ETF Evaluator:
Franklin Emerging Mkt Core Div TltIdxETF ()
Follow This ETF
(as of Aug 26)
Best Performing in Diversified Emerging Mkts Over the Last Year
| 114.0% | Nomura Focused Emerging Mrkts Eq ETF (EMEQ) |
| 81.0% | FT EM Human Flourishing ETF (FTHF) |
| 68.7% | First Trust Bloomberg Emr Mkt Dem ETF (EMDM) |
| 67.8% | Freedom 100 Emerging Markets ETF (FRDM) |
| 59.4% | Pacific NoS Global EM Equity Active ETF (GEME) |
Risk
Index
Risk
Index
ETF Details
Franklin Emerging Mkt Core Div TltIdxETF Overview
Franklin Emerging Mkt Core Div TltIdxETF (DIEM) is a passively managed International Equity Diversified Emerging Mkts exchange-traded fund (ETF). Franklin Templeton Investments launched the ETF in 2016.
The investment seeks to provide investment results that closely correspond, before fees and expenses, to the performance of the Morningstar® Emerging Markets Dividend Enhanced Select IndexSM.
Under normal market conditions, the fund invests at least 80% of its assets in the component securities of the index and in depositary receipts representing such securities. The index is based on the Morningstar® Emerging Markets Target Market Exposure Index (Parent Index) and is constructed by applying an optimization process to the Parent Index that aims to deliver a higher dividend yield than the Parent Index, while limiting expected tracking error to the Parent Index.
About Franklin Emerging Mkt Core Div TltIdxETF (DIEM)
There are 4 members of the management team with an average tenure of 6.21 years: Hailey Harris (2019), Dina Ting (2016), Basit Amin (2022) and Joe Diederich (2022). Management tenure is more important for actively managed ETFs than passive index ETFs.
The ETF has 1 primary benchmark: Morningstar EM Div Enh Sel NR USD index with a weighting of 100%. Franklin Emerging Mkt Core Div TltIdxETF has 590 securities in its portfolio. The top 10 holdings constitute 34.3% 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.
Franklin Emerging Mkt Core Div TltIdxETF is part of the Equity global asset class and is within the International Equity ETF group. Franklin Emerging Mkt Core Div TltIdxETF has 99.3% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 0.2% There is 99.3% allocated to foreign stock, and 0.0% 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). Franklin Emerging Mkt Core Div TltIdxETF has 0.6% of the portfolio in cash.
Assets Under Management
The fund has $74 million in total assets, which is below 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.
DIEM 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 Franklin Emerging Mkt Core Div TltIdxETF expense ratio is low compared to funds in the Diversified Emerging Mkts category. Franklin Emerging Mkt Core Div TltIdxETF has an expense ratio of 0.19%, which is 63% lower than its category average, making the fund expense ratio grade a A. 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. Franklin Emerging Mkt Core Div TltIdxETF has a portfolio turnover rate of 61%, which indicates that it holds its assets around / 0.0 years. By way of comparison, the average portfolio turnover is 44% for the Diversified Emerging Mkts category.
Recently, in the month of July 2026, Franklin Emerging Mkt Core Div TltIdxETF returned -2.6%, which earned it a grade of B, as the Diversified Emerging Mkts category had an average return of -3.0%. 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.
Franklin Emerging Mkt Core Div TltIdxETF has a trailing yield of 2.96%, which is above the 2.41% category average.
The fund normally distributes its income quarterly.
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.
Franklin Emerging Mkt Core Div TltIdxETF Grades
Year to date, the ETF has returned 26.1%, 8.9 percentage points better than the category, which translates into a grade of A. The fund has returned 41.7% over the past year (grade of B), 23.3% over the past three years (grade of A) and 11.6% per year over the past five years (grade of A) and 8.4% per year over the past 10 years (grade of C).
For more ETF grades, analysis and screening tools to help your investment discovery, join AAII for a $2, full-access trial. Learn more here: https://invest.aaii.com/membership.
