ETFlab Investment, the Munich-based provider of exchange-traded funds, has launched two threshould country index funds.
The ETFlab MSCI China comprises a broadly diversified basket of stocks of Chinese companies traded in Hong Kong.
The ETFlab MSCI Emerging Markets tracks a broadly diversified portfolio of companies listed on the stock exchange of 21 threshold countries.
“Thus we provide an access to the fastest-growing regions of the world,“ says Andreas Fehrenbach, ETFlab’s managing director. “Investors wishing to achieve above-average returns must engage there.“
The ETFlab MSCI China puts high value on high liquidity and broad coverage of the overall market. With currently 123 assets it represents 85 per cent of the market capitalisation. The highest weighted stocks are financial assets (38 per cent), providers (16.9 per cent) and telecommunications services providers (12.6 per cent). The ETF tracks the index in a fully replicating manner. The management fee is 0.65 per cent annually. Dividend payout takes place up to four times per year.
The index tracked by ETFlab MSCI Emerging Markets comprises currently 756 individual companies the stocks of which are traded on the stock exchanges of 21 threshold countries. The highest weighted of them are issues from China (19 per cent), Brazil (16 per cent), and South Korea (13 per cent). The index they are based on has the form of a performance index. Any accruing dividends will be retained. Tracking is performed by means of swaps. The management fee is 0.65 per cent annually.
Both ETFs will be listed continuously on the Xetra and Stuttgart stock exchanges as of 20 July.