Latin American equities have quietly become one of the strongest regional trades of 2026, and three exchange-traded funds capture the move from very different angles.
I rate the iShares MSCI Brazil ETF a BUY, citing Brazil's monetary easing and favorable global trade realignment. EWZ benefits from Brazil's deepening trade ties with China and the EU, structural export growth, and a dividend yield of 4.2%. Monetary policy easing is a near-term catalyst, while the EU-Mercosur free trade agreement offers a generational export opportunity.
Most U.S.-listed emerging market ETFs have spent the past year treading water or losing ground.
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This company operates as an investment fund that primarily focuses on investing in the equity market in Brazil. It aims to mirror the performance of its underlying index, which is a free float-adjusted, market capitalization-weighted index. This index is specifically designed to gauge the performance of large- and mid-capitalization segments of Brazil's equity market. To achieve its investment objective, the fund makes a commitment to invest at least 80% of its assets in the component securities of the index or in investments that have economic characteristics almost identical to those of the index's component securities. It's important to note that the fund is characterized as non-diversified, meaning it may invest a larger portion of its assets in a smaller number of issuers than a diversified fund.
Given its investment strategy, the fund offers a specific product focus: