Another factoid could assuage investors feeling skittish about last week’s modest emerging markets departures: Inflows to single-country ETFs. Although polls show President Dilma Rousseff and challenger Marina Silva likely heading toward an Oct. 26 run-off, the iShares MSCI Brazil Capped ETF (NYSEArca: EWZ) added over $37 million in new assets last week. That continues a recent pattern of inflows to Brazilian equity funds despite faltering economic growth in Latin America’s largest economy. [Rushing to Brazil ETFs]
Compelling valuations and the market’s reputation for being a less volatile alternative to other developing markets prompted investors to add almost $48 million to the iShares MSCI South Korea Capped ETF (NYSEArca: EWY) last week.
iShares Core MSCI Emerging Markets ETF
ETF Trends editorial team contributed to this post. Tom Lydon’s clients own shares of EEM and IEMG.