If 2005 was not the year of the hedge fund, it was definitely the year of the exchange traded fund. A couple of analysts have a foreign ETF pick for the new year, incidentally using very different methodologies.

Jim Lowell at Marketwatch.com uses a momentum-based process to pick his “Hot Hands ETF.” Lowell explains how his process picks a broad-based ETF for the next year. Surprisingly his pick for 2006 is the same as 2005, i.e. the iShares S&P Latin American 40 Fund (ILF).

Roger Nusbaum in TheStreet.com has a very different pick. He recommends the iShares MSCI Sweden Index Fund (EWD) to take advantage of potential capital inflows into the economy. While Nusbaum recognizes it is not a perfect vehicle, it does do the job for which it is recommended.

As always this should only be a starting point for your own research.