Alternatively, investors can specifically target Europe’s financial sector with the iShares MSCI Europe Financials ETF (NasdaqGM: EUFN). However, the U.K. and Switzerland make up about 42% of the fund’s portfolio
“Compared to international markets, the relative valuation case for Eurozone equities remains compelling too,” Boost ETP added.
In the fixed-income space, ECB action would be bullish for bond markets in peripheral Eurozone economies by pushing banks to issue more loans and providing economic stability.
Moreover, Boost ETP contends that the ECB’s actions will unlikely be bearish for bonds. While the ECB policies would boost inflation in the Eurozone, greater inflationary risks in other developed economies, like the U.S., U.K. and Japan, will help drive fixed income flows into the Eurozone.
The WisdomTree Euro Debt Fund (NYSEArca: EU) provides exposure to Eurozone debt denominated in euros. EU has an effective duration of 7.22 years and a 0.60% 30-day SEC yield.
The Market Vectors International High Yield Bond ETF (NYSEArca: IHY), which has a 4.4% 30-day SEC yield and a 3.64 effective duration, provides exposure to speculative grade European debt, but the ETF also includes small exposure other economies, like Canada, China and the U.S., among others.
For more information on Europe, visit our Europe category.
Max Chen contributed to this article.