New Lithium ETF Powers The Green Movement (NYSE:LIT)
Global X Funds, the New York-based provider of exchange-traded funds, launched today the world’s first Lithium ETF (NYSE: LIT). This is the first ETF to offer investors targeted access to a resource industry critical for the renewable energy and green movement.
“The Global X Lithium ETF is an efficient way to invest in what we refer to as a ‘green’ commodity because of its direct correlation to the renewable energy market such as electric cars and energy storage,” said Bruno del Ama, CEO of Global X Funds.
The ETF tracks the Solactive Global Lithium Index, which is designed to reflect performance of the largest and most liquid lithium battery producing and mining and refining companies in the world. As of July 13, 2010, the three largest components of the ETF are lithium producers SQM from Chile, and FMC Corporation and Rockwood Holdings from the US.
The basket of lithium-related equities will give investors access to the complete lithium value chain, from mining and refining through lithium battery production. As of July 13, 2010, 51% of the index includes lithium battery manufacturers, while 49% of the index consists of lithium mining and refining companies.
“Lithium is the lightest metal,” said Jose C. Gonzalez, COO of Global X Funds. “When processed it has the capacity to store electric energy more efficiently than any other material. Efficient electric energy storage is necessary for all green energy products and the computer systems that control them – like electric cars, solar, wind and water power.”
About Global X Funds
Global X Funds is one of the most innovative and fastest growing family of exchange traded funds. Funds include a suite of Brazil and China sector-specific ETFs and Silver and Copper Miners ETFs, among others. Global X Funds will continue to bring innovative tools to investors, as indicated by its recent filings with the SEC, which include Uranium and Aluminum ETFs.
Investing involves risk, including the possible loss of principal. International investing may involve risk of capital loss from unfavorable fluctuations in currency values, from differences in generally accepted accounting principles, or from economic or political instability in other nations. Emerging markets involve heightened risks related to the same factors as well as increased volatility and lower trading volume. There are additional risks associated with investing in metals as well as their respective mining industries. Narrowly focused investments may be subject to higher volatility.
Structured Solutions AG Indexes have been licensed for use by Global X Management Company, LLC. Global X Funds are not sponsored, endorsed, issued, sold, or promoted by Structured Solutions AG, 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, 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.
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 or any of its affiliates.
SOURCE Global X Funds