Self Directed Investor Inc
SDI: "Empowering investors with ideas and education"
Symbol Lookup »  
Topics:ChinaETFsEarningsEconomyEnergyForexGoldIncomeLessonsIdeasTrading

  • Other news: News from PR Newswire
| More

Forget Local, Buy Global: ETFs For Asia’s Best Brand

Mon, Nov 26, 8:15 AM ET, by Michael Johnston

The proliferation of ETFs has opened up the doors to international markets, bringing investors closer to high growth opportunities along with all of the cost-efficiency and ease-of-use benefits associated with this product structure. While countless investors continue to shed their home country bias, the growing trend of diversifying overseas has inevitably spawned a number challenges for investors at home. One of the biggest questions facing those who are eager to tap into foreign markets is whether to buy an ETF focused on small or large cap firms in the country [Download Free Report: How To Buy The Right ETF Every Time].

Large cap equities boast stability thanks to their multinational streams of revenue; small caps on the other hand stand to offer more of a “pure play” on the local economy given their greater sensitivity to local consumption and demographic trends. The distinction between small and large cap exposure can be a major one; one factor that may also play a key role, but is often overlooked, is the sheer brand power of the companies in which you are investing [see 7 ETFs For The Best Country Brands].

Market cap matters for investors, however it’s of little concern to consumers who are more likely to base their decisions around the recognition of the given brand. Think of it this way: Apple’s stock has posted phenomenal returns over the last few years because investors continue to be enticed; the bottom line driver of share price has been their powerful brand, which consumers all over the globe continue to embrace. Therefore, when looking to invest in a foreign country ETF to take advantage of robust consumption trends, it may be well worth it to consider funds with major allocations to well-known global brands [see Consumer Centric ETFdb Portfolio].

Given Asia’s rapidly growing population and increasing rates of urbanization, the consumer markets in this region are sprawling with opportunities for savvy retailers. Below we highlight three ETFs that hold big stakes in Asia’s top brand according to the Campaign Asia-Pacific 2012 Asia’s Top 1000 Brands report: Samsung (SSNLF) [Try our Free ETF Stock Exposure Tool].

Experts agree that Korean behemoth Samsung is Asia’s top brand as the company boasts a diverse lineup of high quality consumer electronics products, including everything from TVs and smartphones to air conditioners and refrigerators:

  • iShares MSCI South Korea Index Fund (EWY, B+): Samsung stock holds the number one spot in this portfolio, accounting for roughly 22% of EWY’s total assets. From a sector breakdown perspective, this ETF is tilted towards technology, while consumer cyclical stocks account for the next biggest chunk of exposure.
  • iShares MSCI All Country Asia Information Technology Index Fund (AAIT, C): This ETF, which is designed to capture the performance of IT companies in developed and emerging market countries in Asia, also has Samsung at the top of its list; AAIT allocates closes to 19% of total assets to this consumer electronics juggernaut.
  • PowerShares FTSE RAFI Asia Pacific ex-Japan Portfolio (PAF, B+): Even after using a fundamental methodology to selects securities based on book value, income, sales and dividends, this ETF still affords a hefty weight to Samsung stock; shares of the electronics brand king account for just under 7% of total assets in this ETF.

[For more ETF analysis, make sure to sign up for our free ETF newsletter or try a free seven day trial to ETFdb Pro]

Follow me on Twitter @SBojinov

Disclosure: No positions at time of writing.

Click here to read the original article on ETFdb.com.


SDI Glossary: "price" Definition
SDI Glossary: "ETFs" Definition
SDI Glossary: "iShares" Definition
SDI Glossary: "Stock" Definition
This Article's Word Cloud:   AAIT   Asia   Brands   Country   ETFdb   ETFs   Free   Fund   Index   MSCI   Pacific   Portfolio   Samsung   account   adsbygoogle   also   assets   biggest   brand   companies   consumer   consumers   continue   country   electronics   exposure   foreign   free   given   growing   home   iShares   investors   large   local   markets   more   number   opportunities   over   small   stock   that   their   this   total   trends   well   which   with

| More

OIH Makes Notable Cross Below Critical Moving Average
Fri, Sep 23, 3:54 PM ET, by ETF Channel

In trading on Friday, shares of the Oil Services ETF (OIH) crossed below their 200 ...

