GEM ETF — Holdings & Analysis

GEM, or the Goldman Sachs ActiveBeta Emerging Markets Equity ETF, is an actively managed fund that seeks to track the performance of the Goldman Sachs ActiveBeta Emerging Markets Equity Index. This index employs a quantitative methodology to select and weight stocks from emerging market countries. GEM provides exposure to a diversified portfolio of 753 emerging market equities. The fund's top holdings include companies like Taiwan Semiconductor Manufacturing Co Ltd and Samsung Electronics Co Ltd, reflecting its focus on technology and other key sectors within emerging markets. Past performance does not guarantee future results.

The expense ratio for GEM is 0.59%. This means that for every $10,000 invested in the fund, $59 is deducted annually to cover operating expenses. While this is higher than some passive emerging market ETFs, it is important to consider that GEM is actively managed, which typically incurs higher costs. The category average expense ratio for emerging market equity ETFs is approximately 0.44%, making GEM relatively more expensive. Investors should weigh the potential benefits of active management against the higher expense ratio. Past performance does not guarantee future results.

As of March 2026, the top holdings in GEM include Taiwan Semiconductor Manufacturing Co Ltd (13.12%), Samsung Electronics Co Ltd (5.81%), SK Hynix Inc (3.42%), Tencent Holdings Ltd (3.40%), and Alibaba Group Holding Ltd Ordinary Shares (2.33%). These holdings represent a significant portion of the fund's assets and reflect its focus on leading companies in the emerging markets. The fund's concentration in these top holdings can impact its performance, as their individual performance will have a greater influence on the overall fund returns. Investors should review the complete list of holdings to understand the fund's diversification. Past performance does not guarantee future results.

Whether GEM is a suitable long-term investment depends on an individual's investment goals, risk tolerance, and time horizon. GEM offers exposure to emerging market equities, which can provide growth potential but also carry higher risks. The fund's active management strategy aims to outperform the benchmark index, but there is no guarantee of success. GEM may be worth researching's expense ratio of 0.59%, its sector and country concentrations, and its historical performance relative to its peers. Past performance does not guarantee future results. A beta of 0.91 suggests it may be slightly less volatile than the broader emerging market.

GEM competes with other emerging market ETFs, including both passively managed index funds and actively managed funds. Compared to passive ETFs, GEM's expense ratio of 0.59% is generally higher, reflecting the costs associated with active management. In terms of AUM, GEM's $1.35 billion places it among the larger emerging market ETFs, suggesting strong investor interest. GEM's active strategy differentiates it from passive ETFs, as it seeks to outperform the benchmark through stock selection and weighting. Investors should compare GEM's performance, risk metrics, and investment strategy to those of other similar ETFs to determine which fund best aligns with their investment objectives. Past performance does not guarantee future results.

Yes, GEM does pay dividends. As of March 2026, the fund has a dividend yield of 2.01%. This means that for every $100 invested in GEM, investors can expect to receive approximately $2.01 in dividend income annually. The dividend yield can fluctuate based on the fund's holdings and the dividend policies of the underlying companies. Investors seeking income from their emerging market investments may find GEM's dividend yield attractive. Past performance does not guarantee future results.