Trade Ideas5 Mins Read
Tactical Bull View on Turkey ETF
This idea is suitable for someone who is looking to find value in emerging markets.
On March 27, the cost of borrowing Turkish Lira overnight soared past 1000% as local banks were pressurized to not provide liquidity to foreign fund managers seeking to bet against the Lira. As a result, the Turkish equity markets experienced a massive selloff. The BlackRock Turkey ETF (TUR) slumped 9% last week. Though the economy has been struggling with high double-digit consumer-price inflation, unemployment, an ailing currency, and political uncertainty, we believe that these headwinds have been priced into equity valuations currently.
BlackRock Turkey ETF (TUR)’s P/E Ratio has slid to 5.8, with the 12-month trailing yield at roughly 4% and it looks a good ‘Buy’ at these levels. Growth is highly likely to turn positive in late 2019 as major economic data looks promising – strong energy consumption, increasing car registrations, robust exports, tourism and tax revenue along with a large percentage of working-age individuals.
Summary: Buy Turkey ETF (TUR)/ Sell Puts on TUR
Please reach out to firstname.lastname@example.org for further details/queries – Kristal.AI Advisory Desk.
This blog article has not been reviewed by the MAS. It is prepared solely for information purposes and does not constitute an offer or solicitation for the purchase or sale of units in the funds. This does not constitute any form of investment advice and Kristal Advisors (SG) Pte Ltd does not take into account your personal investment objectives, specific investment goals, specific needs, or financial situation and makes no representation and assumes no liability to the accuracy or completeness of the information provided here. The information and publications are not intended to be and do not constitute financial advice, investment advice, trading advice or any other advice or recommendation of any sort offered or endorsed by Kristal Advisors (SG) Pte Ltd.