SAN FRANCISCO--(BUSINESS WIRE)--EMQQ, the first broad-based emerging markets Internet and Ecommerce exchange traded fund (ETF), marked its third anniversary earlier this month. As of November 13, 2017, the fund had $347.57 million in assets under management, and had returned an average of 14.92% annually since launch, compared to 10.24% percent for the S&P 500 and 5.70% percent for the MSCI Emerging Markets Index.
“EMQQ was created to provide investors with exposure to the growth of online consumption in emerging markets (EM),” said Kevin Carter, co-founder and chief executive officer of EMQQ Index, which designed the index on which EMQQ is based.
“The populations in the emerging markets as defined by MSCI are younger and growing faster than in the developed world, and are in general becoming more affluent. At the same time, these emerging market countries are leap frogging the traditional bricks and mortar way of doing business and moving substantial portions of their economies directly online. We think these are long running secular trends that could continue to drive ecommerce and EM growth for the foreseeable future,” Carter said.
EMQQ seeks to track, before fees and expenses, the performance of EMQQ The Emerging Markets Internet and ECommerce Index, which requires that its constituents derive at least half of their revenue from Internet and Ecommerce businesses in emerging or frontier markets. The index is agnostic when it comes to exchange listing or company domicile; as long as a company generates more than half of its revenue in emerging markets, it is eligible for consideration for inclusion in the index. As of September 30, 2017 the top five country exposures were China (65.11%), South Korea (11.12%), Russia (9.8%) South Africa (6.44%), and Argentina (3.71%). India was sixth at 1.54%.
Carefully consider the Fund's investment objectives, risk factors, charge's and expenses before investing. This and additional information can be found in the Fund's prospectus, which may be obtained by visiting www.emqqetf.com. Read the prospectus carefully before investing.
Investing involves risk, including the possible loss of principal. Investments in smaller and mid-sized companies typically exhibit higher volatility. The fund is non-diversified. International investing may involve risk of capital loss from unfavorable fluctuations in currency values, from differences in generally accepted accounting principles, or from economic or political instability in other nations. Emerging markets involve heightened risks related to the same factors as well as increased volatility and lower trading volume. Frontier markets generally have less developed capital markets than traditional emerging market countries, and, consequently, the risks of investing in foreign securities are magnified in such countries. These countries are subject to potentially significant political, social and economic instability, which could materially and adversely affect the companies in which the Fund may invest. The Fund invests in the securities of Internet Companies, including internet services companies and internet retailers, and is subject to the risk that market or economic factors impacting technology companies and companies that rely heavily on technology advances could have a major effect on the value of the Fund's investments.
There is no guarantee that the Fund or the index will achieve its investment objective.
The NAV of the Fund's shares is calculated each day the national securities exchanges are open for trading as of the close of the regular trade on the New York Stock Exchange (NYSE), normally 4:00 p.m. Eastern time (the NAV Calculation Time). Shares are bought and sold at the market price, not NAV. Closing price returns are based on the midpoint of the bid/ask spread at 4:00 p.m. Eastern Time (when NAV is normally determined) and do not represent the returns you would receive if you traded shares at other times. Brokerage commissions will reduce returns.
| Month End as of: 09/30/2017 | ||||||||||||
| EMQQ | Cumulative (%) |
Avg Annualized |
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| Since | Since | |||||||||||
| 1 Mo. | 3 Mo. | Inception | 1 Year | 3 Year | Inception | |||||||
| Fund NAV | 1.97 | 14.52 | 40.42 | 34.66 | 12.49 | |||||||
| Closing Price | 2.14 | 14.56 | 39.77 | 33.65 | 12.31 | |||||||
The performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when sold or redeemed, may be worth more or less than their original cost and current performance may be lower or higher than the performance quoted. Shares are bought and sold at market price and not individually redeemed from the fund. Brokerage commissions will reduce returns. For performance current to the most recent month-end, please visit www.emqqetf.com.
Exchange Traded Concepts, LLC serves as the investment advisor and Penserra Capital Management LLC serves as a sub-advisor to the fund. The Funds are distributed by SEI Investments Distribution Co. (1 Freedom Valley Drive, Oaks, PA, 19456), which is not affiliated with Exchange Traded Concepts, LLC or Penserra Capital Management LLC.