We have spent a good amount of time recently covering put activity and asset outflows in broad Emerging Markets equity products, specifically EEM (iShares MSCI Emerging Markets, Expense Ratio 0.67%) and VWO (Vanguard FTSE Emerging Markets, Expense Ratio 0.18%), and we have commented about the erratic price action in Brazil recently as well.
EWZ (iShares MSCI Brazil, Expense Ratio 0.60%) continues to notably lag the broader proxy EEM, and Brazil makes up 8.52% of the MSCI EM Index currently. After grounding out as low as $46.11 this Wednesday, EWZ has sprung back to life on strength in the greater Emerging Markets space led particularly by a China rally.
EWZ has lost assets recently via redemption activity, seeing about $371 million vacate the fund in recent sessions. Year to date the fund has hemorrhaged $3.45 billion in net outflows, but the fund still remains the largest Brazilian equity focused ETF in the marketplace with $4.83 billion in assets under management.
EWZ is substantially larger than its next closest competitor in the space, BRF (Market Vectors Brazil Small Cap, Expense Ratio 0.59%) which has $220 million in assets under management.