The Oklahoma exchange-traded fund, OOK, in its first two months, since inception on Oct. 29, 2009 to Dec. 29, 2009, increased market value to 11.23 percent, and the NAV increased to 10.66 percent, according to data obtained by Bloomberg. OOK is not a Leveraged1 or Inverse2 ETF. OOK’s Total Expense Ratio is only 0.20 percent.
“OOK’s performance has not been a surprise to us, and it has validated our belief that this fund would be an excellent investment tool”
OOK invests in a portfolio of securities that represents a benchmark index of publicly traded, Oklahoma-based companies. Presently, each share of OOK holds a portion of 29 companies, providing both institutional and retail investors with the ability to invest in a variety of Oklahoma’s industries and public companies.
“OOK’s performance has not been a surprise to us, and it has validated our belief that this fund would be an excellent investment tool,” said Keith Geary, chairman of Geary Advisors, which launched OOK in October 2009. “Whether you are a personal investor looking to fund your retirement or discretionary portfolio, or you work for a company looking for 401(K) options, we think OOK just might be the right choice for you and your money.”
OOK tracks the SPADE Oklahoma Index, a market capitalization-weighted benchmark that seeks to measure the performance of publicly traded companies with either corporate headquarters or significant operations in Oklahoma. The index is re-balanced at the end of each quarter to ensure no one company comprises more than 10 percent. Between 2000 and 2008, Oklahoma’s gross domestic product increased by a whopping 63 percent, according to the Bureau of Economic Analysis, making it one of the fastest-growing economies in not only the U.S., but in the developed world.3 The Oklahoma Index currently includes 29 companies, with exposure spread across small, mid and large cap firms. As of Jan. 8, 2010, almost three quarters of the index is allocated to energy companies via 25 percent drilling and exploration, 23 percent pipeline, 18 percent oil and gas and 6 percent coal.
For the fourth quarter, the index was up 8.23 percent versus 1.78 percent for the S&P 500. For 2009, the index was up 49.16 percent versus 23.45 percent for the S&P 500.
At least 10 percent of OOK management fees will go to support Aaron’s Bridge, an Oklahoma nonprofit organization working to establish and provide more treatment options in Oklahoma and Texas for children with developmental disabilities, including Autism Spectrum Disorder.
For more information about OOK, visit www.ooketf.com.
Investors should consider the investment objectives, risks, charges and expenses of OOK, Inc. carefully before investing. This and other important information about OOK, Inc. can be found in its prospectuses. To obtain a copy of these prospectuses, please call (405) 235-5757 or visit OOK, Inc.’s Web site at www.ooketf.com. Please read the prospectuses carefully before investing.
OOK ETF is distributed by ALPS Distributors, Inc. ALPS Distributors, Inc. and Geary Advisors, Inc. are unaffiliated entities.
Because OOK ETF will invest substantially all of its assets in the securities of companies that have their headquarters or principal place of business located in Oklahoma, or that generate a significant portion of their revenues in Oklahoma, OOK ETF will be subject to greater volatility as a result of the events and conditions affecting Oklahoma, to a greater extent than an ETF that did not focus its investments in this manner. An investment in the OOK ETF involves risks, including loss of principle. Holdings are subject to change.
Past performance does not guarantee future results. Index performance does not reflect fund performance and investors cannot invest directly in an index. Indexes do not charge management fees or brokerage expenses.
Companies in the energy business may be adversely affected by changes in worldwide energy prices, exploration, production spending, government regulation, changes in exchange rates and depletion of natural resources.
The S&P 500 Index is an unmanaged index of 500 common stocks that is generally considered representative of the U.S. stock market. The index is heavily weighted toward stocks with large market capitalizations and represents approximately two-thirds of the total market value of all domestic common stocks. The S&P 500 Index figures do not reflect any fees, expenses or taxes.
1 Leveraged ETFs are designed to amplify the performance of the underlying benchmark indexes.
2 An Inverse ETF is an exchange-traded fund that tracks the price action of a group of stocks and offers investors the mirror image of that price direction. An Inverse ETF moves in the opposite direction of the market it reflects.
3 Bureau of Economic Analysis, June 2, 2009
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