Otherwise, for more information about Franklin Emerging Mkt Core Div TltIdxETF, including its riskiness, submit your email to unlock the rest of the article.
Gain access to exclusive AAII member-only content.
DIEM Trailing NAV Total Returns Data as of 7/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| DIEM Return (NAV) | -2.6% | 8.8% | 41.7% | 23.3% | 11.6% | 8.4% |
| DIEM Return (Price) | -5.2% | 5.2% | 41.0% | 22.8% | 11.4% | 8.2% |
| NAV +/- Price Return | 2.679% | 3.572% | 0.686% | 0.511% | 0.228% | 0.193% |
| Diversified Emerging Mkts Avg | -3.0% | 3.0% | 31.9% | 16.6% | 7.1% | 7.8% |
| DIEM Grade (NAV) | B | A | B | A | A | C |
| +/- Category (NAV) | 0.5% | 5.8% | 9.7% | 6.8% | 4.5% | 0.6% |
| DIEM Tax-Cost Ratio | na | na | 1.4% | 1.7% | 1.8% | 1.4% |
DIEM Annual NAV Total ReturnsData as of 7/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| DIEM Return (NAV) | 26.1% | 28.8% | 13.1% | 14.6% | -20.2% | 6.9% | 1.7% | 12.6% | -11.7% | 28.4% | na |
| DIEM Return (Price) | 24.1% | 30.8% | 12.3% | 15.4% | -20.6% | 7.0% | 1.3% | 12.1% | -11.3% | 27.6% | na |
| NAV +/- Price Ret | -0.076% | 0.069% | -0.059% | 0.057% | 0.022% | 0.015% | -0.240% | -3.5% | -3.4% | -2.7% | na |
| Diversified Emerging Mkts Avg | 17.1% | 29.2% | 6.7% | 12.8% | -18.8% | 2.3% | 12.7% | 18.2% | -14.6% | 33.7% | 10.9% |
| DIEM Grade (NAV) | A | C | A | B | D | B | D | F | B | D | na |
| +/- Category | 8.9% | -0.4% | 6.4% | 1.8% | -1.4% | 4.6% | -11.0% | -5.6% | 2.9% | -5.3% | na |
| Risk Measures | |
| Beta: | 1.05 |
| R-Squared: | 77% |
| Standard Deviation: | 16.5% |
| Category Risk Index: | 1.02 |
| Category Risk Rating: | Average |
| Total Risk Index: | 1.35 |
| Total Risk Rating: | Above Average |
| Portfolio Characteristics | |
| Yield: | 3.0% |
| Total Assets: | $ 75 Mil |
| Share Class Assets: | $ 75 Mil |
| Turnover: | 61.0% |
| Expense Ratio: | 0.19% |
| Index Fund: | Yes |
| Index Tracked: | Morningstar EM Div Enh Sel NR USD |
| Index Weighting: | 100% |
| Leveraged: | No |
| Socially Responsible Fund: | No |
| Capital Gains Distribution Frequency: | |
| Income Distribution Frequency: | Quarterly |
Management Team
| Number of Managers: 4 | |||
| Longest Tenure: 10.2 years | |||
| Average Tenure: 6.2 years | |||
| Managers (Year): Ting Dina (2016), Harris Hailey (2019), Amin Basit (2022), Diederich Joe (2022) | |||
Portfolio Composition (as of 7/31/26)
| # of Holdings: | 590 |
| % in Top 10 Holdings: | 34.3% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 99.3% |
Portfolio Allocation |
|
| Domestic Stock: | 0.2% |
| Foreign Stock: | 99.3% |
| Preferred Stock: | 0.0% |
| 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: | Franklin Templeton Investments |
| Phone Number: | 800-342-5236 |
| Website: | etf.franklintempleton.com |
| Inception Date: | June 1, 2016 |
Expenses and Fees
| Expense Ratio (%): | 0.19% (Rating: Low) |
| Category Average Expense Ratio (%): | 0.52% |
