(FLMX) Franklin FTSE Mexico - Ratings and Ratios

The Franklin FTSE Mexico ETF (NYSE ARCA: FLMX) is designed to track the performance of the FTSE Mexico Capped Index, which is derived from the FTSE Mexico Index. This index measures the performance of large- and mid-capitalization stocks in Mexico. The fund invests at least 80% of its assets in securities from the FTSE Mexico Capped Index or in depositary receipts representing such securities. The ETF is classified as non-diversified, meaning it can invest a significant portion of its assets in a limited number of securities. This structure allows for targeted exposure to the Mexican equity market, with a focus on the countrys largest and most established companies.

As of the latest data, the ETF has an average trading volume of 49,679 shares over the past 20 days, with a last price of $25.06. The funds moving averages indicate recent strength, with a 20-day SMA of $25.17 and a 200-day SMA of $26.14, compared to a 50-day SMA of $24.32. The Average True Range (ATR) of 0.52 reflects moderate volatility. The funds assets under management (AUM) are $64.46 million, indicating a relatively small but focused portfolio.

Three-Month Forecast: - Technical Outlook: The ETFs short-term trend appears bullish, as the 20-day SMA ($25.17) is above the current price ($25.06). However, the 50-day SMA ($24.32) is below the current price, suggesting potential weakness in the medium term. The 200-day SMA ($26.14) is above the current price, indicating long-term strength. - Fundamental Outlook: The ETFs exposure to the Mexican market may face headwinds due to economic and geopolitical factors. The capped index structure limits overexposure to individual sectors, which could mitigate downside risks. The AUM of $64.46 million suggests liquidity could be a concern, potentially leading to higher volatility. Overall, the Franklin FTSE Mexico ETF is expected to experience moderate volatility over the next three months, with potential downside risks offset by its diversified exposure to Mexican large- and mid-cap stocks.