iShares Tackles International Financials with New ETFs

 |  Includes: AXFN, EMFN, EMMT, EUFN
by: Tom Lydon

Small, hard to reach areas of the international sectors are now accessible by ETFs thanks to iShares latest releases. Five new ETFs that track thinly sliced international sector portfolios are available from iShares, the world’s largest provider of ETFs. Four of the five new ETFs target financials, says Luisa Beltran for Ignites:

  • iShares MSCI ACWI Ex-U.S. Financials Sector (NASDAQ: AXFN): expense ratio 0.48%; invests in banks, diversified financial companies and insurance and real estate firms located in developed and emerging countries like Egypt, Denmark, South Africa and Turkey.
  • iShares MSCI Europe Financial Sector (NASDAQ: EUFN): charges 0.48%; targets the financial sector, but in Europe, which includes Spain, Sweden and the U.K.
  • iShares MSCI Far East Financials (NASDAQ: FEFN): expense ratio 0.48%; iShares defines the Far East financial sector as Hong Kong, Japan and Singapore.
  • iShares MSCI Emerging Markets Financial Sector (NASDAQ: EMFN): expense ration 0.72%; focuses on the financial sector in emerging-market countries like Mexico, Morocco and the Philippines.
  • iShares MSCI Emerging Markets Materials Fund (NASDAQ: EMMT): charges 0.72%; focuses on companies involved in chemicals, construction material, containers and packaging, as well as paper and forest products. South Korea, China and Brazil are represented.

iShares already has other global sector funds. In 2001, the ETF provider introduced five funds that covered energy, financial, technology, health care and telecommunications and in 2006 rolled out another five covering industrials, utilities, materials, consumer staples and consumer discretionary spending. More and more providers are launching international sector ETFs these days, giving investors more choices than ever before.