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 find 2 indices, which are tracked by ETFs.
Alternatively, you can consider indices on Emerging Markets. These indices weight Mexico with up to 28%.
Performance of Mexican stocks (MSCI Mexico)
Indices in comparison
The best indices for ETFs on Mexico
For an investment in the Mexican stock market, 2 indices tracked by 3 ETFs are available. 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 0.60% p.a. and 0.65% p.a..
| Index | Investment focus | Number of ETFs | Number of constituents | Short description |
|---|---|---|---|---|
MSCI Mexico |
Mexico | 1 ETF | 27 (31.10.16) |
The MSCI Mexico index tracks large and mid cap stocks in Mexico. |
MSCI Mexico Capped |
Mexico | 2 ETFs | 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. |
| ETF ISIN |
Fund size in m EUR |
TER in % |
Use of profits | Fund domicile | Replication method | |
|---|---|---|---|---|---|---|
| db x-trackers MSCI Mexico Index UCITS ETF (DR) 1CLU0476289466 | 74 | 0.65% p.a. | Accumulating | Luxembourg | Full replication | |
| iShares MSCI Mexico Capped UCITS ETF (Acc)IE00B5WHFQ43 | 59 | 0.65% p.a. | Accumulating | Ireland | Full replication | |
| HSBC MSCI Mexico Capped UCITS ETF USDDE000A1JF7P1 | 13 | 0.60% p.a. | Distributing | Ireland | Full replication |
| Index | 1 month in % |
3 months in % |
6 months in % |
1 year in % |
3 years in % |
|
|---|---|---|---|---|---|---|
| MSCI Mexico Capped | -2.26% | 4.85% | 11.70% | 5.79% | 0.67% | |
| MSCI Mexico | -2.25% | 4.82% | 11.83% | 5.84% | 0.69% |
| Index | 2017 in % |
2016 in % |
2015 in % |
2014 in % |
2013 in % |
|
|---|---|---|---|---|---|---|
| MSCI Mexico Capped | 10.11% | -6.63% | -5.03% | 2.44% | -4.66% | |
| MSCI Mexico | 10.13% | -6.62% | -4.94% | 2.30% | -5.23% |
Source: justETF.com; As of 31.05.17; Calculations in EUR based on the largest ETF of the respective index.
The best Mexico ETFs
by 1 year return
| 1 | db x-trackers MSCI Mexico Index UCITS ETF (DR) 1C | 5.84% |
| 2 | iShares MSCI Mexico Capped UCITS ETF (Acc) | 5.79% |
| 3 | HSBC MSCI Mexico Capped UCITS ETF USD | 5.72% |
The cheapest Mexico ETFs
by total expense ratio (TER)
| 1 | HSBC MSCI Mexico Capped UCITS ETF USD | 0.60% p.a. |
| 2 | db x-trackers MSCI Mexico Index UCITS ETF (DR) 1C | 0.65% p.a. |
| 3 | iShares MSCI Mexico Capped UCITS ETF (Acc) | 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 7 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: 25.25% (28/02/2017) |
6 ETFs | 119 (31.10.16) |
The MSCI Emerging Markets Latin America index tracks the equity markets of emerging markets in Latin America.
Index factsheet |
| S&P SMIT 40 | Emerging Markets
Mexico: 25.20% (28/02/2017) |
1 ETF | 40 |
The S&P SMIT 40 index tracks the 40 leading companies in four emerging markets: South Korea, Mexico, Indonesia and Turkey. Every September the weight of each country is rebalanced to 25%.
Index factsheet |
| ETF ISIN |
Fund size in m EUR |
TER in % |
Use of profits | Fund domicile | Replication method | |
|---|---|---|---|---|---|---|
| Amundi ETF MSCI EM Latin America UCITS ETF EURFR0011020973 | 136 | 0.20% p.a. | Accumulating | France | Unfunded swap | |
| Lyxor MSCI EM Latin America UCITS ETF C-EURFR0010410266 | 130 | 0.65% p.a. | Accumulating | France | Unfunded swap | |
| db x-trackers MSCI EM Latin America Index UCITS ETF 1CLU0292108619 | 93 | 0.65% p.a. | Accumulating | Luxembourg | Unfunded swap | |
| HSBC MSCI EM Latin America UCITS ETF USDIE00B4TS3815 | 13 | 0.60% p.a. | Distributing | Ireland | Full replication | |
| HSBC MSCI EM Latin America UCITS ETF USDDE000A1JF7T3 | 13 | 0.60% p.a. | Distributing | Ireland | Full replication | |
| ComStage S&P SMIT 40 Index TRN UCITS ETFLU0860821874 | 12 | 0.60% p.a. | Accumulating | Luxembourg | Unfunded swap | |
| SPDR MSCI EM Latin America UCITS ETFIE00B454X613 | 6 | 0.55% p.a. | Accumulating | Ireland | Optimized sampling |
| Index | 1 month in % |
3 months in % |
6 months in % |
1 year in % |
3 years in % |
|
|---|---|---|---|---|---|---|
| S&P SMIT 40 | -0.32% | 7.22% | 17.52% | 25.64% | 16.44% | |
| MSCI Emerging Markets Latin America | -5.49% | -7.31% | 3.97% | 25.81% | 1.01% |
| Index | 2017 in % |
2016 in % |
2015 in % |
2014 in % |
2013 in % |
|
|---|---|---|---|---|---|---|
| MSCI Emerging Markets Latin America | 2.47% | 34.59% | -23.42% | -0.96% | -17.61% | |
| S&P SMIT 40 | 14.00% | 10.42% | -11.88% | 18.60% | - |
Source: justETF.com; As of 31.05.17; Calculations in EUR based on the largest ETF of the respective index.