Closer Look At Frontier Market ETFs

As exchange-traded funds have grown in popularity, ETF issuers have gradually ventured into more exotic and unconventional markets in order to differentiate new products from those already on the market. Many firms have set out to offer greater levels of exposure to hard-to-reach developing economies; there are now a number of emerging markets ETFs that go beyond the BRIC, such as those focusing on Mexico or Indonesia. There are also a number of ETFs offering exposure to the world’s least developed economies, those that fall short of even “emerging” status. These markets–known as frontier markets–often come with considerable risk, but can offer attractive return potential as well. According to MSCI, 26 countries are currently classified under “frontier” status. These economies come from all corners of the globe, including several countries from Latin America, central Europe, Africa, the Middle East, and Asia. Some of the better known frontier markets include Argentina, [...] Click here to read the original article on ETFdb.com. Related Stories: The Next “Frontier” in ETF Investing Uncertainty In Egypt: Three ETFs To Watch Van Eck Launches Egypt ETF (EGPT)