SPDR Portfolio Emerging Markets ETF (SPEM): Complete Beginner's Guide
Last updated: March 2026 • State Street Global Advisors • Emerging Markets
Expense Ratio
0.07%
AUM
$9.0B
Dividend Yield
2.50%
Inception
2007
Beginner Score
9.5/10
What is SPDR Portfolio Emerging Markets ETF?
SPEM offers broad emerging market equity exposure at one of the lowest costs available. It tracks companies in China, India, Taiwan, Brazil, and other developing economies. Beginners interested in faster-growing economies can use SPEM as a small portfolio allocation, but should be aware of higher volatility compared to developed market funds.
SPEM is managed by State Street Global Advisors and has been available since 2007. With $9.0B in assets under management, it's a growing fund that has attracted significant investor interest. The fund charges an expense ratio of 0.07%, which means for every $10,000 you invest, you pay approximately $7 per year in management fees.
SPEM at a Glance — Key Metrics
| Expense Ratio | 0.07% |
| Total Holdings | 3,200 |
| P/E Ratio | 13.5 |
| Beta | 0.95 |
| Dividend Yield | 2.50% |
| AUM | $9.0B |
| Inception Year | 2007 |
| Issuer | State Street Global Advisors |
Top 10 Holdings in SPEM
SPEM holds 3,200 different securities. Here are the largest positions that make up the core of this fund:
| # | Company | Ticker | Weight |
|---|---|---|---|
| 1 | Taiwan Semiconductor Mfg. | TSM | 7.50% |
| 2 | Samsung Electronics Co. | 005930.KS | 3.50% |
| 3 | Tencent Holdings Ltd. | 0700.HK | 3.00% |
| 4 | Alibaba Group Holding | BABA | 2.20% |
| 5 | Reliance Industries Ltd. | RELIANCE.NS | 1.50% |
| 6 | Meituan | 3690.HK | 1.20% |
| 7 | Infosys Ltd. | INFY | 1.00% |
| 8 | China Construction Bank | 0939.HK | 0.90% |
| 9 | Vale SA | VALE | 0.80% |
| 10 | JD.com Inc. | JD | 0.80% |
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SPEM Performance History
Here's how SPEM has performed over different time periods. Remember that past performance doesn't guarantee future results, but it gives you a sense of the fund's track record:
YTD
1.00%
1 Year
8.00%
3 Year
2.00%
5 Year
4.00%
10 Year
3.50%
Beginner Suitability Score: 9.5/10
Our proprietary Beginner Suitability Score evaluates ETFs based on five factors that matter most to new investors: fees, volatility, diversification, dividend history, and track record length.
SPEM scores 9.5/10 because it has very low fees, shows lower-than-average volatility, offers broad diversification across 3,200 holdings, and has been available since 2007, giving it a proven track record.
How to Buy SPEM — Step by Step
- Open a brokerage account — We recommend Fidelity, Charles Schwab, or Vanguard for ETF investing. All offer $0 commissions on ETF trades.
- Fund your account — Transfer money from your bank. You can start with as little as $1 if your broker offers fractional shares.
- Search for "SPEM" — Use the search bar in your brokerage platform to find SPDR Portfolio Emerging Markets ETF.
- Place your order — Choose "Market Order" for simplicity or "Limit Order" if you want to set a specific price. Enter how many shares (or dollar amount) you want to buy.
- Set up automatic investing — Most brokers let you schedule recurring purchases (e.g., $100/month on the 1st). This is dollar cost averaging in action.
Dollar Cost Averaging Into SPEM
Here's what consistent monthly investing could look like over time, assuming an average annual return of 8% (approximate historical stock market average):
| Monthly | 10 Years | 20 Years | 30 Years |
|---|---|---|---|
| $100/mo | $18,417 | $59,295 | $150,030 |
| $250/mo | $46,041 | $148,237 | $375,074 |
| $500/mo | $92,083 | $296,474 | $750,148 |
*Projections assume 8% average annual return with monthly compounding. Actual returns will vary. Past performance doesn't guarantee future results.
Fee impact: With SPEM's expense ratio of 0.07%, a $10,000 investment would lose approximately $600 to fees over 20 years compared to a zero-fee investment. This is a reasonable fee level for the value provided.
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Pros and Cons of SPEM
Pros
- ✓Very low expense ratio of 0.07% for emerging market access
- ✓Broad coverage of 3,200+ stocks across all major emerging economies
- ✓Exposure to faster-growing economies with younger demographics
- ✓Low correlation with U.S. markets provides portfolio diversification
Cons
- ✗Higher volatility than developed market ETFs due to political and currency risks
- ✗Heavy concentration in China and Taiwan which represent over 40% of the fund
- ✗Emerging markets have underperformed U.S. stocks over the past decade
Frequently Asked Questions
Is SPEM a good ETF for beginners?▾
SPEM has a Beginner Suitability Score of 9.5/10 on our scale. This makes it a strong choice for new investors due to its low fees and broad diversification.
What is the expense ratio of SPEM?▾
SPEM has an expense ratio of 0.07%. This means for every $10,000 you invest, you pay approximately $7 per year in fees. This is considered very low and cost-efficient.
How much money do I need to invest in SPEM?▾
You can invest in SPEM with as little as $1 through brokers that offer fractional shares (like Fidelity, Schwab, or Robinhood). There is no minimum investment required beyond the share price itself, which changes daily. Dollar cost averaging — investing a fixed amount regularly — is a popular strategy.
Does SPEM pay dividends?▾
Yes, SPEM pays dividends with a current yield of approximately 2.50%. Dividends are typically paid quarterly and can be reinvested automatically through most brokers.
What are the top holdings in SPEM?▾
The top holdings in SPEM include Taiwan Semiconductor Mfg. (7.50%), Samsung Electronics Co. (3.50%), Tencent Holdings Ltd. (3.00%), and more. The fund holds 3,200 total positions, providing broad diversification across many companies.