Comcast Takes Over #20 Spot From Raytheon
Fri, Sep 23, 11:54 AM ET, by ETF Channel

In a study of analyst recommendations at the major brokerages, for the underlying components of ...

Vanguard Mid-Cap Growth ETF Experiences Big Outflow
Fri, Sep 23, 11:14 AM ET, by ETF Channel

Symbols mentioned in this story: VOT Exchange traded funds (ETFs) trade just like stocks, but ...

XLI, HON, UNP, UTX: ETF Outflow Alert
Fri, Sep 23, 11:14 AM ET, by ETF Channel

Symbols mentioned in this story: XLI, HON, UNP, UTX Exchange traded funds (ETFs) trade just ...

SPDR S&P Global Natural Resources ETF Experiences Big Outflow
Fri, Sep 23, 10:54 AM ET, by ETF Channel

Symbols mentioned in this story: GNR, POT, ADM, WY Exchange traded funds (ETFs) trade just ...

VUG, AAPL, GOOG, HD: ETF Outflow Alert
Fri, Sep 23, 10:54 AM ET, by ETF Channel

Symbols mentioned in this story: VUG, AAPL, GOOG, HD Exchange traded funds (ETFs) trade just ...

IWD, JPM, PFE, MRK: ETF Inflow Alert
Fri, Sep 23, 10:54 AM ET, by ETF Channel

Symbols mentioned in this story: IWD, JPM, PFE, MRK Exchange traded funds (ETFs) trade just ...

EMB: ETF Inflow Alert
Fri, Sep 23, 10:54 AM ET, by ETF Channel

Symbols mentioned in this story: EMB Exchange traded funds (ETFs) trade just like stocks, but ...

SHY: ETF Inflow Alert
Fri, Sep 23, 10:54 AM ET, by ETF Channel

Symbols mentioned in this story: SHY Exchange traded funds (ETFs) trade just like stocks, but ...

IYR, SPG, AMT, PSA: Large Inflows Detected at ETF
Fri, Sep 23, 10:54 AM ET, by ETF Channel

Symbols mentioned in this story: IYR, SPG, AMT, PSA Exchange traded funds (ETFs) trade just ...

DIA, GS, UNH, BA: ETF Inflow Alert
Fri, Sep 23, 10:54 AM ET, by ETF Channel

Symbols mentioned in this story: DIA, GS, UNH, BA Exchange traded funds (ETFs) trade just ...

11.5% of EXI Holdings Seeing Recent Insider Buys
Fri, Sep 23, 10:24 AM ET, by ETF Channel

A look at the weighted underlying holdings of the iShares Global Industrials ETF (EXI) shows ...

KEYW Holding Reaches Analyst Target Price
Fri, Sep 23, 10:14 AM ET, by ETF Channel

In recent trading, shares of KEYW Holding Corp (KEYW) have crossed above the average analyst ...

CMC Crosses Above Average Analyst Target
Fri, Sep 23, 10:14 AM ET, by ETF Channel

In recent trading, shares of Commercial Metals Co. (CMC) have crossed above the average analyst ...

BEL Crosses Above Average Analyst Target
Fri, Sep 23, 10:14 AM ET, by ETF Channel

In recent trading, shares of Belmond Ltd (BEL) have crossed above the average analyst 12-month ...

EXPD Crosses Above Average Analyst Target
Fri, Sep 23, 10:14 AM ET, by ETF Channel

In recent trading, shares of Expeditors International of Washington, Inc. (EXPD) have crossed above the ...

Watts Water Technologies Reaches Analyst Target Price
Fri, Sep 23, 10:14 AM ET, by ETF Channel

In recent trading, shares of Watts Water Technologies Inc (WTS) have crossed above the average ...

Canadian National Railway Reaches Analyst Target Price
Fri, Sep 23, 10:14 AM ET, by ETF Channel

In recent trading, shares of Canadian National Railway Co. (CNI) have crossed above the average ...

Williams Partners Reaches Analyst Target Price
Fri, Sep 23, 10:14 AM ET, by ETF Channel

In recent trading, shares of Williams Partners LP (WPZ) have crossed above the average analyst ...

