ETF Spotlight: Global X/Interbolsa Colombia 20 (GXG) | ETF Trends

ETF Spotlight on Global X/Interbolsa Colombia 20 (NYSEArca: GXG), part of a weekly series.

Assets: $52.2 million

Objective: Seeks to track the FTSE Colombia 20 Index, before fees and expenses.

Holdings: The fund holds the 20 most liquid stocks in the Colombia market; its top holdings include Ecopetrol, Bancolomia and Pacific Rubiales Energy.

What You Should Know

  • The largest sector in the fund is oil and gas, with 28.9% of the weighting; use caution if you’re holding other allocations to oil companies or futures.
  • Other heavy sectors include banks, 25%; financial services, 16.5%; and industrials, 9.9%.
  • It has an expense ratio of 0.86%.
  • It launched on Feb. 5, 2009; since then, it’s up 165.6%.
  • Year-to-date, it’s up 39.7%, making it one of the stronger emerging market funds this year. [The Top 5 Emerging Market ETFs.]

The Latest News

  • Colombia’s economy is dependent on natural resource exports, with fast growing financial and manufacturing sectors. [Beyond Brazil: Latin America ETFs.]
  • Colombia is South America’s third-largest oil producer and largest coal producer
  • On the down side, the country is rife with guerrilla fighting and internal risks, but that has not deterred investors, writes Nancy Lopez for The Associated Press.
  • The government is projecting a 4.5% GDP increase this year, backed by foreign direct investment.

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The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. 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.