iShares MSCI Brazil ETF

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I did say that endowments poured money into two ETF names last quarter.

The other is the iShares MSCI Brazil ETF ( EWZ), a fund that provides endowments with even more exposure to Brazilian equities. This ETF holds a portfolio of 85 publicly traded Brazilian stocks -- and it shouldn't come as any surprise that they're skewed toward commodity and manufacturing focused names. EWZ has actually done a pretty good jobs of pacing the S&P 500 in the last six months or so, not exactly what investors would expect from a fund that provides exposure to a very different economy thousands of miles away.

Even so, it's important to remember that the reason for endowments' buying EWZ isn't likely to be a fundamental bet on Brazil. Instead, their tactical models are showing outsized strength in EWZ. Endowments increased their EWZ positions by $36.8 million last quarter.

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