What is Bric?

BRIC is an increasing popular acronym which refers tothat track the BRIC nation markets, Claymore/BNY,
the nations of Brazil, Russia, India and China. These(EEB), SPDR S&P BRIC 40 (BIK) and MSCI BRIC
are the leading "emerging markets" that many feelIndex (BKF) are all down more than 50%. As of this
are economies representing great investmentwriting it is widely accepted that a world wide
potential. The combined population of the 4 countrieseconomic slowdown is occurring. As is always the
is approximately 2.8 billion, or about 40% of thecase, no one rings a bell and announces that markets
people on the planet. As a comparative example,have bottomed and you should immediately commit
China's GDP which has grown about 10% a year forfunds. However, at some point when the turnaround
the last 20 years, is now about 1/5 the size of thebegins, it is possible that superior gains can be made
United States, and while currently ranking 5th, willin the BRIC nation markets.
soon be the second largest. And that's just China.Individual investment decisions should be made only
Brazil, Russia and India were ranked in 2007 as 10, 11,with proper due diligence. As has been seen in this
and 12. With GDP growth last year between 5 and 9market slump, foreign investments may carry with
percent, it's no surprise these countries are popularthem greater risk. While growth rates in the emerging
with investors. Will the BRIC's dominate the businessmarket nations may vastly outperform the United
world in the near future? Is your money more likelyStates economy, the accompanying risk and volatility
to grow if invested in BRIC Nation industries?is probably not for everyone. Assess your own
Of course, 2008 has been a particularly difficult yearfinancial status, preferably with the help of a
for investors. The S&P 500 index is down overprofessional before you invest anywhere, particularly
30% YTD. Three Exchange Traded Funds, (ETF's)in more volatile markets.