ProShares, begun trading the ProShares MSCI Emerging Market Dividend Growers ETF (BATS: EMDV) on Wednesday, January 27, 2015.
Here is a synopsis of the new ETF:
FUND INFORMATION:
| Symbol: EMDV | Exchange: BATS |
| Name: ProShares MSCI Emerging Market Dividend Growers ETF | Net Expense Ratio: 0.60% |
FUND OBJECTIVE:
The ProShares MSCI Emerging Market Dividend Growers ETF seeks investment results, before fees and expenses, that track the performance of the MSCI Emerging Markets Dividend Masters Index.
REFERENCE INDEX:
The MSCI Emerging Markets Dividend Masters Index targets companies that are currently members of the MSCI Emerging Markets Index and have increased dividend payments each year for at least 7 years. The Index contains a minimum of 40 stocks, which are equally weighted. No single sector is allowed to comprise more than 30% of the Index weight, and no single country is allowed to comprise more than 50% of the Index weight. If there are fewer than 40 stocks with at least 7 consecutive years of dividend growth, or if sector or country caps are breached, the Index will include companies with shorter dividend growth histories. The Index is rebalanced each February, May, August and November, with an annual reconstitution during the November rebalance.
In order to be included in the Index, companies must first qualify for inclusion in MSCI Emerging Markets. MSCI Emerging Markets covers approximately 85% of the free float-adjusted market capitalization in each country in the Emerging Markets. MSCI determines whether a country is an “emerging market” country based on three criteria: economic development within the country (based on gross national income), size and liquidity (i.e., number of companies meeting certain size and liquidity standards in a given market) and market accessibility criteria (reflecting institutional investors’ experiences in investing in a given market). As of November 30, 2015, MSCI Emerging Markets included companies from: Brazil, Chile, China, Colombia, Czech Republic, Egypt, Greece, Hungary, India, Indonesia, Korea, Malaysia, Mexico, Peru, Philippines, Poland, Qatar, Russia, South Africa, Taiwan, Thailand, Turkey and United Arab Emirates.
As of November 30, 2015, MSCI Emerging Markets included companies with capitalizations between approximately $$22.6 million and $122.5 billion. The average capitalization of the companies comprising MSCI Emerging Markets was approximately $4 billion.
Index Top Holdings (12/31/2015):
| Shanghai Lujiazui-Class B (USD) | 2.10% |
| Bangkok Dusit Medical Services Public Co. Ltd. | 2.05% |
| LIC Housing Finance Ltd. | 2.02% |
| Infosys Ltd. | 1.97% |
| Asian Paints | 1.96% |
| Housing Development Finance Corp. Ltd. | 1.95% |
| Vanguard International | 1.95% |
| Indocement Tunggal Prakarsa | 1.94% |
| Grupo de Inversiones Suramericana | 1.93% |
| First Gulf Bank | 1.91% |
Country breakdown (12/31/2015):
| China | 22.60% |
| India | 18.76% |
| South Africa | 14.14% |
| Taiwan | 8.90% |
| Indonesia | 5.63% |
| Colombia | 5.41% |
| Korea | 4.68% |
| Mexico | 3.53% |
| Thailand | 3.35% |
| Turkey | 3.24% |
Index Sector Breakdown (12/31/2015):
| Financials | 30.27% |
| Information Technology | 14.56% |
| Consumer Staples | 13.45% |
| Consumer Discretionary | 11.21% |
| Utilities | 7.13% |
| Industrials | 6.48% |
| Energy | 5.95% |
| Materials | 5.72% |
| Health Care | 3.92% |
| Telecommunication Services | 1.30% |
Useful Links:
EMDV Home Page
Category: Equities> Emerging Equity Markets> EM Dividend/Income
ETFtrack comment:
EMDV is the first ETF focused on emerging markets companies with the longest track records of year-over-year dividend growth.
Here is a comment from Michael L. Sapir, co-founder and CEO of ProShare Advisors, LLC, the advisor to ProShares: “Dividend growth investing is a strategy that has become more and more popular because it attempts to identify quality companies with the potential for outperformance and lower volatility. We are pleased to add an emerging markets fund to our suite of dividend growers ETFs.”