iShares MSCI Emerging Markets ex China ETF (EMXC)
Emerging Markets Without the China Drag: Up 38% While Broad EM Lagged
When Chinese equities perform well, the fund benefits from that allocation. When China struggles, the country's weighting can become a drag on overall emerging market returns.
3 iShares ETFs Crushing the S&P 500 by 30 Points in 2026
Three funds dominate the emerging markets ex-China conversation right now, and each one has put meaningful daylight between itself and the S&P 500 so far this year.
Emerging Markets Are Delivering Over 22 Percent Returns and Most American Investors Are Missing It Entirely
The S&P 500 is up about 8% year to date. The same money parked in iShares MSCI Emerging Markets ex China ETF (NASDAQ:EMXC) is up roughly 29.2%.
EMXC: The Case For Emerging Markets Without China
EMXC removes China's 25% drag from EM exposure, capturing semiconductor and financial strength across Taiwan, South Korea, and India instead. Five-year annualized outperformance of 471 basis points over EEM, with a Sharpe ratio of 0.50 vs. EEM's 0.20, makes the ex-China thesis quantifiable. Key risks include Taiwan Strait concentration (TSMC at 17.79%), India-Pakistan tensions, and fee competition from Vanguard's VEXC at 0.07%.
EMXC: An Attractive Way To Play Emerging Markets
The iShares MSCI Emerging Markets ex China ETF (EMXC) offers large and mid-cap emerging market exposure while excluding exposure to China. EMXC has outperformed the broader EEM ETF since inception, largely due to its lack of Chinese equity exposure. TSM represents outsized exposure for EMXC and thus forming a view on this stock is key to forming a view on EMXC.
EMXC: Emerging Opportunities Due To The Trade War But Significant Risks
EMXC benefits from global supply chain shifts and friendshoring, focusing on high-growth emerging markets, especially India, South Korea, and Brazil. The fund is heavily weighted in tech (notably TSMC) and financials, offering exposure to digital growth and resilient banking sectors in emerging economies. Despite strong tailwinds, EMXC's concentration risks, currency exposure, and diluted focus make its risk/reward profile less compelling than sector-specific ETFs.
New ETF Tracks Emerging Markets Equities, ex China
With the launch of its 41st U.S.-listed ETF, Dimensional's newest fund covers emerging markets while excluding China. The Dimensional Emerging Markets ex China Core Equity ETF (DEXC) lists on the NYSE Arca with an expense ratio of 0.43%.
EMXC: A Beneficiary To Global Supply Chain Readjustment
EMXC is an emerging markets fund excluding China, and this will avoid the risk of China as China's economy is going through challenging times. Tensions between China and the U.S. will result in ongoing global supply chain readjustment, and many emerging markets will benefit. Geographical allocation to Taiwan and South Korea provides exposure to vibrant technology industry, with expense ratio lower than EEM.
