Van Eck Global’s Market Vectors exchange traded fund division launched the first U.S.-listed ETF that follows Indonesia’s small-cap equities market Wednesday.

Market Vectors Indonesia Small-Cap ETF (NYSEArca: IDXJ - News) is the small-cap version to the Market Vectors Indonesia Index ETF (NYSEArca: IDX) . The new fund will track small capitalization companies domiciled and primarily listed in Indonesia, or generate at least 50% of their revenue in Indonesia. [Indonesia ETFs Build Momentum on Economy, Technicals]

IDXJ holds 27 securities, with the top five holdings accounting for 33.7% of the overall fund, and has an expense ratio of 0.61%. The ETF offers a dividend yield of 0.95%.

Sector allocations include financials 39.5%, industrials 18.3%, energy 15.6%, consumer staples 15.5%, materials 5.8% and consumer discretionary 5.3%.

The “fund may benefit from Indonesia’s rising consumption expenditure and disposable income levels,” according to the fund fact sheet. “Small caps may offer greater exposure to domestic growth, less exposure to global cyclicals.”

According to the press release, Indonesia has brought in significant foreign direct investment as the country undergoes fiscal and monetary reforms to improve its financial status. Both Fitch Ratings and Moody’s Investor Services have recently upgraded Indonesia’s sovereign debt to investment grade.

“Indonesia has grown rapidly over the past several years and we believe that it is well positioned to continue to prosper, with an economy supported by rising domestic consumption and higher levels of disposable income,” Ed Lopez, Marketing Director at Market Vectors ETFs, said in the press release. “In our view, smaller cap companies that generate the majority of their revenues in the local market provide the best way for investors to gain exposure to the domestic growth story. In that regard, IDXJ provides a complement to our broader-based Indonesian ETF, IDX.”

For more information on new product launches, visit our new ETFs category.

Max Chen contributed to this article.