EconoMarcus

New ETFs Present New Opportunities

"Another interesting new entry is (VNM) the Market Vectors Viet Nam ETF, which offers exposure to a new emerging market that has also previously been unavailable to investors." Wrong! I wonder why everybody thinks the VNM is the first Vietnam ETF. It is not. There is still the (in my eyes more attractive) db x-trackers FTSE Vietnam ETF of Deutsche Bank, launched in January 2008. It invests in Vietnam *only* (unlike VNM, which invests in companies that "predominantly are domiciled and primarily listed in Vietnam and which generate at least 50% of their revenues from Vietnam") and with a TER of 0.85% it is cheaper than Van Eck's ETF with capped expenses of 0.99% until 05/01/2010 and even higher after that. Also its sector weighting is quite different. As a drawback in the eyes of some people: It isn't listed in the USA, but you can trade it in the UK, Germany, Italy, Switzerland (Ticker XFVT or DXS7) and I think some other exchanges. Anyway, here are the fact-sheets so that you can compare the two ETFs:
www.vaneck.com/sld/van...
www.dbxtrackers.co.uk/...