent," with only one payout recorded in the last 12 months. It is important to remember that a distribution yield shows cash paid out, but it is not the same as total return.
NAV erosion explanation
The supplied data is sufficient to evaluate price erosion, but it does not include enough historical NAV-per-share data to confirm or rule out NAV erosion.
However, the fund has a "significant" erosion-risk label with an erosion score of 30. Because of the recent price trends and this score, a severe erosion-risk flag has been triggered. This is a measurement of price deterioration and is not a guarantee that the fund's actual value (NAV) has collapsed.
Pros
• The ETF provides exposure to the internet and digital economy in emerging markets.
• It has shown a positive total return over a three-year period of approximately 15.07%.
Cons
• The ETF has experienced significant share-price declines over the last year.
• There is a severe erosion-risk flag due to price trends.
• Distributions are irregular and infrequent.
Beginner takeaway
EMQQ focuses on internet companies in emerging markets. While it has shown growth over three years, it has faced significant share-price declines recently. Investors should note the severe erosion-risk flag and understand that high distribution yields do not guarantee stable investment value.
Top Holdings
Structured portfolio holdings supplied by the ETF data provider. These figures are not generated by the AI article.
| # | Holding | Ticker | Weight |
|---|---|---|---|
| 1 | MERCADOLIBRE INC | MELI | 8.39% |
| 2 | RELIANCE INDUSTRIES LTD | n/a | 7.36% |
| 3 | TENCENT HOLDINGS LTD | n/a | 7.06% |
| 4 | SEA LTD ADR | SE | 7.01% |
| 5 | NU HOLDINGS LTD ORDINARY SHARES CLASS A | NU | 6.42% |
| 6 | PDD HOLDINGS INC ADR | PDD | 6.33% |
| 7 | n/a | n/a | 6.16% |
| 8 | MEITUAN CLASS B | n/a | 4.13% |
| 9 | NETEASE INC ORDINARY SHARES | n/a | 3.59% |
| 10 | BAJAJ FINANCE LTD | n/a | 3.56% |