In the previous article, we looked at some key metrics of two Russia-focused ETFs. We’ll continue this analysis in this article for three other ETFs.
The SPDR S&P Russia ETF (RBL) tracks the performance of the S&P Russia BMI (Capped) Index. Energy stocks dominate, forming 45% of the index. Financials are a distant second and form 18% of the total weight; they are followed by materials.
The gross expense ratio of the RBL is 0.59%. The 12-month forward Price/Earnings ratio of the RBL until December 13, 2016 is 8.91 while the Price/Book ratio is 0.94. The ETF is quite small, with just $31.4 million assets under management.
The RBL has posted 52% returns for this year so far and has risen 19% in the last one month until December 13.
The VanEck Vectors Russia Small-Cap ETF (RSXJ) tracks the performance of the MVIS Russia Small-Cap Index. The Index comprises of just 25 stocks while the RSXJ is invested in 26 securities. Unlike the MVIS Russia Index, which is dominated by energy stocks, the Small-Cap Index has utilities as the most represented sector. Materials are a close second and, combined with utilities, form 49% of the Index. Industrials form a fifth of the Index and are the third largest sector.
The net expense ratio of the RSXJ is 0.77%. The 12-month trailing Price/Earnings ratio of the RSXJ until November 2016 is 7.45 while the Price/Book ratio is 0.76. The ETF is relatively small, with just $88 million assets under management.
The RSXJ has had a spectacular 2016 and is up 107% for this year so far and has risen 16% in the last one month until December 13.
The Direxion Daily Russia Bull 3x Shares ETF (RUSL) aims to provide 300% or 3x the performance of the MVIS Russia Index, net of fees and expenses, on a daily basis. The fund’s literature states that RUSL should not be expected to provide three times the return of the benchmark’s cumulative return for periods longer than one day. This objective makes it a leverage fund, and may not be suitable for conservative and moderate investors. The net expense ratio of the RUSL is 0.95%.
The RUSL has returned a phenomenal 138% in 2016 so far and has risen 68% in the last one month until December 13.
After having looked at the performance of ETFs, let’s look at one of the reasons why Russian equities have benefited in the next article.