Barclays Global Investors (BGI), the world's largest institutional asset manager and largest manager of exchange traded funds (ETFs), announced today the launch of the iShares JPMorgan USD Emerging Markets Bond Index Fund (NYSE: EMB) on the NYSE Arca. The new fund is designed to track the JPMorgan EMBI Global Core Index, which represents debt obligations issued in U.S. dollars (USD) by sovereign and quasi-sovereign entities of emerging market countries. Its annual expense ratio is 0.60%.
The new fund rounds out the fixed income iShares fund family, which is the largest fixed income ETF offering that also includes US Treasury, municipal, mortgage, and US investment grade and high yield corporate sectors.
"The iShares JPMorgan USD Emerging Markets Bond Index Fund will offer easy-to-access and transparent exposure to a market that has been mostly confined to institutional investors," said Michael Latham, Head of Americas iShares for Barclays Global Investors. "USD emerging market debt can act as a diversifier in a fixed income portfolio. It has historically offered higher yields relative to other sectors of the fixed income market, and may offer an opportunity for capital appreciation if these markets continue to further develop."
The iShares Funds are index funds that are bought and sold like common stocks on securities exchanges. The iShares Funds are attractive to many individual and institutional investors and financial intermediaries because of their relative low cost, tax efficiency and trading flexibility. Investors can purchase and sell shares through any brokerage firm, financial advisor, or online broker, and hold the funds in any type of brokerage account.
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.
Barclays Global Investors (BGI) is one of the world's largest asset managers(1) providing structured investment strategies such as risk-controlled active strategies and indexing. In the U.S., BGI is one of the largest active managers(2), set apart by its risk-controlled approach. BGI manages 65% of the world's 100 largest pension plans(3) and is a leader in assets and products in exchange traded funds (ETFs) through its iShares® brand with more than 290 ETFs globally. The firm managed over $2 trillion in assets as of 6/30/07, for more than 2,900 clients in 52 countries around the world. BGI is a majority-owned subsidiary of Barclays Bank PLC.
There are risks involved with investing, including possible loss of principal. In addition to the normal risks associated with investing, international investments may involve risk of capital loss from unfavorable fluctuation in currency values, from differences in generally accepted accounting principles or from economic or political instability in other nations. Bonds and bond funds will decrease in value as interest rates rise.
The iShares Funds ("Funds") are distributed 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.
The iShares Funds are not sponsored, endorsed, issued, sold or promoted by J.P. Morgan Securities Inc, nor does this company make any representation regarding the advisability of investing in the Funds. Neither SEI nor BGI, nor any of their affiliates, are affiliated with the companies listed above.
©2007 Barclays Global Investors, N.A. 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.
(1) Source: "P&I/Watson Wyatt World 500," Pensions & Investments, September 4, 2006. (2) Source: "Special Reports: Money Manager Directory," Pensions & Investments, May 29, 2006. (3) Source: "P&I/Watson Wyatt World 300: Largest Pension Funds," Pensions & Investments, September 18, 2006.