# Thoughts on this ETF??



## Chrysaphius (Jun 16, 2021)

Anyone have any thoughts on long-term prospects for this fund?

Van Eck Vectors Small-Cap Brazil fund ??


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## Spudd (Oct 11, 2011)

I guess that depends if you're bullish on Brazil. Personally, I don't know enough about Brazil's economy to make a guess either way. And I suspect you don't either. 

This one is an American-listed ETF which is a disadvantage unless you have USD lying around you need to invest. Also, it only has $39 million assets under management, which is really small, especially for an American ETF. That means it's at risk of being wound up, so you would lose your shares and get paid the current market value for them, which might lead to capital gains at an unexpected time, if you hold it in a taxable account.


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## londoncalling (Sep 17, 2011)

I won't weigh in on the ETF but would agree with Spudd that it is entirely dependent on what happens with Brazil along with the particular fund AUM. Historic emerging market equity return comparison can be found on the table linked below. Although historical returns do not guarantee future performance but going back to 2008 every 3-4 years EM has done the worst. However, from 2003-08 It outperformed the market considerably. Remember when BRIC was the investment trend of yesteryear? If one wanted to tilt their portfolio to Brazil based on being bullish then this may be an ok option to do so. Not sure what other Brazil equity ETFs are out there. Perhaps those are better choices. At the end of the day it makes the most sense to follow your Investor Policy Statement. Do you have one of those in place? 

Microsoft PowerPoint - Classic Periodic Table.pptx


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## Chrysaphius (Jun 16, 2021)

londoncalling said:


> I won't weigh in on the ETF but would agree with Spudd that it is entirely dependent on what happens with Brazil along with the particular fund AUM. Historic emerging market equity return comparison can be found on the table linked below. Although historical returns do not guarantee future performance but going back to 2008 every 3-4 years EM has done the worst. However, from 2003-08 It outperformed the market considerably. Remember when BRIC was the investment trend of yesteryear? If one wanted to tilt their portfolio to Brazil based on being bullish then this may be an ok option to do so. Not sure what other Brazil equity ETFs are out there. Perhaps those are better choices. At the end of the day it makes the most sense to follow your Investor Policy Statement. Do you have one of those in place?
> 
> Microsoft PowerPoint - Classic Periodic Table.pptx


You guys are the best. Adopt me please. I think I will forgo this ETF in the near future- especially with the Bolsonaro situation. Kudos


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