If your investment portfolio is longing to take a trip to Europe, the Sygnia Itrix Euro Stoxx 50 ETF (JSE code: SYGEU) ETF is the product you’re looking for. The only ETF offering exposure to the euro and the Eurozone, the SYGEU could be a good addition to a regionally diversified portfolio.
The SYGWD, the SYGUS and the CSP500 all offer very similar exposure to companies listed predominantly in North America. While many of these companies are operational around the world, the ETFs are denominated in US dollar. Investors expecting growth in Asia have the option of investing in the Sygnia Itrix Japan ETF as well as the Satrix Emerging Market ETF, which is mostly invested in Asia. The SYGUK ETF offers investors exposure to the pound.
This ETF invests in nine European economies, with the French and German economies respectively taking up 37.8% and 25% of this ETF. The Netherlands, Spain and Italy also have some representation, although much less than that of Europe’s economic powerhouses.
50 European companies, many of them household names around the world, are represented in this ETF.
Consumer discretionary dominates this ETF with 18.2%, with financials coming in second at a 16.3% weighting. Exposure to information technology has almost tripled in the past six years, from 5% in 2017 to 14.0% today.
With = the Euro Stoxx 50 at all-time highs and the EURZAR showing recent weakness the ETF is trading around all time highs with the index looking good for more upside nt he short-term.
|ETF name||Sygnia Itrix Euro Stoxx 50|
|Issue date||10 October 2005|
|Total investment cost (TIC)*||0.89%|
|ETF benchmark||EURO STOXX 50 Index|
|Tax-free savings account||Investment allowed|
|ETF major holdings||ASML, LVHM, TotalEnergies, Linde, Sanofi, SAP, Siemens, L’Oreal, Allianz & Schneider Electric.|
|Performance||1 year +41.7%
3 years +47.9%
5 years +67.7%
10 years +182.6%
|What we like||An opportunity to invest in European economies and gain some exposure the euro.|