2025 has seen international equities provide some significant upside following a spring swoon for U.S. stocks. Amid that shift, however, one particular European market has popped off with remarkable strength. What’s more surprising is the country faced near economic catastrophe in the not-too-distant past. That Europe equity ETF has taken advantage of a strong rebound for that market this year.
See more: 3 Reasons to Try Active Emerging Markets ETFs
That fund? It’s the Global X MSCI Greece ETF (GREK), which has returned 73.5% YTD, per YCharts data. That stood out significantly in its ETF Database Category, beating the average of 17.8% as of August 13. That performance comes following a 14.2% return from launch until December 31, 2024 according to YCharts. The Europe equity ETF charges a 57 basis point fee for its approach.
So, what might be driving that big performance spike in 2025? GREK’s index stands out for its concentration. The fund holds just about 20 stocks in Greece, with more than half focused on financials, per ETF Database data. A standout stock in the fund has been Aegean Airlines (AGZNF), up 71.2% YTD. The company leads the way in the Greek airline industry as the largest provider for passengers and commercial goods. According to YCharts, the fund has provided a near 30% return on equity, as well.
Even larger among the stock’s holdings, Titan S.A (TTCIF), has returned 5.4% YTD. The infrastructure materials and building company offers home and building construction support and services. It offers a 11.5% return on equity.
What might be contributing to those strong performances in Greece? To some, the strict financial and fiscal rules imposed on the country following its crisis a decade ago is now paying off. To others, massive vacation and travel investment in real estate has done the heavy lifting. Either way, the country looks to be an intriguing opportunity for those seeking further international diversification. GREK could be one to watch.
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