Two ETFs to Play Emerging Market Infrastructure Growth (BRXX, CHXX)
Traders and investors alike often harp on the need to have a portion of your portfolio allocated to emerging markets. Until recently, this meant that you had to park you money in a mutual fund or ETF with broad market exposure. Unlike in the U.S., where the SDPR Sector Funds let you place a specific point of view to work, trying to play the build out of countries like Brazil or China was effectively impossible.
Not anymore; check out these two infrastructure plays:
• Emerging Global Shares Brazil Infrastructure Fund (NYSE: BRXX)
The fund seeks investment results that generally correspond to the price and yield performance of the INDXX Brazil Infrastructure Index. The Indxx Brazil Infrastructure Index is a free-float market capitalization weighted stock market index comprised of 30 leading companies that Indxx, LLC determines to be representative of Brazil’s Infrastructure industries, as defined by the Industry Classification Benchmark.
This fund holds such companies as: Cia de Concessoes Rodoviarias, Ultrapar Participacoes SA, Vale SA, Cia Siderurgica Nacional SA, and Gerdau SA.
• Emerging Global Shares China Infrastructure Fund (NYSE: CHXX)
This fund seeks investment results that generally correspond to the price and yield performance of the INDXX China Infrastructure Index. The INDXX China Infrastructure Index is a free-float market capitalization weighted stock market index comprised of 30 leading companies that INDXX, LLC determines to be representative of China’s Infrastructure industries, as defined by the Industry Classification Benchmark
This fund holds companies such as: China Railway Construction Corp., China Communications Construction Co., Huaneng Power International Inc., China Railway Group, and Aluminum Corp of China to name a few.
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