Sweden ETF taps this worker-friendly market

Article Excerpt

Sweden’s high tax rates support its extensive government benefits for citizens—from its 18 months of paid parental leave to its housing allowance for families and 20-somethings. But the high tax rates haven’t kept this nation from becoming one of the world’s most-economically competitive. In fact, government finances are in good shape, and the Swedish economy has seen steady growth over the past decade. The Scandinavian country is also home to some of the best-known global brands, including IKEA, Volvo, Spotify and Ericsson. ISHARES MSCI SWEDEN ETF $27.10 (New York symbol EWD; TSINetwork ETF Rating: Aggressive; Market Cap: $222.9 million) lets you hold Sweden’s largest publicly listed companies. Industrials account for 36% of those assets, while Financial Services (28%), Information Technology (10%), Consumer Defensives (9%), Consumer Cyclicals (6%) and Communications (6%) are other key segments offered to investors. The ETF holds a portfolio of 32 stocks. The top 10 make up 54% of its assets. They are Nordea Bank (financial, 6.7%), Ericsson (communications; 6.5%), Volvo (industrial, 6.3%), Atlas Copco…