Topic: How To Invest

What is your opinion on Claymore BRIC ETF? I do not have any exposure to these parts of the world, and I am thinking of making an entry here but am leery. Thanks.

Article Excerpt

The Claymore BRIC exchange-traded fund (ETF), $18.95, symbol CBQ on Toronto (Shares outstanding: 5.1 million; Market cap: $95.8 million), invests in the BNY (Bank of New York) BRIC Select ADR Index. This index tracks the performance of companies from the so-called “BRIC” countries: Brazil, Russia, India and China. These companies trade on U.S. stock exchanges as American or global depositary receipts. The Claymore BRIC ETF hedges its exposure to U.S. dollars in order to lower the impact of fluctuations in foreign-exchange rates. The fund selects companies using a system, developed by the Bank of New York, that is based on several criteria, including liquidity, share price and market capitalization. There are currently about 75 securities in the fund’s portfolio. Its managers seek to hold the largest-capitalization stocks in the volatile markets in which it invests. The Claymore BRIC ETF was launched in September 2006, at an initial price of $20 per unit. It has an expense ratio of 0.60%. However, trading and…