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VGE

$85.29-0.19%Emerging Markets44/100
Fund Page ↗

Vanguard FTSE Emerging Markets Shares ETF · Vanguard

Data as at 29 March 2026

TL;DR

Tracks large and mid-cap companies across 24 emerging market countries including China, India, Taiwan, Brazil, and South Africa. Managed by Vanguard at 0.48% per year.

MER (Annual Fee)
0.48%
#2 lowest in Emerging Markets
1Y Return
+8.4%
3Y Return (p.a.)
+11.2%
Dividend Yield
2.21%
Trailing 12 months
AUM
$1,783.4M
Assets under management
Avg Daily Turnover
$2.6M
Avg shares × unit price
Unit Price
$85.29
As at 29 March 2026
Provider
Vanguard
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Strategy

Follows the FTSE Emerging Markets All Cap China A Inclusion Index. The FTSE methodology classifies South Korea as a developed market — so unlike MSCI-based emerging market funds, VGE has no Samsung or SK Hynix in its portfolio.

Top Holdings

TSMC
8.5%
Tencent
4.2%
Alibaba
2.5%
Reliance Industries
1.8%
Infosys
1.2%
China Construction Bank
1.0%
Meituan
0.9%
HDFC Bank
0.9%
Key Fact

VGE and IEM track different emerging market indexes — VGE uses FTSE (which excludes South Korea as a developed market), while IEM uses MSCI (which includes South Korea as emerging). Samsung represents about 4% of IEM but zero in VGE.

Suited for

Investors wanting broad emerging market diversification through Vanguard's fund management. VGE is the largest emerging markets ETF on the ASX by AUM.

Risks

China represents approximately 30% of the index. Emerging market risks include political instability, currency volatility, and regulatory uncertainty. The FTSE methodology excludes South Korea, which is a meaningful portfolio difference versus MSCI-based funds.

VGE Comparisons

ETFCheck Score44/100
Fees (40%)28
Fund Size (25%)57
Liquidity (20%)43
Yield (15%)65
How scores are calculated →
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WEMG
0.24% MER
41
ILF
0.48% MER
32
IEM
0.67% MER
29
EMMG
0.69% MER
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Frequently Asked Questions - VGE

How does VGE's inclusion of China A-shares differ from older emerging market ETFs on the ASX?+
VGE tracks the FTSE Emerging Markets All Cap China A Inclusion Index, which includes mainland China A-shares traded on Shanghai and Shenzhen exchanges - not just Hong Kong-listed H-shares that older EM ETFs relied on. This provides fuller exposure to China's domestic economy, including consumer staples and industrial companies primarily serving Chinese consumers. Australian investors get more authentic China economic exposure, though it also increases sensitivity to mainland Chinese market sentiment and capital flow restrictions.
Is VGE's 0.48% MER competitive for emerging market exposure available to Australian investors?+
VGE's 0.48% MER is competitive among ASX-listed broad emerging market ETFs, though not the cheapest globally. It competes directly with iShares' IEM (0.67% MER), making VGE meaningfully cheaper for similar broad EM exposure. For cost-conscious SMSF investors seeking diversified emerging market allocation, VGE's Vanguard backing, lower fee, and inclusion of China A-shares make it arguably the strongest core emerging markets holding available on the ASX today.
What percentage of VGE is allocated to China and does this create over-concentration risk?+
China represents approximately 30% of VGE's portfolio, making it by far the largest country allocation - followed by India, Taiwan, and Brazil. While this reflects China's genuine weight in the emerging markets investable universe, Australian investors who also hold CNEW or ASIA may end up with excessive China exposure across their portfolio. It's worth mapping your total China weighting across all holdings, especially given the regulatory and geopolitical risks unique to Chinese equities.
How does VGE's 2.18% yield compare to Australian equity ETF yields and what's the franking situation?+
VGE's 2.18% yield is reasonable for an international equity ETF but falls well short of Australian equity ETFs like VAS, which yields around 3.5-4% with substantial franking credits. Critically, VGE distributions carry zero franking credits since all income is foreign-sourced, reducing their after-tax value for Australian investors - particularly SMSFs in pension phase that benefit most from franking refunds. VGE is better suited as a growth and diversification holding rather than a primary income source for Australian retirees.