Barclays Global Investors Strengthens its Presence in Mexico By Expanding The Family of iShares Funds To Mexican Investors
iShares Style and Sector ETFs To Trade on the Bolsa Mexicana Valores
Mexico City - May 2, 2007 - Barclays Global Investors (BGI) announced today that four style iShares ETFs and 12 sector iShares ETFs began trading under their existing U.S. ticker symbols on the Mercado Global (Global Market) platform of the Bolsa Mexicana de Valores.
This addition further extends BGI's commitment in Mexico and the investment choices Mexican investors have available to them, and expands the iShares Fund family in Mexico to a total of 60 ETFs. iShares is the ETF market leader in Mexico¹, representing 83% of the volume traded at the Global Platform of Bolsa Mexicana de Valores and 11% of the total traded volume in the local and global platforms of the Mexican Stock Exchange in 2006².
The ETFs are the following:
Style Index Funds
Sector Index Funds
"The acceptance of iShares Funds within the Mexican investment community has been strong, and we're pleased to provide Mexican investors with the additional trading capability of style and sector investing," said Daniel Gamba, Managing Director of the Latin America Institutional Business for BGI. "Growth and value investing as well as sector investing through iShares Funds provides Mexican investors an additional vehicle to express their investment views."
The application of style and sector investing has grown in importance as institutional investors are increasingly underweighting or overweighting positions according to tactical strategy or technical indicators. The trading flexibility, transparency and efficiency of iShares allow professional investors to implement a comprehensive range of strategies.
"We feel that style and sector investing with iShares ETFs provides an elegant solution to leverage investment insights and implement portfolio allocation decisions," continues Gamba. "Each fund is designed to represent the characteristics of an asset style or market sector as precisely as possible."
The availability of iShares Funds in Mexico reflects a regulatory change in the regime that permits certain qualified Mexican investors, primarily institutions, to take advantage of investment opportunities, such as ETFs and other foreign securities that trade through the Mercado Global platform. Afores, for example, are allowed to invest in these four style index iShares through the Mercado Global platform.
In Mexico, iShares can be bought and sold by qualified investors via any broker-dealer who is a member of the Bolsa Mexicana de Valores. The shares clear and settle through the Mexican Stock Exchange's normal clearance and settlement process, and then are purchased or sold from a sub-account at U.S.-based DTC maintained on behalf of the iShares sponsoring broker in Mexico, Deutsche Bank Securities. For the Mexican investor, the process is expected to be seamless.
Carefully consider the funds' investment objectives, risk factors and charges and expenses before investing. This and other information can be found in the funds' prospectuses, which may be obtained by calling 1-800-iShares or by visiting www.ishares.com. Read the prospectus carefully before investing.
Investing involves risk, including possible loss of principal. In addition to the normal risks associated with investing, narrowly focused investments typically exhibit higher volatility. Transactions in shares of the iShares Funds will result in brokerage commissions.
Barclays Global Investors (BGI) is one of the world's largest asset managers³ and a leading global provider of investment management products and services. It has over 2,900 institutional clients and over $1.8 trillion of assets under management. It transformed the investment industry by creating the first index strategy in 1971 and the first quantitative active strategy in 1979. BGI is a global product leader in exchange traded funds (iShares) with over 190 funds for institutions and individuals trading in fifteen markets. Globally, it has $287 billion of iShares ETF assets under management.
1. Source: UBS Pactual, UBS Investment Research, Mexico AFORE Tracker, 22 March 2007
2. Source: Mexican Stock Exchange
3. Source: "P&I/Watson Wyatt World 500," Pensions Investments, September 4, 2006.
The iShares Funds ("Funds") that are registered with the US Securities and Exchange Commission under the Investment Company Act of 1940 are distributed in the US by SEI Investments Distribution Co. (SEI). Barclays Global Fund Advisors (BGFA) serves as an advisor to the Funds. Barclays Global Investors Services (BGIS) assists in the marketing of the Funds. BGFA and BGIS are subsidiaries of Barclays Global Investors, N.A., which is a majority owned subsidiary of Barclays Bank PLC, none of which is affiliated with SEI. This material does not constitute an offer or solicitation to sell or a solicitation of an offer to buy any shares of any Fund (nor shall any such shares be offered or sold to any person) in any jurisdiction in which an offer, solicitation, purchase or sale would be unlawful under the securities law of that jurisdiction.
©2007 Barclays Global Investors. All rights reserved. iShares® is a registered trademark of Barclays Global Investors, N.A. All other trademarks, servicemarks or registered trademarks are the property of their respective owners.
As of December 1, 2009, the former Barclays Global Investors entities referred to in this publication are owned and controlled ultimately by BlackRock Inc. and neither Barclays nor any Barclays affiliate is responsible for, or associated with, the contents of this publication.
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