About EIS ETF
Overview:
The iShares by BlackRock Israel ETF (EIS) is the first Israel-focused ETF on the market and offers "pure" Israeli investments in large and mid-sized companies in Israel and is managed by BlackRock that has a total AUM of $6.28T.
EIS is an exchange-traded fund incorporated in the USA in March 2008. EIS was the first Israel-focused ETF on the market, and offers "pure" Israeli exposure, with 100% of its holdings traded in Tel Aviv.
About the Fund Manager:
Founded in 1988, Blackrock is the largest asset manager in the world managing $6.28T. BlackRock operates globally with 70 offices in 30 countries and clients in 100 countries. Due to its power and the sheer size and scope of its financial assets and activities, BlackRock has been called the world's largest shadow bank.
Investment Strategy:
The ETF seeks to track the investment results of an index composed of a broad range of companies in Israel.
Sector:
EIS has invested in Technology (28%), Financials (23%), Healthcare (16%), Real Estate (9%), and Basic Materials (7%).
Geography:
EIS has invested 100% of its assets in Israel.
Recommended for:
Growth
The fund tracks a capped version of the MSCI Israel benchmark and caps its exposure to any 1 security at 24%. Teva Pharmaceuticals represents over 40% of Israeli market cap and EIS is only able to allocate 24% to a single holding, some other holdings are overweight.
According to ETFdb.com, "EIS has appeal as a compliment to EFA funds or those who are bullish on the overall Israeli economy."
Additional Information:
1.
Fund Factsheet
2.
Israeli ETFs Head to Head: EIS vs. ITEQ
3.
3 Israeli ETFs to Play the Start-Up Nation
4.
Tap Tech In Israel With This New ETF
How did we identify this ETF:
A complete pool of 2100+ ETFs is screened on various qualitative and quantitative parameters to evaluate efficiency, tradability and fit. The metrics used were alpha, beta and R - squared with respect to the segment benchmark and ETF specific metrics such as expense ratio, drawdown, volatility and the overall rating. We evaluate all ETFs and assign a composite score based on our analysis and then select the top ones in a category based on that comprehensive score by the inhouse research / quant analysts team. Thanks to high liquidity and wide spreads, EIS tracks its index well and offers solid exposure for investors interested in the Israeli stock market. The strategy is rebalanced on a quarterly basis with the rebalancing mechanism being determined by an algorithm that takes into account the overall performance of the strategy so far.
