Guys, with everything going on the US and Europe, why would we not move our money for the short, intermediate and long term to the ETFs in India and China. We do not know the 'authencity' of the companies over there since we are happy in the US and consider those to be 'underdeveloped lands'. There are so MANY of them popping out with just eye-popping returns. Of course, volatility is HUGE, but who cares if they give returns above 10% (I'm not greedy as you can tell) over a 5 year average. Plus, I do not see any chance of us doing any better over the next 1,3,5,10,15 years individually or cumulatively when looking at these timeframes. Thanks. Kenny
Your post actually got me thinking about it and I am looking at an Indian ETF. Id be interested in what others think.
would anybody share a few any Indian ETf that have good volume and the bid ask spreads are not too high. As a matter of fact, I was looking for an ETF that tracks Brazil and has a small big/ask spread. These Etf's can be very volatile and was wondering which one was a good choice to hold in the portfolio for extended periods.
IFN India up over 150% from its lows EWZ Brazil up over 150% from its lows Why jump into these etfs now that they have skyrocketed, these are very volatile, especially ewz, ewz could easily jump to $100 and drop to $50 in a matter of weeks. ewz is rising because of the commodities....once the commodity plays are through ewz will settle down, after the last commodity bubble ewz dropped over 60%.
The newest of the bunch that will get super-charged for India is INDY. EMF/EEM gets one into many Emerging Markets at the same time. I like to follow Mark Mobius as a money manager since he has a good 'sense' of valuations of these markets. Overvaluation, and Volatility is the KEY issue with these markets, but where there is a higher reward, there will be volatility. Also, the GDPs of both China and India are over 7%. Who can give a GDP of that nature, and when will we (USA) ever get there with the legacy of Volcker, Greenspan and Bernanke? Maybe, I should not dream about that GDP in the US since that means inflation. Sorry forgot.....Inflation is coming to the USA with the printing of the money, but, it is coming without a GDP of over 4%!!!!!! (sob!). Can we discuss which ETFs we should be in.....Maybe we can just a Dollar Cost Average to avoid the 'volatility' (or deal with the volatility). What do you say guys? Kenny
I am just not a fan of Chinese markets as they have a huge element of Foreign investment money running for short time durations. They tend to be very volatile and sentiment oriented. Myself being an India, I like Indian ETF's, however, all the ETF'S I tried researching are concentrated in 5-6 stocks which have already run up over 80% in the year. These 6 stocks are probably going to have a sideways movement and this could mean the tracking ETF's would not show the gains. I am becoming a fan of the Brazil though as there currency seems stronger than the rest of Emerging markets and this could be a big plus over the next 1 year. I feel this Jan a lot of clients will move there 401K plans in these emerging market ETF'S, thats the smartest thing to do. I am trying to myself research which index is well diversified to catch the currency fluctuations and is not already too overbought. I shall updated on which ETF i shall use to park a chunk of my investments.
I believe we are in a big bull market in India since March. I entered IFN, INR (in Paris) and JII (in London) around mid-March. Since then I've just played the "monthly plan" thing... since I believe we're in a big bull there I plan on keep adding $$ every month there... if long term trend happens to change downward i may think to scale out...