iShares MSCI Pacific ex Japan ETF

EPP

Market cap $2.17B

Asia-Pacific equities outside Japan have quietly delivered one of the stronger performances among developed-market ETFs over the past year, and most retirees haven't noticed.

Among APAC equity markets, Australia has a higher beta to oil prices while India, Indonesia and Thailand have lower betas. Domestic political uncertainties have been one main reason for the decoupling trend seen in Indonesia and Thailand.

The iShares MSCI Pacific Ex. Japan ETF (EPP) invests in over 90 companies in developed Pacific markets, excluding Japan, with a 0.48% management fee. This ETF offers a 3.7% dividend yield and lower valuation, making it a safer option against potential sell-offs in growth and tech stocks in 2025-2026. The ETF primarily tracks the MSCI Pacific Ex. Japan Index, heavily weighted in banking, materials, and industrials, which constitute over 60% of the index.

Hong Kong has authorized its first exchange-traded funds tracking digital assets bitcoin and ether, according to statements from multiple issuers on Monday, boosting the wider market and making the city Asia's first to offer the popular products after the U.S. launched the first spot bitcoin ETFs earlier this year.

Hong Kong conditionally approved its first spot bitcoin and ether exchange traded funds (ETFs) on Monday, money managers said, paving the way for the city to become Asia's first to accept the cryptocurrencies as a mainstream investment tool.

Spot bitcoin exchange-traded funds could be launched in Hong Kong this month with the first approvals likely to be announced next week, two people familiar with the matter said.

While the China macro story of ongoing transition is a headwind to the rest of Asia, there is more to the region's economic health than this.

The total nominal GDP of the ten ASEAN nations measured in US dollar terms amounted to USD 3.6 trillion in 2022, more than doubling compared with total GDP of USD 1.6 trillion in 2009. Singapore's GDP growth rate improved to a pace of 2.8% y/y in the fourth quarter of 2023 according to the advance estimate of GDP from the Ministry of Trade and Industry (MTI).