Sector Distribution:

• Financials: 25%
• Energy: 20%
• Consumer Goods: 15%

TOP 3 Markets:

• China: 35%
• India: 20%
• Brazil: 15%

The Schwab Fundamental Emerging Markets Equity ETF (FNDE) invests heavily in emerging markets, with a focus on the financial and energy sectors. China is the dominant market, followed by India and Brazil, highlighting the strategic focus on high-growth economies. These markets offer significant growth opportunities due to their economic dynamism and population size.

Production: Not applicable

The Schwab Strategic Trust - Schwab Fundamental Emerging Markets Equity ETF (ARCA:FNDE) is an exchange-traded fund (ETF) and not a company that produces physical products. ETFs invest in a portfolio of securities to replicate the performance of a specific index. Therefore, there is no production site in the traditional sense.

Strategy for Future Growth:

The Schwab Fundamental Emerging Markets Equity ETF (FNDE) follows a fundamental index strategy that aims to invest in emerging markets based on fundamental factors such as revenue, cash flow, and dividends. This strategy differs from traditional market capitalization-weighted indices.

For future growth, FNDE focuses on:

1. Diversification in Emerging Markets: FNDE invests in a wide range of companies in various emerging markets to benefit from the growth opportunities in these markets.

2. Fundamental Weighting: Instead of focusing on market capitalization, the ETF weights companies based on fundamental metrics. This is intended to provide a better risk-return balance and potentially achieve higher returns.

3. Long-Term Perspective: FNDE aims to capitalize on long-term growth opportunities by investing in companies that benefit from economic and demographic trends in emerging markets.

This strategy is designed to offer investors an alternative way to invest in emerging markets with the goal of achieving above-average returns in the long run.

Current data on commodity imports: Not specifically available for FNDE (2025).

The Schwab Fundamental Emerging Markets Equity ETF (FNDE) invests in stocks of companies from emerging markets. Since FNDE is an ETF that invests in a variety of companies, there are no direct commodity imports that can be attributed to the ETF itself. Instead, the commodity demand depends on the individual companies within the ETF that operate in different industries.

Generally, companies in emerging markets often import commodities such as oil, gas, metals (such as copper and aluminum), and agricultural products. The main suppliers of these commodities are often countries like Saudi Arabia, Russia, Australia, and Brazil, depending on the specific industry and commodity needs of the companies.

For more precise information, an analysis of the largest positions within the ETF would be necessary to determine their specific commodity imports.

Competitive Advantage: Moderate to strong (Estimated 2025)

The Schwab Fundamental Emerging Markets Equity ETF (FNDE) provides investors with access to emerging markets through a fundamental index approach. The ETF's competitive advantage lies in its unique methodology, which considers not only market capitalization but also fundamental factors such as revenue, cash flow, and dividends. This can lead to better diversification and potentially higher returns.

Another advantage is being part of Charles Schwab, one of the largest and most reputable financial service providers, creating trust and stability. The low cost structures and broad coverage of emerging markets also strengthen the competitive position.

However, the market for emerging market ETFs is highly competitive, with many providers offering similar products. Therefore, the competitive advantage is estimated to be moderate to strong, depending on the ETF's ability to continue generating above-average returns and maintaining market share.

Institutional Investor Share: 75% (estimated, 2025)
Insider Buys/Sells: No significant insider transactions reported (2025)

The institutional investor share in ETFs such as the Schwab Fundamental Emerging Markets Equity ETF is typically high, as these funds are often used by large institutional investors such as pension funds, insurance companies, and asset managers to achieve diversified exposure in emerging markets.

Insider transactions are less relevant for ETFs, as these funds consist of a variety of stocks and are not managed by a single company. Therefore, there are usually no insider buys or sells that would need to be reported.

Market share of FNDE: Estimate: approx. 3% (2025)

Main competitors and their market shares:

1. iShares MSCI Emerging Markets ETF (EEM): approx. 15%
2. Vanguard FTSE Emerging Markets ETF (VWO): approx. 14%
3. iShares Core MSCI Emerging Markets ETF (IEMG): approx. 12%
4. SPDR Portfolio Emerging Markets ETF (SPEM): approx. 5%
5. Invesco Emerging Markets Sovereign Debt ETF (PCY): approx. 4%

Moat of FNDE:

The Schwab Fundamental Emerging Markets Equity ETF (FNDE) has a specific approach based on fundamental factors, which sets it apart from many competitors that often use market capitalization-weighted approaches. This fundamental approach can be seen as a moat, attracting investors who value fundamental evaluations.

However, compared to larger ETFs like EEM and VWO, the moat of FNDE is limited, as these ETFs offer broader recognition and liquidity. The size and liquidity of these ETFs provide them with a significant advantage, especially for institutional investors.

In summary, FNDE has a unique approach that may be attractive to certain investors, but the moat is less pronounced compared to the market leaders. The larger ETFs benefit from their size, liquidity, and broader recognition in the market.

Fund volume: 5.2 billion USD (2025)
Annual expense ratio: 0.39%
Three-year performance: 8.5% p.a. (2022-2025)
Top country allocations: China, Taiwan, India

The Schwab Fundamental Emerging Markets Equity ETF (FNDE) is an exchange-traded fund that invests in emerging markets, following a fundamental index approach. This approach weights companies based on fundamental factors such as revenue, cash flow, and dividends, rather than market capitalization.

The fund offers broad diversification across various emerging markets, with a focus on major economies like China, Taiwan, and India. These countries have shown solid economic growth in recent years, which has had a positive impact on the fund's performance.

The annual expense ratio of 0.39% is moderate compared to other ETFs, providing investors with a cost-effective way to invest in emerging markets. The three-year performance of 8.5% p.a. demonstrates that the fund was able to achieve stable returns in a volatile market environment.

Overall, FNDE could be a good investment for investors seeking exposure to emerging markets and looking to benefit from their long-term growth potential. However, it is important to consider the risks associated with emerging markets, including political uncertainties and currency fluctuations.

Dividend Yield: 3.2% (2024)
Payout Frequency: Quarterly

The Schwab Fundamental Emerging Markets Equity ETF (FNDE) regularly pays out dividends. The dividend yield was last around 3.2% in 2024. The payouts typically occur quarterly, which is typical for an ETF in the emerging markets sector.

The reliability of the payouts depends on the performance of the underlying markets and companies. Emerging markets can be volatile, which can affect dividend payments. Nevertheless, FNDE has historically pursued a relatively consistent dividend policy.