EGShares Launches Industry’s First India Small
Cap Exchange-Traded Fund
July 07, 2010 09:29 AM Eastern Daylight Time
NEW YORK--(EON: Enhanced Online News)--EGShares, the first dedicated emerging markets sector ETF
provider, today launched the India Small Cap ETF (NYSE: SCIN), the first ETF that offers investors access to
small capitalization companies in the world’s largest democracy. The Emerging Global Shares Indxx India Small Cap
Index Fund invests in 75 publicly traded companies with market capitalizations between $100 million and $2 billion
and is designed to track the performance of the Indxx India Small Cap Index.
“We’re very excited about launching the world’s first India Small Cap ETF,” said Robert Holderith, President and
CEO of EGShares. “We believe that until today, India exposure through ETFs has been limited and the offerings
have been very similar. With almost zero overlap in holdings vs the current ETF offerings and a meaningfully different
industry allocation, our fund attempts to provide exposure to some of the fastest growing companies in one of the
world’s fastest growing economies.”
The Indxx India Small Cap Index is a 75 stock, free float adjusted market capitalization index designed to measure
the market performance of equities in the small cap sector of India. It has a mean free float market capitalization of
$632 million and the fund charges a net expense ratio of 0.85% (gross expense ratio: 1.58%)1. The top five industry
weights of the Index, as of 6/30/10, were Commercial Banks (12.59%), IT Services (8.67%), Software (7.78%),
Textiles, Apparel & Luxury Goods (6.22%), and Metals & Mining (5.95%), followed by Real Estate Management
& Development, Food Products, Chemicals, Media, and Construction & Engineering.
According to Richard Kang, CIO and Director of Research at Emerging Global Advisors, “investors are searching
for returns in this time of great economic uncertainty and we believe that in developed markets, return expectations
for capital appreciation