The Global X Iconic U.S. Brands ETF will trade on the BATS exchange and track the Accuvest Iconic U.S. Brands Index. The issuer describes the index as follows:
The Underlying Index is designed to track the broad-based performance of U.S. listed and domiciled securities with Iconic Brands, which are identified and selected based on a proprietary methodology developed by Accuvest Global Advisors (the “Index Provider”). Companies with Iconic Brands are defined by the Index Provider as the leading companies from a select list of Business-to-Consumer (“B2C”) and Business-to-Business (“B2B”) sub-industries that provide exposure to the consumption theme. Constituents of the Underlying Index are selected from the identified sub-industries through a multi-step selection process, which is described in more detail below. The starting universe of the Underlying Index includes the largest 1500 U.S. companies by market capitalization, with a minimum market capitalization of $2 billion.
Companies in the index must also meet certain liquidity requirements for inclusion. In addition, the fund can invest up to 20% of its remaining assets in certain futures, options and swap contracts, cash and cash equivalents, and even in stocks not listed in the underlying index.
No ticker symbol for the new fund was provided as of yet.
Global X currently has 56 ETFs on the market, the largest of which is the $955 million Global X SuperDividend ETF (NYSE:SDIV). That fund was trading at $21.94 per share on Thursday afternoon, up $0.01 (+0.05%). Year-to-date, SDIV has gained 9.04%, versus a 11.62% rise in the benchmark S&P 500 index during the same period.