iShares MSCI Mexico Capped ETF (NYSEArca: EWW)
YTD: -4.6%
Comment: Only the iShares MSCI All Peru Capped ETF (NYSEArca: EPU) is preventing EWW from the dubious honor of being the worst Latin America single-country ETF to this point in 2014. While there are reasons to like Latin America’s second-largest economy, such as political and energy sector reforms, there are cautionary tales with EWW.
There is the ETF’s alarming lengthy under-performance of the S&P 500. Then there is the fund’s recent and equally as notably lagging of the iShares MSCI Brazil Capped ETF (NYSEArca: EWZ). While Mexico is not short of fans in the global investment community, EWZ appears to be the better near-term better rotation play. [The Temptation of Brazil ETFs]