EGShares Launches Industry’s First India Small Cap Exchange-Traded Fund

EGShares, the first dedicated emerging markets sector ETF provider, today launched the India Small Cap ETF (NYSE: SCIN), the first ETF that offers investors access to small capitalization companies in the world’s largest democracy. The Emerging Global Shares Indxx India Small Cap Index Fund invests in 75 publicly traded companies with market capitalizations between $100 million and $2 billion and is designed to track the performance of the Indxx India Small Cap Index.

“We’re very excited about launching the world’s first India Small Cap ETF,” said Robert Holderith, President and CEO of EGShares. “We believe that until today, India exposure through ETFs has been limited and the offerings have been very similar. With almost zero overlap in holdings vs the current ETF offerings and a meaningfully different industry allocation, our fund attempts to provide exposure to some of the fastest growing companies in one of the world’s fastest growing economies.”

The Indxx India Small Cap Index is a 75 stock, free float adjusted market capitalization index designed to measure the market performance of equities in the small cap sector of India. It has a mean free float market capitalization of $632 million and the fund charges a net expense ratio of 0.85% (gross expense ratio: 1.58%)1. The top five industry weights of the Index, as of 6/30/10, were Commercial Banks (12.59%), IT Services (8.67%), Software (7.78%), Textiles, Apparel & Luxury Goods (6.22%), and Metals & Mining (5.95%), followed by Real Estate Management & Development, Food Products, Chemicals, Media, and Construction & Engineering.

According to Richard Kang, CIO and Director of Research at Emerging Global Advisors, “investors are searching for returns in this time of great economic uncertainty and we believe that in developed markets, return expectations for capital appreciation of equities as well as fixed income and dividend yields are low, while correlations among core asset classes remain high. As a result we expect investors of all types to allocate more to emerging markets whether it’s through equity, fixed income or currency. One example is India, an emerging market economy that has grown at an impressive rate, expanding by about 8.5% over the past five years. Roughly half a billion new middle class consumers are expected to rise from relative poverty over the next 15 years, according to the McKinsey Global Institute, which makes for favorable ramifications for businesses large and small that are looking to accelerate growth. As the western world restructures to essentially save more and spend less, the Indian government may allow their people to similarly transition in the opposite direction. We think domestic consumption and infrastructure spending are key themes to watch.”

The EGShares India Small Cap ETF is the seventh ETF to be introduced by EGShares. Other funds include the EGShares Brazil Infrastructure ETF (BRXX), EGShares China Infrastructure ETF (CHXX), EGShares Emerging Markets Metals/Mining ETF (EMT), EGShares Emerging Markets Energy ETF (EEO), EGShares Emerging Markets Financials ETF (EFN) and the EGShares Emerging Markets Large Cap ETF (EEG).

About Emerging Global Advisors LLC

Emerging Global Advisors LLC is an independent investment advisory firm and the sponsor of the EGShares family of Exchange-Traded Funds. The firm's thematic research focuses primarily on investor opportunities in the emerging markets. More information on the firm and its ETF products can be found at www.egshares.com. EGShares Exchange-Traded Funds are distributed by ALPS Distributors, Inc. Richard Kang and Robert Holderith are registered representatives of ALPS Distributors, Inc.

Carefully consider the Fund's investment objectives, risk factors and charges and expenses before investing. This and other information can be found in the Funds' prospectuses, which may be obtained by calling 1-888-800-4EGS (4347) or by visiting the fund's website www.egshares.com to view or download a prospectus. Read the prospectus carefully before investing. Investing involves risk, including possible loss of principal.These funds are new and not suitable for all investors.

ETFs are subject to risks similar to those of stocks.

Emerging market investments do involve risk of capital loss from unfavorable fluctuation in currency values, from differences in generally accepted accounting principles, from economic or political instability in other nations or increased volatility and lower trading volume. This fund will concentrate its investments in issuers of one or more particular industries to the same extent that its Underlying Index is so concentrated and to the extent permitted by applicable regulatory guidance. Concentration risk results from maintaining exposure to issuers conducting business in a specific industry. Small cap companies generally have greater volatility in price than the stocks of large companies due to limited product lines or resources or a dependency upon a particular market niche. Stocks of small-sized companies generally are more difficult to liquidate during market downturns compared to larger, more widely traded companies.

1 This agreement will remain in effect and will be contractually binding for at least one year from the date of the Prospectus.