TJ Machado

iShares Plans First Chilean ETFs

iShares already has ECH

New Global X China ETFs Will Allow Investors to Fine-Tune Sector Exposure

About time - given geography and then sector is the best way to go for portfolio construction, a typical million dollar diversified portfolio will dedicate close to 200K to China. The sector breakdown for large cap stocks can be combined with HAO for market cap diversification.

BGI's All World ETF Could Fundamentally Change the Way People Invest

At 41% US exposure this is still too exposed to the US. A Purchasing Power Parity GDP would peg the US component of a global portfolio around 25%

Nine ETFs I'd Like To See

I think the ETF industry needs to take a more systematic appraoch to product development that helps investors create a truly diversified portfolio with minimal overlap. Once your portfolio reaches goes past 7 figures and you have maxed out on regional diversification via the iShares like country specific ETFs, you need to be able to carve out your country investment in market capitalization buckets. So the first thing that needs to happen is that large cap/mid-cap/small-cap offerings need to be created for the larger economies like - Japan, China, India, UK, Germany, etc. Subsequent to this the large cap country offerings should be broken down into sector offerings. With this appraoch a small investor can systematically expand on the theme of global diversification without overlap. Here's how I see a portfolio evolving as the corpus gets larger:

Phase 1: Regional ETFs - North America, Europe, Asia ex-Japan, Japan, Latin America
Phase 2: Country Specific ETFs
Phase 3: Country Specific ETFs with holdings in the larger economies broken down by Market Cap
Phase 4: As per 3 above except the large cap country specific ETFs can be carved out into the 10 major sectors