Kevin T. Carter, EMQQ Founder & CIO, EMQQ The Emerging Markets Internet & Ecommerce ETF discusses major growth drivers in emerging markets, and how advisors can tap into the next wave of disruption in developing companies.
EMQQ, launched the same year as Alibaba’s IPO in 2014, provides investors with diversified exposure to companies operating in emerging and frontier markets. Capitalizing on the rapidly increasing consumption in countries like China, India and Brazil, the ETF zeroes in on internet and ecommerce sectors in the developing world. Top holdings include Alibaba (BABA) and Tencent (TCEHY).
According to ETFdb, EMQQ is the #1 ranked emerging markets ETF for the 1 year, 3 year, and 5 year time periods. With the internet becoming increasingly affordable and accessible, billions of people in the developing world are now leapfrogging traditional consumption patterns and starting to consume online for the first time. This trend, combined with the global pandemic forcing more digitized lifestyles, has resulted in an inflection point that’s accelerated ecommerce use globally. The emergence of an enormous middle class consumer base, increased access to computers and the internet are keys to the growth story in emerging markets.
“While I have had access to a computer for over 30 years, there are still billions of people across the developing world that have never had access to a computer,” says Carter.
EMQQ’s acute focus on consumer-driven internet and ecommerce companies has paid off. Since March of 2020, EMQQ is up roughly 100%, where other more broad-based emerging markets funds have struggled in the face of the global pandemic and ensuing shutdowns. EMQQ has gathered just under $2 billion in assets under management.
To learn more on this topic, register from EMQQ’s webcast: The Future of Emerging Markets.
Kevin will delve into the greater influence of this new consumer wave and the fundamental changes taking place in developing economies, their preference for online shopping via the smartphone and how Gen-Z will drive the next leg of this growing digital revolution. What’s Covered:
- What McKinsey & Co. calls “the biggest growth opportunity in the history of capitalism”
- How the largest Emerging Market ETFs are fundamentally flawed
- How to capture the growth of Billions of new Consumers in Emerging Markets
- China: The Ant Group IPO failure and the government and regulatory risks for Alibaba and Tencent
- India: Who will be the “AMZN of India?” The India opportunity and the pipeline of Indian internet IPOs
- How internet giants like Alibaba, Jumia and MercadoLibre are leading a digital revolution in EM