ETF Pipeline: Van Eck Planning “Dim Sum” Bond ETFs

Van Eck, the firm behind the first ETF focusing exclusively on Latin American debt, made an SEC filing last week detailing plans to launch a fund covering China’s debt market. The proposed Market Vectors Dim Sum Bond ETF would invest in “Chinese yuan denominated debt obligations issued outside of mainland China by Chinese or non-Chinese issuers, including corporations, governments and government and supranational agencies” according to the filing. The filing also mentioned that the proposed fund would use a sampling approach to replicate the Dim Sum Bond Index. Details on the exact benchmark, such as index provider, weren’t included in the filing. The approach to accessing China’s fixed income markets that would be employed by the proposed ETF is consistent with products that tap into the Chinese equity market. Most China ETFs invest in securities that are listed either on stock exchanges in Hong Kong or ARDs listed on major [...] Click here to read the original article on ETFdb.com. Related Posts: International Bond ETFs: Cruising Through All The Options Van Eck Debuts Latin America Bond ETF (BONO) WisdomTree Posts Strong Q2 Results One Year Later: EMLC Comes Through For Yield Hungry Investors China Bond ETF Race Heats Up