hedge fund managers.
Hedge funds spend tens to hundreds of millions on talent and research to uncover the most attractive investment opportunities, and in exchange typically charge a 2% management fee and a 20% performance fee. These types of asset management firms are often restricted to a limited number of investors and typically require a large minimum investment that makes them difficult to access. However, on a quarterly basis, all hedge funds with more than $100 million in U.S. equity investments are required to publish their holdings in a publicly available document called the 13F.
The goal of the Global X Top Guru Holdings Index ETF (GURU) is to aggregate on a quarterly basis the expertise and knowledge of hedge fund managers into the transparent, cost-efficient and easily accessible format of an ETF—with no minimum investment, immediate liquidity and a 0.75% expense ratio. The Top Guru Holdings Index uses a proprietary methodology to compile the highest conviction ideas from a select pool of hedge funds where the 13F information is most valuable. Hedge funds with high turnover and non-concentrated positions are eliminated from the pool. The Fund is designed to rebalance quarterly in accordance with the 13F reports to capture any significant position changes.
“The Global X Top Guru Holdings Index ETF provides a cost effective solution for investors to access the collective insights of the largest and most sophisticated hedge fund managers,” said Bruno del Ama, chief executive officer of Global X Funds.
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 $1.32 billion in managed assets and over 100,000 investors from more than 100 countries as of May 1, 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 loss of principal. The 13F filings used to select the securities in the Underlying Index are filed by each hedge fund approximately 45 days after the end of each calendar quarter. Therefore a given hedge fund may have already sold its position by the time of the 13F filing. As a result, a given hedge fund may not hold the position at the time when the position is added to the Underlying Index. The fund is non-diversified.
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.
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.