If you’re looking to diversify your portfolio, Argentina ETFs are worth considering. According to Benzinga, Argentina became a frontier market, with the previous status as an emerging market. It occupies a 19 percent weight in the iShares MSCI Frontier 100 ETF. Argentina occupies the largest weight of any country in this ETF. For the past three years, investors have taken an interest in Argentina ETFs. Which Argentina ETFs are the best choices? Here are the comparisons.
5. Global X MSCI Argentina ETF (ARGT)
The Global X MSCI Argentina ETF invests a minimum of 80 percent of the total assets from the firm in ADR securities and GDRs based on the underlying index securities. The index represents the performance from the Argentina equity arena as a whole and includes the tiniest number of constituents. This is a non-diversified fund. The very best 10 holdings of the group include Globant SA, Mercado libre Inc, Embotelladora Andina SA Participating Preferred, SSR mining INC, United Breweries Co Inc, Cencosud SA, Banco Macro SA, Telecom Argentina SA, Grupo Financiero Galicia SA, and Pampa Energia SA. The holdings represent sector exposure in consumer discretionary, information technology, consumer staples, financials, materials, energy, utilities, communication services, and property weighted in that order. Industry exposure is weighted in software, internet and direct marketing retail, banks, beverages, oil, gas & consumable fuels, metals and mining, food and staples retailing, electric utilities, diversified telecommunication services, and hotels, restaurants, and leisure. The total assets of ARGT are $38.82 million, according to iShares by Black Rock.
4. iShares MSI Argentina and Global Exposure ETF AGT
According to EFTDB, AGT is among two EFT firms that focus exclusively on Argentine equities. AGT has a portfolio that is comprised of a few dozen company stocks which are the largest and the most liquid. This fund tracks an MCI index of those companies. Requirements for the contract include a minimum of ten percent of revenue from Argentina. Not one stock within the portfolio might be more than 25% in weight within the portfolio. The companies included cannot be weighted more than five percent of fifty percent combined. Additionally, companies in this particular portfolio must be adjusted free of charge float and market, cap-weighted, and listing on local markets is required. The issuer is iShares under the Global Equities category in the equity asset class, multi-cap asset class size inside a blended asset class style within the general Latin America region, specifically Argentina. The AUM is $6 million.
3. AdvisorShares Dorsey Wright ADR ETF (AADR)
EFTDB reports this ETF is an actively managed fund that focuses on global equity markets, offering contact with US-based and emerging markets stock listings. AADR seeks to recognize global equity securities which are the most promising. A benefit of AADR is its inexpensiveness, under ost mutual funds in its category. It’s a one-stop global equity exposure comprised of a small number of holdings with low-cost index-based alternatives. It alls within the Foreign large-cap equities category in the equity class of multi-cap size and blend asset class style within the general global region having a broad specific. The AUM is $78.9 million.
2. Xtrackers J.P. Morgan ESG Emerging Markets Sovereign ETF (ESEB)
The ESEB ETF falls in the category of emerging markets bonds by October of 2021. ESED uses the ESG method of tracking the debt index issued by governments in the emerging market. Simultaneously, environmental, governance, and social factors of the securities are screened. Issuers are then sorted into five separate tiers, based on scores generated through the ESG criteria in a screening process that removes the lowes tier. Companies excluded from ESEB are any company in violation of principles of the UN Global Compact or those that committed violations related to weapons, tobacco, and thermal coal. Individuals with the highest ESG scores receive the most weight. Those earning a green designation from the Climate Bond Initiative move up one tier in weighting. ESEB combines emerging market debt with ESG screening which makes it unique. Another attractive feature is the lower cost of the management fee within this sector. The bond duration is zero and also the emerging markets are specified like a broad region. The AUM is $21.6 million with shares at 1.0 million, based on ETFDB.
1. Emerging Markets Internet & Commerce ETF (EMQQ)
The Emerging Markets Internet & Commerce ETF is issued by Exchange Traded Concepts. The inception happened on November 12, 2021. The Index tracked may be the Emerging Markets Internet and Ecommerce Index. The course is Foreign Large Cap Equities underneath the equity asset class within the multi-cap size and Blend class style. The Emerging Markets Internet & Commerce ETF provides contact with Argentina’s largest markets. The markets are in the general technology sector. They're specific to the internet. The general region is emerging markets with a broad specific. The AUM is $978.9 million, according to EMQQ.
Former views of Latin America held it as a highly unstable region due to political unrest, coups, and financial crises. Over the past decade, Latin America has transformed and acknowledged as a vital contributor to global economic growth. Argentina has experienced a current year growth of 4.2 percent. There is anticipation that the GDP will continue on this trajectory of positive growth progress. Efforts to reduce debt and companies restructuring balance sheets having a renewed focus on core skills show a positive impact on earnings and profitability. Governments have done their part to create an environment that supports healthy economic growth. The combination of these positive factors has led to direct foreign investment which has given the government finances a lift. The economy has balanced. The center class is thriving. Consumption led growth is currently taking place with enhanced earnings that offer regional spending power. Investors discover the changes appealing. The trend has emerged by means of increased confidence in EFTs that offer exposure to Argentina markets, as suggested for our five top recommended EFTs.