ETF Evaluator:
Schwab Fundamental Emerging MarketsEqETF (FNDE)
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(as of Jul 31)
Best Performing in Diversified Emerging Mkts Over the Last Year
| 137.8% | Nomura Focused Emerging Mrkts Eq ETF (EMEQ) |
| 92.9% | FT EM Human Flourishing ETF (FTHF) |
| 82.9% | Freedom 100 Emerging Markets ETF (FRDM) |
| 75.3% | First Trust Bloomberg Emr Mkt Dem ETF (EMDM) |
| 70.8% | Strive Emerging Markets Ex-China ETF (STXE) |
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ETF Details
Schwab Fundamental Emerging MarketsEqETF Overview
Schwab Fundamental Emerging MarketsEqETF (FNDE) is a passively managed International Equity Diversified Emerging Mkts exchange-traded fund (ETF). Schwab ETFs launched the ETF in 2013.
The investment seeks to track as closely as possible, before fees and expenses, the total return of RAFI Fundamental High Liquidity Emerging Markets Index.
The fund will invest at least 80% of its net assets in stocks included in the index, including depositary receipts representing securities of the index; which may be in the form of ADRs, GDRs and EDRs. The index measures the performance of the large company size segment by fundamental overall company scores, which are created using as the universe the emerging markets companies in the RAFI Global Equity Investable Universe.
About Schwab Fundamental Emerging MarketsEqETF (FNDE)
There are 4 members of the management team with an average tenure of 5.60 years: Christopher Bliss (2017), David Rios (2017), Joselle Duncan (2024) and Mariela Jobson (2024). Management tenure is more important for actively managed ETFs than passive index ETFs.
The ETF has 2 primary benchmarks: MSCI EM NR USD index with a weighting of 100% and RAFI Fund Hi Liq Emerging Markets NR USD index with a weighting of 100%. Schwab Fundamental Emerging MarketsEqETF has 390 securities in its portfolio. The top 10 holdings constitute 25.6% of the ETF’s assets. The ETF meets the SEC requirement of being classified as a diversified fund. The ETF is not considered to have an ESG focus with its investment selection and management.
Schwab Fundamental Emerging MarketsEqETF is part of the Equity global asset class and is within the International Equity ETF group. Schwab Fundamental Emerging MarketsEqETF has 98.5% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 0.5% There is 98.5% allocated to foreign stock, and 0.4% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). Schwab Fundamental Emerging MarketsEqETF has 0.6% of the portfolio in cash.
Assets Under Management
The fund has $9 billion in total assets, which is above the $3 billion average for the Diversified Emerging Mkts category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
FNDE Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Schwab Fundamental Emerging MarketsEqETF expense ratio is below average compared to funds in the Diversified Emerging Mkts category. Schwab Fundamental Emerging MarketsEqETF has an expense ratio of 0.39%, which is 25% lower than its category average, making the fund expense ratio grade a B. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. Schwab Fundamental Emerging MarketsEqETF has a portfolio turnover rate of 16%, which indicates that it holds its assets around / 0.1 years. By way of comparison, the average portfolio turnover is 44% for the Diversified Emerging Mkts category.
Recently, in the month of June 2026, Schwab Fundamental Emerging MarketsEqETF returned -4.1%, which earned it a grade of F, as the Diversified Emerging Mkts category had an average return of -1.0%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all ETFs in that category.
Schwab Fundamental Emerging MarketsEqETF has a trailing yield of 3.78%, which is above the 2.36% category average.
The fund normally distributes its income semi-annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
Schwab Fundamental Emerging MarketsEqETF Grades
Year to date, the ETF has returned 9.5%, 11.7 percentage points worse than the category, which translates into a grade of F. The fund has returned 25.0% over the past year (grade of D), 19.0% over the past three years (grade of D) and 9.1% per year over the past five years (grade of B) and 10.3% per year over the past 10 years (grade of A).
