New Positions on Covestor (FXI, EW)

This week, Robert Giannini, manager of the International Equities model added iShares FTSE/Xinhua China 25 Index Fund (FXI) to his model of inverse ETFs and international equities. FXI is designed to mirror the performance of the FTSE/Xinhua China 25 index which is a collection of the 25 biggest and most liquid Chinese stocks on the Hong Kong stock exchange. You can read the fact sheet for the index here. As of the date of this post the fund was trading at a premium to NAV.

American Values added Edwards Lifesciences Corp (NYSE:EW) to their American Heroes model. The American Heroes model uses a proprietary methodology to find companies that could be considered American heroes. Using fundamental analysis, they narrow the list down to determine which stocks to buy. EW is a provider of technological tools and products that treat advanced cardiovascular disease. As the number-one heart valve company worldwide, it is certainly understandable why they’d be picked as a heroic American company. Their price to earnings ratio is relatively high when compared to their competitors, but their net revenues and gross income have been increasing steadily over the past four years. According to a chart generated by today, their stock price has increased more than 77% over the past year. Their quarterly earnings announced in July showed increased earnings per share as well as increased revenues from the same quarter in the previous year.