Emerging market ETF demand hits record levels

Emerging markets are seeing historic investment demand.
Assets in $IEMG have climbed to a record $160B, while $VWO assets are now around $120B.
Over the last 12 months, $IEMG assets have nearly doubled and $VWO assets have risen almost 50%.
The performance gap is important too.
$IEMG has returned about 39% over that period, while $VWO is up around 23%.
A key reason is South Korea.
MSCI classifies South Korea as emerging, while FTSE Russell treats it as developed.
That means South Korea’s AI and semiconductor boom is now reshaping emerging market ETF flows.