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FNDE Trailing NAV Total Returns Data as of 6/30/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| FNDE Return (NAV) | -4.1% | 5.7% | 25.0% | 19.0% | 9.1% | 10.3% |
| FNDE Return (Price) | -3.0% | 4.2% | 25.2% | 19.1% | 9.2% | 10.4% |
| NAV +/- Price Return | -1.088% | 1.538% | -0.146% | -0.100% | -0.148% | -0.047% |
| Diversified Emerging Mkts Avg | -1.0% | 19.4% | 37.6% | 19.9% | 6.5% | 8.4% |
| FNDE Grade (NAV) | F | F | D | D | B | A |
| +/- Category (NAV) | -3.1% | -13.7% | -12.6% | -0.8% | 2.5% | 1.9% |
| FNDE Tax-Cost Ratio | na | na | 1.6% | 1.6% | 1.7% | 1.3% |
FNDE Annual NAV Total ReturnsData as of 6/30/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| FNDE Return (NAV) | 9.5% | 29.0% | 12.6% | 14.9% | -15.2% | 14.1% | -2.4% | 19.1% | -10.0% | 26.2% | 32.3% |
| FNDE Return (Price) | 10.6% | 29.5% | 12.1% | 15.0% | -15.5% | 14.4% | -2.8% | 19.7% | -10.3% | 26.7% | 32.6% |
| NAV +/- Price Ret | 0.116% | 0.018% | -0.039% | 0.007% | 0.022% | 0.020% | 0.182% | 3.1% | 3.3% | 2.2% | 0.8% |
| Diversified Emerging Mkts Avg | 21.1% | 29.2% | 6.7% | 12.8% | -18.8% | 2.3% | 12.7% | 18.2% | -14.6% | 33.7% | 10.9% |
| FNDE Grade (NAV) | F | C | A | B | B | A | F | C | A | F | A |
| +/- Category | -11.7% | -0.3% | 5.9% | 2.1% | 3.6% | 11.8% | -15.1% | 0.9% | 4.6% | -7.5% | 21.4% |
| Risk Measures | |
| Beta: | 0.80 |
| R-Squared: | 70% |
| Standard Deviation: | 13.2% |
| Category Risk Index: | 0.82 |
| Category Risk Rating: | Low |
| Total Risk Index: | 1.09 |
| Total Risk Rating: | Average |
| Portfolio Characteristics | |
| Yield: | 3.8% |
| Total Assets: | $ 9,189 Mil |
| Share Class Assets: | $ 9,189 Mil |
| Turnover: | 16.0% |
| Expense Ratio: | 0.39% |
| Index Fund: | Yes |
| Index Tracked: | MSCI EM NR USD |
| Index Weighting: | 100% |
| Leveraged: | No |
| Socially Responsible Fund: | No |
| Capital Gains Distribution Frequency: | |
| Income Distribution Frequency: | Semi-Annually |
Management Team
| Number of Managers: 4 | |||
| Longest Tenure: 9.2 years | |||
| Average Tenure: 5.6 years | |||
| Managers (Year): Bliss Christopher (2017), Rios David (2017), Duncan Joselle (2024), Jobson Mariela (2024) | |||
Portfolio Composition (as of 6/30/26)
| # of Holdings: | 390 |
| % in Top 10 Holdings: | 25.6% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 98.5% |
Portfolio Allocation |
|
| Domestic Stock: | 0.5% |
| Foreign Stock: | 98.5% |
| Preferred Stock: | 0.4% |
| Domestic Bond: | 0.0% |
| Foreign Bond: | 0.0% |
| Convertible Bond: | 0.0% |
| Other: | 0.0% |
| Cash: | 0.6% |
Purchase Information
| Legal Structure: | Open Ended Investment Company |
| Fund Family: | Schwab ETFs |
| Phone Number: | 877-824-5615 |
| Website: | www.csimfunds.com. |
| Inception Date: | August 15, 2013 |
Expenses and Fees
| Expense Ratio (%): | 0.39% (Rating: Below Avg) |
| Category Average Expense Ratio (%): | 0.52% |