WCI Communities Reaches Analyst Target Price
Fri, Sep 23, 10:14 AM ET, by ETF Channel

In recent trading, shares of WCI Communities Inc (WCIC) have crossed above the average analyst ...

Orion Engineered Carbons Reaches Analyst Target Price
Fri, Sep 23, 10:14 AM ET, by ETF Channel

In recent trading, shares of Orion Engineered Carbons SA (OEC) have crossed above the average ...

The Math Shows FRAK Can Go To $20
Fri, Sep 23, 9:54 AM ET, by ETF Channel

Looking at the underlying holdings of the ETFs in our coverage universe at ETF Channel, ...

OMI Crosses Above Average Analyst Target
Fri, Sep 23, 9:54 AM ET, by ETF Channel

In recent trading, shares of Owens & Minor, Inc. (OMI) have crossed above the average ...

Northwestern Reaches Analyst Target Price
Fri, Sep 23, 9:54 AM ET, by ETF Channel

In recent trading, shares of Northwestern Corp. (NWE) have crossed above the average analyst 12-month ...

Clorox Reaches Analyst Target Price
Fri, Sep 23, 9:54 AM ET, by ETF Channel

In recent trading, shares of Clorox Co (CLX) have crossed above the average analyst 12-month ...

Global Partners Reaches Analyst Target Price
Fri, Sep 23, 9:54 AM ET, by ETF Channel

In recent trading, shares of Global Partners LP (GLP) have crossed above the average analyst ...

Chesapeake Lodging Trust Reaches Analyst Target Price
Fri, Sep 23, 9:54 AM ET, by ETF Channel

In recent trading, shares of Chesapeake Lodging Trust (CHSP) have crossed above the average analyst ...

HUBB Crosses Above Average Analyst Target
Fri, Sep 23, 9:54 AM ET, by ETF Channel

In recent trading, shares of Hubbell Inc. (HUBB) have crossed above the average analyst 12-month ...

Vanguard Dividend Appreciation ETF Experiences Big Outflow
Thu, Sep 22, 11:14 AM ET, by ETF Channel

Symbols mentioned in this story: VIG, CVS, LMT, ACN Exchange traded funds (ETFs) trade just ...

EFA, AER, MPEL, TARO: ETF Outflow Alert
Thu, Sep 22, 11:14 AM ET, by ETF Channel

Symbols mentioned in this story: EFA, AER, MPEL, TARO Exchange traded funds (ETFs) trade just ...

EDV: ETF Outflow Alert
Thu, Sep 22, 11:14 AM ET, by ETF Channel

Symbols mentioned in this story: EDV Exchange traded funds (ETFs) trade just like stocks, but ...

Vanguard Small-Cap Growth ETF Experiences Big Outflow
Thu, Sep 22, 11:14 AM ET, by ETF Channel

Symbols mentioned in this story: VBK Exchange traded funds (ETFs) trade just like stocks, but ...

EWM Crosses Above Key Moving Average Level
Thu, Sep 22, 11:14 AM ET, by ETF Channel

In trading on Thursday, shares of the iShares MSCI Malaysia ETF (EWM) crossed above their ...

KBWY: Large Outflows Detected at ETF
Thu, Sep 22, 10:54 AM ET, by ETF Channel

Symbols mentioned in this story: KBWY Exchange traded funds (ETFs) trade just like stocks, but ...

BND: ETF Inflow Alert
Thu, Sep 22, 10:54 AM ET, by ETF Channel

Symbols mentioned in this story: BND Exchange traded funds (ETFs) trade just like stocks, but ...

IJH, DRE, INGR, RMD: Large Inflows Detected at ETF
Thu, Sep 22, 10:54 AM ET, by ETF Channel

Symbols mentioned in this story: IJH, DRE, INGR, RMD Exchange traded funds (ETFs) trade just ...

XLP, PG, KO, MO: ETF Inflow Alert
Thu, Sep 22, 10:54 AM ET, by ETF Channel

Symbols mentioned in this story: XLP, PG, KO, MO Exchange traded funds (ETFs) trade just ...

USMV, PAYX, GIS, ED: Large Inflows Detected at ETF
Thu, Sep 22, 10:54 AM ET, by ETF Channel

Symbols mentioned in this story: USMV, PAYX, GIS, ED Exchange traded funds (ETFs) trade just ...

