Mike Philbrick Horizons EURO STOXX 50® Index ETF HXX-T BUY Apr 26, 2024

Zeroing in on Germany and France. In September they expect money to be spread around in Germany.

When you are into an EAFE (See comments under Top Picks for ZEA-T) he likes continental Europe. This one excludes Japan and the UK. It tends to focus on euro focused countries. Thinks France and Germany politically will be in the driver’s seat in the next 6 months.

The 50 biggest stocks in Europe, so think about it like the S&P 500 in the US. If dealing in futures, the futures contracts on indexes are higher than the risk-free rate of interest is. This means futures are trading in a negative slope.

(Past Top Pick on June 1, 2017, Up 2%) This covers countries that carry the Euro (Germany, France, not UK). Tailwind: Germany is running big trade and fiscal surpluses, so Germany could pump prime rates onto the ECB.

(A Top Pick June 1 / 2017 , Up 1%) Gain has gone out of it in last 6 weeks, but they’ll add to their position. Stocks influenced by Euro directly, so Germany and France are #1 and 2. Doesn’t think tax will be put on. Will bounce once trade war rhetoric blows over.

(A Top Pick July 5/17, Up 4%) Banks are big players here, but they’ve gone nowhere because of interest rates where pretty flat. The place to be in the future. Likes it for a taxable account because it doesn’t pay the dividend, it’s one of those total return ETF, the stock price will reflect the accumulated dividend. A key holdings for them on the international side.

Canadian ETF based on 50 largest companies in Europe. MER is ~19 bps. Europe makes a lot of sense, as international markets are starting to perform well relative to the US. US is rife with policy uncertainty, plus valuations have moved higher. Top names include SAP, ASML, SI, and AZ. At a discount compared to US.