Transcription factor that may function in dorsoventral specification of the forebrain. Regulates the expression of Wnt signaling antagonists including the expression of a truncated TCF7L2 isoform that cannot bind CTNNB1 and acts therefore as a potent dominant-negative Wnt antagonist. Plays a crucial role in eye development and, in particular, in the specification of the ventral optic vesicle. May be a regulator of axial polarization in the retina. Expressed in the developing and mature retina. At 9.5 dpc, expressed solely in the ventral halves of the optic stalks and vesicles without proximo-distal restriction. Expression in the optic stalk diminishes after 11.5 dpc and becomes restricted to the inner layer of optic cup in its ventral half. Expression persists in the ventral halves of all neural retina layers (inner and outer nuclear layer) at 14.5 dpc and 16.5 dpc, and the ganglion cell layer, inner nuclear layer and photoreceptor layer in the adult. Belongs to the EMX homeobox family.