In this episode of “What’s the Risk?”, we analyze the historical performance of the FTSE Emerging Markets All Cap China A Inclusion Index (net dividends, AUD), a diverse index encompassing large, medium, and small companies across emerging markets.
This index provides a broad view of high-growth regions, offering investors exposure to dynamic economies with significant potential. We explore its performance trends, highlighting periods of volatility and growth that reflect the unique risks and rewards of emerging markets.Host Peter delves into the index’s historical data, emphasizing how its composition—spanning various company sizes—can influence returns.
The discussion underscores the importance of understanding these markets’ sensitivity to geopolitical and economic shifts, which can amplify both gains and losses.For investors, Vanguard’s VGE ETF, listed on the ASX, seeks to track this index’s returns before fees, expenses, and taxes.
However, we caution that fees and tax implications can erode returns, potentially creating a gap between the index’s performance and an investor’s actual outcome. This episode stresses the need to factor in these costs when evaluating investment options. By shedding light on the FTSE Emerging Markets All Cap China A Inclusion Index, we equip viewers with insights to navigate the complexities of emerging market investing with a clearer, more informed perspective.
Watch the “FTSE Emerging Markets VGE?” video here.
This represents general information only. Before making any financial or investment decisions, I suggest you consult a financial adviser to take into account your personal investment objectives, financial situation and individual needs. Anyone looking to build a portfolio should seek financial advice to find out which strategy is right for them, if you are looking for a fiduciary in Australia, then you should consider one of Australia’s fiduciary financial advisers who are certified by CEFEX to ensure your needs are put first.
