Interest in emerging markets has surged in recent years, and investors have embraced ETFs as the preferred means of accessing this asset class. Emerging markets have been established as the clear leaders of global GDP growth, while the economies of the United States and much of Europe have stalled. Developed markets are facing stubbornly high unemployment and limited flexibility thanks to mounting debt burdens, while emerging markets continue to race ahead. Broad-based funds, such as EEM and VWO, are by far the most popular options for tapping into this asset class. Both of these two funds are linked to the MSCI Emerging Markets Index, a benchmark that includes the largest publicly-traded companies in the developing world. These massive funds are not without their flaws however, as both of these ETFs are tilted towards large cap equities, with a sector bias towards financial and energy holdings. [click to continue…]
EGShares, the only U.S.-based ETF issuer focusing exclusively on emerging markets funds, announced the latest addition to its suite of products targeting the developing world this week. The new India Consumer ETF (INCO) will seek to replicate the INDXX India Consumer Index, a 30-stock composite of companies listed on India’s National Stock Exchange and Bombay [...]
Over the past few years it has become increasingly clear that China is now the most important economy in the world. Though second to the U.S. in total size, China accounts directly for a significant portion of global GDP growth and has contributed indirectly to expansion in developed and emerging markets around the globe–particularly resource [...]
So far in 2011 more than 200 new exchange-traded products have debuted, taking the ETF lineup close to the 1,300 mark. Over the past several years, the exposure accessible through ETFs has become increasingly granular; while some of the new products debuting are “plain vanilla” funds linked to well known indexes (such as the recent [...]
In recent years, emerging markets have been established as the clear leaders of global GDP growth, while the economies of the U.S. and western Europe have stalled. Developed markets are facing stubbornly high unemployment and limited flexibility thanks to mounting debt burdens, while emerging markets continue to race ahead. In a recent economics paper, Goldman [...]
As the ETF world has grown over the past few years some sectors have seen an incredible level of product development, giving investors a multitude of investment options to achieve their financial goals. That is especially true in the emerging markets ETF space, where increased granularity allows investors to customize their exposure to the world’s [...]
Once upon a time, exposure to the Chinese stock market was a binary decision for U.S. investors–they either had it or they didn’t. Thanks in part to increased flexibility in cross-border listings and in part to the proliferation of exchange-traded funds, investors now have countless options for exposure to the world’s second largest economy.
As developed economies stagnate under the burden of rising unemployment and deteriorating fiscal situations, investor interest in emerging markets continues to climb. The gap in growth potential between the developed and emerging worlds has never been wider, while the gap in risk has perhaps never been more narrow. Through the first nine months of 2010, [...]
In the wake of the recent recession, many Americans are now acutely aware of the perils of maintaining mountains of personal debt, and have taken steps to reduce credit card balances and pay down other obligations. While many have struggled to get debt burdens under control, much of the developed world has seen a material [...]
EGShares, the only ETF issuer to maintain a product line dedicated exclusively to emerging markets funds, announced today the latest addition to its lineup. The Emerging Markets Consumer Titans Index Fund (ECON) will be the first U.S.-listed ETF offering exposure to a corner of the market overlooked by many existing emerging markets ETFs: consumer goods [...]
The impact of the recent global economic slowdown was first felt by consumers around the world who were forced to cut back on purchases in order to endure the recession. While some consumer segments such as the wealthy, have begun to spend again, the events of the last two years have also had a profound, [...]
