There was a trade to the Franklin International Rotation Model this week, sell Germany and buy Asia ex-Japan
There was a trade to the Franklin International Rotation Model this week.
The Asia-Pacific region continues to be one of the strongest areas of the markets, with the emerging markets in the region putting together a solid performance so far in 2026. Meanwhile, developed markets has slowed down relative to emerging markets in recent weeks, especially in the Europe region. As a result of these shifts, we saw the Franklin International Rotation Model sell out of the Franklin FTSE Germany ETF (FLGR), buying the Franklin FTSE Asia Ex Japan ETF (FLAX) in its stead. FLAX is currently in a streak of three consecutive buy signals while its has also traded in a positive trend for over two years. It also holds an extremely strong fund score of 5.72, which is 1.37 points higher than the average Non-US Equity fund. The fund currently trades in actionable territory with support lying at $29.50 and $29.
The model now holds 60% exposure to Asian equities while also maintaining a 20% exposure to Canada (FLCA) and a 20% exposure to Brazil (FLBR).