WisdomTree and PowerShares both announced plans to bring new India ETFs to market later this month. The new ETFs will provide direct exposure to Indian Securities for the first time, however, the firms will take different approaches.
WisdomTree intends to launch an earnings-weighted India ETF (EPI) that offers exposure to a universe of approximately 150 profitable companies in the WisdomTree India Earnings Index.
PowerShares will launch the PowerShares India Portfolio (PIN). PIN is based on the Indus India Index which tracks the performance of 50 Indian domiciled companies across the information technology, health sciences, financial services, heavy industry, and consumer products segments.
The new ETFs are expected to address the shortcomings of existing India ETFs and closed-end funds that rely on derivatives and ADRs as a proxy for local equities.