How To Play Greece's Financial Problems

Although the deteriorating relationship between Greece and its creditors has played out across the headlines this week, the general consensus among investors is that the two sides will eventually reach a deal regarding Athens' bailout package.

On Thursday, German Chancellor Angela Merkel met with her Greek counterpart Alexis Tsipras after the European Union summit, where they both agreed that a Greek exit wasn't in anyone's best interest. Although Greece has been making it difficult for EU lenders to believe the nation is serious about financial reform, none of the parties involved would benefit from Greece leaving the currency union.

For that reason, many investors are snapping up companies with Greek interests while the dispute depresses their value.

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Greek Banks

While the National Bank of Greece (ADR) NBG is the most widely recognized Greek bank, several of the nation's other financial institutions are also trading lower amid the controversy.

E F G EUROBANK ERGAS EGFEY, "Eurobank," is another interesting opportunity for investors who see a Greek recovery in the cards, unlike many of the nation's other large banks, such as Alpha Bank A.E. (ADR) ALBKY and Piraeus Bank SA BPIRY, Eurobank boasts majority private ownership.

Other Industries

The banking sector has arguably the most to gain from a resolution between Greece and the EU, but other industries in Greece also stand to benefit. Economic improvement would lead to more spending, which in turn will benefit the majority of Greece's businesses.

MYTILINEOS HLDGS SA MYTHF, "Mytilineos Holdings," a mining and construction company and Tsakos Energy Navigation Ltd. TNP, an oil tanker operator, are both in a position to benefit from an economic recovery in Greece.

ETF

For investors who are bullish on a Greek recovery, but reluctant to pick an individual stock, an ETF like the Global X Funds GREK, "Global X FTSE Greece 20 ETF," is a good option. The ETF covers a wide range of industries, including banking as well as energy and consumer goods.