How to invest in Mexico using ETFs
How do I invest in Mexican stocks?
The easiest way to invest in the whole Mexican stock market is to invest in a broad market index. This can be done at low cost by using ETFs.
On the Mexican stock market you'll find 2 indices which are tracked by ETFs.
Alternatively, you can consider indices on Emerging Markets.
Performance of Mexican stocks (MSCI Mexico)
Indices in comparison
The best indices for ETFs on Mexico
For an investment in the Mexican stock market, there are 2 indices available which are tracked by 3 ETFs. On the MSCI Mexico index there is 1 ETF. On the MSCI Mexico Capped index there are 2 ETFs. The total expense ratio (TER) of ETFs on these indices is between 0.50% p.a. and 0.65% p.a..
| Index | Investment focus | Number of ETFs | Number of constituents | Short description |
|---|---|---|---|---|
MSCI Mexico | Mexico | 1 ETF | 23 (31.08.23) | The MSCI Mexico index tracks large and mid cap stocks in Mexico. Index factsheet |
MSCI Mexico Capped | Mexico | 2 ETFs | 23 (30.11.22) | The MSCI Mexico Capped index tracks large and mid cap stocks in Mexico. Index concentration is limited by maximum weights for sector, geography and constituents. Index factsheet |
| ETF ISIN | Fund size in m EUR | TER in % | Use of profits | Fund domicile | Replication method | |
|---|---|---|---|---|---|---|
| Xtrackers MSCI Mexico UCITS ETF 1CLU0476289466 | 165 | 0.65% p.a. | Accumulating | Luxembourg | Full replication | |
| iShares MSCI Mexico Capped UCITS ETF (Acc)IE00B5WHFQ43 | 86 | 0.65% p.a. | Accumulating | Ireland | Full replication | |
| HSBC MSCI Mexico Capped UCITS ETF USDIE00B3QMYK80 | 16 | 0.50% p.a. | Distributing | Ireland | Full replication |
| Index | 1 month in % | 3 months in % | 6 months in % | 1 year in % | 3 years in % | |
|---|---|---|---|---|---|---|
| MSCI Mexico | -3.21% | 3.60% | 5.78% | 29.89% | 117.27% | |
| MSCI Mexico Capped | -3.19% | 3.62% | 5.91% | 30.04% | 117.73% |
| Index | 2023 in % | 2022 in % | 2021 in % | 2020 in % | 2019 in % | |
|---|---|---|---|---|---|---|
| MSCI Mexico | 24.02% | 3.40% | 32.30% | -10.78% | 13.35% | |
| MSCI Mexico Capped | 24.09% | 3.43% | 32.02% | -10.61% | 12.98% |
Source: justETF.com; As of 31.08.23; Calculations in EUR based on the largest ETF of the respective index.
The best Mexico ETFs
by 1 year return
| 1 | HSBC MSCI Mexico Capped UCITS ETF USD | 30.50% |
| 2 | iShares MSCI Mexico Capped UCITS ETF (Acc) | 30.04% |
| 3 | Xtrackers MSCI Mexico UCITS ETF 1C | 29.89% |
The cheapest Mexico ETFs
by total expense ratio (TER)
| 1 | HSBC MSCI Mexico Capped UCITS ETF USD | 0.50% p.a. |
| 2 | iShares MSCI Mexico Capped UCITS ETF (Acc) | 0.65% p.a. |
| 3 | Xtrackers MSCI Mexico UCITS ETF 1C | 0.65% p.a. |
Emerging markets indices with a share of Mexico
Besides Mexico ETFs you may consider investing in emerging markets ETFs. In total, you can invest in 2 emerging markets indices, which are tracked by 5 ETFs. The total expense ratio (TER) of ETFs on emerging markets is between 0.20% p.a. and 0.65% p.a..
| Index | Investment focus | Number of ETFs | Number of constituents | Short description |
|---|---|---|---|---|
| MSCI Emerging Markets Latin America | Latin America Mexico: 27.57% (30/11/2022) | 4 ETFs | 88 (31.08.23) | The MSCI Emerging Markets Latin America index tracks the equity markets of emerging markets in Latin America. Index factsheet |
| MSCI Emerging Markets Latin America 10/40 | Latin America Mexico: 29.03% (30/11/2022) | 1 ETF | 88 (31.08.23) | The MSCI Emerging Markets Latin America 10/40 index tracks the equity markets of emerging markets in Latin America. The imbedded 10/40 rule limits the weight of a single company to 10% of the index. The sum of all companies with weights between 5% and 10% is limited to 40%. Index factsheet |
| ETF ISIN | Fund size in m EUR | TER in % | Use of profits | Fund domicile | Replication method | |
|---|---|---|---|---|---|---|
| Amundi MSCI Emerging Markets Latin America UCITS ETF EUR (C)LU1681045024 | 398 | 0.20% p.a. | Accumulating | Luxembourg | Unfunded swap | |
| iShares MSCI EM Latin America UCITS ETF (Dist)IE00B27YCK28 | 199 | 0.20% p.a. | Distributing | Ireland | Optimized sampling | |
| Amundi MSCI Emerging Markets Latin America UCITS ETF USDLU1681045297 | 164 | 0.20% p.a. | Accumulating | Luxembourg | Unfunded swap | |
| HSBC MSCI EM Latin America UCITS ETF USDIE00B4TS3815 | 30 | 0.60% p.a. | Distributing | Ireland | Full replication | |
| Lyxor MSCI EM Latin America UCITS ETF - AccLU1900066629 | 28 | 0.65% p.a. | Accumulating | Luxembourg | Unfunded swap |
| Index | 1 month in % | 3 months in % | 6 months in % | 1 year in % | 3 years in % | |
|---|---|---|---|---|---|---|
| MSCI Emerging Markets Latin America 10/40 | -5.96% | 7.16% | 9.96% | 8.98% | 58.92% | |
| MSCI Emerging Markets Latin America | -5.85% | 7.16% | 9.35% | 9.27% | 61.14% |
| Index | 2023 in % | 2022 in % | 2021 in % | 2020 in % | 2019 in % | |
|---|---|---|---|---|---|---|
| MSCI Emerging Markets Latin America | 13.41% | 15.89% | -1.73% | -21.48% | 18.84% | |
| MSCI Emerging Markets Latin America 10/40 | 14.25% | 15.48% | -3.47% | -19.49% | 17.25% |
Source: justETF.com; As of 31.08.23; Calculations in EUR based on the largest ETF of the respective index.