India’s weight in global emerging-market ETFs rises again
India’s stable performance compared with weakness in markets such as South Korea and Taiwan has increased its weight in the underlying indices. This is in contrast with the trend seen during the 12 months to June 30, 2026 when the country’s weight in the sample ETFs declined by 540-to-998 basis points. The increase, however, does not necessarily signal fresh ETF flows into India. Most of these funds track MSCI or other emerging-market benchmarks, which means changes in the relative performance of countries can alter their India allocation. Among the top 20 global ETFs by assets, the iShares MSCI Emerging Markets Ex China ETF registered the biggest increase in India’s weight at 116 basis points, followed by 113 basis points rise in the Amundi MSCI Emerging Ex China UCITS ETF and 99 basis point increase in the Xtrackers MSCI Emerging Markets UCITS ETF.
ET BureauStronger performance relative to peers lifts weight but may not signal fresh ETF inflows
India’s ETF weights have risen in recent weeks, coinciding with strong relative performance of Indian equities compared with several major emerging markets. Since June 30, South Korea’s benchmark KOSPI has fallen nearly 19%, while Brazil’s Ibovespa and Taiwan’s TWSE Index have declined 3% and 2%, respectively. In contrast, India’s BSE Sensex has reported a modest gain of around 1%.
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South Korea and Taiwan, which have large semiconductor and AI-related companies, have come under pressure amid concerns over high valuations.
