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 | 25 (30/09/19) |
The MSCI Mexico index tracks large and mid cap stocks in Mexico.
Index factsheet |
MSCI Mexico Capped |
Mexico | 2 ETFs | 25 (30/09/19) |
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 GBP |
TER in % |
Use of profits | Fund domicile | Replication method | |
|---|---|---|---|---|---|---|
| Xtrackers MSCI Mexico Index UCITS ETF 1CLU0476289466 | 54 | 0.65% p.a. | Accumulating | Luxembourg | Full replication | |
| iShares MSCI Mexico Capped UCITS ETF (Acc)IE00B5WHFQ43 | 49 | 0.65% p.a. | Accumulating | Ireland | Full replication | |
| HSBC MSCI Mexico Capped UCITS ETF USDIE00B3QMYK80 | 7 | 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 | 1.66% | 1.31% | 5.60% | -10.06% | -1.63% | |
| MSCI Mexico | 1.78% | 1.47% | 5.85% | -9.95% | -1.43% |
| Index | 2019 in % |
2018 in % |
2017 in % |
2016 in % |
2015 in % |
|
|---|---|---|---|---|---|---|
| MSCI Mexico | 8.18% | -9.14% | 3.55% | 9.03% | -10.66% | |
| MSCI Mexico Capped | 8.78% | -11.23% | 5.18% | 8.92% | -10.51% |
Source: justETF.com; As of 30/09/19; Calculations in GBP based on the largest ETF of the respective index.
The best Mexico ETFs
by 1 year return
| 1 | Xtrackers MSCI Mexico Index UCITS ETF 1C | -9.95% |
| 2 | HSBC MSCI Mexico Capped UCITS ETF USD | -10.05% |
| 3 | iShares MSCI Mexico Capped UCITS ETF (Acc) | -10.06% |
The cheapest Mexico ETFs
by total expense ratio (TER)
| 1 | HSBC MSCI Mexico Capped UCITS ETF USD | 0.60% p.a. |
| 2 | iShares MSCI Mexico Capped UCITS ETF (Acc) | 0.65% p.a. |
| 3 | Xtrackers MSCI Mexico Index 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 1 emerging markets index, which is tracked by 4 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: 22.49% (31.03.2019) |
4 ETFs | 117 (30/09/19) |
The MSCI Emerging Markets Latin America index tracks the equity markets of emerging markets in Latin America.
Index factsheet |
| ETF ISIN |
Fund size in m GBP |
TER in % |
Use of profits | Fund domicile | Replication method | |
|---|---|---|---|---|---|---|
| Xtrackers MSCI EM Latin America Index Swap UCITS ETF 1CLU0292108619 | 65 | 0.65% p.a. | Accumulating | Luxembourg | Unfunded swap | |
| Lyxor MSCI EM Latin America UCITS ETF AccLU1900066629 | 48 | 0.65% p.a. | Accumulating | Luxembourg | Unfunded swap | |
| Amundi ETF MSCI Emerging Markets Latin America UCITS ETF USDLU1681045297 | 48 | 0.20% p.a. | Accumulating | Luxembourg | Unfunded swap | |
| HSBC MSCI EM Latin America UCITS ETF USDIE00B4TS3815 | 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 Emerging Markets Latin America | 1.66% | -2.71% | 4.60% | 12.36% | 25.48% |
| Index | 2019 in % |
2018 in % |
2017 in % |
2016 in % |
2015 in % |
|
|---|---|---|---|---|---|---|
| MSCI Emerging Markets Latin America | 9.01% | -0.93% | 11.61% | 56.69% | -28.06% |
Source: justETF.com; As of 30/09/19; Calculations in GBP based on the largest ETF of the respective index.