Industrials, Financials, and Materials are the top three accounting for 26.8%, 20.4%, and 13.7%, respectively in the SCIF sector breakdown. The index touched its all-time high of 22.31 on October 1.

The trigger for Market Vector to launch SCIF is that India's domestic demand drives its economy. The 120 small cap Indian companies, which form a part of the ETF, are those which would be serving the burgeoning middle class.

India's favorable demographics--almost 50% of the population is under the age of 25 -- translate into a strong pipeline of human capital expected to lead consumption. According to a McKinsey report, India's middle-class, a major trigger for economic growth, is likely to constitute more than 40% of the total population by 2025 compared to about 5% in 2005.

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