Global X Funds rolled out the Global X Next Emerging & Frontier ETF (EMFM) on Nov. 7. The fund combines emerging markets with frontier markets.
EMFM carries an annual expense ratio of 58 basis points; it tracks the Solactive Next Emerging & Frontier Index, which excludes the BRIC countries as well as “the most developed tier of emerging markets,” including South Korea and Taiwan, according to the fund’s prospectus.
Global X will open up custodian accounts in countries such as Argentina, Bangladesh, Kazakhstan, Kenya, Kuwait, Laos, Mexico and Mongolia, to name a few, and will directly buy securities within those regions. The fund will also derive some of its exposure via American depositary receipts and global depositary receipts, according to the fund’s prospectus.