The HAN-GINS Global Innovative Technology UCITS ETF (ITEK) underwent its semi-annual rebalance on 6 March 2020, resulting in the addition of 11 new constituents and 11 exclusions across six broad mega themes. Unlike most technology themed funds, ITEK only has under 5 per cent exposure to the FAANGS with no exposure to Netflix at all. This provides a significantly more diversified approach compared to most other technology funds that are largely driven by the performance of the FAANGS.
HAN-GINS Innovative Technologies UCITS ETF (ITEK), is an exchange traded fund that tracks an index of leading companies that are driving innovation through the provision of disruptive technologies including Robotics & Automation, Cloud Computing & Big Data, Cyber Security, Future Cars, Genomics, Social Media, Blockchain, Augmented and Virtual Reality. In a single trade, ITEK delivers exposure to 87 companies with high exposure to the innovative technology theme.
ITEK follows a transparent rules-based index, the Solactive Innovative Technologies Index to identify and capture companies that are leading technology innovation. ITEK avoids concentration in larger stocks by using a double diversification approach that allocates an equal weight to each mega trend and then equal weights constituents within that theme.
Anthony Ginsberg, co-creator of The ITEK fund, says: “The most notable inclusions to ITEK in March 2020 are Ferrari, SAP, Hexagon and Bristol Myers Squibb. Ferrari has committed to electric cars and has recently launched its most powerful street car that uses three electric motors, and has recently filed a patent for an electric vehicle with four electric motors. SAP is emerging as one of the leaders in cloud technology software services. Bristol Myers Squibb is increasingly focusing on genomics and bioinformatics to deliver innovative and precision medicines and Hexagon is a new addition to our robotics and automation theme.
“A few well-known companies falling out of our index are Toyota, SNAP and Broadcom. SNAP has been reclassified as a mobile platform application software provider – and is no longer viewed as predominantly a social media player. The exciting thing about ITEK is that it delivers a broad range of companies that provide cutting edge technologies in a single basket to trade.”