Although some are cautious of the sustainability of Australia's economy, history is on its side as that it has yet to see a recession in 19 years.
Some ETFs likely to benefit from Australia's strength are the following: iShares MSCI Australia Index Fund (EWA) which closed at $24.29 on Monday; iShares MSCI Pacific-ex-Japan Index (EPP), which allocates 68% of its assets to Australia and closed at $43.66 on Monday; CurrencyShares Australian Dollar Trust (FXA) which closed at $93.25 on Monday.
When investing in these equities, it is important to consider the inherent risks that are involved. A good to way to protect against these factors is through the use and implementation if an exit strategy which triggers price points at which an upward trend in gold could potentially be coming to an end.
According to the latest data at www.SmartStops.net , the price points for the aforementioned ETFs are: EWA at $23.08; EPP at $41.82; FXA at $90.46. These price points fluctuate on a daily basis and reflect changes in market conditions.-- Written By Kevin Grewal in Laguna Niguel, Calif.