Investors Tentatively Look To Europe

The European Commission raised its economic forecast for 2015 on Tuesday in light of improving financials and lower oil prices.

EU economists increased their GDP estimate from 1.3 percent to 1.5 percent for the 19-nation eurozone, saying that the region's fiscal reform has gotten most nations' economies back on track and that spending is expected to rise due to savings at the pump.

Some investors believe that the rosy outlook will fade once the economic tailwinds die down, but others are looking to the bloc as a wise investment choice.

Up-And-Comers

Economies like Spain and Ireland could be attractive bets for investors looking to capitalize on an eurozone recovery. Both nations suffered through the financial crisis and appear to be coming out on top with improving economic indicators and reforms well underway.

Tuesday's EU forecast pointed to Spain and Ireland as the fastest growing economies in the eurozone, making ETFs like iShares MSCI Spain Capped ETF EWP and iShares MSCI Irld Cp Invstb Mrkt Indx Fd EIRL attractive options.

Related Link: Checking In On The German Economy

Stability

Germany has been another popular place for traders looking to expose themselves to Europe's recovery to invest in, as the nation has remained resilient even through the worst of the bloc's financial crisis.

The European Central Bank's quantitative easing is expected to boost Germany's markets, but the nation isn't expected to undergo any major reforms, making it a safer choice for cautious investors.

A Risky Play

Greece is the riskiest eurozone pick, as the nation's financial trouble remains an unresolved issue for the bloc.

While the nation is expected to run out of money relatively soon, most are expecting Athens to receive some type of help from the EU to keep it from defaulting.

Greece's Global X Funds GREK has seen massive losses over the past weeks as the nation's bailout talks drag on, but some believe investors' concern over Greece is overdone and see the fund's low valuation as an opportunity.