Van Eck Global Friday launched the Market Vectors Emerging Markets Local Currency Bond ETF, trading on NYSE Arca under the ticker EMLC. The fund closed at $25.45 for the day.
It is the first ETF tied to an index that trades a basket of emerging markets bonds issued in local currencies. Its benchmark index is the J.P. Morgan Government Bond Index-Emerging Markets Global Core Index. Countries represented in the index include Brazil, Russia, Africa, South Africa, Colombia, Egypt and Turkey. However, each nation is market capped at no more than 10% of assets, in order to provide diversification.