Van Eck Global Files For Market Vectors Japanese Bond ETF

Van Eck Global has filed paperwork with the SEC for a “Market Vectors Japanese Bond ETF.” The Market Vectors Japanese Bond ETF (the “Fund”) seeks to replicate as closely as possible, before fees and expenses, the price and yield performance of the Market Vectors Japanese Bond Index. The Index is designed to track the performance of fixed income securities with outstanding issue sizes of greater than or equal to Yen___ million. The Index is composed of bonds of issuers located in Japan. Constituent securities include publicly issued government bonds and corporate bonds. A company is considered to be located in Japan if it is domiciled and primarily listed on an exchange in Japan or if it generates at least 50% of its revenues in Japan. Bonds included in the Index must be rated “___” or above by Moody’s Investors Service, Inc. (“Moody’s”) or “___” or above by Standard & Poor’s Rating Services (“S&P”) or Fitch International Rating Agency (“Fitch”) for long-term debt obligations and equivalent ratings for short-term debt obligations. As of the date of this Prospectus, approximately __% of the value of the Index consisted of fixed income securities issued by the Japanese government or government-related agencies. Securities included in the index must have a minimum of __ years remaining to maturity. The Index is calculated and maintained by ______. Index values are calculated between the hours of approximately ___ a.m. (New York time) and ___ p.m. (New York time) Sunday through Friday. Index values are disseminated every 15 seconds. The Index is reconstituted quarterly, at the close of business on the third Friday of each quarter-end month, and companies are added and/or deleted based upon the Index eligibility criteria. The share weights of the Index components are adjusted on each quarterly rebalancing date.

They did not specify a trading symbol or expense ratio in the initial filing.

Principal Investment Strategies

The Fund normally invests at least 80% of its total assets in securities that comprise the Fund’s benchmark index. The Fund’s benchmark is comprised of yen-denominated bonds of issuers located in Japan. Constituent securities include publicly issued government bonds and corporate bonds. Bonds included in the Index must be rated “___” or above by Moody’s Investors Service, Inc. (“Moody’s”) or “___” or above by Standard & Poor’s Rating Services (“S&P”) or Fitch International Rating Agency (“Fitch”) for long-term debt obligations and equivalent ratings for short-term debt obligations. The Fund may invest up to 25% of the value of the Fund’s total assets in fixed income securities issued by the Japanese government or government-related agencies. This 80% investment policy is non-fundamental and requires 60 days’ prior written notice to shareholders before it can be changed.

The Fund, using a “passive” or indexing investment approach, attempts to approximate the investment performance of the Index. The Adviser expects that, over time, the correlation between the Fund’s performance and that of the Index before fees and expenses will be 95% or better. A figure of 100% would indicate perfect correlation. Because of the practical difficulties and expense of purchasing all of the securities in the Index, the Fund does not purchase all of the securities in the Index. Instead, the Adviser utilizes a “sampling” methodology in seeking to achieve the Fund’s objective. As such, the Fund may purchase a subset of the bonds in the Index in an effort to hold a portfolio of bonds with generally the same risk and return characteristics of the Index.

For the comlpete filing click: HERE

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