Looking to match the success found with the First Trust Dow Jones Internet Index (NYSEArca: FDN), First Trust launched an international equivalent of FDN on Tuesday. The First Trust Dow Jones International Internet ETF (NASDAQ: FDNI) is the latest Internet exchange traded fund to come to market.

The new ETF tracks the Dow Jones International Internet Index. That benchmark “is designed to measure the performance of the 40 largest and most actively traded international stocks in the internet industry,” according to S&P Dow Jones Indices. “To be eligible for the index, a company must derive at least 50% of its cash flow from the internet, as well as be classified in one of the 17 GICS industry groups that have internet-related companies.”

Home to 40 stocks, that index debuted last month. The median market capitalization of the benchmark’s components is $7.92 billion. Over 89% of the index’s components are classified as communication services or consumer discretionary stocks.

“The Internet is reaching further than ever before to connect our world, businesses and personal lives through what is known as the Internet of Things (IoT), or the billions of connected physical devices (cell phones, routers, wearables, home appliances, vehicles, to name just a few),” said First Trust. “We are now living in a universe of intelligent products, services and ways of conducting business that are increasing efficiency, while also uncovering a new era of economic growth.”

Internet Of Things Exposure

The new FDNI offers investors an avenue for exposure to the booming Internet of Things (IoT) market.

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