What Is AVEM? Avantis Emerging Markets Equity ETF
Last updated September 2026
Short answer
AVEM is Avantis Emerging Markets Equity ETF, an ETF that tracks Actively managed, no tracked index at a 0.33% expense ratio. AVEM is Avantis's systematic take on emerging markets: broad exposure tilted toward smaller, cheaper and more profitable companies. The number worth knowing before you buy is that Taiwan Semiconductor appears twice in the top holdings, at 7.2% through its US-listed shares and 4.5% through its Taiwan listing, which is roughly 11.7% of the fund in a single company. Emerging-market indices are far more concentrated than their name implies, and this fund is no exception.
AVEM is issued by Avantis Investors and tracks Actively managed, no tracked index. It charges a 0.33% expense ratio, holds approximately $26.2B in assets under management, yields about 1.82%, and launched in 2019.
The concentration nobody mentions
Emerging markets sounds like breadth: dozens of countries, thousands of companies. The reality is that a handful of North Asian technology companies dominate. Here that means Taiwan Semiconductor at roughly 11.7% across two listings, SK Hynix at 8.6%, Samsung Electronics at 5.8%, Tencent at 1.5% and MediaTek at 1.1%.
Technology is 42% of the fund and financials 19%. So a large share of your emerging-markets allocation is, in practice, a bet on semiconductor manufacturing in Taiwan and South Korea. That may be a bet worth making, but it should be a conscious one rather than a surprise.
The double listing of Taiwan Semiconductor is a good illustration of why reading a holdings table matters. Presented as two separate lines, it looks like two positions of 7.2% and 4.5%. It is one company.
What Avantis adds, and what it costs
Avantis runs systematic strategies drawn from the same academic research as Dimensional, tilting toward smaller, cheaper and more profitable companies rather than tracking a cap-weighted index. In emerging markets that tilt has a stronger theoretical case than in the US, because the markets are less efficiently priced.
The cost is 0.33%, against roughly 0.10% for a plain emerging-markets index fund. That gap is the question to settle: whether the systematic tilt earns back more than the roughly 0.23 percentage points a year it costs, in a market segment where trading costs are genuinely higher.
AVEM holdings: top 10
Approximate weights as of August 2026. Each ticker links to its individual stock guide in Walnut.
| Rank | Ticker | Company | % of AVEM | |
|---|---|---|---|---|
| 1 | TSM | Taiwan Semiconductor (US listing plus Taiwan listing, about 11.7% combined) | 11.7% | |
| 2 | SK Hynix | 8.6% | ||
| 3 | Samsung Electronics | 5.8% | ||
| 4 | Tencent Holdings | 1.5% | ||
| 5 | MediaTek | 1.1% |
How do I invest in AVEM?
There are three common ways to get AVEM exposure. Buy shares (or fractional shares) of AVEM directly at any major broker that lists it. Hold it as a core position and layer more concentrated ideas on top. Or build it into a thematic portfolio in Walnut, so AVEM sits alongside other holdings that express the same thesis, with target weights you can rebalance toward. AVEM trades like a stock during market hours, so you buy it the same way you would any listed share.
New to buying funds? See how to buy an ETF, step by step.
Is AVEM a good buy?
Whether AVEM is a good buy depends less on any single call and more on your time horizon and what you already hold: it tracks Actively managed, no tracked index, so the real question is whether you want that exposure in your mix and at what weight. We walk through valuation, concentration, and what would have to be true for it to outperform from here in is AVEM a buy?
The bottom line on AVEM
AVEM gives you Actively managed, no tracked index exposure in one ticker at a 0.33% expense ratio. Most investors use it as a core holding and layer more concentrated thematic portfolios on top.
More on AVEM
Whether AVEM is worth buying today depends more on your time horizon and what you already hold than on any single call. We walk through valuation, concentration, and what would have to be true for it to outperform from here in is AVEM a buy?
