Chile offers gains for aggressive investors

Article Excerpt

The Chilean economy will likely emerge from recession in 2024, further reducing joblessness and lifting wages. Consumer purchasing power will improve as inflation falls. Longer-term, as the world transitions to greener technologies, the global demand for copper, lithium, and renewable energy should rise. That represents economic opportunities for Chile given its rich endowment in those resources. This ETF, focused on the country’s strongest companies, offers longer-term opportunities for aggressive investors. ISHARES MSCI CHILE ETF $24.93 (New York symbol ECH; TSINetwork ETF Rating: Aggressive; Market cap: $626.1 million) tracks the performance of the largest publicly listed Chilean companies. Financial Services account for 27% of its assets, while Basic Materials (22%), Utilities (18%), Industrials (11%), and Consumer Cyclicals (10%) are other key segments. The ETF holds a small portfolio of 27 stocks. The top 10 holdings make up a high 64% of its assets. They are Sociedad Quimica Y Minera de Chile (Basic Materials, 15.7%), Banco De Chile (Financials, 11.4%), Banco Santander-Chile (Financials, 6.3%), Enel Americas (Utilities, 5.1%),…