Considering Sweden as an investment option? There are two exchange traded funds (ETFs) that focus on the country, iShares MSCI Sweden Index (EWD) and the CurrencyShares Swedish Krona Trust (FXS). Ericsson (ERIC) accounts for 21% of EWD. Volvo, Copco, Svenska and Sandvik are familiar holdings with capital goods, technology and banking. The sector exposure is good, with diversification and balance. FXS seeks to track the price of the Swedish Krona.
Carl Delfeld of Chartwell Advisors researched Sweden and found that many companies are primarily in private hands, with a center-right coalition led by Mr. Fredrik Reinfeldt promising to privatize up to 47 companies. Seventy percent of the economy is service-driven and ample natural resources such as zinc, lead, gold, copper, iron-ore, timber, and hydro-power round it out. The stability of the Krona is a big attraction for Sweden, as they opted out of the Euro in 2003. The Kingdom of Sweden could be appreciated by many investors. Delfeld will be taking a group of private investors to Sweden and Denmark this June, if you are interested in learning more, contact him through his website.
Read the disclosure, as Tom Lydon serves on the board at Rydex Funds.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Mr. Lydon serves as an independent trustee of certain mutual funds and ETFs that are managed by Guggenheim Investments; however, any opinions or forecasts expressed herein are solely those of Mr. Lydon and not those of Guggenheim Funds, Guggenheim Investments, Guggenheim Specialized Products, LLC or any of their affiliates. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.