Van Eck has an introduced a new exchange traded fund that focuses on small-cap companies in India.

The Market Vectors India Small-Cap Index ETF (SCIF) tracks an index of 122 companies that generate the majority of revenue in India and have an average market cap of $456 million as of July 23, 2010.

A Van Eck executive stated that “small-cap stocks are an excellent way to gain direct exposure to a country’s domestic economy. India, in particular, has exhibited demographic and economic factors that support strong continued domestic growth for years to come.”

The index uses a float-adjusted modified market capitalization-weighting methodology. The top three industry weightings in the Index as of July 31, 2010 were Industrials (27%), Financials (20%) and Materials (14%).

The new fund’s net expense ratio is 0.85%.

For more on Van Eck’s exchange traded funds, see the list of Van Eck ETFs.