iShares Chile ETF: Dusting Other Emerging Markets

Aug.27.10 | About: iShares MSCI (ECH)

Chile’s economy expanded more than 6% in the second quarter, blowing out all other emerging markets. Its ETF (NYSEARCA:ECH) has handily reflected the strides Chile’s economy has made since a devastating earthquake in February.

  • The Latin American country’s stock market has skyrocketed 6.5% for the second quarter, making Chile one of the best-performing markets this year, Randy Woods for Bloomberg News reports.
  • The large earthquake that rocked Chile earlier this year generated some positive things – namely, increased consumption from locals later on.
  • Chile also boasts the world’s largest copper industry, responsible for about 34% of the world’s output. As a result, Chile has benefited from the global economic recovery as new buildings go up.
  • John Spence for MarketWatch reports that the related Chilean ETF has broken its 2010 trading range and passed up all other emerging markets. The ETF has gone vertical, rallying 19.8% in the last three months.
  • iShares MSCI Chile (ECH): The top sectors in the fund are utilities, industrials, materials and consumer staples.

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Chile ETF

Tisha Guerrero contributed to this article.

Disclosure: None