MSCI launches Beyond BRIC Index

|By:, SA News Editor

With institutional portfolios already plenty exposed to the played-out BRIC theme, MSCI launches the EM Beyond BRIC Index, made up of 17 countries, but excluding the BRIC nations.

Larger EM countries like Taiwan, South Africa, and Korea are capped at just 15% of holdings in order to encourage diversification. This new index would have returned 12% annualized since 1999, outperforming the MSCI Emerging Markets Index (EEM) by 90 basis points per year.

State Street has already filed for the MSCI Beyond BRIC ETF (EMBB) to track the index.

Another Beyond BRIC ETF is recently-launched (BBRC).

BRIC ETFs: FNI, EEB, BKF, BIK, BBRC, EMDD, BICK.

Emerging market ETFs: AGEM, EEM, ADRE, SCHE, GMM, VWO, DEM, EWEM, PXH, PIE, EWX, DGS, EMLB, EDC, EET, EMSA, EDZ, EEV, EUM, TLTE, HILO, EELV, EEMA, EMFT, DVYE, FEMS, EVAL, EGRW, EMCR, IEMG, EMDR, EEME.