HSBC unveils Bric ETF in UK

The ETF reflects the underlying S&P Bric 40 index, which comprises the performance of leading companies from Brazil, Russia, India and China. All the index constituents trade on stock exchanges in Hong Kong, the UK and US. The fund physically replicates the index, meaning it invests in the index's securities in generally the same proportions. However, the fund may not take exposure to all of the securities in the index, due to limited liquidity and the need to mitigate tracking error. HSBC head of ETFs Farley Thomas says: "The launch of the HSBC S&P Bric 40 ETF marks an important mile...