6 Different ETFs For A Weakening US Dollar (IEZ, DRW, GDX, SIVR, UDN, EEM)

With floods of US dollars being deployed everywhere to help support a faltering economy many worry about the continued fall of the US Dollar. The dollar has already weakened significantly over the past 6 months to levels equal to those before the crash, but many foresee this as just the beginning.

If you believe this is the case (or even a possibility) you should have at least a small percentage of your portfolio in “anti-dollar” plays.

The following 6 ETFs give you different ways to accomplish this, each with a unique philosophy, market segment, and opportunity:

1) (NYSE: IEZ) Ishares Oil Service Sector ETF- This is an etf composed of oil service companies. This is an indirect play on oil prices. It does not offer a perfect correlation with oil prices, but a significant one. Also it enables an investor to actually own an income producing entity, as opposed to owning a futures fund.

2) (NYSE: DRW) Wisdomtree International Real Estate- This is an etf composed of real estate held outside of the United States. The etf sports a large dividend of 4.55% paid in other currencies. And of course real estate outside the US would increase in US dollar denominated terms if the dollar weakens all else equal.

3) (NYSE: GDX) Market Vectors Gold Miners- Invests in gold mining companies. This etf represents a similar philosophy to the IEZ. This enables exposure to gold without the drag of actually having to own the metal itself.

4) (NYSE: SIVR) ETFS Silver Trust- Invests directly in the metal silver. To my knowledge there is no Silver Mining etf, so this is the best way to play silver, which should give some exposure to precious metals outside of gold.

5) (NYSE: UDN) PowerShares US Dollar Bearish- invests in short futures contracts. This is a direct way to play a weak dollar. Negatives include costs associated with having to constantly roll over futures contracts and risk of tracking error.

6) (NYSE: EEM) Ishares Emerging Markets- invests in equities of emerging markets. This is an indirect way to play the dollar, but all else equal (a large assumption) if the dollar weakens returns with this etf will be enhanced.