An accommodating U.S. Food & Drug Administration coupled with the biotech sector’s durability in the face of global macroeconomic headwinds have bolstered BBH and rival funds this year. The ETF, which is heavily allocated to the largest biotech stocks such as Amgen (NasdaqGS: AMGN) and Gilead Sciences (NasdaqGS: GILD), is up more than 31% year-to-date.
More gains could be on the way as there are currently 39 new therapies that have been approved by the FDA last year, paving the way for treatments to roll out ahead of scheduled dates this year. [Positive Prognosis For Biotech ETFs]
Market Vectors Indonesia Small-Cap ETF (NYSEArca: IDXJ)
By far the smallest ETF on this list (home to just $11.1 million in assets), the Market Vectors Indonesia Small-Cap may be a niche ETF, but it has also been a stellar ETF in 2013. Indonesian small-caps may not be the first destination investors think of when it comes to smaller emerging markets equities … at least not yet.
Indonesia, Southeast Asia’s largest economy, has seen its equities rebound in 2013 after a disappointing 2012 and IDXJ has benefited in a big way with gain of almost 33%. By comparison, the equivalent Brazil small-cap ETF has lost 7% this year while the comparable China small-cap ETF is up a mere 2%. [Indonesia ETFs Ride Growth Wave]
A gain of almost 33% might imply that the valuations on IDXJ are stretched.
That may not be the case as the ETF sported a P/E ratio of less than 15 and a price-to-book ratio of 1.2 at the end of April, according to Market Vectors data. On the other hand, the iShares MSCI Indonesia Investable Market Index Fund (NYSEArca: EIDO) has P/E of 20 and a price-to-book ratio of almost five.
ETF Trends editorial team contributed to this story.