Short interest for iShares Inc iShares MSCI Singapore ETF gives investors a sense of the degree to which investors are betting on the decline of iShares Inc iShares MSCI Singapore ETF's stock. Short interest data is updated every two weeks.

iShares Inc iShares MSCI Singapore ETF (ARCA:EWS), Short Interest Report

iShares Inc iShares MSCI Singapore ETF

iShares MSCI Singapore Capped ETF

iShares MSCI Singapore Index Fund

Canada

Analyst Color

Government

Macro Economic Events

Macro Notification

Specialty ETFs

Treasuries

Global

Econ #s

Economics

ETFs

Canada is the nation with the world&#39;s highest capital gains tax rate, significantly surpassing Denmark&#39;s second-place rate of 42%.

Canada&#39;s Capital Gains Tax Rate Jumps To 67%: &#39;Highly Indebted Western Governments Have Promises To Keep, Wars To Fund,&#39; Strategist Says

Long Ideas

Emerging Market ETFs

Trading Ideas

iShares MSCI Thailand Investable Market Index Fund

Emerging Markets You Should Be Overweight According To Quantamize&#39;s AI Models

News

Emerging Markets

Markets

ASEA

ETFs In Focus As Singapore GDP Exceeds Expectations

The Canadian government has announced several new tax increases in the latest budget released this week to <a href="https://www.benzinga.com/topic/canada">cope with its debt. </a>
The country&#8217;s capital gains tax will spike to 67% for earnings surpassing $250,000 in the year.
This establishes Canada as the nation with the world&#8217;s highest capital gains tax rate, surpassing Denmark&#8217;s second-place rate of 42%.
Tax Hike Amid Fiscal Strain: In an effort to address its triple-digit public debt, the Canadian government&#8217;s 2024 budget has raised the inclusion tax rate on capital gains. 
For individuals, the threshold has been moved from 50% to 67% on gains above $250,000 realized annually, effective from Jun. 25, 2024. The change also affects corporations and trusts on all capital gains.
The Global Debt Dilemma: The tax hike comes as governments globally grapple with unprecedented public debts, a consequence of heavy loose fiscal policies employed during the pandemic. 
Canada&#8217;s public debt-to-GDP ratio leaped from 87% in 2019 to 118% in 2020, with the current figure hovering at 107%.
Comparatively, the United States is projected to witness its public debt rise from 122% in 2023 to an estimated 134% by 2029, as per International Monetary Fund (IMF) projections, amid a swelling budget deficit.
Economist React To Canada&#8217;s Tax Hikes: &#8220;The 2024 federal budget lands at a time when the economy is struggling to grow, the Bank of Canada is still leaning on inflation pressures, the loonie is under stress, and the impact of torrid population growth pervades across much of the country,&#8221; said Robert Kavcic, economist at BMO Economics.
With an eye on the capital gains tax increment, Kavcic questions what further measures might follow, suggesting potential unrest among capital allocators.
In a more critical assessment of Western governments&#8217; fiscal policies and Canada&#8217;s tax rise, Michael Hartnett, chief investment strategist at Bank of America, weighed in.
&#8220;Highly indebted Western governments have promises to keep, wars to fund,&#8221; Hartnett proclaimed in his latest &#8216;The Flow Show&#8217; report.
Hartnett forecasts a scenario characterized by persistent inflation, climbing yields, and heightened taxation, suggesting that this course may persist until central banks intervene to bailout the indebted public sector.
Thus far in the month, the iShares MSCI Canada Index Fund (NYSE:<a class="ticker" href="https://www.benzinga.com/stock/EWC#NYSE">EWC</a>), which tracks the performance of major Canadian corporations, has experienced a 3% decline, on pace for the worst performing month since October 2023. 
Read Now: <a href="https://www.benzinga.com/general/macro-notification/24/04/38325320/small-group-of-hedge-funds-wields-dominance-in-us-treasury-market-a-concentration-of-v">Small Group Of Hedge Funds Wields Dominance In US Treasury Market: &#8216;A Concentration Of Vulnerability Has Built Up,&#8217; IMF Warns</a>
Image: Unsplash

Canada's Capital Gains Tax Rate Jumps To 67%: 'Highly Indebted Western Governments Have Promises To Keep, Wars To Fund,' Strategist Says

<a href="https://variety.com/2023/film/news/lucasfilm-industrial-light-magic-singapore-vfx-animation-1235696678/" title="https://variety.com/2023/film/news/lucasfilm-industrial-light-magic-singapore-vfx-animation-1235696678/">https://variety.com/2023/film/news/lucasfilm-industrial-light-magic-singapore-vfx-animation-1235696678/</a>

Disney Unit Lucasfilm's Industrial Light & Magic to Close VFX and Animation Facility in Singapore Due to 'Economic Factors Affecting the Industry'

Singapore's Central Bank Unexpectedly Keeps Monetary Policy Unchanged

Everybody has been talking about the start to the year that U.S. equities have had, and for good reason. January saw the asset class&rsquo; strongest monthly performance in more than five years.
But if we&rsquo;re going to talk about strong areas of the market, we need to start with emerging markets.
The iShares MSCI Emerging Markets ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/eem#NYSE">EEM</a>) actually outperformed the S&amp;P 500 by nearly 2.5 percentage points in January. And despite cooling off slightly in February, the index is still up 8 percent year-to-date.
For emerging market investors, this recent rally is sorely needed as EM equity took a beating in 2018. Using the Emerging Markets Stocks ETFs Q-Folio&mdash;an AI-based portfolio model from <a href="https://www.quantamize.com/?utm_source=Bezinga&amp;utm_medium=Article&amp;utm_campaign=Emerging_markets_You_Should_Be_Overweight">research platform Quantamize</a>&mdash;we can see which emerging markets we should consider going over- or underweight in our portfolios.
Let&rsquo;s start with a quick look at all 20 ETFs in the Q-folio. The ETFs in each of <a href="https://www.quantamize.com/Marketing/Q-Folios?utm_source=Bezinga&amp;utm_medium=Article&amp;utm_campaign=Emerging_markets_You_Should_Be_Overweight">Quantamize&rsquo;s AI Portfolios</a> are adjusted at the start of each month, so these ETFs represent the AI model&rsquo;s most appealing portfolio makeup as of February 1.
<a href="https://www.benzinga.com/files/u105576/1_22.png" onclick="imce.send('1_22.png'); return false;" title=""><img alt="1_22.png" src="https://www.benzinga.com/files/u105576/1_22.png" /></a>
The Q-folio&rsquo;s exposure reveals exactly which emerging market countries hold the most promise according to Quantamize&rsquo;s AI model.
At the top spot is iShares MSCI Saudi Arabia Capped ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ksa#NYSE">KSA</a>) with nearly one-fifth of the portfolio&rsquo;s weight. At 10.5 percent YTD, KSA is among the best performing of the portfolio&rsquo;s top holdings. This strong showing is likely the result of an ongoing oil rally that makes up much of the country&rsquo;s economic exposure.
Apart from Saudi Arabia, Southeast Asian stocks dominate the top holdings. Performance-wise, the iShares MSCI Malaysia ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ewm#NYSE">EWM</a>) is up 5 percent YTD, iShares MSCI Singapore ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ews#NYSE">EWS</a>) is up 9 percent YTD and iShares MSCI Thailand ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/thd#NYSE">THD</a>) is up about 8 percent.
<a href="https://www.quantamize.com/About/Learn-More?utm_source=Bezinga&amp;utm_medium=Article&amp;utm_campaign=Emerging_markets_You_Should_Be_Overweight">Want AI stock insight and multi-factor portfolio analysis? Click here to learn more.</a>
As a side note, it&rsquo;s interesting to see the position taken up by the iShares MSCI Hong Kong ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/ewh#NYSE">EWH</a>), which is up more than 11 percent YTD. Not only is it the third heaviest-weighted ETF in the model portfolio, but you can see in the table below how closely it correlates to Southeast Asian economies.
If you look at the correlation for EWH (sixth column from the left), you&rsquo;ll see a few deep blue squares where EWH intersects with EWS and EWT (eight, nine, and 10 rows down respectively). This suggests a high-level of correlation between Hong Kong, Taiwan and Malaysia, slightly edging out EWH&rsquo;s correlation with iShares China Large Cap ETF (NYSE: <a class="ticker" href="https://www.benzinga.com/stock/fxi#NYSE">FXI</a>).
<a href="https://www.benzinga.com/files/u105576/2_15.png" onclick="imce.send('2_15.png'); return false;" title=""><img alt="2_15.png" src="https://www.benzinga.com/files/u105576/2_15.png" /></a>
<h3>Takeaways from the model</h3>
All told, Quantamize&rsquo;s Emerging Markets Stocks ETFs Q-Folio advises that any emerging markets portfolio should be overweight smaller emerging markets like Saudi Arabia and Southeast Asia, specifically Malaysia, Hong Kong, Singapore, and Thailand. Those five markets account for more than 50 percent of the model portfolio.
On the other hand, South Africa, Brazil, Chile and Poland, Mexico, South Korea, and Turkey should all be significantly underweighted, as those account for a mere 16 percent of the model portfolio.
Quantamize is a content partner of Benzinga

Emerging Markets You Should Be Overweight According To Quantamize's AI Models

Singapore&#39;s GDP grew at 5.2% year over year in the third quarter of 2017, surpassing the 5.0% expectation of economists. This was the strongest reading since the fourth quarter of 2013. The latest revised figures surpassed the initial reading of 4.6% issued by the Ministry of Trade and Industry (MTI).

