The Financial Times reported Friday, Sept. 24, that several players in the exchange-traded funds market launched new funds with an eye to increasing competitiveness.
On Sept. 19, iShares launched a swap-based ETF platform in London, the Times writes. The firm will use Royal Bank of Scotland, UBS and Credit Suisse as counterparties rather than depending on one bank to ensure investors are paid.
Two funds using this strategy have been launched so far, according to the Times. The iShares MSCI Russia Capped Swap ETF, which has an expense ratio of 0.74%; and the iShares S&P CNX Nifty India Swap ETF, which has an expense ratio of 0.85%.