One of the best places to invest money is in emerging markets, preferably in the BRIC countries. The BRIC countries (Brazil, Russian, India, and China) have outperformed the U.S. Stock Markets over the last few years. With approximately 40% of the world’s population, the BRIC countries have room for rapid growth with better returns than US markets.
Brazil
Brazil is my least favorite of the BRICs but still offers a chance to make money. The ETF that I use for trading Brazil is iShares Brazil Index ETF (EWZ). EWZ is a trade rather than an investment because of its exposure to oil and currency. Some may like EWZ for an investment; I would rather play individual stocks for investing in Brazil.
Russia
If commodities are not in play, watch out for Russia. Although, Russia offers opportunity, it is highly exposed to oil. If the rapid growth 0f China and India continues, they will need oil to fuel their growth. Market Vectors Russia ETF (RSX) will get you in the Russian trade.
India
India is right there with China in terms of growth. Not many economies are still producing a positive GDP (gross domestic product), India along with China are. If you already have a position in China, start building a position in India using the WisdomTree Earnings Weighted India ETF (EPI).
China ETF
China is my favorite of the BRICs as China has the highest growth rate and expectations. China, with the largest population in the world, a growing middle class, and manufacturing that the world depends on, offers a great investment opportunity. Investors that want exposure to China can do so through iShares China 25 ETF (FXI). This ETF invests in the top 25 largest and liquid Chinese companies.
Exposure To All BRICs Through One ETF
If you are looking for one ETF to get exposure to all the BRICs, try Claymore BRIC ETF (EEB).
BRICs Are Great For Trades And Investments
These ETFs make for great investments and trades but please understand the risk associated with each. The ETFs listed are not the only ETFs to get exposure to the BRICs but are ETFs with good volume levels, making it easier to get in and out.
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