Diversified Stock Portfolio: 5 Sector ETFs and International ETFs to Buy

3. Schwab Emerging Markets Equity ETF (NYSE:SCHE)

Schwab Emerging Markets Equity ETF (NYSE:SCHE)’s aim is to track as closely as possible, before fees and expenses, the total return of the FTSE Emerging Index. The index offers access to large- and mid-cap equities from more than 20 emerging markets. Schwab Emerging Markets Equity ETF (NYSE:SCHE) was launched on January 14, 2010 and its total net assets came in at $8.80 billion as of February 10, 2023. The fund offers an expense ratio of 0.11% and the total holdings were 1,838. It is a passively managed ETF with a 30-day SEC yield of 2.88%.  

Tencent Holdings Limited (OTC:TCEHY) is a prominent stock in Schwab Emerging Markets Equity ETF (NYSE:SCHE)’s portfolio, representing 4.76% of the total holdings. It is a Chinese investment holding company, provides value-added services (VAS) and Online advertising services in Mainland China and internationally. The company operates through VAS, Online Advertising, FinTech and Business Services, and Others segments. On January 25, Barclays analyst Jiong Shao raised the price target on Tencent Holdings Limited (OTC:TCEHY) to $48 from $36 and maintained an Equal Weight rating on the shares. According to the analyst’s research note, the firm’s gaming and advertising trends, as well as the 2023 outlook, are all improving. The analyst specifically mentioned that domestic gaming is “finally poised to grow again.”