Kevin T. Carter and the team behind the EMQQ and FMQQ ETFs, are announcing the launch of their third ETF, the India Internet and Ecommerce ETF (INQQ).
The firm writes that INQQ offers targeted exposure to the companies leading India’s digitisation and is a first of its kind in the ETF market. In tandem with the rollout of INQQ, Carter and his team are also announcing a new overarching company name for all their ETF efforts, “EMQQ Global”, as the firm continues to build out its product lineup and as the digital revolution in emerging and frontier markets rapidly expands.
INQQ trades on the New York Stock Exchange (NYSE) and will provide investors exposure to the companies leading the wave of ecommerce and internet innovation that is reshaping many corners of Indian business, finance, banking, consumer goods and more.
“India is an extraordinary investment opportunity and a central part of the ecommerce and digitalisation growth story in emerging and frontier markets beyond China. You can think of this opportunity as ‘the next billion’ as India’s population gets affordable access to the internet for the first time via smartphones, changing the way people shop for food, clothing, access entertainment, do their banking, learn, and more,” says Carter. “India is also home to some of the most innovative ecommerce companies, like fintech leader PAYTM, and Zomato, a food delivery app, and we’re seeing young bright entrepreneurs lead the charge as they are creating IPOs with USD16 billion in total valuations.”
Carter notes that, in addition to the entrepreneurs and the technology that is being created and introduced in India, there is major support from the Indian Government. India’s President Modi introduced the “Digital India” campaign in 2015 with the aim to have a trillion-dollar online economy by 2025 and improve the infrastructure needed to digitally empower the country. Furthermore, India’s efforts at demonetization continue to encourage fintech development and mobile banking. With a population of 1.3 billion people and the largest Gen Z population in the world, the Indian growth opportunity is large, Carter adds.
“India is the third largest economy and fastest growing major economy on the globe, and we’re excited to offer investors the first targeted approach to tap into this rapid ecommerce and digitalization story of India.”
“Since 2014 when we launched our flagship fund EMQQ, there’s been momentous and meaningful development in the ecommerce and internet sector with billions more people coming online, innovative companies emerging, and the consumer class increasing,” says Carter. “We introduced our ex-China version of EMQQ, ‘FMQQ’, last year to offer a diversified approach, and now as we continue to build out our product lineup with INQQ and a number of other ideas we have under development, our rebrand to ‘EMQQ Global’ better represents our expertise in the space as we continue to capture the scale and progression of the global opportunities in these markets.”
“By 2030, the global middle class is expected to swell to 5.5 billion people, with consumption in emerging markets totaling USD30 trillion—close to half of the global total. With nearly 90 per cent of the world’s population under the age of 30 living in emerging and frontier economies, there is still a long way for this story to go. For investors seeking exposure to the long-term growth in Emerging Markets, we continue believe this sector remains the best way to go,” says Carter.
