India’s economic and exchange traded fund (ETF) growth is one of the year’s most compelling stories. Investors who find themselves intrigued by the country will be pleased to hear that there’s a new fund to access the rapidly growing emerging market.
iShares has finally launched the iShares S&P India Nifty 50 (Nasdaq: INDY), which has been in registration for years. The fund will have some ground to make up, says Cinthia Murphy for IndexUniverse. It launched with $20 million in assets, while the other two India ETFs hold several hundred million apiece. INDY will invest in securities and depositary receipts of India’s 50 largest companies by market cap.
Top sectors in the fund include banks, 17.1%; refineries, 13.5%; computer/software, 12%; and engineering, 6.7%. The expense ratio is 0.89%.
The two other major ETFs that are pure plays on India are:
- PowerShares India (NYSEArca: PIN): up 75.3% year-to-date
- WisdomTree India Earnings (NYSEArca: EPI) up 92.5% year-to-date