International ETFs Win In May

May turned out to be a dismal month for global stock markets thanks to escalating trade conflict between the United States and China as well as new tariff threat for Mexico raised global growth worries.

In fact, global stock markets wiped out more than $2 trillion in value last month. However, international equities have performed better with Vanguard FTSE All-World ex-US ETF (VEU - Free Report) , which targets the international equity market, shedding 4% in May compared with a loss of 5.2% for iShares MSCI ACWI ETF (ACWI - Free Report) , which targets the global stock market including the United States. The outperformance was credited to Trump upheaval that pushed investors into foreign stocks and away from American stocks.

While there have been winners in a few corners of the world, we highlight four ETFs that stood tall last month. Further, these could be strong momentum plays heading into June, especially if the trend remains the same.

Global X MSCI Greece ETF (GREK - Free Report)

Greece stock market has been on a tear on resurgent economy and the ongoing push to offload bad debt on banks’ balance sheets, which have weighed on the country’s recovery for years. The once-downtrodden Mediterranean economy is also on track to record the fastest growth since 2007 backed by recovery in consumer confidence to almost pre-crisis levels. Additionally, a big defeat of the ruling leftist coalition in Regional and Euro elections have also added to the strength lately.

As a result, GREK, which tracks the MSCI All Greece Select 25/50 Index, has climbed 11.7% in a month. It is a home to a small basket of 35 companies with heavy concentration on the top three firms with a combined 32% of assets. Financials takes the top spot at 27% in terms of sector holdings, followed by energy (16%), consumer discretionary (16%), communications (13%) and industrials (10%). The product has amassed $306.4 million in its asset base and trades in solid volume of around 406,000 shares per day. It charges 59 bps in fees per year from investors but has a Zacks ETF Rank #5 (Strong Sell) with a High risk outlook.

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