Year-to-date, the iShares MSCI Indonesia ETF (NYSEArca: EIDO) and the Market Vectors Indonesia Index ETF (NYSEArca: IDX) are up an average of 20.5%. Political issues are at play and investors should monitor the ability of Governor Joko Widodo to win this year’s presidential election. S&P Capital IQ rates EIDO overweight. [Polls Lift Indonesia ETFs]
Investors searching for more docile emerging markets fare can turn to an ETF like the iShares MSCI Taiwan ETF (NYSEArca: EWT). Unlike many its emerging market country-specific rivals, EWT is not heavily allocated to the financial services or energy sectors.
Rather, the $2.99 billion ETF sports an almost 57% weight to technology stocks. More importantly for the conservative investor, EWT has a beta of just 0.54 and a three-year standard deviation of 16.7%, nearly 300 basis points below the standard deviation on EEM. S&P Capital IQ rates EWT overweight.
iShares MSCI Indonesia ETF
Tom Lydon’s clients own shares of EEM.