Highlights

  • LEMB targets emerging market sovereign bonds denominated in local currencies.
  • The published expense ratio is 0.30%.
  • The fund's distribution frequency is annual.

iShares J.P. Morgan EM Local Currency Bond ETF (NYSE Arca:LEMB) seeks exposure to emerging market sovereign bonds denominated in local currencies. With net asset value of USD 41.88 per share as of 30 October 2026, the fund reported net Assets of USD 770,560,819 as of 30 October 2026. Its Investment approach centres on tracking the J.P. Morgan GBI-EM Global Diversified 15% Cap 4% Floor index (Net).

Government Debt With Direct Currency Exposure

Local currency borrowing connects the portfolio to domestic interest rates and the currencies in which governments repay debt. For a US dollar investor, currency movements can alter the translated value of coupons and principal. A change in the local bond price and a change in the Exchange Rate can reinforce or offset each other. The fund therefore combines sovereign credit, rates and currency exposures.

Portfolio Composition and Exposure

LEMB reported 456 holdings as of 29 October 2026. This count describes the portfolio at that date and can change as securities enter or leave the fund. It does not indicate that each position carries the same weight.

The published exposure breakdown as of 29 October 2026 included Treasuries at 98.94% and Cash and/or Derivatives at 1.06%. These allocations show where a meaningful part of the portfolio's exposure was concentrated. The percentages can change with market values and portfolio adjustments.

Effective duration was 5.14 years as of 29 October 2026, while weighted average Maturity was 7.29 years as of 29 October 2026. Duration indicates sensitivity to Interest Rate changes; maturity describes the timing of principal repayments. These measures address different features of a bond portfolio.

Fees and Distribution Policy

LEMB lists an expense ratio of 0.30%. This is an ongoing fund cost, rather than a charge covering every expense of buying or selling shares. Brokerage charges and the difference between buying and selling prices can add to an investor's transaction costs. Fund shares trade on NYSE Arca at market prices, which may differ from net asset value.

The stated distribution frequency is annual. That schedule describes the timing framework for payments and does not establish a fixed amount. Distributions depend on the fund's available income and applicable distribution decisions. A cash payment also needs to be considered alongside changes in the value of the investment.

Key Insights

Local currency depreciation, Inflation and changes in domestic Monetary Policy can reduce the US dollar value of holdings. Sovereign repayment difficulties remain relevant despite the government issuer focus. LEMB provides local currency sovereign exposure, making exchange rates as important to its structure as the underlying bond markets and government finances.