	Singapore&#39;s economy grew 8.8% sequentially compared with 2.9% in the prior quarter. This was above the initial estimate of 6.3%.

	What&#39;s Driving Growth?

	Given that Singapore&#39;s economy is largely trade dependent, improvement in manufacturing sector significantly contributed to GDP growth. Moreover, trade and finance are expected to receive a significant boost from the global recovery. Global economic activity seems to be picking up as the International Monetary Fund estimates 3.6% and 3.7% growth in 2017 and 2018, respectively, compared with 3.2% in 2016. &nbsp;

	Singapore&#39;s manufacturing data has been strong for third-quarter 2017, driven by strong expansion in the electronics sector. On a year-over-year basis, manufacturing sector surged 18.4% in the third quarter and 8.4% in the second. Sequentially, it expanded 34.6% compared with 4.0% in the second quarter.

	The ministry expects GDP to grow in the range of 3-3.5% in 2017 and 1.5-3.5% in 2018. It expects manufacturing to remain resilient and continue to contribute to the GDP.

	Monetary Policy

	The Monetary Authority of Singapore decides on the monetary policy by managing the trade-weighted exchange rate index. It is the only country in the developed world to not rely on short-term interest rate changes as its tool to conduct monetary policy changes.

	Having eased three times since January 2015, the MAS adopted a neutral stance on the monetary policy in its latest meeting in October. Per the MAS, core inflation is expected to come in at around 1.5% for 2017 and can go upward to average around 2% in 2018.

	Although GDP growth is expected to moderate in 2018, rising interest rates in the United States might create pressure on the MAS to change its monetary policy.

	We will now discuss a few ETFs providing exposure to Singapore (see <a href="https://www.zacks.com/etf/etf_category_details.php?cat=Asia-Pacific-(Developed)-ETFs&amp;i=53">all the Asia Pacific ETFs here</a>).

	IShares MSCI Singapore Capped ETF EWS

	This fund focuses on Singapore equities and is the most popular option for exposure to the economy.

	The fund has AUM of $629.9 million and charges 48 basis points in fees per year. Financials, Real Estate and Industrials are the top three sectors of the fund, with 39.5%, 20.5% and 17.9% allocation, respectively (as of Nov 21, 2017). DBS Group Holdings Ltd, Oversea-Chinese Banking Ltd and United Overseas Bank Ltd are the top three holdings of the fund, with 14.2%, 12.0% and 10.7% allocation, respectively (as of Nov 21, 2017). The fund has returned 28.3% in a year and 32.6% year to date (as of Nov 22, 2017). EWS currently has a Zacks ETF Rank 3 (Hold) with a Low risk outlook.

	We will now compare the performance of EWS to a broader South East Asian ETF, ASEA.

	Global X Southeast Asia ETF ASEA

	This fund provides broad exposure to the five members of the Association of Southeast Asian Nations, namely Singapore, Indonesia, Malaysia, Thailand and the Philippines. It is appropriate for investors looking for diversified exposure to South East Asia (read: <a href="https://www.zacks.com/stock/news/283798/malaysias-gdp-at-3year-high-etfs-in-focus">Malaysia&#39;s GDP at 3-Year High: ETFs in Focus</a>).

	ASEA is less popular with AUM of $16.2 million and charges a fee of 65 basis points a year. From a geographical perspective, the fund has 30.1% exposure to Singapore, 22.2% to Malaysia, 22.1% to Thailand, 19.2% to Indonesia and 6.5% to the Philippines (as of Sep 30, 2017).&nbsp; Financials, Telecommunication Services and Industrials are the top three sectors of the fund, with a 46.2%, 14.8% and 8.3% allocation, respectively (as of Sep 30, 2017). DBS Group Holdings Ltd, Oversea-Chinese Banking Ltd and United Overseas Bank Ltd are the top three holdings of the fund, with an allocation of 8.1%, 7.3% and 6.1%, respectively (as of Nov 21, 2017). The fund has returned 26.4% in a year and 28.4% year to date (as of Nov 22, 2017). ASEA currently has a Zacks Rank #3 with a Medium risk outlook (read: <a href="https://www.zacks.com/stock/news/283472/philippines-gdp-growth-exceeds-expectations-etfs-in-focus">Philippines GDP Growth Exceeds Expectations: ETFs in Focus</a>).

	Below is a chart comparing the year-to-date performance of the two funds.
<img alt="" src="https://staticx-tuner.zacks.com/images/zadmin_tuner_image/ewcc.jpg" style="width: 620px; height: 250px;" /> 
	&nbsp; 
	Source: Google Finance

	Want key ETF info delivered straight to your inbox?

	Zacks&#39; free Fund Newsletter will brief you on top news and analysis, as well as top-performing ETFs, each week. <a href="https://www.zacks.com/registration/newsletter/?type=FND&amp;ADID=Zcom_commentary_fundnewsletter_moneysense_ECD_ETF">Get it free &gt;&gt;</a> 
	&nbsp;
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. <a href="http://www.zacks.com/registration/pfp/?ALERT=RPT_7BST_LP194&amp;ADID=BENZ_CONTENT_ZER_ARTCAT_ETF_NEWS_AND_COMMENTARY&amp;cid=CS-BENZ-FT-284149" target="_blank">Click to get this free report</a> 
	&nbsp; 
	<a href="http://www.zacks.com/registration/pfp/?ALERT=ETF225&amp;adid=BENZ_CONTENT_ETF_ARTCAT_ETF_NEWS_AND_COMMENTARY&amp;d_alert=rd_final_rank&amp;t=EWS&amp;split=1&amp;cid=CS-BENZ-FT-284149">ISHRS-MS SNGPRE (ETF:EWS): ETF Research Reports</a> 
	&nbsp; 
	<a href="http://www.zacks.com/registration/pfp/?ALERT=ETF225&amp;adid=BENZ_CONTENT_ETF_ARTCAT_ETF_NEWS_AND_COMMENTARY&amp;d_alert=rd_final_rank&amp;t=ASEA&amp;split=1&amp;cid=CS-BENZ-FT-284149">GLBL-X SE ASIA (ETF:ASEA): ETF Research Reports</a> 
	&nbsp; 
	<a href="http://www.zacks.com/stock/news/284149/etfs-in-focus-as-singapore-gdp-exceeds-expectations?cid=CS-BENZ-FT-284149">To read this article on Zacks.com click here.</a> 
	&nbsp; 
	<a href="http://www.zacks.com/">Zacks Investment Research</a> 
	&nbsp; 
	<a href="http://www.zacks.com/registration/pfp/?ALERT=RPT_7BST_LP194&amp;ADID=ZACKS_PFP_7BEST_ETF">Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report</a>

In the conversation about developed markets single-country traded funds, the iShares MSCI Singapore Index Fund (ETF) (NYSE: <a class="ticker" href="/stock/ews#NYSE">EWS</a>) is often overlooked. The city-state is surrounded by emerging markets, but itself is a developed market and a small part of major developed markets equity indexes.
However, EWS is not a tiny ETF. It is home to $576.3 million in assets under management. Year-to-date, EWS is outperforming the MSCI EAFE Index by 430 basis points while being slightly less volatile than that widely followed developed markets benchmark.
Up 7.2 percent this year, EWS, the largest Singapore ETF trading in New York, is higher by 8.5 percent over the past 90 days, a gain that can be, at least partially, attributed to traders covering short positions on some well-known Singaporean stocks.
<h3>Covering Those Shorts</h3>
&ldquo;The shares which make up the STI index, which was down by more than 10 percent in February, had seen their average short interest jump to a multiyear high during the worst of the recent sell-off. The selloff proved relatively short lived however as the index has managed to get back on an even peg for the year which has in turn seen short sellers lose their appetite for Singaporean shares. The current constituents of the SPI index now see 1.6 percent of their free float shorted on average which represents a 27 percent fall from the average short interest seen during the height of February&rsquo;s bear raid,&rdquo; said Markit <a href="http://www.markit.com/Commentary/Get/18082016-Equities-Singapore-s-short-sellers-rush-for-cover">in a recent note</a>.
<bzrelatedlink>Related Link: <a href="http://www.benzinga.com/trading-ideas/long-ideas/16/08/8366121/go-post-modern-with-this-new-etf">Go Post-Modern With This New ETF</a></bzrelatedlink>
Markit noted that covering among the STI&#39;s biggest names has been universal and not limited to a particular sector or industry group. EWS allocates over 54 percent of its weight to financial services stocks, nearly three and a half times its second-largest sector weight, industrials. Industrial and telecom names combine for a third of the ETF&#39;s weight.
Singapore is one of a small number of countries to hold an AAA credit rating and EWS has a trailing 12-month dividend yield of 2.91 percent. That is by no means spectacular, but it is decent among developed markets ETFs in the current low-yield environment.
&ldquo;The covering does seem to have lost some steam in recent weeks however as demand to borrow STI shares has been relatively flat since June; driven by a couple of names seeing a resurgence in short interest. The one standout firm is Sembcorp Marine whose short interest has increased by more than 60 percent in recent weeks. While its current short interest is still some way off the highs set back in February, its most recent earnings showed that the island nation was still very much exposed to developments overseas as profits fell by over 90 percent due to a sharp drop in oil rig orders,&rdquo; added Markit.
Do you have ideas for articles/interviews you'd like to see more of on Benzinga? Please email <a href="mailto:feedback@benzinga.com">feedback@benzinga.com</a> with your best article ideas. One person will be randomly selected to win a $20 Amazon gift card!

