Mar. 16, 2026 2:12 AM ETSchwab Emerging Markets Equity ETF (SCHE)TSM, TSMWFIvo Kolchev1.62K FollowersCommentsSummaryThe Schwab Emerging Markets Equity ETF has modestly outperformed the S&P 500 so far in 2026.This comes as cheap valuations and solid long-term GDP growth expectations for emerging markets outweigh near-term energy price uncertainty.SCHE has modest direct Middle East exposure, but key holdings domiciled in China, Taiwan, and India are likely to see temporary earnings pressure amid the war in Iran.Coupled with a low 0.07% expense ratio, this makes SCHE ideally suited for long-term investors willing to look through near-term news headlines.Specific risks stemming from SCHE's sector exposure and emerging markets focus are also discussed.samxmeg/iStock via Getty ImagesIntroductionAgainst the backdrop of energy price volatility, ETFs focused on emerging markets have largely given up year-to-date gains, albeit still outperforming the S&P 500, which is negative for the year. The Schwab Emerging Markets Equity ETF (This article was written byIvo Kolchev1.62K FollowersI ventured into investing in high school in 2011, mainly in REITs, preferred stocks, and high-yield bonds, starting a fascination with markets and the economy that has not faded despite the years. More recently I have been combining long stock positions with covered calls and cash secured puts. I approach investing purely from a fundamental long-term point of view. On Seeking Alpha I mostly cover REITs and financials, with occasional articles on ETFs and other stocks driven by a macro trade idea.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.Comments