Van Eck Global announced that, effective June 9, it has reduced the expense caps on three of its Market Vectors exchange-traded funds.
The biggest drop is on the Market Vectors Vietnam ETF, whose expense cap dropped 21 basis points from 97 BPS to 76 BPS. Market Vectors Poland ETF’s expense cap dropped 11 BPS from 0.76% to 0.65%, and the expense cap on the Market Vectors Brazil Small-Cap ETF went from 71 BPS to 65 BPS. The reductions are contracted through at least May 1, 2011.
“International funds generally have higher net expense ratios than domestic funds, but we try to pass on lower expense when we achieve economies of scale,” noted Jan van Eck, principal, Van Eck Global.
Van Eck had $14.3 billion AUM in its 25 Market Vectors ETFs as of May 31.