The iShares MSCI Germany ETF (NYSEArca: EWG), the largest exchange traded fund tracking German equities listed in the U.S., and the Xtrackers Germany Equity ETF (Cboe: GRMY) are among the Germany ETFs investors should monitor in the days ahead.
Improving economic conditions and strengthening company earnings in Europe are signals that diversified exchange traded fund investors should keep in mind when looking for areas of potential growth after a multi-year run in U.S. markets leaves less opportunities at home.
“On Sunday, March 4, members of Germany’s Social Democrats (SPD) will unveil the results of a vote on a “grand coalition” with Chancellor Angela Merkel’s more conservative Christian Democrats (CDU). Ahead of the reveal — and with European stocks in a tizzy on trade war fears — the iShares MSCI Germany ETF (EWG) is pacing for its lowest close in nearly six months,” according to Schaeffer’s Investment Research. “However, if history is any indicator, the German exchange-traded fund (ETF) could be on the verge of a pop higher.”
GRMY seeks to track the Nasdaq Germany Large Mid Cap Index, which is designed to track the performance of the German equity market.