Shorts Are Running To Cover Some Of This ETF's Holdings

Back in 2010 (it&#39;s hard to believe that was five years ago), this author wrote about the country of Singapore and the <a href="http://stockerblog.blogspot.com/2010/09/top-singapore-stocks.html" target="_blank">top Singapore stocks</a>. Since then, Singapore has made some major improvements.

	For example, five years ago, it was the 18th wealthiest country in the world in terms of GDP per capita on a purchasing power parity basis. Now it is in third place.

	As for the Human Development Index, it was ranked 25th place; now it is number nine. In addition, the country now has has the world&#39;s highest percentage of millionaires. Plus, multinational companies in Australia and other countries now move money through financial hubs in Singapore than at any time in history.
<p. a="" all="" at="" closer="" for="" investors="" is="" look="" maybe="" means="" should="" singapore="" stocks.="" strong="" take="" that="" this="" what="">Avago Technologies Ltd (NASDAQ: <a class="ticker" href="/stock/avgo#NASDAQ">AVGO</a>) designs and markets semiconductor devices concentrating on analog III-V based products. The stock has a very high trailing price to earnings ratio at 107, but a very favorable P/E at 13. Earnings for the latest quarter were up 115.4 percent, however earnings dropped by 21.5 percent. The company pays a yield of 1.4 percent.</p.>

	Don&#39;t let the name fool you but China Yuchai International Limited (NYSE: <a class="ticker" href="/stock/cyd#NYSE">CYD</a>) is actually a Singapore company. It has China in its name because the company makes and markets diesel and natural gas engines primarily in the Peoples Republic of China. The stock trades at six times earnings and pays a fat 6.6 percent yield.

	Flextronics International Ltd. (NASDAQ: <a class="ticker" href="/stock/flex#NASDAQ">FLEX</a>) is another Singapore company which provides design, manufacturing, and supply chain services to original equipment manufacturers. It trades at 14 times trailing and 10 times forward earnings. It does not pay a dividend.

	However, the best way to invest in Singapore may be to just invest in the iShares MSCI Singapore Index Fund (NYSE: <a class="ticker" href="/stock/ews#NYSE">EWS</a>). Check out these&nbsp;<a href="http://wallstreetnewsnetwork.com/" target="_blank">stock lists of different country-specific stock names</a>,&nbsp;such as Brazil, Canada, China, Cuba, Mexico, Spain and the UK.

	Disclosure: Author didn&#39;t own any of the above at the time the article was written.

AVGO

FLEX

Singapore Stocks? It May Be Time To Consider Them

Reiteration

Analyst Ratings

Fitch Affirms Singapore at 'AAA'; Outlook Stable

Singapore ETFs are receiving increased inflows after nearly a year of disinterest by money managers and investors.

	Fueled mostly by increased political stability and low valuations, Singapore is becoming one of the most attractive investment opportunities in Asia.

	Singapore&rsquo;s strategic location in Southeast Asia has made it a hub for business in that region of the world.&nbsp;

	Jonathan Garner, Hong Kong-based head of Asia and emerging-market strategy at Morgan Stanley, had this to say about the outlook of Singapore&rsquo;s economy: &ldquo;The Singapore market is somewhat undervalued for a pretty strong growth environment with positive earnings revisions.&rdquo;

	There are two ETFs whose holdings are completely comprised of publicly traded companies in Singapore and will likely be affected by increased interest in the country&rsquo;s stock market.

	The iShares MSCI Singapore ETF (NYSE: <a class="ticker" href="/stock/ews#NYSE">EWS</a>) provides exposure to 31 large- and mid-sized companies in Singapore. EWS has a fairly consolidated portfolio with its top four holdings making up 46 percent of the entire fund and three of the four being banks. The top holding is DBS Group Holding Inc with a 12.5 percent allocation, Singapore Telecommunications Inc at 12.4 percent, United Overseas Bank Ltd. 11.2 percent and Oversea Chinese Banking Corp. Ltd. at 10.1 percent.

	<bzrelatedlink>Related Link: <a href="http://www.benzinga.com/etfs/specialty-etfs/14/09/4831923/3-etfs-to-watch-amid-scottish-independence">3 ETFs To Watch Amid Scottish Independence</a></bzrelatedlink>

	EWS has lagged the broader world markets with a gain of 11.4 percent over the last 12 months, and is up 10.9 percent the last six months. With banks making the up largest part of the portfolio, the ETF will be relying on the overall economy in the country. From a technical perspective, a close above resistance at the $14.25 area would be a buy signal.

	The iShares MSCI Singapore Small Cap index ETF (NYSE: <a class="ticker" href="/stock/ewss#NYSE">EWSS</a>) provides investors with exposure to small public companies in Singapore. It Follows 86 securities and is much more diverse than EWS.

	The top three holdings include Suntec Interest Trust at 6.7 percent, Singapore Post Ltd at four percent, and Ezion Holdings Ltd with a 3.6 percent holding. EWSS is virtually unchanged over the last 12 months but has been performing better as of late up 9.7 percent over the last six months. The 5.2 percent dividend yield could sway investors that are seeking out high income.

	Strategic location and relative ease of doing business puts the emerging Southeast Asia City-State in a good spot going forward. The two ETFs could be an interesting alternative to popular emerging markets in the area such as China and India.

EWSS

Money Flowing Into Singapore ETFs

ETF Outlook for Wednesday, April 16, 2014

	Market Vectors Semiconductor ETF (NYSE: <a class="ticker" href="/stock/smh#NYSE">SMH</a>)

	The ETF’s largest holding, Intel (NASDAQ: <a class="ticker" href="/stock/intc#NASDAQ">INTC</a>), reported earnings Tuesday night after the bell that came in a penny better than expectations. Revenue was in line with consensus, an increase of 1.7 percent year-over-year.

	The numbers were good enough to send the stock higher by a dollar after the announcement. The stock makes up 18 percent of the ETF and will have a direct impact on how SMH trades throughout the day. Because INTC is a heavily traded stock, expect volatility between the opening and closing bell as investors digest the quarterly numbers.

	iShares U.S. Regional Bank ETF (NYSE: <a class="ticker" href="/stock/iat#NYSE">IAT</a>)

	Before the opening bell today the two largest holdings of the ETF, which make up 32 percent of the portfolio report quarterly earnings. U.S. Bancorp (NYSE: <a class="ticker" href="/stock/usb#NYSE">USB</a>)andPNC Financial Services (NYSE: <a class="ticker" href="/stock/pnc#NYSE">PNC</a>) are on the earnings docket. Both stocks have recently pulled back and have brought down the ETF with them. IAT is down over five percent from the multi-year high it set in March.

	See also: <a href="http://www.benzinga.com/etfs/sector-etfs/14/04/4469324/inverse-etfs-offer-traders-a-profitable-edge-on-the-downside">Inverse ETFs Offer Traders A Profitable Edge On The Downside</a>

	Over the last three trading sessions the ETF has begun to form a consolidation pattern that could be a signal the short-term pullback is over and a new uptrend is set to begin. Wednesday's earnings will determine if a new uptrend is ready to commence.

	SPDR S&amp;P Biotech ETF (NYSE: <a class="ticker" href="/stock/xbi#NYSE">XBI</a>)

	The biotech ETF is now down 28 percent from an all-time high set just two months ago. On Tuesday, XBI closed higher by 0.2 percent, but it was eight points off the low of the session. The $114 area has been significant for XBI over the last year, as it has acted as resistance as well as support during several pullbacks.

