Strategic Use of Country ETFs

Accuvest is also overweight Chinese stocks via the iShares MSCI China ETF (NYSEArca: MCHI), citing “relatively strong fundamentals, valuation and risks for China. The ETF, which has a 0.61% expense ratio, ranks favorably to S&P Capital IQ for the attractive valuation and modest risk of its holdings, according to S&P Capital IQ STARS and Quality Rankings,” said S&P Capital IQ. [China ETFs Surge, but No One Cares]

The research firm rates MCHI marketweight.

Countries that made noticeable moves in Accuvest’s June rankings, include Norway and Indonesia, which have ascended to the second and fifth spots, respectively.

“The P/E on Norway is 13.3 compared to the average country at 16.9,” said Accuvest while noting Indonesian is “the second best performing market this year, up 22.97%. Additionally they have one of the best fundamental profiles showing the highest ROE and internal growth rate.”

The Global X Norway 30 ETF (NYSEArca: NORW) is up 12% in just the past three months while the iShares MSCI Indonesia ETF (NYSEArca: EIDO) and the Market Vectors Indonesia Index ETF (NYSEArca: IDX) are two the top-performing emerging markets single-country ETFS this year with an average gain of over 22%. [Favoring Indonesia Over China]

db X-trackers MSCI Japan Hedged Equity Fund