Rosenbluth highlights the Templeton Frontier Markets (FFRZX) and Wasatch Frontier Emerging Small Countries (WAFMX) funds. The Templeton fund, which was launched in October 2008 and is up 3.37 percent year-to-date, has an expense ratio of 1.85%. The Wasatch fund, which was launched in January 2012 and is up 9.47 percent year-to-date, has a 2.25 percent expense ratio.
There’s no easy solution to gaining exposure to smaller emerging and frontier markets, and a typical single emerging market ETF won’t do the trick, Young says. Rather, the solution is likely to include several ETFs and one or two active mutual funds. “If you want a dedicated allocation to smaller emerging and frontier markets, you need to cast a wider net,” he says.