	The low yesterday was $115.31, bringing the ETF down once again to the support area. With an RSI reading well into oversold territory at 17 and the ETF bouncing off support there is a high probability XBI has found its short-term support and will bounce in the coming weeks.

	iShares MSCI Singapore Index ETF (NYSE: <a class="ticker" href="/stock/ews#NYSE">EWS</a>)

	The Southeast Asian country has been attempting to move out of bear market mode and on Tuesday, it led the emerging markets with a gain of 1.3 percent. EWS is now up over 12 percent from the February low and trading at the best level since December of last year. The ETF is heavily invested in the large financial stocks in the country.

	If the trend continues, EWS is setting up for a big 2014. The ETF has been alternating negative years with big gains in the following year since 2010 and after a negative return this year the ETF could be poised to make investors happy.

Sector ETFs

Pre-Market Outlook

iShares Dow Jones US Regional Banks Index Fund

INTC

ETF Outlook For Wednesday, April 16, 2014 (SMH, IAT, XBI, EWS, INTC, USB)

It is no secret that scores of emerging markets ETFs, diversified and single-country funds, have been residing in the proverbial tank over the past several months.

	Emerging Asia, a region viewed by many some analysts and economists as more attractive and stronger than Latin America, has not been immune to the sell-off.

	Actually, one ETF tracking a Southeast Asian nation has proven quite sturdy. Over the past 90 days, the iShares MSCI Malaysia ETF (NYSE: <a class="ticker" href="/stock/ewm#NYSE">EWM</a>) is higher by 1.6 percent. That represents a stunning reversal of fortune because just four months ago, the FTSE Bursa Malaysia KLCI Index was the worst-performing major bourse in the region.

	As other ETFs tracking Southeast Asian nations, such as the Market Vectors Indonesia ETF (NYSE: <a class="ticker" href="/stock/idx#NYSE">IDX</a>) and the iShares MSCI Thailand ETF (NYSE: <a class="ticker" href="/stock/thd#NYSE">THD</a>), soared in the early part of 2013, EWM was a laggard due to political headwinds. In early May, <a href="http://www.benzinga.com/trading-ideas/long-ideas/13/05/3561809/malaysia-etf-hits-all-time-high-on-election-results">EWM hit a new all-time high</a> on news of Prime Minister Najib Razak's victory. Razak's National Front coalition captured 127 of Malaysia's 222 parliamentary seats. The party has ruled Malaysia for close to six decades.

	Still, it is not unfair to say many investors would be unimpressed with a 90-day gain of less than two percent. Then again, any comparison of EWM needs to be apples-to-apples. Over that time, IDX and THD are down 15.3 percent and 13.4 percent, respectively. The iShares MSCI Philippines ETF (NYSE: <a class="ticker" href="/stock/ephe#NYSE">EPHE</a>) is lower by 13.3 percent while the Market Vectors Vietnam ETF (NYSE: <a class="ticker" href="/stock/vnm#NYSE">VNM</a>) is down 8.6 percent.

	EWM, one of a small number of emerging markets ETFs than <a href="http://www.benzinga.com/trading-ideas/long-ideas/13/02/3379576/if-the-market-falls-try-these-low-beta-etfs">can legitimately be considered low beta</a>, has even outpaced the iShares MSCI Singapore ETF (NYSE: <a class="ticker" href="/stock/ews#NYSE">EWS</a>). EWS itself is a low beta fund that tracks an AAA-rated developed market.

	EWM has a three-year standard deviation of 14.89 percent compared to almost 21.1 percent for the iShares MSCI Emerging Markets Index Fund (NYSE: <a class="ticker" href="/stock/eem#NYSE">EEM</a>), <a href="http://us.ishares.com/product_info/fund/overview/EEM.htm?fundSearch=true&amp;qt=EEM">according to iShares data</a>.

	EWM could offer more upside. The KLCI Index "gauge will probably rise 15 percent in the next 12 months and maintain the lowest volatility among the world's biggest markets as Najib boosts spending to reach developed-nation per-capita income levels by 2020 and the nation's $165 billion pension fund buys stocks," <a href="http://www.asean-investor.com/malaysian-stocks-first-from-worst-on-lowest-volatility/#sthash.dVCoQnLr.dpuf">reports Asean Investor, citing Samsung Asset Management</a>.

	Investors are putting cash to work with Malaysian equities and although EWM has seen year-to-date outflows of $26.6 million, the ETF has recovered about $6.6 million since the May elections. Either way, those numbers are far superior to the nearly $14 billion pulled from BRIC equities this year, <a href="http://www.bloomberg.com/news/2013-07-09/ruble-to-real-roiled-with-no-brick-in-brics-13-9-billion-lost.html">according to Bloomberg</a>.

	One potential risk to the Malaysia thesis in the near-term is valuation. The KLCI trades at 16 times earnings compared to 9.6 times for the MSCI Emerging Markets Index, according to ASEAN Investor. EWM has a P/E of 18.7, slightly above EEM's, though well below EPHE's.

	Then again, emerging markets valuations do not always pan out on the upside or downside. If investors had been making valuation bets, chances are EWM's rival Chinese and South Korean ETFs would be trading higher today than where they reside.

	For more on ETFs, click <a href="http://www.benzinga.com/etfs">here</a>.

Short Ideas

Intraday Update

ISHARES MSCI PHILIPPINES INVESTABLE MARKET INDEX FUND

EPHE

Look to Malaysia For EM ETF Exposure

A country's sovereign debt rating applies to its bonds, but since credit markets lead equity markets, it might be reasonable to assume that investing in a country with the prestigious AAA credit rating offers some level of safety.

	As <a href="http://www.benzinga.com/trading-ideas/long-ideas/13/02/3363455/does-losing-aaa-credit-mean-much-to-europe-etfs">has been noted</a>, membership in the AAA club has been dwindling. Some of the world's largest economies, including the U.S., Japan and the U.K. can no longer lay claim to the highest possible credit rating.

	That has not mattered to equity investors this year because the U.S. and Japan are the best-performing developed markets in the world while some AAA markets have been laggards, particularly in the second quarter. Just look at the following ETFs.

	iShares MSCI Hong Kong ETF (NYSE: <a class="ticker" href="/stock/ewh#NYSE">EWH</a>) 
	The iShares MSCI Hong Kong ETF was something of a surprise in the second quarter...a surprise that the ETF did not perform even worse than it did. EWH, the largest Hong Kong ETF, lost seven percent in June alone on fears about <a href="http://www.benzinga.com/trading-ideas/long-ideas/13/06/3693867/emperors-with-no-clothes-a-banking-crisis-will-expose-china-e">the strength of China's banking system</a>.

	Liquidity issues within the Chinese banking system are an epic concern for EWH because the ETF allocates over 60 percent of its weight to bank stocks. Still, it is somewhat surprising that the ETF only lost seven percent last quarter and is "just" down eight percent year-to-date.

	iShares MSCI Singapore ETF (NYSE: <a class="ticker" href="/stock/ews#NYSE">EWS</a>) 
	Like EWH, the iShares MSCI Singapore ETF tracks an AAA-rated Asian nation and like EWH, EWS has been afflicted by its own separate set of circumstances. EWS has something else in common with EWH: Slack second-quarter and year-to-date performances.

	As the lone AAA-rated developed market in the ASEAN group, Singapore has previously been a source of allure for conservative investors looking for a non-emerging markets avenue for tapping into various Asian growth stories. EWS lost 7.5 percent last quarter so investors should be careful before being seduced by the ETF's <a href="http://us.ishares.com/product_info/fund/overview/EWS.htm?fundSearch=true&amp;qt=EWS">trailing 12-month yield of almost four percent</a>.

	The good news? Singapore's Straits Times Index is trading at a PE ratio of 11.7 and Goldman Sachs sees 19 percent upside through next March, <a href="http://www.cnbc.com/id/100855519">according to CNBC</a>.

	iShares MSCI Australia ETF (NYSE: <a class="ticker" href="/stock/ewa#NYSE">EWA</a>) 
	On this list, the iShares MSCI Australia ETF is by far the worst performer as Australian stocks have been hammered by declining commodities prices and demand and slack economic data from China, Australia's largest trading partner. Then there is the matter of the <a href="http://www.benzinga.com/trading-ideas/long-ideas/13/05/3630450/aussie-dollar-etf-goes-from-star-to-laggard">tumbling Australian dollar</a>, which has proved to be no help to equities there.

	EWA lost 16.6 percent last quarter and now has a 30-day SEC yield of nearly four percent. Before jumping in, consider that Prime Minister Kevin Rudd's ascension back to power last week is seen by some market observers as a near-term stumbling block for Australian stocks.

	For more on ETFs, click <a href="http://www.benzinga.com/etfs">here</a>.

Commodities

Some AAA-Rated Country ETFs Got an F in Q2

Investors are pulling cash from Asian equity markets and the corresponding U.S.-listed ETFs, but the list of funds seeing recent outflows might surprise some investors. The most obvious candidates for Asia ETF outflows would be China, due to slowing economic growth, and Japan, due to recent strength in the yen.

