Four ETFs For Cinco de Mayo

Cinco de Mayo is just hours away and before heading to the local cantina for Coronas and tacos, let's remember this is a legitimate holiday in Mexico. Cinco de Mayo is not Mexican independence day, a fact unknown to many. Mexico declared its independence from Spain on September 15, 1810, but Cinco de Mayo is the day in 1862 when 4,000 Mexican soldiers tussled with 8,000 French and Mexican troops just east of Mexico City. Alright, enough with the history lesson. While not Brazil, Mexico is a compelling bet for investors looking to get some exposure to Latin America. In fact, it is the second-largest economy in the region after Brazil. When it comes to ETFs, investors have a dizzying array of choices with which to gain exposure to Mexico. Actually, the number of ETFs offering some Mexico exposure will jump to 32 on Cinco de Mayo. Here's how you can celebrate Cinco de Mayo, ETF style. 1) iShares MSCI Mexico Investable Market Index Fund

: EWW has come in a bit since the start of this week as emerging markets and materials ETFs have been slammed, but it can be argued the sell-off is overdone because materials names account for just 16.3% of EWW's weight. This ETF devotes the bulk of its sector exposure (54%) to the conservative telecom and consumer staples sectors. 2) Global X Silver Miners ETF

: Talk about a pounding. Silver's woes have led to a trip to the woodshed for SIL. Mexico accounts for 11% of SIL's country weight and for those traders that want to embody the bravery of Mexican soldiers on May 5, 1862, SIL could be an interesting buy on the dip candidate. 3) SPDR S&P Emerging Latin America ETF

: Don't be deceived by GML's title. This ETF is Brazil (65% country allocation) and Mexico (21%). The ETF's top-three holdings are nothing if not familiar: Petrobras

, Vale

and America Movil

. 4) Market Vectors Latin America Small-Cap Index ETF

: Now almost 13 months old, LATM is one of the best ways of getting small-cap exposure to Latin America, particularly for the investor looking for a multi-country play. Brazil gets 40% of LATM's weight and Mexico gets 21%, but as we've noted before, be aware of the weird 18.7% allocation to Canada. And as it pertains to the current market environment, be aware of LATM's 25% weight to materials names. Keeping with the small-cap theme, Global X will roll out the Global X Mexico Small-Cap ETF on Cinco de Mayo. The fund will trade on the New York Stock Exchange under the ticker “MEXS” and will be the first pure-play ETF on Mexican small-caps.