French voters chose their leader, Nicolas Sarkozy, a dynamic conservative who promised a future of opportunity, and this has helped keep the French ETF moving upward. iShares MSCI France (NYSEARCA:EWQ) is a large-cap value fund that has had 5 consecutive quarters of double digit growth.
EWQ is up 12% for the year and with 21% of the holdings in financials, the push just got stronger, reports Joanne Von Alroth with Investor's Business Daily. The funds jump during the past month was due to the run-off election between Sarkozy and Segolene Royal, with trading volume picking up the pace May 1st.
Under Sarkozy, France could say goodbye to high taxes, mandated workweeks, restricting regulations, and slow growth. A pro-American foreign policy, a cut in inheritance and income taxes, U.S.-style mortgage deductions, and lower unemployment - all changes that could contribute to the economy.
EWQ 1-yr chart: