At a glance
EMLC charges 0.3% a year, above the 0.09% average of the 7 funds most like it (the 7th cheapest of 8). It has $4.87B in assets, the 8th largest of that group; it paid 6.5% of its price in distributions over the past 12 months, monthly. Over the past year it returned +2.5% with distributions reinvested, the best of those 8 funds; over three years it returned +7.7% a year. At its worst it fell 20.2% in the 2020 crash (S&P 500: 33.7%) and 19.4% in the 2022 bear market (S&P 500: 24.5%), and was back at its earlier high 8 months and 24 months after the lows. Its ten largest positions make up 7.2% of the fund, out of 499 in all.
The short version
VanEck J. P. Morgan EM Local Currency Bond ETF (EMLC) tracks the J.P. Morgan GBI-EM Global Core Index. It holds government bonds from emerging-market countries such as China, India, Brazil and Mexico, priced in each country's own currency instead of US dollars. Because of that currency exposure, returns rise and fall with the dollar. Its 0.30% expense ratio is well above the 0.09% average of the similar bond funds we compared.
Price history
The interactive chart needs JavaScript.
EMLC +2.5% over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| EMLC official prospectus, to Dec 31, 2025 | — | +18.21% | — | +0.81% | +3.04% | — |
| ICE Bof A Global Broad Market Plus Index (reflects no deduction for fees, expenses or taxes) index, same period | — | +8.05% | — | -2.41% | +1.11% | — |
| EMLC price data to Oct 27, 2026 | 0.0% | +2.5% | +7.7% | +2.2% | +1.6% | +1.0% |
- Over the year to Oct 27, 2026, EMLC returned +2.5%, 1st of 8 among similar funds.
- Its 5-year annualized return was +2.2% and its 10-year +1.6%.
- In the 2020 COVID crash it fell 20.2% and regained its old high 8 months after the low.
- Its worst full calendar year was 2015 (-15.0%); its best was 2025 (+18.8%).
- The deepest fall in its price history was 32.3% (May 8, 2013 to Oct 24, 2022), not yet recovered.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | -0.0% | — |
| 2025 | +18.8% | +18.21% |
| 2024 | -3.3% | -3.37% |
| 2023 | +11.2% | +11.88% |
| 2022 | -10.6% | -10.15% |
| 2021 | -9.7% | -9.33% |
| 2020 | +3.0% | +2.98% |
| 2019 | +9.7% | +9.90% |
| 2018 | -7.5% | -7.68% |
| 2017 | +13.9% | +14.00% |
| 2016 | +9.0% | +8.76% |
| 2015 | -15.0% | — |
| 2014 | -5.0% | — |
| 2013 | -9.9% | — |
| 2012 | +17.0% | — |
| 2011 | -3.1% | — |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Lost 18.8% over that stretch · deepest drop along the way 20.2%, back to its old high 8 months after the low |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Lost 17.3% over that stretch · deepest drop along the way 19.4%, back to its old high 23.6 months after the low |
Dividends and income
Show as a table
| Year | Per share | Change |
|---|---|---|
| 2026 (to date) | $1.2000 | |
| 2025 | $1.5200 | +6.3% |
| 2024 | $1.4300 | -5.9% |
| 2023 | $1.5200 | +12.6% |
| 2022 | $1.3500 | -11.2% |
| 2021 | $1.5200 | -6.2% |
| 2020 | $1.6200 | -23.2% |
| 2019 | $2.1100 | -2.3% |
| 2018 | $2.1600 | +5.9% |
| 2017 | $2.0400 | +8.5% |
| 2016 | $1.8800 | -12.1% |
| 2015 | $2.1400 | -15.7% |
| 2014 | $2.5400 | +3.3% |
| 2013 | $2.4600 | +7.9% |
| 2012 | $2.2800 | -18.6% |
| 2011 | $2.8000 |
What's inside
As of Jun 30, 2026, the fund held 499 securities; the ten largest made up 7.18% of assets.
