Meanwhile, Vietnamese regulators have accepted ETFs to trade on local markets this year. The move is intended to bring more foreign investment, value and liquidity to the Vietnamese stock market. The framework to list and trade ETFs has been designed and completed. [Vietnam Readies First ETFs]

China is taking steps to launch ETFs on their local exchanges, as well as on the Tokyo stock exchange. China Asset Management and China Southern Asset Management are planning on offering physical ETFs linked to the Chinese stock market in the form of JDRs, or Japanese Depository Receipts. [China ETFs to Debut on Tokyo Exchange]

Furthermore, China is set to introduce the first physically-backed gold ETF to trade on local exchanges. The bullion-backed ETF is expected to gain the interest of institutional investors and sovereign wealth. The move could create a new demand for the precious metal. [China Readying Bullion-Backed Gold ETFs]

Tisha Guerrero contributed to this article.