BRIC Equity

BRIC mutual funds and ETFs own equity securities listed on the stock... BRIC mutual funds and ETFs own equity securities listed on the stock exchanges of Brazil, Russia, India, and China. South Africa is sometimes included in this group, making it a variation known as the BRICS. The term BRIC was coined by economist Jim O’Neill of Goldman Sachs, who predicted that these emerging market economies were set to expand alongside each other. Investors typically buy BRIC funds to play the theme of growth in the largest emerging market economies. By 2022, the combined BRICs had a GDP of $26 trillion, which slightly exceeded that of the United States. These funds tend to have far more sector diversification than U.S. equity funds—with significant but not overwhelming weightings in energy and consumer discretionary companies. These funds are only appropriate for investors willing to take on considerable risk. However, investors should be wary of geopolitical risks associated with BRIC countries, aka Russia's invasion of Ukraine and economic sanctions put on China by developed nations like the U.S. Last Updated: 11/04/2024 View more View less

BRIC mutual funds and ETFs own equity securities listed on the stock exchanges of Brazil, Russia, India, and China. South Africa is sometimes... BRIC mutual funds and ETFs own equity securities listed on the stock exchanges of Brazil, Russia, India, and China. South Africa is sometimes included in this group, making it a variation known as the BRICS. The term BRIC was coined by economist Jim O’Neill of Goldman Sachs, who predicted that these emerging market economies were set to expand alongside each other. Investors typically buy BRIC funds to play the theme of growth in the largest emerging market economies. By 2022, the combined BRICs had a GDP of $26 trillion, which slightly exceeded that of the United States. These funds tend to have far more sector diversification than U.S. equity funds—with significant but not overwhelming weightings in energy and consumer discretionary companies. These funds are only appropriate for investors willing to take on considerable risk. However, investors should be wary of geopolitical risks associated with BRIC countries, aka Russia's invasion of Ukraine and economic sanctions put on China by developed nations like the U.S. Last Updated: 11/04/2024 View more View less