- Up more than 20% YTD, the Global X FTSE Greece ETF (GREK -0.6%) remains maybe the cheapest ETF in the world, writes Paul Baiocchi, with a trailing P/E ratio of just 1x. To put this in perspective, the next cheapest single-country ETF is one for Russia at 5.6x earnings, still 5x more expensive (based on earnings) than Greece.
- Typically something is only this cheap ahead of an anticipated bankruptcy or massive earnings miss, but how much of Greece's troubles are in the rear-view mirror at this point? The only global value fund - the iShares' MSCI EAFE Value ETF (EFV) - gives Greece just an 8% weighting, but Greece has recently been reclassified as an emerging market. Might the country's shares soon show up in the MSCI Emerging Markets Value ETF (EVAL)?
- "If you’re a traditional value investor, [the 20% move] could prove to be just the beginning," says Biaiocchi.