	South Korea would probably be on the list as well because all the yen has recently gained some steam, it is still far weaker than it what six months ago and that is <a href="http://www.benzinga.com/trading-ideas/long-ideas/13/05/3629477/them-is-fightin-words-for-south-korea-etf">pressuring South Korean exporters</a>. All fine guesses to be sure, but the Asian markets being stung by outflows are among the region's previous high fliers.

	Amid chatter that the Federal Reserve is close to ending its bond-buying activities, investors have pulled a combined $1.6 billion from Southeast Asian equity markets since May 22, the most in 22 months, <a href="">Bloomberg reported</a>.

	Former <a href="http://www.benzinga.com/trading-ideas/long-ideas/13/05/3634014/despite-good-news-philippines-etf-flirts-with-correction">rock star markets such as the Philippines</a>, Indonesia and Thailand. Thailand recorded the most withdrawals among the countries fr<a href="http://www.bloomberg.com/news/2013-06-04/cash-outflows-turn-world-s-best-stocks-to-worst-southeast-asia.htmlom">http://www.bloomberg.com/news/2013-06-04/cash-outflows-turn-world-s-best-stocks-to-worst-southeast-asia.htmlom</a> May 22 through June 3, losing a net $769 million, according to Bloomberg.

	At the ETF level, the outflows are not staggering...yet. Since May 20, the iShares MSCI Thailand Capped Investable Market Index Fund (NYSE: <a class="ticker" href="/stock/thd#NYSE">THD</a>) has tumbled over 13 percent, but the fund has lost less than $4.2 million in assets. The lone Thailand-specific ETF had $985.5 million in assets under management as of June 4, <a href="http://us.ishares.com/product_info/fund/overview/THD.htm?fundSearch=true&amp;qt=THD">according to iShares data</a>.

	The iShares MSCI Philippines Investable Market Index Fund (NYSE: <a class="ticker" href="/stock/ephe#NYSE">EPHE</a>), which like THD, had been one of the top-performing emerging markets ETFs for over a year. Despite no significant alterations to <a href="http://www.benzinga.com/analyst-ratings/analyst-color/13/05/3553769/philippines-etf-hits-new-high-as-s-p-joins-investment-gr">what is still a compelling fundamental story</a>, Philippine equities have been hammered in recent days.

	Since May 20, EPHE has tumbled nearly 15 percent, but the outflow situation while not great is not overly alarming. The ETF has shed almost $13 million in assets, but still has $436.1 million.

	On a dollar basis, the worst offender among Southeast Asia ETFs in terms of recent outflows is the iShares MSCI Indonesia Investable Market Index Fund (NYSE: <a class="ticker" href="/stock/eido#NYSE">EIDO</a>). That ETF, which tracks the region's largest economy, has lost almost $39 million in assets since May 20, <a href="http://www.indexuniverse.com/data/etf-fund-flows-tool.html?task=showETFFlowsData">according to Index Universe</a>.

	Interestingly, EIDO's main rival, the older Market Vectors Indonesia ETF (NYSE: <a class="ticker" href="/stock/idx#NYSE">IDX</a>), has only lost $440,000 in assets over the same time.

	In a sign that investors are also eschewing the safety of <a href="http://www.benzinga.com/markets/bonds/13/02/3326834/mixed-etf-performances-for-some-aaa-rated-countries">AAA-rated developed markets</a>, the iShares MSCI Singapore Index Fund (NYSE: <a class="ticker" href="/stock/ews#NYSE">EWS</a>) is off 7.6 percent since May 20 and has seen outflows of over $36 million. Recent woes for EWS have taken the ETF's 30-day SEC to nearly 2.7 percent, more than 70 basis points above that of the iShares Core S&amp;P 500 ETF (NYSE: <a class="ticker" href="/stock/ivv#NYSE">IVV</a>).

	For more on ETFs, click <a href="http://www.benzinga.com/etfs">here</a>.

Events

iShares MSCI Indonesia Investable Market Index Fund

EIDO

Asia's Former Darling ETFs Hemorrhage Cash

Investors have an increasing number of ETF options for generating income and finding decent yields. 

The proliferation of <a href="http://www.benzinga.com/trading-ideas/long-ideas/13/02/3346880/under-the-hood-a-new-dividend-etf-diva">dividend ETFs and scores of new bond funds</a> has certainly helped matters.

No longer are investors forced to view the 2.07 trailing 12-month yield on the SPDR S&amp;P 500 (NYSE: <a class="ticker" href="/stock/spy#NYSE">SPY</a>) as "good." Likewise, enduring <a href="http://us.ishares.com/product_info/fund/overview/TIP.htm">a negative 30-day SEC yield</a> with the iShares Barclays TIPS Bond Fund (NYSE: <a class="ticker" href="/stock/tip#NYSE">TIP</a>) is not necessary, either.

Along those lines, the hunt for yield can, and arguably should, extend beyond bond funds or those ETFs with "dividend" or "income" in their titles. In fact, investors can find some decent yields in a number of surprising ETF destinations, such as the following.

Guggenheim Frontier Markets ETF (NYSE: <a class="ticker" href="/stock/frn#NYSE">FRN</a>)
The Guggenheim Frontier Markets ETF is by no means an unknown or small ETF. FRN has almost $164 million in assets under management and the broadening appeal of the frontier markets investment theme has turned some attention to FRN and comparable funds.

However, one thing that FRN is known is not being all that heavy on frontier markets. Chile and Colombia, both classified as emerging markets by most major index providers, combine for 68 percent of the fund's weight. Egypt and Peru, another pair of emerging markets, combine for 19 percent. Argentina at 7.92 percent is FRN's largest true frontier market weight. 

Those that can passed the name deception with FRN will be rewarded with a trailing 12-month yield of three percent and a beta <a href="http://guggenheiminvestments.com/products/etf/frn">of just 0.75 against the S&amp;P 500</a>.

SPDR FTSE/Macquarie Global Infrastructure 100 ETF (NYSE: <a class="ticker" href="/stock/gii#NYSE">GII</a>)
Investing in the international infrastructure spending boom with select infrastructure ETFs has proven to be a vexing proposition for some investors. 

In some cases, a <a href="http://www.benzinga.com/trading-ideas/long-ideas/13/02/3331152/thailand-etf-could-benefit-from-infrastructure-bonanza">country-specific fund</a> with industrial and materials exposure has proven to be the better bet.

GII has not been an exception, having lost almost six percent in the past two years. In defense of this fund, it has recently shown signs of life, rising 4.1 percent in the past 90 days. 

The yield of <a href="https://www.spdrs.com/product/fund.seam?ticker=GII">almost 3.2 percent</a> provided some compensation to the patient investor while the heavy emphasis on utilities allows for a beta of just 0.43 and annualized volatility of 11.79.

iShares MSCI Pacific ex-Japan Index Fund (NYSE: <a class="ticker" href="/stock/epp#NYSE">EPP</a>)
As measured by the iShares MSCI Japan Index Fund (NYSE: <a class="ticker" href="/stock/ewj#NYSE">EWJ</a>), yields on Japanese stocks lag those found in other developed markets. 

For example, EWJ's trailing 12-month yield of 1.89 percent puts it behind SPY and the comparable Canada and Germany ETFs.

Comparing Japanese dividend yields to developed markets in the Asia-Pacific region leads to an even more glaring chasm. Bolstered <a href="http://www.benzinga.com/trading-ideas/long-ideas/13/02/3349835/new-zealand-etf-falls-despite-intervention-comments">in large part by strong currencies</a>, Australian and New Zealand dividend yields are impressive. Those two countries combine for nearly 65 percent of the iShares MSCI Pacific ex-Japan Index Fund's weight.

Singapore, another 12.6 percent of EPP's is a fair yield destination as well, proven by the almost four percent trailing 12-month yield on the iShares MSCI Singapore Index Fund (NYSE: <a class="ticker" href="/stock/ews#NYSE">EWS</a>). Combine those factors and EPP, which has $4.3 billion in assets under management, features a trailing 12-month yield of almost 4.1 percent.

For more on international ETFs, click <a href="http://www.benzinga.com/trading-ideas/long-ideas/13/02/3357973/are-global-health-care-etfs-worth-prescribing">here</a>.

Dividends

SPDR FTSE/Macquarie Global Infrastructure 100 ETF

Surprising Global ETF Sources of Yield

As Australia's S&amp;P/ASX 200 index has surged 16 percent over the past 12 months, equity-based ETFs tracking the worlds 12th-largest economy have predictably benefited. 

The iShares MSCI Australia Index Fund (NYSE: <a class="ticker" href="/stock/ewa#NYSE">EWA</a>), the largest ETF tracking the country, is up about 14 percent in the past year while the WisdomTree Australia Dividend ETF (NYSE: <a class="ticker" href="/stock/ause#NYSE">AUSE</a>) is more than 16 percent.

