VALLEY FORGE, Pa., Nov. 15, 2016 /PRNewswire/ -- To meet the growing
demand for broadly diversified exchange-traded funds (ETFs) in
Mexico, Vanguard today has
cross-listed three new ETFs on the Mexican Stock Exchange (Bolsa),
bringing the total number of Vanguard ETFs available on the Bolsa
to 65.
The new ETFs are:
- Vanguard Mortgage Backed Securities Fund (VMBS) invests
primarily in U.S. agency mortgage-backed pass-through
securities.
- Vanguard International High Dividend Yield Index Fund (VYMI)
provides exposure to international stocks that are forecasted to
have above-average dividend yields.
- Vanguard International Dividend Appreciation Index Fund
(VIGI) provides exposure across developed and emerging
non-U.S. equity securities around the world that have a history of
increasing dividends.
"Vanguard is pleased to be able to cross-list additional
products on the Bolsa to help meet Mexican investors' needs for
low-cost and broadly diversified ETFs," said Kathy Bock, head of Vanguard Americas.
The ETF market in Latin America
is growing at 18% annually,* mirroring the same trend worldwide
over the past several years as more investors are attracted to
low-cost indexing and indexed ETFs.
About ETFs
ETFs are becoming the investment of choice for investors
worldwide because of the growing popularity of indexing and
increasing accessibility on many investment platforms. Global ETF
assets have grown to more than $3.3
trillion* in nearly 6,700 ETF products globally*, providing
investors with a broad array of choice to gain exposure to the
world's stock and bond markets.
The ETF structure blends the investment characteristics of
conventional mutual funds with the transactional characteristics of
individual securities. As opposed to mutual funds that are bought
or redeemed at prices determined at the close the trading day, ETFs
are continually priced and traded throughout the day.
Like index mutual funds, ETFs provide broad diversification,
enabling investors to spread investment risk over thousands of
securities to mitigate single stock risk. In general, ETFs, like
most index funds, feature lower expense ratios than actively
managed mutual funds.
Vanguard as an ETF leader
Vanguard is the world's largest mutual fund company and one of
the world's largest investment management companies. As of
September 30, 2016, Vanguard managed
more than $3.8 trillion in global
assets, including over $600 billion
in global ETF assets. The firm, headquartered in Valley Forge, Pennsylvania, U.S., offers more
than 350 funds to its more than 20 million investors worldwide.
Vanguard introduced its first ETF in the United States in 2001 and is now the
world's second-largest ETF provider. Vanguard offers a thoughtfully
designed suite of ETFs that meet durable, long-term investment
needs.
*Source: Morningstar, Inc., as of March
31,2016
*Source: Morningstar, Inc., as of September
31, 2016
*Source: Bloomberg, as of December
31,2015
For more information about Vanguard funds, visit vanguard.com
or call 800-662-7447 to obtain a prospectus or, if available, a
summary prospectus. Investment objectives, risks, charges,
expenses, and other important information about a fund are
contained in the prospectus; read and consider it carefully before
investing.
Vanguard ETF Shares are not redeemable with the issuing Fund
other than in very large aggregations worth millions of dollars.
Instead, investors must buy and sell Vanguard ETF Shares in the
secondary market and hold those shares in a brokerage account. In
doing so, the investor may incur brokerage commissions and may pay
more than net asset value when buying and receive less than net
asset value when selling.
All investing is subject to risk, including the possible loss of
money you invest.
Investments in stocks or bonds issued by non-U.S. companies are
subject to risks including country/regional risk and currency risk.
These risks are especially high in emerging markets
This document contains information and comments of a general
nature and is for informational purposes only. It does not in any
way contain information with purposes of promoting, advertising or
marketing securities for Mexican investors. Vanguard is not acting
as a broker of the ETF shares and is not authorized to carry out
brokerage activities or collection of deposits. The content,
any statement made by Vanguard or any of its affiliates, employees
or attorneys-in-fact shall not in any way be construed as a
brokerage activity, investment advice recommendation, or as an
offering or securities or any other financial product. Any relevant
information may be consulted or obtained in the relevant prospectus
or informational supplements found at the webpage of the Mexican
Stock Exchange (Bolsa Mexicana de
Valores, S.A. de C.V.). The purchase or sale of ETF
shares generates brokerage commissions. However, given that the
annual costs of managing ETFs may be substantially lower than those
for an investment fund, it is expected that such savings compensate
the commission costs. The information contained herein is not
intended to be investment advice.
Vanguard Marketing Corporation, Distributor. U.S. Patent Nos.
6,879,964; 7,337,138; 7,720,749; 7,925,573; 8,090,646;
8,417,623.
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SOURCE Vanguard