| Holding | Weight | |
|---|---|---|
| NOTA DO TESOURO NACIONAL Bonds and notes | 0.90% | |
| REPUBLIC OF SOUTH AFRICA Bonds and notes | 0.84% | |
| MEX BONOS DESARR FIX RT Bonds and notes | 0.76% | |
| NOTA DO TESOURO NACIONAL Bonds and notes | 0.72% | |
| LETRA TESOURO NACIONAL Bonds and notes | 0.70% | |
| MEX BONOS DESARR FIX RT Bonds and notes | 0.68% | |
| REPUBLIC OF SOUTH AFRICA Bonds and notes | 0.68% | |
| MEX BONOS DESARR FIX RT Bonds and notes | 0.67% | |
| MEX BONOS DESARR FIX RT Bonds and notes | 0.63% | |
| REPUBLIC OF SOUTH AFRICA Bonds and notes | 0.61% | |
| TITULOS DE TESORERIA Bonds and notes | 0.60% | |
| REPUBLIC OF SOUTH AFRICA Bonds and notes | 0.59% | |
| REPUBLIC OF SOUTH AFRICA Bonds and notes | 0.59% | |
| LETRA TESOURO NACIONAL Bonds and notes | 0.58% | |
| POLAND GOVERNMENT BOND Bonds and notes | 0.58% |
By country
China 8.7%India 8.32%Malaysia 7.73%Indonesia 6.98%XX 6.4%By issuer
Foreign governments 97.75%Companies 0.16%The bonds mature in 7.5 years on average (weighted by size), with an average coupon of 6%.
Source: N-PORT holdings report as of Jun 30, 2026. Cash, money-market funds and derivatives are shown separately from the securities list.What changed recently
- Over the three months to Jun 30, 2026, investors added a net $11.1M (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: +2.70%, +0.97%, +0.38%.
How it works
EMLC follows the J.P. Morgan GBI-EM Global Core Index. The index holds bonds issued by emerging-market governments in their own local currencies. As of December 31, 2025, it held 433 bonds from 19 government issuers. The fund normally puts at least 80% of its assets into bonds from the index. It is passive, so it tries to match the index, not beat it. It also won't switch to defensive positions when markets turn rough.
Buying every bond in the index would be hard and costly, so VanEck uses "sampling." That means it holds a selection of bonds chosen to have roughly the same risk and return as the whole index. As of June 30, 2026, the fund had 499 positions, and almost 98% were foreign government bonds. The biggest country weights were China (8.7%), India (8.3%), Malaysia (7.7%), Indonesia (7.0%) and Mexico (6.3%). No single bond is large. The top holding, a Brazilian Notas do Tesouro Nacional Serie F bond, was 0.90%, and the top 10 made up 7.18%.
The fund held no derivatives as of June 30, 2026. Changes in currency value therefore pass straight through to holders. Its bonds averaged 7.5 years to maturity and paid an average coupon (interest rate) of 6%. Bond prices move opposite to interest rates. The fund is "non-diversified," which means it may put more of its money into a single issuer. Its portfolio turnover was 26%.
What it really costs
- EMLC charges 0.3% a year, versus an average of 0.09% for the similar funds below (7th of 8, cheapest first).
- Of that, 0.27% is the management fee; the rest covers other fund expenses.
- The fee includes a 0.01% waiver from the adviser, which may end.
- Using the prospectus's standard example, $10,000 invested would cost about $31 in the first year and $392 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| EMLC | $31 | $99 | $173 | $392 |
Structure and tax notes
- Bond prices move opposite to interest rates; the longer the maturities it holds, the more its price reacts to rate changes.
In a retirement portfolio
It offers high income and exposure to foreign currencies, but its losses in bad markets have been much deeper than most bond funds'.
EMLC could add income and foreign-currency exposure that most US bond funds lack. Its trailing 12-month yield was 6.5% as of October 27, 2026, paid monthly. In the SEC's standard example, its 0.30% expense ratio costs $31 in the first year on $10,000. It launched in 2010, so it has no 2008 record. In the 2020 COVID crash it fell 20.2% in one month and took eight months to recover. In 2022 it dropped 19.4% and took about two years to recover. Its worst calendar year was 2015, at -15%. Its deepest drop was 32.3%, from May 2013 to October 2022, and it had not recovered as of October 27, 2026. Anyone forced to sell in a bad year could lock in losses. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Investors seeking a small slice of local-currency government bonds from countries like Brazil, Mexico, South Africa, China and India.
