Global X Lowers Fees on Colombia ETF

Global X, the New York-based exchange traded funds issuer known for its unique lineup of income and international ETFs, has lowered the annual expense ratio on the Global X MSCI Colombia ETF (GXG) .

The new fee on GXG is 0.61%, down 10% from the prior rate of 0.68%, according to a filing with the Securities and Exchange Commission.

GXG is the oldest and largest Colombia ETF. The fund launched in February 2009 and currently has $113.6 million in assets under management. GXG’s fee reduction puts it on par with the iShares MSCI Colombia Capped ETF (ICOL) . The Market Vectors Colombia ETF (COLX) charges 0.75% per year.

Earlier this week, Global X announced it changed GXG’s name from the Global X FTSE Colombia 20 ETF while swapping indices to the MSCI All Colombia Capped Index from the FTSE Colombia 20 Index.

GXG is up 18.5% over the past six months, bolstered by improving growth in South America’s second-largest economy. Last month, the government upwardly revised its full-year 2013 growth to 4.7% from 4.3%. Finance Minister Mauricio Cardenas is “cautiously” maintaining a growth forecast of 4.7% for this year. Colombia’s first-quarter GDP grew 6.4%, well above the 5.1% forecast by economists. [Colombia ETFs Rally on Stout GDP Reprot]

With the index swap, GXG is now home to 25 stocks. Bancolombia (CIB) and Ecopetrol (EC), Colombia’s state-run oil company, combine for almost 23.6% of the ETF’s weight.

News of GXG’s fee cut was originally reported by

Global X MSCI Colombia 20 ETF



ETF Trends editorial team contributed to this post.

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.