The biggest difference between the existing ETFs and FLM is the complete absence of utilities exposure.

 

First Trust Advisors is the latest exchange-traded funds provider to try to reap gold from a trend of increased infrastructure spending across the globe.

The ISE Global Engineering and Construction Index Fund (AMEX: FLM), launched on Wednesday. It competes with a handful of infrastructure ETFs already trading. Those include the iShares S&P Global Infrastructure Fund (NYSEArca: IGF) and the SPDR/FTSE Macquarie Global Infrastructure 100 Fund (AMEX: GII).

Also, on Oct. 16, the PowerShares Emerging Markets Infrastructure Portfolio (PXR) is expected to start trading. (See story here.)

FLM will focus on construction and engineering firms, as opposed to the utilities weighting that has dominated ETF infrastructure portfolios.

To a lesser extent, infrastructure ETFs can be compared to the wide range of materials and basic metals ETFs that also have performance linked to infrastructure spending.

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