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ILF

$28.40+1.14%Emerging Markets32/100
Fund Page ↗

iShares Latin America 40 ETF · BlackRock

Data as at 29 March 2026

TL;DR

Tracks the 40 largest companies in Latin America — predominantly Brazilian and Mexican businesses across banking, commodities, and consumer sectors.

MER (Annual Fee)
0.48%
#3 lowest in Emerging Markets
1Y Return
+6.2%
3Y Return (p.a.)
+4.8%
Dividend Yield
3.15%
Trailing 12 months
AUM
$180M
Assets under management
Avg Daily Turnover
$142K
Avg shares × unit price
Unit Price
$28.40
As at 29 March 2026
Provider
BlackRock
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Strategy

Follows the S&P Latin America 40 Index, covering the region's largest liquid companies. Brazil typically makes up around 55-65% of the fund, with Mexico representing another 20-25%.

Top Holdings

Key Fact

ILF typically offers a dividend yield of 4-5%, higher than most international equity ETFs, because Brazilian companies pay large dividends and the region's commodity companies distribute substantial earnings.

Suited for

Investors who want specific Latin American exposure, particularly for commodity cycle positioning. Brazil's resource-heavy economy moves differently to Asian or North American markets.

Risks

Brazil's political and economic instability creates significant volatility. Currency exposure to the Brazilian real and Mexican peso adds another risk layer. The 0.47% MER is high for a single-region product.

ETFCheck Score32/100
Fees (40%)28
Fund Size (25%)21
Liquidity (20%)9
Yield (15%)93
How scores are calculated →
Other Emerging Markets ETFs
VGE
0.48% MER
44
WEMG
0.24% MER
41
IEM
0.67% MER
29
EMMG
0.69% MER
3View all Emerging Markets ETFs →

Frequently Asked Questions - ILF

Is ILF essentially a Brazil ETF given its ~60% country weighting?+
Yes, ILF allocates approximately 60% to Brazilian equities, making it heavily dependent on Brazil's economic cycle, currency (BRL/AUD), and political stability. Mexico and Chile provide some diversification but cannot offset a major Brazilian downturn. Australian investors should treat ILF as a concentrated Brazil bet rather than broad Latin American exposure, and consider the AUD/BRL exchange rate risk, which can significantly amplify or dampen returns independently of underlying equity performance.
How does ILF's 3.15% yield compare to other ASX-listed emerging markets ETFs?+
ILF offers the highest yield among ASX-listed EM ETFs at 3.15%, significantly above IEM's 2.05% and WEMG's 1.92%. This reflects Latin American companies' traditionally higher dividend payout ratios, particularly Brazilian banks and resource companies. Australian investors should note these distributions carry no franking credits and may include foreign withholding tax, though ATO-eligible foreign income tax offsets can be claimed to reduce double taxation in both personal and SMSF accounts.
What are the main sector concentrations in ILF that Australian investors should understand?+
ILF's Latin America 40 index is heavily concentrated in financials and materials, with major holdings including Vale, Petrobras, and Itaú Unibanco. This gives the fund significant commodity and banking sector exposure, which can create correlation with Australian resource stocks already held in many SMSF portfolios. Investors seeking genuine diversification should be aware that ILF may move in tandem with ASX miners during global commodity cycles, potentially reducing the diversification benefit they expected.
What currency risks does ILF create for Australian investors?+
ILF exposes Australian investors to multiple currency layers - the fund is USD-denominated on the ASX but holds stocks priced in Brazilian reais, Mexican pesos, and Chilean pesos. A strengthening Australian dollar against the USD or Latin American currencies can significantly erode returns even when underlying equities perform well. With ILF's 1-year return at 6.2%, currency movements have historically contributed to annual return variation of 5-10% in either direction for AUD-based investors.