Yet More Changes for Emerging-Markets Indexes
The composition of emerging markets continues to evolve.
The increased inclusion of China A-shares, Saudi Arabia's newfound acceptance, and South Korea's dual identity are driving some notable changes to index-tracking emerging-markets funds.
The China A-Share Market
China's ascendance in emerging-markets stock indexes over the past decade is indisputable. In March 2009, the country represented 12% of the MSCI Emerging Markets Index. Fast forward 10 years, and that had swelled to just under 33%. The numbers are similar for emerging-markets benchmarks from other providers like FTSE Russell and S&P Dow Jones Indices.
Daniel Sotiroff does not own (actual or beneficial) shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.