Indonesia has a huge population of nearly 240 million, with a median age of 28. The country has the largest economy in Southeast Asia and has enjoyed strong economic growth for almost a decade. For the last five years, gross domestic product (GDP) growth averaged about 6 percent, based mainly on consumption and infrastructure investment.

We recommend the iShares MSCI Indonesia Investable Market Index Fund (NYSE: EIDO), which offers exposure to banks and key industrial, materials and energy companies that otherwise would be almost impossible for investors to buy. A new addition to the model portfolio, this ETF is a buy up to USD35.

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