The IndexIQ Australia Small-Cap ETF (NYSE: <a class="ticker" href="/stock/kroo#NYSE">KROO</a>) has started to impress recently, surging 11.3 percent in the past 90 days. That all sounds good, but as iShares Global Chief Investment Strategist Russ Koesterich notes, there are some causes for concern down under.

In <a href="http://isharesblog.com/blog/2013/02/14/all-is-not-well-down-under/">a recent note</a>, Koesterich reiterated his near-term neutral view of Australian equities, but added he is "closely watching the market for a possible downgrade."

One reason Koesterich gives for possibly downgrading Australia is frothy valuations. EWA currently sports a P/E ratio of 18.7 and a price-to-book ratio of 2.61, <a href="http://us.ishares.com/product_info/fund/overview/EWA.htm?fundSearch=true&amp;qt=EWA">according to iShares data</a>.

"Australian equities are trading for nearly 2x book value. While this represents a discount to US stocks, Australia is now trading at a premium to most developed markets," said Koesterich.

The iShares MSCI German Index Fund (NYSE: <a class="ticker" href="/stock/ewg#NYSE">EWG</a>), iShares MSCI Singapore Index Fund (NYSE: <a class="ticker" href="/stock/ews#NYSE">EWS</a>) and the iShares MSCI Japan Index Fund (NYSE: <a class="ticker" href="/stock/ewj#NYSE">EWJ</a>) all have lower price-to-book ratios than EWA.

While the financial services sector accounts for over 48 percent of EWA's weight, that ETF is heavily exposed the materials sector with an allocation of almost 22 percent. Mining giants BHP Billiton (NYSE: <a class="ticker" href="/stock/bhp#NYSE">BHP</a>) and Rio Tinto (NYSE: <a class="ticker" href="/stock/rio#NYSE">RIO</a>) are both among the ETF's top-10 holdings. Australia's status as a major raw materials exporter not only exposes investors to commodities prices, but to currency fluctuations as well.

On that note, the <a href="http://www.benzinga.com/markets/bonds/13/02/3326834/mixed-etf-performances-for-some-aaa-rated-countries">Australian dollar has been persistently strong against its U.S. rival</a>, providing headwinds for Australian exporters. 

However, a willingness by the central bank there to pare interest rates has not stemmed the tide of the rising Aussie and the outlook for Australian monetary policy could be seen as complicated in the near-term.

"Australian monetary policy has become complicated by the fact that the country's mining sector is growing at a very different rate than the rest of the economy," said Koesterich. "After an aggressive round of rate cuts, the RBA is now taking a pause to determine if its recent policy easing will be sufficient to ensure a pickup in the non-mining sector."

Mining sector issues imply the Australian economy needs some help from other industry groups, something it has yet to receive in earnest. Should that scenario come to fruition, investors should give AUSE a look because that ETF devotes about a third of its weight to consumer-related stocks. 

Overall, Koesterich holds a favorable view of Australia for the patient investor, citing the country's "exceptionally low debt burden, a budget close to balanced, a profitable corporate sector and a sustainable pension system."

However, lofty valuations, sluggish mining sector growth and consumer debt burdens are issues that could hamper Australian stocks and the corresponding ETFs in the short-term.

For more on Australia, click <a href="http://www.benzinga.com/markets/bonds/13/02/3326834/mixed-etf-performances-for-some-aaa-rated-countries">here</a>.

Forex

After-Hours Center

AUSE

KROO

Time to be Cautious With Australia ETFs?

It does not get any better than an AAA sovereign credit rating, but as the Netherlands recently reminded investors, the much-coveted country credit score is not to be taken lightly. 

Earlier this week, Fitch Ratings revised its outlook on the Netherlands' AAA rating to negative from stable.

Using the Standard &amp; Poor's rating scale, there are currently just <a href="http://www.standardandpoors.com/ratings/sovereigns/ratings-list/en/us">14 countries with the AAA credit rating</a>. Two – Lichtenstein and Luxembourg – are not represented by country-specific ETFs. That leaves 12 countries that are and dozens of ETFs with which to see if the AAA rating has been at all meaningful in terms of equity returns in recent months.

The recent performances of the notable ETFs tracking some AAA-rated nations has been mixed, but one trend is clear: Investors <a href="http://www.benzinga.com/analyst-ratings/analyst-color/12/02/2380677/cashing-in-with-cassh-ewl-ews-ewh">will want to give consideration to a catchy acronym</a> as a way of profiting from the AAA rating. Note this does not include all 12 AAA-rated nations that are represented by ETFs and the list uses the S&amp;P ratings scale.

iShares MSCI Australia Index Fund (NYSE: <a class="ticker" href="/stock/ewa#NYSE">EWA</a>)
Buoyed by a resurgent Chinese economy, which has helped spark higher iron ore prices, the largest Australia ETF is higher by just over three percent year-to-date. However, that also means EWA is lagging the S&amp;P 500 by nearly 100 basis points. 

There are things to like about EWA beyond the fact that it tracks an AAA-rated country that is the world's 12th-largest economy. The ETF features a 30-day SEC yield of 3.88 percent and a trailing 12-month yield of 5.18 percent, <a href="http://us.ishares.com/product_info/fund/overview/EWA.htm?fundSearch=true&amp;qt=EWA">according to iShares data</a>. 

Those numbers are better than what investors get with the comparable France and Italy ETFs, arguably come with less risk and undeniably come with Australia's superior sovereign rating. However, there is at least one noteworthy risk to consider with EWA. 

The Aussie dollar, despite the best efforts of the Reserve Bank of Australia, is one of the stronger developed market currencies. The longer the Aussie remains strong, the better the chances are some of EWA's holdings will see their profits crimped (think mining and exporting names). EWA does not offer a hedge on AUD/USD fluctuations.

iShares MSCI Netherlands Investable Market Index Fund (NYSE: <a class="ticker" href="/stock/ewn#NYSE">EWN</a>)
Perhaps it is a sign that financial markets have little regard for ratings agencies, but impressive is the fact that EWN has proceeded to trade higher since Fitch lowered its outlook on the Netherlands' AAA rating to negative from stable last week. 

That news was reported on February 5, but over the past five days, EWN has posted a modest gain.

As is often the case with international ETFs, there is a good news/bad news story with EWN. It cannot be ignored that the Netherlands have not faced economic problems on par with Greece or Spain. Additionally, conservative investors can warm to EWN's over 35 percent weight to the consumer staples sector.

On the other hand, Dutch banks have been problematic. Fitch also lowered its outlook on ING, ABN Amro and BNG to negative from stable, noting that <a href="http://www.expatica.com/nl/news/dutch-news/Credit-rating-agency-Fitch-warns-Dutch-banks_257964.html">all three are either state-owned or have received government support</a>. 

Financials account for almost 19 percent of EWN's weight and ING Groep (NYSE: <a class="ticker" href="/stock/ing#NYSE">ING</a>) is the ETF's second-largest holding.

iShares MSCI Singapore Index Fund (NYSE: <a class="ticker" href="/stock/ews#NYSE">EWS</a>)
Singapore is the second member of <a href="http://www.benzinga.com/analyst-ratings/analyst-color/12/02/2380677/cashing-in-with-cassh-ewl-ews-ewh">of the CASSH acronym to appear on this list</a> with Australia being the other, though EWS has traded slightly to the downside this year.

EWS has a few worthwhile features that could lend themselves to some upside for the ETF this year. First, Singapore has an enviable unemployment rate of just 1.9 percent. Speaking of percentages, EWS has a trailing 12-month yield of nearly four percent. Although this an international ETF, Singapore gives investors a developed market avenue to Southeast Asia without taking on emerging markets risk. 

As such, the ETF's beta against the S&amp;P 500 is just 1.11, <a href="http://us.ishares.com/product_info/fund/overview/EWS.htm?fundSearch=true&amp;qt=EWS">according to iShares data</a>.

The trade-off with EWS is that <a href="http://www.businessweek.com/news/2013-01-20/singapore-dollar-losing-luster-to-higher-returns-southeast-asia">Singapore is expected to be the slowest-growing</a> of Southeast Asia's five major economies this year. 

That is to say that if 2013 is truly a "risk on" year, EWS could wind being a laggard relative to comparable ETFs tracking nations such as the Philippines, Thailand and Vietnam.

For more on ETFs, click <a href="http://www.benzinga.com/etfs">here</a>.

Bonds

Currency ETFs

Mixed ETF Performances for Some AAA-Rated Countries

Among the flurry of new exchange-traded products to come to market in 2012 (approximately 150) a fair amount of ETFs offering exposure to small-cap equities have debuted. Some offer fresh ways to play stocks with small market values while others are <a href="http://www.benzinga.com/trading-ideas/long-ideas/12/01/2258235/trio-of-emerging-markets-small-cap-etfs-debut-today">new versions of funds that previously failed</a>.

