How to Invest in the Blue Chips of the Eurozone

The simple and easy way to invest in Eurozone blue chips is with an ETF that tracks the The EURO STOXX 50® Index. This index represents the 50 largest companies in the Eurozone countries based on free-float market cap. The companies include the major sectors such as technology, banks, industrial goods, consumer good, chemicals, etc. The following chart shows the sectors and the country weighting:

Click to enlarge

Source: Stoxx

The Top 10 index constituents are shown in the graphic below:

Source: Stoxx

The long-term return of the index is shown below:

Source: Stoxx

The SPDR® EURO STOXX 50® ETF (FEZ) tracks the Euro Stoxx 50 index. Currently the fund has an asset of $1.90 Billion and a gross expense ratio of 0.29%. In line with the overall market, the fund is down 17% YTD. Over the past 5 years it has been a poor performer with a loss of 2%.

For investors interested in individual stocks, the tickers of the top 10 in the ETF are listed below:

Disclosure: No positions

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