Global X MSCI Greece ETF

GREK

Market cap $300M

After more than a decade of lackluster performance, established international and emerging markets are growing in popularity. What's driving this, and what could derail this investor enthusiasm?

2025 has seen international equities provide some significant upside following a spring swoon for U.S. stocks. Amid that shift, however, one particular European market has popped off with remarkable strength.

When it comes to equities exposure, U.S. large-caps continue to garner the lion's share of capital allocations. However, emerging markets (EM) could finally be in the throes of a comeback.

GREK offers access to the Greek market, with strong returns and around a 4.4% dividend yield. The Greek Exchange operates with limited depth, as the market is controlled by a few large-cap stocks. The MSCI upgrade supports Greece's transition to developed market status.

Global markets have been outpacing US stocks (^DJI, ^IXIC, ^GSPC) and growing at massive rates year-to-date in 2025. Yahoo Finance markets and data editor Jared Blikre — who also hosts the Stocks In Translation podcast — tracks a handful of foreign market ETFs for various countries, including Greece, Japan, Italy, Poland, and Israel.

Investors have ample reason to be concerned about the future of U.S. investment vehicles—mid-May's news of Moody's downgrade of the nation's credit rating and the resultant market shake-up and the lingering threat of dramatic tariff increases chief among them. Unsurprisingly, then, many investors may be likely to increase their exposure to international markets to avoid this turbulence.

Downgrading GREK to 'Hold' after a 60% rally, as technicals signal overbought conditions and resistance near the mid-$50s. Valuation remains attractive with a P/E just above 8x and a 6.2% yield, but upside is now more limited. Portfolio risk is elevated due to high concentration in SMID caps and financials, plus weak summer seasonality ahead.

merging markets may offer investors overlooked opportunities as market uncertainty rises. Malcolm Dorson, Global X senior portfolio manager and head of emerging markets strategy, joins Wealth to break down where he sees the most upside right now.

Since President Trump's second term began with the Inauguration on January 20th, the S&P 500 ETF (SPY) is down 16.5% compared to a 6.2% drop for the all world ex US ETF (CWI). It's early, but the rest of the world is solidly beating US markets so far under Trump 2.0. The average country ETF is down exactly 10% in the two and a half trading days since Trump's "Liberation Day," and the only two down less than 5% are India (INDA) and Turkey (TUR).

International ETFs outperformed Wall Street in Q1 of 2025.