The exchange traded fund (ETF) options for investing in emerging market debt just grew by one, with the addition of a new fund from WisdomTree.
The WisdomTree Emerging Markets Local Debt Fund (NYSEArca: ELD) is designed to provide exposure to emerging market debt denominated in local currencies, similar to a fund launched last month by Market Vectors. It has an expense ratio of 0.55%. WisdomTree points out that the fund comes at a time when investor interest in emerging market debt is high. Such debt has faster growth and boasts higher yields than the debt of developed markets. [ETFs for Emerging Market Debt.]
There are several differences between ELD and Market Vectors Emerging Markets Local Currency Bond ETF (NYSEArca: EMLC), explains Olivier Ludwig for Index Universe. ELD is actively managed and it’s slightly more expensive (EMLC’s expense ratio is 0.49%).
Finance PhD reports for Financial Advisor that First Trust has detailed plans to bring an ETF to market targeting Smartphone-related companies (with the clever ticker of FONE). First Trust defines a “smartphone” as a wireless mobile communication device offering advanced capabilities and functionalities, including Web access, through the use of an identifiable operating system. While you wait for a smartphone ETF, there are plenty of ways to get exposure to this sector through existing ETFs.
For more stories about new ETFs, visit our new ETFs category.
Tisha Guerrero contributed to this category.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.