Continued enhancement of an ETF issuer range in the UK through exposures to emerging markets and European real estate

An ETF issuer has introduced another series of 8 equity exchange traded funds (“ETFs”) to the UK market. Following the launches in May and June 2011, this third series brings the total number of Amundi ETF products traded on the London Stock Exchange (“LSE”) to 41.…

The majority of this series extends the range through an emerging market focus based on MSCI indices:

• Exposure to individual emerging markets
AMUNDI ETF MSCI BRAZIL, AMUNDI ETF MSCI CHINA and AMUNDI ETF MSCI INDIA offer investors exposure to indices composed of the leading stocks in the three respective countries. These ETFs are offered with competitive Total Expense Ratios (“TERs”) which compare well against the average TER for competitor products1

• Broad exposure to emerging regions on the LSE: 0.55% vs 0.72%; 0.55% vs 0.70%; and 0.80% vs 0.84%, respectively. AMUNDI ETF MSCI EM ASIA, AMUNDI ETF MSCI EM LATIN AMERICA and AMUNDI ETF MSCI EASTERN EUROPE EX RUSSIA offer exposure to key emerging regions across the globe. All three ETFs are offered with a TER of 0.45% compared to the average TER of 0.65%, 0.68% and 0.74% respectively for competitor products (1).

• Exposure to global emerging markets
The Amundi ETF range also offers AMUNDI ETF MSCI EMERGING MARKETS that seeks to replicate as closely as possible the performance of the flagship benchmark, the MSCI Emerging Markets Index, whether the trend is rising or falling. With a TER of only 0.45% vs an average of 0.67% for similar competing products (1), this ETF provides exposure to around 20 emerging countries covering approximately 85% of each country’s stockmarket capitalisation.

In addition, a European real estate investment theme is introduced through AMUNDI ETF REAL ESTATE REIT IEIF which tracks as closely as possible the performance of the Euronext IEIF REIT Europe strategy index, whether the trend is rising or falling. This index includes around 25 liquid stocks of listed companies which have opted for a REIT (Real Estate Investment Trust) regime, i.e. tax-transparency with an obligation to distribute income. Exposure to this index is unprecedented on the LSE (2)

Valérie Baudson, Managing Director of Amundi ETF comments: “This latest series enhances our range of equity exposure on the LSE. We offer investors cost effective emerging market exposures, with low tracking error, reflecting the quality of our products. These launches are in line with our development objectives for the UK.”

(1) Source: Amundi Investment Solutions as of 17/08/2011; based on a comparison of the asset-weighted average TER of the relevant AMUNDI ETF funds (the “Funds”) versus the asset-weighted average TER of equivalent ETFs available on the London Stock Exchange and using the same or a similar benchmark (if any). A TER is a measure that compares the annual total management and operating costs charged to a fund against the value of that fund’s assets. All TERs mentioned above are expressed as a maximum percentage per annum, including VAT. Analysis excludes commissions and other third party costs incurred directly by investors trading in ETFs. Investors should note that (i) one or more individual Funds may not be cheaper than the asset-weighted average total expense ratio of the other European ETFs using the same or a similar benchmark; and (ii) some Funds may not have a peer group to compare against.

(2) At the time of the fund’s admission to trading on the LSE.