The LAM ZyFin MSCI India UCITS ETF is Europe’s first physically replicated Indian equity ETF, according to the specialist emerging markets asset manager.
The ETF tracks MSCI India 10/40 Index, denominated in US dollars, and is fully UCITS compliant. The fund will use a physical replication strategy in order to track as closely as possible the returns of the index after the deduction of fees and expenses.
The index is designed to measure the performance of large and mid-cap segments of the Indian equity market. It covers close to 85% of the free float-adjusted market capitalisation in India.
“We are excited to be launching Europe’s first physically backed Indian equity ETF, a product which fits perfectly with our ethos of offering investors cost-effective and transparent access to investment opportunities in emerging markets,” said Sanjay Sachdev, executive chairman at ZyFin.
“With economic growth for the current and forthcoming year projected at 7.4% (IMF), a huge workforce and growing middle class the investment case for India is compelling,” he added.
Derek Fulton, CEO of First Trust Global Portfolios, ZyFin’s London-based ETF distribution partner, said: “We believe the MSCI India 10/40 Index offers a truly diversified representation of India’s economic growth story, which investors can now access in a cost effective and transparent manner.”
“MSCI’s wide range of indexes has made us a leading index provider for the global ETF market as they look to develop new products as the equity markets evolve and new opportunities emerge,” said Phil Beattie, executive director, index product at MSCI.