Why Emerging Markets ETFs Are Shying Away From China

China’s not invited to the ETF party. Last month, Vanguard launched its Emerging Markets ex-China ETF (VEXC), which has exposure to emerging markets equities — except ones classified as being based in China. The fund, which tracks the FTSE Emerging Markets ex-China index, is the latest example of emerging markets strategies leaving out the world’s second-largest economy. The idea is to avoid potential tariff-caused market swings, and other pitfalls, while taking advantage of growing investor interest in e ...