Nokia, a top holding in the Wisdom Trees International Communications exchange-traded fund (DGG), declared an important strategic shift with the announcement of an online music service intended to rival Apple’s iTunes. The Financial Times discussed how this move fits into Nokia's long term strategy.
Nokia also announced that India has become its second-biggest market after China pushing the US into third place. Mobile phones and other telcom services have been one of the fastest growing areas of emerging markets and Nokia sees no let up. One plant located in Chennai, India has shipped a remarkable 60 million Nokia phones to 58 countries! Nokia is now shipping more than 100 million phones worldwide each quarter.
Nokia is ranked as the fifth largest holding in the ETF with a 4.3% weighting. The UK, Spain and Hong Kong collectively account for 43% of the companies inside the ETF basket.
By Carl Delfeld of the Chartwell ETF Advisor
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