Emerging Global Advisors Launch First Emerging Markets Sector ETFs
The first-ever emerging market sector family of Exchange-Traded Funds (ETFs) has been introduced by Emerging Global Advisors, LLC, (EGA) it was announced today.
The new Emerging Global Shares (EGS) family of ETFs is based on the Dow Jones Emerging Markets Sector Titans Indexes and is designed to provide institutional investors with broad-based exposure to leading emerging market companies across multiple industry sectors. The initial funds will focus on Energy and Metals & Mining. All the ETFs will be listed on the NYSE Arca electronic exchange.
“For the first time, institutional investors will have a transparent vehicle for gaining sector-based exposure to the emerging markets,” said Robert Holderith, chief executive officer at Emerging Global Advisors. “Our family of ETFs will provide the market access and liquidity to allow institutions to execute trading and investment strategies that have not been previously possible.”
The initial group of ETFs begins trading today, and will include the following:
The EGS Emerging Markets Energy Fund seeks to track, before fees and expenses, the performance of the Dow Jones Emerging Markets Oil & Gas Titans 30 Index, and will trade under the symbol (NYSE Arca: EEO). The Dow Jones Index includes 30 of the largest emerging markets companies in the oil & gas industry across 13 countries.
The EGS Emerging Markets Metals & Mining Fund is designed to track, before fees and expenses, the performance of the Dow Jones Emerging Markets Metals & Mining Titans 30 Index, and will trade under the symbol (NYSE Arca: EMT). The Dow Jones Index includes 30 of the largest emerging market companies in the metals and mining sectors across nine countries.
Each ETF has exposure to a diversified mix of countries reducing single-country economic and political risk, an important concern for many emerging markets investors. Components of the underlying indexes have been selected by Dow Jones Indexes based on float-adjusted market capitalization, revenue, and net profits.