Investors can still gain ample access to Qatar, UAE and Kuwait’s equity markets (Kuwait will remain a frontier market and those countries’ financial services sectors through at least two ETFs: The WisdomTree Middle East Dividend Fund (NasdaqGS: GULF) and the Market Vectors Gulf States Index ETF (NYSEArca: MES).
Both ETFs are small by assets, but MES is up 6.4% in the past month and hit a new two-year high Wednesday after being identified as being on the cusp of a breakout earlier this month. [Stealth Rally for Gulf States ETF]
UAE, Qatar and Kuwait combine for 84.5% of MES’ country weight and the ETF allocates almost 62% of its sector weight to financial services names.
GULF, which has surged 35.2% in the past year, has a 57.6% weight to the financial services sector and allocates about 73% of geographic weight to Qatar, UAE and Kuwait. Plus, GULF compensates investors for taking on the risks inherent with investing in the Middle East as the ETF features a 5% 30-day SEC yield.
WisdomTree Middle East Dividend Fund
