EGShares Emerging Markets Consumer ETF
Expense Ratio: 0.85%
But what about those emerging markets that have already gotten the attention of investors and have moved on to the next phase of their evolution? Luckily, younger investors have the time to profit from this as well.
The consumerism boom in America took decades to develop — starting in the 1950s to reach today’s mix of chain stores, luxury automobiles and Apple (AAPL) iPhones. And that boom is just starting in the emerging world.
Fueled by rising income levels, increased financial security and optimism over their economic futures, consumers in the emerging world are finally beginning to open their wallets in a big way. According to analysts at Roland Berger, an estimated 26 million people will join the ranks of the middle class — with annual incomes over $15,000 — every year through 2030. By the time 2025 rolls around, India’s middle class alone will be larger than the U.S. and Europe combined.
All of this could mean a bet on the EGShares Emerging Markets Consumer (ECON) is in order.
One of best ETFs for young investors, this fund tracks 30 of the leading emerging market companies in the consumer goods and consumer services industries. That provides investors with direct exposure to the companies in the home markets of these newfound consumers. That actually a good thing as most EM consumers have an affinity for those brands located in their own backyards.
Overall, ECON could be the best ETFs for younger investors to profit from the developing theme.