Investors withdrew money last month from Vanguard Group’s emerging-markets exchange-traded fund, the industry’s largest, after the firm said it would replace the fund’s index.

The $57 billion Vanguard MSCI Emerging Markets ETF (VWO) lost $887 million to redemptions in November while its largest rival, BlackRock's (BLK)’s $41.4 billion iShares MSCI Emerging Markets Index ETF gathered $2.34 billion, according to data compiled by BlackRock. Valley Forge, Pennsylvania-based Vanguard, known for its low-cost index-based products, said Oct. 2 it would drop MSCI as the benchmark provider for 22 funds to lower costs.

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.