I've just returned from the World Money Show, where some 10,000+ investors gathered to learn about global investing. I had a chance to meet with many of the advisors featured at the show, and I have been highlighting some of their favorite investment ideas. To view all of the stocks featured in this special global report, click here.
"As we head into 2007, some of the songs from 2006 will remain the same, chief among them the thirst for large-cap stocks in the established markets of the U.S., Europe, and Japan," says mutual fund and ETF expert Jim Lowell. "Of those three marketplaces, one stands out as not having participated in last year's global rally; Japan.
"Such a perspective isn't shared by any of its Pacific Rim neighbors or emerging market players, all of which have enjoyed nearly nonstop gains for several years in a row, and most of which are trading at recent or historical highs. Overall, that makes Japan interesting from both a valuation and a contrarian perspective."
Here, the editor of The Forbes ETF Advisor reviews his buy-rated Japan exchange-traded funds:
"Japan, the world's second largest economy, continues to recover nicely from its epic recession. It also continues to benefit from its location. The iShares MSCI Japan Index (NYSE:EWJ) covers nearly the entire market capitalization of the Japanese markets, but the ETF correlates most closely with the Nikkei 225 (Japan's equivalent to our S&P 500).
"Its top holdings include stocks such as Toyota Motor (NYSE:TM) and Sony (NYSE:SNE). Blue chips in the land of the rising sun haven't always risen; but I think there time has come.
"The S&P/Tokyo Stock Price Index TOPIX 150 Index, which is a market cap weighted index, including companies in the first section of the Tokyo Stock Exchange, and to invest in this index one would buy the iShares S&P/TOPIX 150 (AMEX:ITF)
"Its top holdings also include Toyota, Mitsubishi UFJ Financial (NYSE:MTU), and Honda (NYSE:HMC). While this ETF is far more concentrated than the EWJ above, it enables investors looking for a pure slug of Japanese large-cap companies to get it.
"Within Japan, the small-cap area is one I like more than most others; small-cap companies in an established international market. Seeking investment results that correspond to the Russell/Nomura Japan Small Cap TM Index (made up of small-cap companies from the Japanese market) is the streetTRACKS Russ/Nom SmallCap Japan (AMEX:JSC).
"Hunting for dividend yielders among this broad group helps to mollify some of the volatility inherent in the group. We recommend the WisdomTree Japan Total Dividend Fund (NYSE:DXJ) This index measures the performance of dividend paying companies on the Tokyo stock exchange.
"Companies are weighted by annual cash dividend payments. And among its top holdings are NTT Docomo (NYSE:DCM) and Nippon Telegraph and Telephone (NYSE:NTT)."
Steven Halpern's TheStockAdvisors.com provides a free, daily overview of the latest stock ideas from the nation's leading financial newsletters.










