Italian banks make up a hefty component of EWI’s underling positions, with the financial sector accounting for 30.6% of the ETF’s portfolio and top holdings including Intesa Sanpaolo and Assicurazioni Generali.
“In my view the biggest risk is actually for the banking sector, even more so than political risk, and there will be some political instability,” Megan Greene, chief economist at Manulife Asset Management, told CNBC.
For more information on Italy, visit our Italy category.
iShares MSCI Italy Capped ETF