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Investment expert Jim Woods share how the Brexit result may benefit this U.K. fund.

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Brexit Result Propels This ETF Forward

Investment expert Jim Woods share how the Brexit result may benefit this U.K. fund.

The United Kingdomâ??s (U.K.) â??Brexitâ?ť vote to leave the European Union last year failed to weaken the regionâ??s economy as many had predicted.

Those wishing to play the surprising strength in the United Kingdom may be interested in the iShares MSCI United Kingdom ETF (EWU), a fund focused exclusively on U.K.-based companies. With $2.67 billion in total assets, EWU covers 85% of the top British companies by market capitalization.

The fund is biased towards large caps and features some big names such as Royal Dutch Shell, HSBC Bank and BP. As a result, EWU has highly liquid holdings and experiences high trading volume. On average, EWU trades $60.63 million daily.

From the chart below, you can see that the fundâ??s price has been on a zigzag upwards since late 2016. The fundâ??s one-year return is 6.92%, and it is up 4.92% year to date, compared to a year-to-date 5.29% return for the S&P 500. EWU has a relatively high expense ratio of 0.48% and a nice distribution yield of 2.54%.

Click here to read the full article: “Brexit Result Propels This ETF Forward.”

Written By

Jim Woods is a freelance financial journalist specializing in the markets and the economy. He champions the cause of liberty from a secured location deep inside the Golden State.

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