Several of these new small-cap funds have already joined an interesting club in the ETF universe. Meaning these rookie ETFs share the dichotomy of low assets under management totals <a href="http://www.benzinga.com/trading-ideas/long-ideas/12/09/2928107/some-low-aum-etfs-thriving-in-september">and strong performance</a>.

Perhaps it has been a tumultuous market environment that has hampered inflows to these ETFs, but that theory belies the impressive gains these funds have offered. In fact, some of the following funds have outperformed the $17.7 billion iShares Russell 2000 Index Fund (NYSE: <a class="ticker" href="/stock/iwm#NYSE">IWM</a>) since coming to market. 

iShares MSCI All Country Asia ex Japan Small Cap Index Fund (NASDAQ: <a class="ticker" href="/stock/axjs#NASDAQ">AXJS</a>)

Home to a whopping 707 stocks, the Shares MSCI All Country Asia ex Japan Small Cap Index Fund debuted in early February, but the fund has toiled in anonymity. Currently, AXJS has just $2.8 million in AUM, but that does not mean this is not a good product. 

AXJS has lagged behind IWM, though it that is not surprising as global investors have preferred U.S. equities this year. Still, the ETF is up almost eight percent in the past three months. With the Asia ex-Japan focus, AXJS country lineup is predictable as Taiwan, South Korea, Hong Kong and China combine for almost two-thirds of the fund's weight.

SPDR S&amp;P Small Cap Emerging Asia Pacific ETF (NYSE: <a class="ticker" href="/stock/gmfs#NYSE">GMFS</a>)
The SPDR S&amp;P Small Cap Emerging Asia Pacific ETF is perhaps a microcosm of just how hard it is for new ETFs to gain traction with investors. GMFS obviously has the benefit of hailing from a large sponsor and the concept itself is unique. Simply put, this is a more emerging markets version of AXJS.

That also means that since Taiwan and China have plenty of small-caps to offer up, the two nations combine for over 64 percent of the ETF's weight. Not many folks have heard of GMFS, so that probably means they do not know the fund only has $2.2 million in AUM. That also means they do not that since its debut, GMFS has beaten IWM by almost 150 basis points.

iShares MSCI Singapore Small Cap Index Fund (NYSE: <a class="ticker" href="/stock/ewss#NYSE">EWSS</a>)

Singapore is a developed market and one of Asia's financial capitals, but EWSS has struggled to step out of the shadow of the $1.5 billion iShares MSCI Singapore Index Fund (NYSE: <a class="ticker" href="/stock/ews#NYSE">EWS</a>). Maybe investors have not yet developed a taste for Singaporean small-caps or maybe they just do not want another Singapore ETF with an obscene weight to financials (EWSS devotes 54.3 percent to the sector.)

Whatever the reason is for the struggles of EWSS, the ETF has just $3.3 million in AUM. That does not change the fact that since its January debut, EWSS has offered more than triple the returns of IWM. EWSS is up 28.4 percent since coming to market, indicating investors have thus far missed a good thing with this ETF.

PowerShares DWA SmallCap Technical Leaders Portfolio (NYSE: <a class="ticker" href="/stock/dwas#NYSE">DWAS</a>)

DWAS is the newest of several PowerShares ETFs to employ Dorsey Wright relative strength selection methodology. It is also the largest of the funds on this list with $11.9 million in AUM, a solid total for an ETF that is barely more than two months old.

DWAS is home to just 200 stocks, making it much smaller than IWM and the iShares S&amp;P SmallCap 600 Index Fund (NYSE: <a class="ticker" href="/stock/ijr#NYSE">IJR</a>). However, DWAS might be proving that the relative strength methodology behind the fund works and that investors do not need to gorge on a huge number of small-caps to find a good small-cap ETF. 

In the past two months, DWAS has easily outperformed IJR and IWM and has done so with a much lower price-to-earnings ratio than IJR's.

First Trust Developed Markets Ex-US Small Cap AlphaDEX Fund (NYSE: <a class="ticker" href="/stock/fdts#NYSE">FDTS</a>)

The First Trust Developed Markets Ex-US Small Cap AlphaDEX Fund is another example of an ETF that uses an interesting screening methodology. 

In the case of FDTS, its index is constructed by "ranking the eligible small cap stocks from the S&amp;P Developed Markets ex-US BMI universe on growth factors including 3-, 6- and 12-month price appreciation, sales to price and one year sales growth, and separately on value factors including book value to price, cash flow to price and return on assets. All stocks are ranked on the sum of ranks for the growth factors and, separately, all stocks are ranked on the sum of ranks for the value factors,"<a href="http://www.ftportfolios.com/Retail/Etf/EtfSummary.aspx?Ticker=FDTS">according to First Trust</a>.

The fund's name might lead investors to believe it offers to a lot of developed markets. In reality, FDTS has a country roster of just 10 and the lineup is dominated by Japan and South Korea. That pair represents over 46 percent of the ETF's weight.

With nearly $2.9 million in AUM, FDTS has fallen since its debut, but is up over the past 90 days. In the past month, FDTS has offered more than double the returns of IWM and more than triple the gains posted by IJR.

For more on ETFs, click <a href="http://www.benzinga.com/etfs">here</a>.

Broad U.S. Equity ETFs

New ETFs

Small Cap Analysis

Small Cap

AXJS

DWAS

FDTS

GMFS

Slow to Grow New Small-Cap ETFs Performing Well

As Chinese growth continues to sputter, evidenced by the weak manufacturing data overnight and the Australian resource boom begins to fade, investors need to look for the next emerging markets that will draw both foreign direct investment and maintain a stable, open economy. Indonesia and Singapore may be those next markets, as GDP growth continues to remain strong in these countries and as they become less dependent on the larger Asian economies.

Although Chinese weakness may well weigh on these two nations, they are less dependent on Chinese demand than other economies such as Australia. It is for these reasons that Australia's economy is slowing and even Royal Bank of Australia Governor Glenn Stevens has noted that the resource boom has peaked. Indonesia, having grown 6.4 percent in 2011 and Singapore, having grown 5.3 percent in 2011 and being a financial center in the Asia-Pacific region, thus could represent the next emerging market growth stories.

In 2011, Jim O'Neil of Goldman Sachs (NYSE: <a class="ticker" href="/stock/gs#NYSE">GS</a>) updated his coined term of the B.R.I.C. emerging markets to the B.R.I.C.-M.I.S.T. nations, where he now looks at Mexico, Indonesia, Singapore and Thailand as great emerging markets. However, Mexico is largely tied to the U.S. economy due to trade relations and a U.S. economy that barely grows at stall speed and will not produce enough demand growth to support strong growth in Mexico. Meanwhile, Thailand has been suffering from mass destruction from a series of floods caused by typhoons in the region. Thus, Indonesia and Singapore remain of the group.

Investors who would like exposure to Indonesia could invest via the iShares MSCI Indonesia Investable Market Index Fund (NYSE: <a class="ticker" href="/stock/eido#NYSE">EIDO</a>), which consists in large of financials that represent 32.44 percent. Consumer stocks also make up a large portion of the fund, some 26-plus percent when discretionary and staples stocks are combined. Investors looking to take advantage of a growing consumer base in Indonesia could invest and gain exposure to financials, which would benefit from personal loan growth such as growth in credit card usage and consumer stocks.

Meanwhile, Singapore is a financial center and its economy will fluctuate more so with the global economy due to this nature. In good times, money floods into the country due to its higher interest rates than in the developed world. However, in weak economic times, money can leave the country at a rapid pace as it did in 2008, which can have drastic effects on the economy. Even so, for the same reasons as Indonesia, investing in the iShares MSCI Singapore Index Fund (NYSE: <a class="ticker" href="/stock/ews#NYSE">EWS</a>) can help investors play a growing emerging market consumer. The fund is largely focused on financials and industrials, two macro-driven sectors that could boom if the global economy were to turn brighter. Also, its biggest holding is a telecom company, and as wealth levels in Asia grow, the spread of mobile telecom systems should aid this fund.

Chinese Growth, Australian Resource Boom Fading, Looking for the Next Growth Markets

Many Americans may not realize it, but there is a massive amount of money sitting in sovereign wealth funds. To be precise, the world's sovereign wealth funds hold almost $5.1 trillion, <a href="http://www.swfinstitute.org/fund-rankings/">according to the Sovereign Wealth Fund Institute</a>. 

Not surprisingly, the primary funding source for these vehicles comes by way of oil and gas resources. For investors, how a country's sovereign wealth fund is funded is not as important as knowing that the fund exists. While it may be difficult to measure the qualitative impact of sovereign wealth funds, these vehicles can serve as a backstop for the countries that have them in times of economic tumult. 

Indeed, the best way of looking at a large sovereign wealth fund may be to compare it a large cash hoard on a company's balance sheet. The investment community may not have yet priced that cash into the stock, but it is comforting to know it exists.

