Byline: Tokyo
In an earlier blog I proposed index funds made up specifically for ethnic groups: Overseas Chinese, Israeli’s and Indians for example.
Surprisingly, Daniel Yergin in his Commanding Heights estimates the size of the GNP of the Overseas Chinese. He estimates it at more than half the size of China’s GNP for only the 25 million Chinese who live outside of China (excluding Singapore and Taiwan). That is surely enough people to warrant an Overseas Chinese index fund. They could invest a large amount of money.
Using Yergin’s approach I would estimate that Overseas Israeli’s, less than 2 million people, generate a GNP equal to Israel’s GNP. About 20% of the Overseas Chinese. The Overseas Indians generate a GNP about half the size of India’s; similar to the Overseas Chinese.
Where are these ethnic index funds?
There are also entrepreneurial Philippino’s, Mexicans, Iranians and Turks who have overseas populations.