- Income seekers who can accept big swings in price, with a 6.5% trailing yield paid monthly as of October 27, 2026.
- Investors who want currency diversification, since the fund held no currency derivatives as of June 30, 2026.
Look elsewhere if
- Retirees who need a steady bond anchor: it fell 20.2% in early 2020 and 19.4% in 2022.
- Cost-focused investors: the 0.30% expense ratio compares with 0.07% for Vanguard Total International Bond ETF (BNDX).
- Those wanting emerging-market bonds without local-currency risk may compare iShares J.P. Morgan USD Emerging Markets Bond ETF (EMB), which holds dollar-denominated bonds.
Close alternatives
Matched by bond funds with the closest average maturity and issuer mix (N-PORT).
| Fund | Avg. maturity | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| EMLC this fund | 7.5 yrs | 0.3% | $4.87B | +2.5% | +7.7% |
| BNDX Vanguard Total International Bond ETF | 8.7 yrs | 0.07% | $122.53B | -0.6% | +4.1% |
| EMB iShares J.P. Morgan USD Emerging Markets Bo… | 11 yrs | 0.39% | $14.61B | 0.0% | +9.0% |
| BIV Vanguard Intermediate-Term Bond ETF | 7.5 yrs | 0.03% | $52.45B | -0.7% | +5.1% |
| VCIT Vanguard Intermediate-Term Corporate Bond E… | 8.2 yrs | 0.03% | $72.04B | -0.6% | +7.1% |
| IGIB iShares 5-10 Year Investment Grade Corporat… | 8.3 yrs | 0.04% | $18.72B | -1.0% | +6.4% |
| IGSB iShares 1-5 Year Investment Grade Corporate… | 3.7 yrs | 0.04% | $23.46B | +1.5% | +5.4% |
| VCSH Vanguard Short-Term Corporate Bond ETF | 3.5 yrs | 0.03% | $51.74B | +1.9% | +5.7% |
Questions investors ask
Does EMLC pay monthly dividends?
Yes. EMLC pays income monthly. Over the 12 months to October 27, 2026, it paid about $1.60 per share, a trailing yield of 6.5%. The income comes from interest on its emerging-market government bonds, which averaged a 6% coupon as of June 30, 2026. The interest is paid in local currencies, so the dollar value of payments can change as exchange rates move.
What's the difference between EMLC and EMB?
Both hold emerging-market bonds, but EMLC owns bonds priced in local currencies. iShares J.P. Morgan USD Emerging Markets Bond ETF (EMB) holds dollar-denominated bonds. EMLC costs 0.30% a year and EMB costs 0.39%. EMB's bonds have longer maturities, 11 years on average versus 7.5. EMLC returned 2.5% over one year to October 27, 2026, and 7.7% a year over three years. EMB returned 0.6% and 10.1% through October 29, 2026.
Is EMLC hedged against currency risk?
No. EMLC held no derivatives as of June 30, 2026, and its bonds are priced in the currencies of countries like Brazil, Mexico, China and India. The prospectus lists foreign currency risk as a main risk, because emerging-market currencies can swing sharply. When the US dollar rises against those currencies, the fund's value can fall even if the bonds hold steady. When the dollar weakens, returns get a boost.
Is EMLC a good long-term investment?
Its long-term record is mixed. Through December 31, 2025, EMLC averaged 0.81% a year over five years and 3.04% over ten years, even after an 18.21% gain in 2025. It beat the broad ICE BofA Global Broad Market Plus Index, which returned 1.11% a year over ten years. Its deepest drop, 32.3% from May 2013 to October 2022, had not recovered as of October 27, 2026.
How risky is EMLC compared with other bond funds?
EMLC is riskier than most bond funds. It lost 9.33% in 2021 and 10.15% in 2022. Its worst quarter was -14.44%, in early 2020. On top of the usual interest-rate risk, the prospectus lists currency swings, political instability, and limits some countries put on foreign investors taking money out. It is also non-diversified. Its volatility was 7.5% over the year to October 27, 2026.