Emerging market investments are known to exhibit a fair amount of volatility, which wards some risk-averse investors away from their potential gains. EELV seeks to eliminate that gap by offering a methodology that chooses low volatility emerging market stocks. The fund tracks an index which picks 200 of the least volatile securities from emerging markets all around the world.
On that note, EELV has a fair amount of diversity, with all 200 holdings garnering a fair amount of assets and no one security being dominant over the others. The country breakdown is typically the most important factor for any emerging product, and EELV stays true to some of the most lucrative developing economies with Malaysia, South Africa, Taiwan, and Brazil being just some of the nations that the fund focuses on. Perhaps the biggest advantage this fund offers is its low expense ratio relative to its unique strategy. Finally, it is important to note that EELV is a bit financials heavy, though other sectors like consumer staples and utilities also have fair representation.
All in all, EELV is a pretty solid fund and could be used as a base emerging market holding for those looking to ward off volatility but still maintain a position in these vital assets.