Emerging Global Advisors (EG Advisors), the first dedicated emerging markets sector exchange-traded fund provider, is celebrating its one-year anniversary this week. The firm has grown to more than $100 million in assets and currently manages six ETFs, with others scheduled for launch later this year. Established May 22, 2009, EG Advisors provides ETFs tied to stock indices of developing economies around the world.
“There’s been so much change in the emerging market investment landscape in such a short time that an asset class that was once an afterthought is now the foremost consideration in many investment portfolios, institutional and retail alike,” said Robert Holderith, president and CEO of Emerging Global Shares. “We believe market dislocations in the US and other developed countries have led investors to the inescapable conclusion that alpha generation has to come from emerging nations, many of whom are spending hundreds of billions of dollars on their infrastructure build-outs. 1 These are the markets in which we invest and we think this puts us on the front lines of what has shaped up to be tremendously exciting investment opportunities.”
In addition to their ETF lineup, EG Advisors also remains committed to providing investors with cutting-edge proprietary research and analysis. The company follows a focused, hands-on research approach, enabling it to gain intelligence into newer, less-researched emerging markets. The research from EG Advisors helps provide investors with an investment rationale for allocating emerging market exposures to their portfolios, and also offers market-by-market analysis on risk, and political and economic perspectives, among others. EG Advisors’ research has also helped lead the company’s product development initiatives to new areas like its recently-launched country-specific infrastructure ETFs.
“EG Advisors’ goal has always been to convert our knowledge and analytical expertise into actionable opportunities for investors,” said Richard Kang, CIO and head of research at EG Advisors. “If there’s one thing investors have learned over the last 18 months it’s that too much exposure to domestic markets may pose a greater risk than previously assumed. We believe emerging markets, such as Brazil, China and India, are witnessing rates of economic growth that investors simply can’t find in the developed world. We expect these economies, along with their peers, to be the locomotive powering the global economy for many years to come.”