Experts Provide Forecast for Bovespa ETF – EWZ – iShares MSCI Brazil Index ETF
Several experts are providing bullish forecasts for EWZ, which is the iShares MSCI Brazil Index ETF. Jim Jubak, Editor and Founder of JubakPicks.com author of The Jubak Picks, is declaring that Brazil is not officially our of recession and that getting exposure to the Brazilian economy is a good play.
If you want to buy a piece of the Brazilian economy, US investors have two distinctly different choices.
First, you could buy the iShares MSCI Brazil Index ETF (NYSEArca: EWZ). This exchange traded fund, with about $9.5 billion in total assets, has 50% of its portfolio in Brazil’s big energy, mining, and steel producing companies, according to Morningstar.
This is the way to go if you want to own Brazil’s commodities and export sectors. You can find more on two stars of those sectors—Petrobras (NYSE: PBR) and Vale (NYSE: VALE)—in the following blog entries on JubakPicks.com.
Second, you could buy shares of the much, much smaller (just $206 million in total assets) BRF. This fund targets medium-sized and small companies that get at least 50% of their revenue from the domestic Brazilian market.
