IQ Global Oil Small Cap ETF Debuts Today

IndexIQ, the New York-based ETF issuer, will introduce its eleventh ETF today when the IQ Global Oil Small Cap ETF makes its debut on the New York Stock Exchange under the ticker “IOIL.” IOIL will track the IQ Global Oil Small Cap Index and hold 61 stocks with an expense ratio of 0.75%. The index IOIL will track is float-adjusted and market cap-weighted. The ETF allocates almost 40.5% of its sector weight to refiners with another almost 37% going to exploration and production companies. Oil equipment and services providers make up the rest of IOIL's sector weight. The U.S. and Canada combine for nearly 57% of the new ETF's country exposure, with Thailand and Colombia combining for another almost 11%. China is the only other emerging market to be included and gets a weight of just 1.84%. IOIL's top three holdings are Sunoco SUN with a weight of 6.17%, Oceaneering International OII with a weight of 5.44% and Core Laboratories CLB with an allocation of 5.17%. At first blush it would appear that IOIL would be a rival to the PowerShares S&P SmallCap Energy Portfolio PSCE, but among the ETFs' top-10 holdings, only Lufkin Industries LUFK and Holly Corp. HOC appear in both ETFs with dramatically different weights. The two stocks combine for over 20% of PSCE's weight, but just over 6% of IOIL's weight. IndexIQ had $342 million in ETF assets under management at the end of April, according to data from the National Stock Exchange.