📅 Last updated: 8 May 2026
· 🏷 Topic: Emerging markets, EIMI, ETF, developing markets
· 🇧🇪 For: Belgian investors
Emerging markets (China, India, Brazil, Mexico, Indonesia, etc.) represent ~12% of world market capitalisation but ~50% of global GDP, and have historically grown faster than developed markets. For Belgian investors, EIMI (iShares MSCI Emerging Markets) is the most widely used EM ETF.
What is EIMI?
EIMI = iShares Core MSCI EM IMI UCITS ETF
- ISIN: IE00BKM4GZ66
- Domicile: Ireland
- Index: MSCI Emerging Markets Investable Market Index (IMI)
- ~3,000 underlying stocks (incl. small-cap)
- TER: 0.18%
- TOB for Belgian investors: 0.12% (not registered in Belgium)
Geographic breakdown
EIMI tracks MSCI EM IMI with roughly the following country weights:
| Country | % of fund (typical) |
|---|---|
| China | ~21% |
| Taiwan | ~22% |
| India | ~11.5% |
| Korea | ~15% |
| Brazil | ~5% |
| Saudi Arabia | ~4% |
| Mexico | ~2% |
| South Africa | ~2% |
| Other (Poland, Thailand, Malaysia, etc.) | rest |
Important nuance: China + Taiwan + Korea = ~58% of the fund (May 2026 weights — Taiwan has risen sharply in recent years). Anyone buying EIMI gets a lot of Asian exposure.
EIMI vs alternatives
| ETF | Index | TOB | TER |
|---|---|---|---|
| EIMI (iShares Core EM IMI) | MSCI EM IMI (3,000 stocks) | 0.12% | 0.18% |
| EUNM (iShares MSCI EM UCITS Acc) | MSCI EM (~1,205 stocks, no small-cap), IE00B4L5YC18 | 0.12% | 0.18% |
| NB: “EMIM” is not a separate ETF — it is the Euronext Amsterdam ticker for EIMI (same fund, IE00BKM4GZ66). | |||
| VFEM (Vanguard FTSE EM) | FTSE EM (~2,300 stocks) | 0.12% | 0.17% |
EIMI is generally the choice for those wanting the broadest possible EM exposure. EUNM for those who want to skip small-cap (tracks MSCI EM, not IMI). VFEM for those who prefer Vanguard’s index version.
When do you add EM to your portfolio?
Arguments for:
- Completing global exposure — an MSCI World ETF (e.g. IWDA) contains NO emerging markets. Anyone holding only IWDA is missing 12% of the world market.
- Higher growth expectation — emerging economies have historically grown faster than developed ones, although this has not always translated into share prices.
- Decorrelation — in some periods EM performs very differently from developed markets.
Arguments against:
- Higher volatility — EM can drop -30% or more in bad years.
- Geopolitical risk — China regulation, sanctions, currency issues.
- Execution risk — some EM companies have governance challenges.
The practical allocation
A typical “world portfolio” for a Belgian retail investor:
Option 1 — IWDA + EIMI (separate ETFs):
– 88% IWDA (developed markets)
– 12% EIMI (emerging markets)
– Requires rebalancing 1× per year
– Lower TOB (both 0.12%)
Option 2 — VWCE / FTSE All-World (single ETF):
– 100% VWCE
– Already contains developed + emerging
– Higher TOB (1.32% due to Belgian registration)
– No rebalancing needed
Which is better? Mathematically comparable over a long horizon and stable contributions. Option 1 is slightly cheaper for large amounts or frequent purchases; Option 2 is operationally simpler.
🔗 See IWDA vs VWCE (NL) and World ETF top choices for the detail.
Warnings
1. Don’t put 50% in EM. Higher growth means higher volatility. 10–15% EM in a diversified world portfolio is more than enough.
2. China concentration. Anyone buying EIMI gets ~21% China (May 2026 — down from ~30%+ in 2020). Some investors want to weight China explicitly lower — in that case you choose an “EM ex-China” ETF.
3. Currency exposure. EM ETFs typically trade in USD, with exposure to local currencies (renminbi, real, rupiah, etc.). Strong USD = EM typically suffers.
4. TOB status can change. So far EIMI is not registered in Belgium → 0.12% TOB. Always verify via FSMA or tools like tobcalc.com before making a large purchase.
💡 For those who want global diversification without the complexity of managing two ETFs: VWCE in one go. For those optimising every euro of cost: IWDA + EIMI separately.
🔗 See Diversification explained for the broader principle.
2026 capital gains tax (in brief)
💰 Since 1 January 2026, Belgian retail investors pay 10% capital gains tax on realised gains above €10,000/year per person (with €1,000/year carry-forward, max €5,000 cumulative). Belgian-licensed brokers (Bolero, Keytrade, MeDirect, Saxo Belgium) withhold automatically from 1 June 2026; users of foreign brokers (DEGIRO, IBKR, Trade Republic) must declare it themselves. Step-up basis on 31 December 2025: only gains above that reference value count. Law of 6 April 2026, BS 21 April 2026.
🔗 Full explainer: Belgian investment taxes.
Sources
- iShares — EIMI factsheet
- MSCI — Emerging Markets IMI Index
- justETF — EM ETF database
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