What exchange traded funds will benefit from the Beijing Olympics?
Public Comments
- China or better yet CWI or VEU (which I own)
- FXI is an ETF that represents 25 "blue chip" Chinese companies. I would be cautious about buying Chinese stocks just for the 2008 Olympics, however. Although this is a well known, big event, I don't think it is reason alone to invest in Chinese equity markets. The Chinese stock market has gone up a lot over the last year or so, (over 100%), so I would exercise caution in the near-term. If you want to make a long-term (eg 10 year plus) investment in the Chinese stock market, I think that makes sense as its a huge, dynamic economy that has room to grow for decades. However, I don't think a short-term bet on the stock market going up just because of the the Beijing Olympics is worthwhile (there aren't many "free lunches" in the market).
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