the 7th largest provider of exchange-traded products in the US and the 10th largest globally. The indices replace the previous index benchmarks of Market Vectors Africa Index ETF (NYSEARCA:AFK) and Market Vectors Gulf States Index ETF (NYSEARCA:MES) which begin tracking the new benchmarks today, 24 June 2013.
“The GDP-based approach of the indices takes into account the specifics of emerging market countries. These countries often have fast growing economies but less developed financial markets and are mostly underweighted in market capitalisation-weighted indices”
“We are pleased to announce the first licensing of GDP-weighted Market Vectors indices,” said Lars Hamich, CEO at MVIS. “The GDP-based approach of the indices takes into account the specifics of emerging market countries. These countries often have fast growing economies but less developed financial markets and are mostly underweighted in market capitalisation-weighted indices,” added Mr. Hamich. “Moreover, the pure-play concept of Market Vectors indices, includes offshore companies, which are companies that are incorporated outside of e.g. Africa but generate at least 50% of their revenues there. 21% of all components in the MV GDP Africa Index are offshore companies. In this index, almost 70% of the Materials sector and more than 90% of the Energy sector are represented by offshore companies.”
GDP Indices provide an alternative view of markets. Other than traditional regional or global indices weighted by market-capitalisation, GDP indices assign country weightings based on a country’s gross domestic product.
MVIS currently offers a selection of five Market Vectors GDP-weighted indices: MV GDP Africa Index, MV GDP GCC Index, MV GDP Emerging Markets Index, MV GDP Emerging Europe ex Russia Index and MV GDP World ex US Index.
|Key Index Features|
|Market Vectors GDP Africa Index||Market Vectors GDP GCC* Index|
|Full MCap (bn USD): 531.88||Full MCap (bn USD): 256.97|
|No of components: 107||No of components: 53|
|Top 5 companies by weighting:||Top 5 companies by weighting:|
|Orascom Construction Industries (7.13%)||National Bank of Kuwait (6.55%)|
|Commercial International Bank (6.57%)||Emaar Properties (6.30%)|
|Subsea 7 (4.20%)||Mobile Telecommunications (5.24%)|
|Orascom Telekom Holding (4.11%)||Bank Muscat (4.96%)|
|Guaranty Trust Bank (3.73%)||National Bank of Abu Dhabi (4.94%)|
|Base date/Base value : 29.12.2006/1000||Base date/Base value : 29.12.2006/1000|
|(Opening data 24 June 2013)||*Gulf Cooperation Council|
Detailed information about the Market Vectors GDP-weighted indices and the full range of Market Vectors Indices, including methodology details and comprehensive data is available on marketvectorsindices.com.