Emerging Markets…Are the Best Days Behind Them?
In this post I look at the iShares MSCI Emerging Markets ETF (EEM). This is a highly liquid ETF that trades at a 50-day average of 75 million shares a day. Of the top ten holdings, six are from China, 2 from Taiwan, 1 from South Korea and 1 from South Africa.
So there is a fairly strong exposure to China. In fact of all EEM’s holdings, China has the largest percentage of any country at 27.07%. You get exposure to companies like Tencent Holdings Ltd., Alibaba Group Holding ADR, China Mobile Ltd., China Construction Bank Corp, Baidu ADR and Industrial & Commercial Bank of China.
In the charts below I first look at the weekly chart of EEM then at the daily chart. Continue reading