Here are some ETFs that track countries with massive sovereign wealth funds:

Global X Norway ETF (NYSE: <a class="ticker" href="/stock/norw#NYSE">NORW</a>)
What country has the world's second-largest sovereign wealth fund after Abu Dhabi?

Saudi Arabia? No. Kuwait? Wrong again? China? Nope. The answer is Norway. This oil-funded vehicle has about $600 billion in assets, which is more than the country's GDP, Global X CEO Bruno del Ama said in an interview with Benzinga. 

del Ama pointed out that people do not know how to value Norway's sovereign treasure chest, but the fund can help mitigate the impact of lower oil prices and smooth out economic volatility if need be. There are myriad <a href="http://www.benzinga.com/trading-ideas/long-ideas/12/08/2839102/as-europe-etfs-rebound-nordic-plays-flex-their-muscles">reasons to consider investing in Norway</a> and the sovereign wealth fund is added, unheralded bonus.

iShares MSCI Singapore Index Fund (NYSE: <a class="ticker" href="/stock/ews#NYSE">EWS</a>)
Singapore-based Temasek is sovereign fund with almost $160 billion in assets, according to SWFI, but investors cannot overlook the fact that city-state's government has a fund with nearly $250 billion in assets. As is the case with Norway, investors focus on other high points with Singapore, including its status as a rising Asian financial capital and a AAA credit rating.

EWS allocates 47 percent of its weight to financials and, while Singapore's banks are not in trouble, it is comforting to know the sovereign wealth fund could be deployed should the banking sector need help.

iShares Chile Investable Market Index Fund (NYSE: <a class="ticker" href="/stock/ech#NYSE">ECH</a>)
Chile may not be the first country investors think of when it comes to sovereign investment vehicles, but the government has $15 billion in a sovereign wealth fund, <a href="http://www.bloomberg.com/news/2012-08-06/chile-economy-beat-estimates-as-shoppers-ignore-global-woes-2-.html">according to Bloomberg</a>.

That may not sound like much compared to Norway or Singapore, but the SWFI rankings put Chile's sovereign wealth fund ahead of Brazil's. 

Since Chile is the world's largest copper producer, investors view the country <a href="http://www.benzinga.com/trading-ideas/long-ideas/12/03/2415943/china-stimulus-these-etfs-might-benefit-fxi-ech-moo">as a materials play</a> despite a diverse, vibrant economy. The good news is Chile, like Norway, can use its sovereign wealth fund to dampen declining commodities prices.

WisdomTree Middle East Dividend Fund (NASDAQ: <a class="ticker" href="/stock/gulf#NASDAQ">GULF</a>)
Of the 15 largest sovereign wealth funds in the world, five are found in countries that GULF offers exposure to. That includes the almost $630 billion Abu Dhabi Investment Authority, the world's largest sovereign fund. Kuwait and Qatar also have substantial sovereign funds. Combined, the United Arab Emirates, Qatar and Kuwait represent 77 percent of GULF's weight. 

If the sovereign wealth fund exposure does not convince one to look at GULF, perhaps a <a href="http://www.wisdomtree.com/etfs/fund-details.aspx?etfid=69#country">30-day SEC yield of 4.78 percent will</a>.

For more on ETFs, click <a href="http://www.benzinga.com/etfs">here</a>.

Futures

GULF

NORW

Get Sovereign Wealth Fund Exposure With These ETFs

There are no shortage of emerging markets acronyms. However, Russ Koesterich, iShares Global Chief Investment Strategist, coined a memorable acronym for some developed nations: CASSH. This acronym includes Canada, Australia, Singapore, Switzerland and Hong Kong.

CASSH arose as a developed market alternative to U.S., Japan, Eurozone and other bulky developed markets dealing with suffocating debt burdens and stagnant growth. 

"Year-to-date, this theme has played out well," Koesterich wrote in a report on the CASSH nations. "On a dollar basis, an equally weighted basket of CASSH countries has returned roughly 11.5% versus a return of approximately 8% for a broad global benchmark and 6.5% percent for developed markets."

Koesterich <a href="http://us.ishares.com/content/stream.jsp?url=/content/en_us/repository/resource/investment_strategy_update.pdf">noted that part of the reason for the outperformance by CASSH</a> is stronger fundamentals. Specifically, he said CASSH countries have "lower debt, deficits and unemployment."

Here is an update on how CAASH ETFs have been performing over the past several months.

iShares MSCI Canada Index Fund (NYSE: <a class="ticker" href="/stock/ewc#NYSE">EWC</a>)
As Koesterich notes in his report, the CASSH group has a reputation as a commodities play. Part of that reputation stems from Canada. To that end, sagging oil prices have weighed on the iShares MSCI Canada Index Fund over the past three months. EWC has fallen about one percent over this period even as the SPDR S&amp;P 500 (NYSE: <a class="ticker" href="/stock/spy#NYSE">SPY</a>) has jumped 2.6 percent.

Energy and materials names account for more than 45 percent of the fund's weight, but financials are the largest single-sector allocation at 33.5 percent. EWC has turned things around in the past month and rallied about 3.8 percent to perform roughly in-line with SPY.

iShares MSCI Australia Index Fund (NYSE: <a class="ticker" href="/stock/ewa#NYSE">EWA</a>)
CASSH's commodity reputation is extended by Australia. The retreat from the risk-on trade hampered the iShares MSCI Australia Index Fund earlier this year. That is to be expected when an ETF devotes more than 22 percent of its weight to materials equities. BHP Billiton (NYSE: <a class="ticker" href="/stock/bhp#NYSE">BHP</a>), the world's largest mining company, is EWA''s top holding.

EWA rose moderately over the past 90 days, gaining 2.7 percent. As risk appetite has crept back into the market over the past month, EWA has surged 8.5 percent. In addition, EWA has a trailing 12-month yield of about 4.7 percent.

iShares MSCI Singapore Index Fund (NYSE: <a class="ticker" href="/stock/ews#NYSE">EWS</a>)
Singapore is a developed market in a region largely populated with developing nations. Moreover, the city-state boasts a AAA credit rating.

Another feather in Singapore's cap: it may now be the financial capital of Asia. That much is reflected in the iShares MSCI Singapore Index Fund's nearly 48 percent allocation to financial services stocks.

EWS has performed solidly over the past three months, but in the past month the ETF has climbed almost seven percent. EWS yields 3.64 percent and represents a conservative way for investors to gain exposure to the <a href="http://www.benzinga.com/trading-ideas/long-ideas/12/07/2715927/the-definitive-asean-etf-guide">rapidly growing ASEAN region</a>.

iShares MSCI Switzerland Index Fund (NYSE: <a class="ticker" href="/stock/ewl#NYSE">EWL</a>)
By now, many investors know a primary advantage to investing in Switzerland instead of other European nations is that the country is not a Eurozone member. Still, proximity to the debt-laden euro area can make investors skittish, which might explain why the iShares MSCI Switzerland Index Fund is in the red over the past three months.

EWL's dividend yield is around 2.7 percent, and the ETF can be an outlet for conservative investors looking for international exposure. Health care and consumer staples names combine for over 56 percent of EWL's weight.

iShares MSCI Hong Kong Index Fund (NYSE: <a class="ticker" href="/stock/ewh#NYSE">EWH</a>)
Hong Kong is often viewed as a play on China, but that correlation is quite loose in the ETF universe. Year-to-date, the iShares MSCI Hong Kong Index Fund has gained 11.4 percent compared to a gain of just 1.2 percent for the iShares FTSE China 25 Index Fund (NYSE: <a class="ticker" href="/stock/fxi#NYSE">FXI</a>). Like Singapore, Hong Kong is viewed as an Asian financial hub, so investors get a de facto bank ETF with EWH as financials represent 62 percent of the fund's weight. 

EWH's chart is strong with support firm at $16.50. Should the broader market continue rallying, EWH may soon join the new 52-week high club.

For more on CASSH, click <a href="http://www.benzinga.com/analyst-ratings/analyst-color/12/02/2380677/cashing-in-with-cassh-ewl-ews-ewh">here</a>.

Reviewing the CASSH ETFs

EWS ETF: Not The Most Exciting Option Around

Asia-Pacific Is Not Just China

Next week features decisions from central banks across the region plus the minutes from the latest RBA meeting.

Asia Week Ahead: Central Bank Decisions, RBA Minutes And Activity Data From Japan

Weekly Commentary: Inflationary Biases

Weekly Commentary: Failed

Weekly Commentary: That's Our Story.

The Monetary Authority of Singapore meets next week to discuss policy, but we're not expecting any changes.

Singapore's Central Bank Likely To Retain All Settings Next Week As Inflation Remains Sticky

Next week in Asia features several inflation reports from the region plus three central bank policy meetings.

Asia Week Ahead: Important Inflation Reports And Key Central Bank Decisions

Next week features inflation readings from Australia and Indonesia plus several reports from China, Japan, and Korea.