NEW YORK, Oct. 23, 2014 /PRNewswire/ -- Global X
Funds, the New York-based provider
of exchange-traded funds (ETFs), today launched two ETFs based on
indexes developed by J.P. Morgan Corporate and Investment Bank: the
Global X | JPMorgan Efficiente Index ETF (NYSE Arca: EFFE) and the
Global X | JPMorgan US Sector Rotator Index ETF (NYSE Arca:
SCTO).
These new ETFs from Global X enter the market at a time when
investors are increasingly interested in products linked to
strategies that are designed to help manage against downside
risks.
The Global X | JPMorgan Efficiente Index ETF (EFFE) aims to
provide investors with superior risk-adjusted returns. The fund
rebalances monthly, shifting exposures across five asset classes
and thirteen sub-classes, while targeting an annual realized
volatility of 10%. The strategy is designed as an alternative
investment, seeking to generate low volatility returns across a
variety of market conditions.
The Global X | JPMorgan US Sector Rotator Index ETF (SCTO) seeks
to provide investors with the ability to participate in market
upside while limiting downside exposure. On a monthly basis,
the fund will select up to five US sector ETFs which have
demonstrated positive recent performance from a pool of 10 possible
sectors. The fund may shift up to 100% of its exposure to 1-3 year
US treasuries to defend against declining or volatile markets.
"We regularly hear about the need for investment vehicles that
manage downside risk," said Greg
King, Executive Vice-President at Global X Funds. "With
these new funds, we can now offer two potential solutions to
investors who want the liquidity and transparency of an ETF wrapper
and a rules-based index approach."
"We are pleased to see the J.P. Morgan Efficiente and Sector
Rotator indexes in ETF form with Global X as the ETF provider,"
said Scott Mitchell, Managing
Director at J.P. Morgan.
ABOUT GLOBAL X FUNDS
Global X is a New York-based
sponsor of exchange-traded funds (ETFs), offering access to
investment opportunities across global markets. Founded in 2008,
Global X is recognized by individual and institutional investors
for its suite of income, international, commodity and alternative
funds. With over 40 funds available across U.S. and foreign
exchanges, Global X is one of the fastest growing issuers of ETFs.
For more information, please visit www.globalxfunds.com.
DISCLOSURE
Global X Management Company, LLC serves as an advisor to the
Global X Funds. The Funds are distributed by SEI Investments
Distribution Co., which is not affiliated with Global X Management
Company, LLC nor JP Morgan.
Investing involves risk, including the possible loss of
principal. In addition to the normal risks associated with
investing, narrowly focused investments typically exhibit higher
volatility. EFFE is not diversified. Asset allocation may not
protect against market risk. Investment in the Funds is subject to
the risks of the underlying Funds. Investments in commodities are
subject to higher volatility than more traditional investments.
REIT investments are subject to changes in economic conditions,
credit risk and interest rate fluctuations. The price of gold is
volatile and may be affected by large institutional purchases or
sales, indirect investment in gold and silver, industrial usage,
and political and economic concerns.
Shares of Global X Funds are bought and sold at market price,
not NAV, and are not individually redeemed from the fund. Buying
and selling shares will result in brokerage commissions which will
reduce returns.
JPMorgan Indexes have been licensed for use by Global X
Management Company, LLC. Global X Funds are not sponsored,
endorsed, issued, sold, or promoted by J.P. Morgan Securities LLC.
nor does this company make any representations regarding the
advisability of investing in the Global X Funds.
Carefully consider the Funds' investment objectives, risk
factors, charges, and expenses before investing. This and
additional information can be found in the Funds' prospectus or
summary prospectus, which may be obtained by calling
1-888-GX-FUND-1 (1.888.493.8631), or by visiting
www.globalxfunds.com. Read the prospectus carefully before
investing.
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SOURCE Global X Funds
