Mirae Asset Global Investments Co. said Friday it has agreed with a Colombian brokerage to establish a joint venture in an effort to tap the exchange-traded funds (ETFs) market in Latin America.
Under the deal, Mirae Asset Global Investments will hold 80 percent of the joint venture, named HorizonsETFs (LatAm), with its Colombian partner InterBolsa owning the remaining stake, the South Korean company said.
An ETF refers to an investment fund traded on stock exchanges and represents a basket of stocks that reflect an index. It gives retail investors and institutions a more liquid and risk-hedging tool.
Mirae Asset Global Investments said the joint venture will seek to have its EFTs listed on the Integrated Latin American Market, or MILA, in the first quarter of next year. MILA is a leading stock market in Latin America which encompasses bourses operated in Colombia, Chile, and Peru.
Mirae Asset Global Investments is the asset management arm of South Korea's leading mutual fund manager Mirae Asset Financial Group. (Yonhap)