Marsh & McLennan Companies a Top Socially Responsible Dividend Stock With 2.0% Yield (MMC)
Thu, Sep 22, 8:14 AM ET, by ETF Channel

Marsh & McLennan Companies Inc. (MMC) has been named a Top Socially Responsible Dividend Stock ...

PHB: Large Outflows Detected at ETF
Wed, Sep 21, 11:14 AM ET, by ETF Channel

Symbols mentioned in this story: PHB Exchange traded funds (ETFs) trade just like stocks, but ...

IOO, PM, BMY, NKE: Large Outflows Detected at ETF
Wed, Sep 21, 11:14 AM ET, by ETF Channel

Symbols mentioned in this story: IOO, PM, BMY, NKE Exchange traded funds (ETFs) trade just ...

ITB, DHI, LEN, PHM: ETF Outflow Alert
Wed, Sep 21, 11:14 AM ET, by ETF Channel

Symbols mentioned in this story: ITB, DHI, LEN, PHM Exchange traded funds (ETFs) trade just ...

BWX: ETF Inflow Alert
Wed, Sep 21, 10:54 AM ET, by ETF Channel

Symbols mentioned in this story: BWX Exchange traded funds (ETFs) trade just like stocks, but ...

SPDR S&P Retail ETF Experiences Big Inflow
Wed, Sep 21, 10:54 AM ET, by ETF Channel

Symbols mentioned in this story: XRT, GRPN, FRAN, DKS Exchange traded funds (ETFs) trade just ...

FOSL Crosses Above Average Analyst Target
Wed, Sep 21, 9:44 AM ET, by ETF Channel

In recent trading, shares of Fossil Group Inc (FOSL) have crossed above the average analyst ...

Cintas Reaches Analyst Target Price
Wed, Sep 21, 9:44 AM ET, by ETF Channel

In recent trading, shares of Cintas Corporation (CTAS) have crossed above the average analyst 12-month ...

Xylem Reaches Analyst Target Price
Wed, Sep 21, 9:44 AM ET, by ETF Channel

In recent trading, shares of Xylem Inc. (XYL) have crossed above the average analyst 12-month ...

DTS Reaches Analyst Target Price
Wed, Sep 21, 9:44 AM ET, by ETF Channel

In recent trading, shares of DTS Inc (DTSI) have crossed above the average analyst 12-month ...

Tobira Therapeutics Reaches Analyst Target Price
Wed, Sep 21, 9:44 AM ET, by ETF Channel

In recent trading, shares of Tobira Therapeutics Inc (TBRA) have crossed above the average analyst ...

TRMB Crosses Above Average Analyst Target
Wed, Sep 21, 9:44 AM ET, by ETF Channel

In recent trading, shares of Trimble Navigation Ltd. (TRMB) have crossed above the average analyst ...

  More articles:  1 2 3 4 5 6 7 next »

ABOUT US »   ADVERTISE »   CONTACT US »   TERMS OF USE & PRIVACY POLICY »

Forget Local, Buy Global: ETFs For Asia’s Best Brand | Self Directed Investor | Copyright © 2008 - 2016, All Rights Reserved

Any ideas and opinions presented in Self Directed Investor content are for informational and educational purposes only, and do not reflect the opinions of BNK Invest, Inc. or any of its affiliates, subsidiaries or partners. In no way should any content contained herein be interpreted to represent trading or investment advice. None of the information contained herein constitutes a recommendation that any particular security, portfolio, transaction, or investment strategy is suitable for any specific person. All site visitors agree that under no circumstances will BNK Invest, Inc,. its subsidiaries, partners, officers, employees, affiliates, or agents be held liable for any loss or damage caused by your reliance on information obtained. Read Full Disclaimer.

SDI is associated with: ValueForum.com -- a subscription-based online social networking forum of serious individual investors. | MarketNewsVideo.com -- videos appearing on SDI are produced by Market News Video. | TickerTech.com -- stock quote content appearing on SDI is at least 20 minutes delayed and is powered by Ticker Technologies. | GoldStockStrategist.com -- Edited by Scott V. Nystrom, PhD, Gold Stock Strategist provides analysis on gold mining companies.