Bringing you live news and features since 2006 

Global X launches ETF in Australia tracking Solactive Australia ex Financials Materials and Energy Capped Index


Solactive has announced another collaboration with Global X in Australia, designed to provide the asset manager with the Solactive Australia ex Financials Materials and Energy Capped Index, which serves as underlying for the new Global X Australia ex Financials & Resources ETF. 

Solactive writes that, traditionally, amongst the top 200 largest listed companies on the ASX, the most represented industries have been financial services, basic materials, and energy, with an average combined weight of almost 50 per cent. The Solactive Australia ex Financials Materials and Energy Capped Index excludes these three sectors from its selection in order to provide greater exposure to relatively smaller companies with potentially higher growth perspectives. Accordingly, the new Global X ETF provides investors with a new solution to gain a different kind of market exposure with greater focus on other important areas of the Australian economy, such as consumption, healthcare, or technology.  

The Solactive Australia ex Financials Materials and Energy Capped Index uses the Solactive GBS Australia All Cap Universe as starting point and excludes companies in the financial services (including REITs), basic materials, and energy sectors, arriving at a new representation of 100 Australian stocks. For additional diversification, preventing overconcentration of any individual security, a maximum cap of 10 per cent per security has been implemented.

Timo Pfeiffer, CMO of Solactive, writes: “At Solactive, we always strive to provide our partners with investment tools that align with their changing needs. We are very excited to collaborate with Global X again, and to assist them in filling a gap within the building blocks of more traditional core asset allocation, creating additional choice for Australian investors and beyond.” 

Evan Metcalf, CEO Australia at Global X says: “We believe that OZXX will deliver value to our clients and fill a gap in many Australian investors’ portfolios. This fund offers an effective solution particularly for Australian retirees and pre-retirees who generally hold a higher concentration of direct shares, as it allows them to either complete or diversify their portfolio in one simple trade. The management fee of just 0.25 per cent per annum will add to the appeal of this ETF, which will mark Global X’s 32nd ETF listed in Australia.”

Latest News

The August data from LSEG Lipper shows that the global ETF industry held USD10,547.4 billion in assets under management on..
HANetf has announced that their European Green Deal UCITS ETF (ticker: EUGD) has reached USD52 million (EUR49.9 million) in assets..
Legal & General Investment Management (LGIM) has announced the launch of the L&G Global Brands UCITS ETF. The firm writes..
Vienna Stock Exchange has launched three new thematic indices: CECE Reshoring, CECE Commodity Producers and CECE Clean Energy, writing that..

Related Articles

John Ciampaglia, Sprott Asset Management
Geo-political tensions and concerns about hitting clean energy targets have brought the focus back onto nuclear power in recent months,...
Nick King, Robeco
Europeam investment management giant Robeco has announced the appointment of Nick King as Head of Exchange Traded Funds (ETFs), in...
Kristof Gleich, Harbor Capital
Harbor Capital burst onto the ETF issuance world in 2021 and now has USD1.1 billion in assets in ETFs. But...
Europe’s thematic ETF provider, Rize ETF, has been acquired by ARK Invest LLC, the parent of ARK Investment Management LLC,...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by