Nasdaq announced that Global X Funds will list a new exchange-traded fund (ETF), the Global X YieldCo Index ETF (NASDAQ:YLCO), which will begin trading on The Nasdaq Stock Market Thursday, May 28, 2015.
“YieldCos are an emerging asset class that meets many of the key investment characteristics investors are looking for, such as high current income, low volatility and the opportunity for dividend growth,” said Jay Jacobs, Research Analyst at Global X Funds. “We are excited to bring this asset class to investors who have traditionally looked to MLPs and REITs for alternative income exposure.”
YLCO seeks to provide investors with access to YieldCos, an emerging asset class of yield vehicles that are structured to deliver stable and growing dividend income derived from a portfolio of renewable energy assets. YieldCos looks for opportunities to add new operating assets to their portfolios, which can help grow cash flows and distributions to shareholders over time.
“We are pleased to launch YLCO with our partners at Global X and we appreciate their confidence in choosing the Nasdaq marketplace to list and trade ETFs,” said Jeff McCarthy, Vice President, Head of ETP Listings at Nasdaq. “Global X will benefit from increased product exposure and access to one of the single largest pools of liquidity.”
Nasdaq operates an efficient platform for successfully introducing a product suite into one of the single largest pools of liquidity, including market participants which represent a full spectrum of investors. ETF issuers benefit from an end-to-end solution that provides ongoing product support including index licensing, listings opportunities, data offerings and trading services. As the home to some of the world’s most innovative ventures, Nasdaq generates opportunities for issuers to access new markets and deliver new concepts that change the way the industry develops, manages and applies ETFs.