Global X Funds, the New York-based provider of exchange-traded funds (ETFs), today announced that the Global X FTSE Nordic Region ETF (NYSE Arca: GXF) has reached its 3-year anniversary. Upon reaching this milestone, the fund has received a 4-star Morningstar Rating™. This is the second Global X fund to reach its 3-year anniversary, following the Global X FTSE Colombia 20 ETF (NYSE Arca: GXG), which has a 5-star Morningstar Rating™.
The fund is currently the only ETF in the U.S. that enables investors to gain diversified access to the largest and most liquid companies in Norway, Sweden, Denmark, and Finland. As of 8/17/12, the Global X FTSE Nordic Region ETF has outperformed the MSCI Europe Index, returning 30.35% vs. 15.66% in the last 3 years, according to Bloomberg data. (The inception date of the Fund is 08/17/2009. The Fund has returned the following as of the most recent calendar quarter end (6/30/2012) – 1 year: -15.21% and 7.07% since Inception. The FTSE Nordic 30 Index returned -14.81% and 8.15% over the same period of time. The MSCI Europe Index returned -16.33%% and 8.95% over those periods as well. The performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost and current performance may be lower or higher than the performance quoted. For performance current to the most recent month-end, please call 1-888-GX-FUND-1 or visit www.globalxfunds.com/gxf). The expense ratio is 0.50%. Indexes are unmanaged and one cannot invest directly in an index.)
Global leadership in education and training has produced high levels of technological adoption and innovation in the Nordic region. In addition, Sweden, Finland, and Denmark ranked third, fourth, and eighth respectively for global competitiveness in the World Economic Forum’s Global Competitiveness Index 2011-2012 rankings, which mirror the business operating environment and competitiveness of over 140 economies worldwide.
According to the BlackRock Sovereign Risk Index, which provides investors with a framework for tracking sovereign credit risk, Norway, Sweden, and Finland are in the top 5, with Denmark in the 12th spot*. In addition, all four countries in the fund have a AAA credit rating from Standard & Poor’s.
“In our view, the Nordic region offers a stable fiscal environment and a unique economic model that has historically produced higher returns than its European neighbors” said Bruno del Ama, chief executive officer at Global X Funds. “The fund’s Morningstar Rating™ is a validation of the attractiveness of GXF as a way to gain access to Europe while potentially sidestepping the Eurozone crisis.”
ABOUT GLOBAL X FUNDS
Global X Funds is a New York-based provider of exchange-traded funds that facilitates access to investment opportunities across the global markets. With $1.45 billion in managed assets and over 100,000 investors from more than 100 countries as of September 20, 2012, Global X Funds currently offers exchange-traded funds that target Commodity Producers, International, Domestic, Alternatives, Industry, Income, and Asset Allocation fund suites. For more information, please visit www.globalxfunds.com
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. Narrowly focused investments may be subject to higher volatility.
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.
FTSE Indexes have been licensed for use by Global X Management Company, LLC. Global X Funds are not sponsored, endorsed, issued, sold, or promoted by FTSE, nor does this company make any representations regarding the advisability of investing in the Global X Funds.
* The BlackRock Sovereign Risk Index (BSRI) ranks countries by likelihood of default, devaluation and above average inflation, and they are listed lowest to highest. Drawing on a pool of financial data, surveys and political insights, the BSRI assesses sovereign credit risk of 48 countries. The BSRI uses more than 30 quantitative measures, complemented by qualitative insights from third-party sources. The index breaks down the data into four main categories that each count toward a country’s final BSRI score and ranking: Fiscal Space (40%), Willingness to Pay (30%), External Finance Position (20%) and Financial Sector Health (10%). This study is from April 2012.
The Morningstar Rating™ is provided for those exchange-traded funds (“ETFs”) with at least a three-year history. Ratings are based on the ETF’s Morningstar Risk-Adjusted Return measure which accounts for variation in monthly performance, placing more emphasis on downward variations and rewarding consistent performance. An ETF’s risk-adjusted return includes a brokerage commission estimate. This estimate is intended to reflect what an average investor would pay when buying or selling an ETF. PLEASE NOTE, this estimate is subject to change and the actual brokerage commission an investor pays may be higher or lower than this estimate. Morningstar compares each ETF’s risk-adjusted return to the open-end mutual fund rating breakpoints for that category. Consistent with the open-end mutual fund ratings, the top 10% of ETFs in each category receive 5 stars, the next 22.5% receive 4 stars, the next 35% receive 3 stars, the next 22.5% receive 2 stars and the bottom 10% receive 1 star. The overall rating for an ETF is based on a weighted average of the time-period ratings (e.g., the ETF’s 3,5, and 10 year rating). The determination of an ETF’s rating does not affect the retail open end mutual fund data published by Morningstar. Past performance is no guarantee of future results. As of 8/31/2012, the Global X FTSE Nordic Region ETF received an overall Morningstar Rating of 4 stars, and was rated against 20 European Stock ETFs over a three year period for a 4 star rating. As of 8/31/2012, the Global X FTSE Colombia 20 ETF received an overall Morningstar Rating of 5 stars and was rated against 8 Latin American Stock ETFs over a three year period for a 5 star rating.
©2011 Morningstar, Inc. All Rights Reserved. The Morningstar Rating™ information contained herein: (1) is proprietary to Morningstar; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
SOURCE Global X Funds