ETF Spotlight: iShares MSCI Spain (EWP)

| About: iShares MSCI (EWP)

ETF Spotlight on iShares MSCI Spain (NYSEARCA:EWP), part of an ongoing series.

Assets: $219.9 million

Objective: The iShares MSCI Spain Index Fund tries to reflect the performance of a broad index tracking Spanish stocks.

Holdings: Top holdings include: Banco Santander SA (NYSE:BSBR) 20.89%, Telefonica SA (NYSE:TEF) 18.25%, Banco Bilbao Vizcaya Argenta (NYSE:BBVA) 8.73%, Iberdrola SA (OTCPK:IBDSF) 4.93% and Repsol YPF SA (OTCQX:REPYY) 4.88%.

What You Should Know:

  • EWP has an expense ratio of 0.54%.
  • The fund has 31 holdings.
  • Sector allocations include: Financials 42.46%, Telecom Services 18.25%, Utilities 14.69%, Industrials 9.97%, Consumer Discretionary 5.40%, Energy 4.88%, Info Tech 2.25%, Health Care 1.00%, Materials 0.97%, S-T Securities 0.01% and other 0.12%.

The Latest News:

  • Shares of Spanish banks dropped Wednesday after Moody’s downgraded Portugal’s sovereign-debt rating, reports Christopher Bjork for The Wall Street Journal. Spain’s financial system has the most exposure to Portuguese risk at $113 billion in public and private debt, or a third of Spain’s total debt.
  • Spain will rein in spending after the economy has recovered, according to Expatica Spain. The government aims to lower the deficit to 6% of GDP this year and 4% in 2012. The Eurozone has placed a limit of 3% in 2013 and 2.1% in 2014.
  • “It is not for now, because at the moment spending has to be reduced, and by a lot, to comply with the stability goals, with the plan we have agreed with Europe,” stated Finance Minister Elena Salgado, according to the report.
  • Industrial output declined 0.14% in May year-over-year, reports Angeline Benoit for Bloomberg. The Spanish government expects the economy will expand 1.3% this year as exports boost the economy while austerity measures weaken domestic demand.
  • On Wednesday, thousands of people gathered in Pamplona’s main square for the San Fermin Festival to begin the famous wine-soaked party known as “Chupinazo” and run with the bulls, reports Paul Logothetis for the Associated Press.

iShares MSCI Spain

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Max Chen contributed to this article.