First Trust Advisors has launched the First Trust Indxx Aerospace & Defense ETF (NYSE Arca: MISL) (the “fund”).
The fund seeks investment results that correspond generally to the price and yield (before the fund’s fees and expenses) of an index called the Indxx US Aerospace & Defense Index.
“The aerospace and defense industry has been on the forefront of innovation for decades, providing aircraft, ships, spacecraft, weapon systems, and defense equipment to both the government and private enterprises,” says Ryan Issakainen, CFA, Senior Vice President, and ETF Strategist at First Trust. “As technological advancements accelerate, we believe there are strong incentives for continued investments to be made in each of these areas, and we are excited to offer MISL as a way to gain exposure to stocks that may benefit from the growth and maturity of this industry,” Issakainen says. The fund provides exposure to U.S. companies that derive at least 50 per cent of their revenues from business activities associated with advanced and traditional aerospace and defense sub-themes including: hypersonic; directed energy; space technologies; unmanned aerial vehicle/advanced air mobility; and autonomous, cybersecurity, C5ISR solutions.
“The US aerospace and defense industry is ripe with opportunity, as innovation and technological solutions are advancing rapidly across the entire sector,” says Rahul Sen Sharma, Managing Partner at Indxx, Inc., the index provider. “This index is unique in that it targets not only traditional aerospace and defense companies but also those that are on the cutting edge of innovation and have the potential to transform the entire industry on a global basis. We are excited to once again work with First Trust Advisors to offer access to this high growth and highly innovative sector.”
