As has been their custom for nearly all of their exchange-traded fund launches, Van Eck Global
] executives spoke to journalists at the firm's Madison Avenue headquarters in New York Friday morning to discuss their newest product.
| Jan van Eck |
The Market Vectors China ETF
, which offers access to China's A-Shares market, started trading on the NYSE Arca yesterday [see related story
]. The ETF comes with a net expense ratio of 72 basis points. [SEC filing
Van Eck principal Jan van Eck
, who heads up the ETF business, led the roster of speakers, which included director of international equity David Semple
and managing director of exchange-traded funds Adam Phillips
. Judy Zhou
, deputy manager of index sales and marketing at China Securities Index Co., joined in by phone from China.
Van Eck officials noted that the product is the first U.S.-listed ETF that offers exposure to China's A-shares market. As of October 7, there were a total of 24 China A-Share-based ETFs listed on the Hong Kong Exchange.
The ETF will not invest directly in A-Shares from the get-go. It expects instead to invest in swaps and other types of derivative instruments that have economic
characteristics substantially identical to those of China A-Share stocks.
helped Van Eck put together the media briefing.
The launch comes at a somber time for Van Eck Associates Corporation, whose chief investment officer Derek van Eck (Jan's brother) died unexpectedly
at the age of 46 on September 29.
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