iShares MSCI Emerging Markets Financials Sector Index Fund (NasdaqGS: EMFN)
Although the iShares MSCI Emerging Markets Financials Sector Index Fund is another small ETF with just $5.78 million in assets, in the right market environment this ETF would be worth a look. The right market environment being one where risk appetite is high and bank stocks along with emerging markets ETFs are in style.
Although China is EMFN’s top country weight at 29.3%, it is far from the fund’s only problem. Russian banks are proving reluctant to go along with that country’s dividend raising efforts. Protest-riddled Indonesia and Turkey combine for another 10% of the ETF’s weight and the almost 10% weight to Brazil is far from attractive at the moment. [Emerging Markets ETFs Fall as Easy Money Dries Up]
Global X China Financials ETF (NYSEArca: CHIX)
China’s four largest banks combine for 34% of the Global X China Financials ETF’s weight. The SHIBOR news took the fund down 6.1% Thursday, making it one of the worst performers in the China ETF group. The fund now resides 13.2% below its 200-day moving average, not a bullish sign at all.
Global X China Financials ETF
ETF Trends editorial team contributed to this post.