VelocityShares Expands Into Emerging Markets With EMDR, RUDR And ASDR

by on April 9, 2013 | ETFs Mentioned:

Last week’s employment report dented investors’ confidence and prompted a rapid sell-off on Wall Street; however, much to the bears’ growing frustration, bargain buyers were quick to step in ahead of the weekend and keep the bull train from veering off course. Amid the bull herd returning to the scene this week, VelocityShares took advantage of positive sentiment on Monday morning by rolling out three new emerging market ETFs [see ETF Database Launch Center].

Connecticut-based issuer VelocityShares, perhaps best known for its volatility ETPs, has expanded its lineup of offerings to include foreign equity ETFs, marking yet another stride forward in the democratization of the investing landscape [Download 101 ETF Lessons Every Financial Advisor Should Learn].

Emerging Markets DR ETF (EMDR)

This ETF is linked to the BNY Mellon Emerging Market DR Index, which is a comprehensive depository receipt index that is calculated on a continuous basis throughout the trading day – beginning with the open of the U.K. market through the close of the U.S. market. EMDR boasts a price tag of 0.65%, which falls in the middle of the cost spectrum for the Emerging Markets Equities ETFdb Category, and holds a total of 305 securities [see also ETFdb Emerging Markets ETF Center].

This new fund will face some stiff competition from established players in the space, including two bellwethers that each have over $40 billion in assets under management:

  • Vanguard FTSE Emerging Markets ETF (VWO, A)
  • iShares MSCI Emerging Markets Index Fund (EEM, B+)

Russia Select DR ETF (RUDR)

This ETF is linked to the BNY Mellon Russia Select DR Index, which is a comprehensive depository receipt index that is calculated on a continuous basis throughout the trading day – beginning with the open of the U.K. market through the close of the U.S. market. RUDR charges 0.65% in annual expense fees and holds just over 35 securities in total, which falls in line with other Russia ETFs currently available on the market [try our Free ETF Head-To-Head Comparison Tool].

Emerging Asia ETF (ASDR)

This ETF is linked to the BNY Mellon Emerging Asia DR Index, which is a comprehensive depository receipt index that is calculated on a continuous basis throughout the trading day – beginning with the open of the U.K. market through the close of the U.S. market. ASDR charges 0.65% in annual expense fees and holds close to 160 securities in total, resulting in a fairly deep portfolio that rivals many of the more established Emerging Asia ETFs already on the market.

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Disclosure: No positions at time of writing.