However, both of those countries are emerging markets, implying a higher degree of risk than what investors are accustomed to receiving with Canada. Part of that risk is political. Peru has been politically stable under its current regime, but President Ollanta Humala has leftist leanings. With one of the highest unemployment rates in the developing world and recent history of labor strife at precious metals mines, South Africa is not the most docile investment theme, either.
Those are not problems investors need to worry about with Canada. On the technical side of things, CNDA is just 1.33% below its 200-day moving average, far closer to that critical line than GDX and GDXJ are. A move above its 200-day line, around $22, could spark CNDA to further gains.
IndexIQ Canada Small-Cap ETF
ETF Trends editorial team contributed to this post.