Massive Wealth Shift in Full Swing

Martin here with a quick update on foreign markets.

One year ago, in our 2009 Global Forum, we forecast a massive shift of wealth — from the United States, bogged down with huge deficits and chronic, long-term unemployment … to emerging markets, enjoying the most rapid growth on the planet.

Now, that shift is in full swing …

Since the beginning of 2009, despite the biggest government bailouts and stimulus of all time, the Dow Jones Industrial Average is up only 15.4 percent.

In contrast …

• FXI, our favorite exchange traded fund (ETF) focused on China’s blue chips, has gained 35.8 percent in the same period, beating the Dow by 2.3 to one …
• The ETF tied to Singapore’s market (EWS) has gained 58.5 percent, trumping the Dow by 3.8 to one …
• The ETF for Chile (ECH) has jumped 80.5 percent, or 5.2 times faster than the Dow, and …
• Our favorite Brazil ETF — EWZ — has surged by a whopping 113.2 percent, or 7.35 times better than the Dow!

In other words, for every $10,000 investors might have made in the Dow since the beginning of 2009, you could have made $73,500 simply buying and holding the Brazil ETF. (more)