For investors who are intrigued––and scared––by the prospect of investing in a country like Pakistan (that would be most of us), there may be a safer way to dip your toe in the frontier markets. The iShares MSCI Frontier 100 ETF (FM) puts all these fledgling countries into one diversified, safer package.
FM’s top country allocations are in Kuwait, Argentina, Nigeria, Pakistan, Kenya, Oman, Morocco, Kazakhstan, Vietnam, and Romania. There’s even some Togo and Mauritius thrown in to keep things interesting.
PAK should probably be left as a power tool for the professionals, but it's definitely a striking product and possibly the most exotic of the single-country exchange-traded funds. Until the All-Iran Let's Hope the Ayatollah Plays Ball ETF comes out.