six (@six) on getquin

six

@six

4Mon·

$VEMT (+0.08%)

Hello everyone,

I'm actually a bit surprised that you haven't read anything about this ETF here yet.

I'm thinking about adding it to my portfolio.

Please write your opinion on the ETF in the comments.

Advantages:

Different asset class (EM government bonds)
Monthly distribution
Distribution yield approx. 5.65%
Should actually rise when interest rates fall again

Disadvantages:

Currency risk
No price rocket

Here is another article by Gerd Kommer on the subject of emerging market government bonds

https://gerd-kommer.de/schwellenlaender-staatsanleihen/

gerd-kommer.deSchwellenländer-Staatsanleihen – eine bedenkenswerte Asset-Klasse?

6 Comments

NEWT@SteelAnacott

4Mon

Based on the article and my own additional research, I had an EM Bonds ETF in my portfolio for almost three years. In short, it performed rather poorly. Performance +/- 0, including dividends. That's why I sold it and preferred to switch to equity ETFs and individual shares.
You could say that I chose a bad time period and that three years' performance is not meaningful enough for an ETF, but I feel better about my decision and the performance of the investments in which I reallocated the capital is also better.

•

View all 2 further answers

Nico@itZNico

4Mon

I've had it for about two years. I also read the report about the 5.8% p.a. in 201 years before I bought it. It's not a price rocket, but I'm pleased with the regular distributions and also expect the price to rise again when interest rates fall.

•

View all 2 further answers