AVEM yields 1.82% as of August 2026, paid by passing through the dividends of its underlying holdings. For the payout schedule, history, and how the distributions are taxed, see AVEM dividend: yield and schedule.
New to funds like AVEM? Start with what an ETF is, then how to buy an ETF, or browse the full guide to ETF investing.
Wondering how AVEM fits the portfolio you already own? Walnut is an AI investing app that connects your brokerage read-only and answers questions like that about your actual holdings: overlap, concentration, and how each position tracks the S&P 500. Compare the best AI portfolio analyzers or see the best AI investing apps in 2026.
Investing in AVEM with AI
Connect the broker you already use and ask Walnut's AI how AVEM fits what you actually hold: what it overlaps with, what it leaves you exposed to, and how it has tracked the S&P 500. Read-only by default, and you approve anything before it reaches your broker.
FAQ
What is AVEM?
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AVEM is the Avantis Emerging Markets Equity ETF. It holds broad emerging-market equity, systematically tilted toward smaller, cheaper and more profitable companies rather than tracking a cap-weighted index. It charges 0.33%, holds about $26.2B, and launched in 2019.
How concentrated is AVEM?
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More than the name suggests. Taiwan Semiconductor is roughly 11.7% of the fund, held through both its US-listed shares at 7.2% and its Taiwan listing at 4.5%. Add SK Hynix at 8.6% and Samsung at 5.8% and three companies approach a quarter of the portfolio. Technology is 42%.
Why does Taiwan Semiconductor appear twice in the holdings?
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Because the fund holds both the US-listed ADR and the shares listed in Taiwan. They are the same company. Read as separate lines they look like two positions of 7.2% and 4.5%; combined they are about 11.7% of the fund in one business.
Is AVEM actively managed?
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Systematically, yes. Avantis applies rules derived from academic research on size, valuation and profitability rather than tracking a published index, but no analyst is forming a view on individual companies. It sits between indexing and traditional active management, and is priced accordingly.
Is 0.33% worth paying for emerging markets?
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That is the central question. A plain emerging-markets index fund charges around 0.10%, so you are paying roughly 0.23 percentage points a year for the systematic tilt. The argument in its favour is that emerging markets are less efficiently priced than the US, so factor tilts have more room to work. The argument against is that costs are higher there too.
What countries does AVEM cover?
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Emerging markets broadly, though the weight concentrates heavily in North Asia. Taiwan and South Korea dominate the top holdings through their semiconductor companies, with China represented via Tencent and others. This is typical of emerging-market funds rather than unique to AVEM.
Does AVEM pay a dividend?
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About 1.82%, higher than a US growth fund and lower than a developed international fund. Emerging-market companies vary widely in payout policy, and the technology-heavy top of this portfolio distributes relatively little.
What are the main risks in AVEM?
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Concentration in North Asian semiconductors, currency moves against the dollar, and political risk that has no real equivalent in developed markets. Taiwan in particular carries geopolitical risk that is difficult to price and that sits behind a large share of this fund.
What is AVEM's expense ratio?
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AVEM has an expense ratio of 0.33% per year as of August 2026, charged by Avantis Investors and deducted from the fund's value rather than billed to you separately. On a $10,000 position that is roughly $33 a year. Fees compound over time, so on a long-term holding the expense ratio is one of the few return drivers you control. It is worth comparing against other funds that track Actively managed, no tracked index before you choose.
How do I compare AVEM to similar ETFs?
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Put a few fields side by side: the expense ratio (fees compound over decades), the index or strategy it tracks, the top holdings and how much they overlap with what you already own, the dividend yield, and the AUM, liquidity, and bid-ask spread that affect trading costs. For index funds, tracking error (how closely it follows its index) and tax efficiency matter too. AVEM's figures are above; the full method is in Walnut's guide on how to compare ETFs.
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Walnut is informational, not investment advice. Holdings weights and fund statistics on this page are approximations stamped to August 2026; verify current figures against Avantis Investors's fund page or your broker before investing.