NEW YORK, March 12, 2013 /PRNewswire/ -- Global X
Funds, the New York-based provider
of exchange- traded funds (ETFs), today launched the Global X
SuperDividend U.S. ETF (Ticker: DIV). DIV provides exposure to 50
companies that rank among the highest dividend yielding equity
securities in the United
States.
(Logo: http://photos.prnewswire.com/prnh/20120927/NY82509LOGO
)
Recent research suggests that investors may be overlooking
significant opportunities in high dividend-paying equities. A study
of global stocks for the period between 2003-2012 shows that
dividend paying stocks have, over time and based on numerous
metrics, performed well versus non-dividend paying stocks (see
Globalxfunds.com/DividendsWhitepaper).
The Global X SuperDividend U.S. ETF seeks investment results
that correspond generally to the price and yield performance,
before fees and expenses, of the INDXX SuperDividend™
U.S. Low Volatility Index. By equal weighting across a diverse
group of 50 securities, investors have less exposure to
single-company risk. Sector caps of 25% are used to ensure
that the portfolio is not heavily overweight in a particular sector
and to provide an additional layer of diversification. A
low-volatility filter is used in an effort to further dampen the
volatility of the portfolio, while additional filters are applied
to exclude companies that are most likely to cut their dividends,
as determined by the Index provider. The Fund expects to pay
monthly dividends.
DIV offers investors exposure to a broad group of
industries: REITS (24%), Utilities (24%), MLPs (18%),
Telecommunications (12%), Consumer Staples (8%), Health Care (6%),
Consumer Discretionary (4%), Industrials (2%), and Technology
(2%).
"In an environment where people are seeking monthly income, the
SuperDividend U.S. ETF offers convenient access to 50 high yielding
companies in the US through one security," said Bruno del Ama, chief executive officer of Global
X Funds. "Based on the research we have conducted, we believe very
high-yielding dividend stocks are generally overlooked and may play
an important role in a portfolio."
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 $1.7 billion in managed
assets as of March 1, 2013, it is one
of the fastest growing ETF providers in the world. Global X Funds
currently offers exchange-traded funds that target Income,
Commodity Producers, Developed Markets, Emerging Markets, and
Special Opportunities fund suites. For more information, please
visit www.globalxfunds.com
DISCLOSURE
Investing involves risk, including the possible loss of
principal. High yielding stocks are often speculative, high risk
investments. These companies can be paying out more than they can
support and may reduce their dividends or stop paying dividends at
any time, which could have a material adverse effect on the stock
price of these companies and the Fund's performance. The Fund
may invest in REIT stocks, which tend to be small- or
mid-capitalization stocks and there is the possibility that returns
from REITs may trail returns from the overall stock market. Small-
and mid-capitalization companies may have greater volatility in
price than the stocks of mid- and large-capitalization companies.
The Fund is non-diversified which represents a heightened risk to
investors. Investments in securities of MLPs involve risk that
differ from investments in common stock including risks related to
limited control and limited rights to vote on matters affecting the
MLP. MLP common units and other equity securities can be affected
by macro-economic and other factors affecting the stock market in
general, expectations of interest rates, investor sentiment towards
MLPs or the energy sector, changes in a particular issuer's
financial condition, or unfavorable or unanticipated poor
performance of a particular issuer (in the case of MLPs, generally
measured in terms of distributable cash flow).
Diversification does not prevent all investment loss.
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.
INDXX" is a service mark of INDXX and has been licensed for
use for certain purposes by Global X Management Company, LLC.
Global X Funds are not sponsored, endorsed, issued, sold, or
promoted by INDXX nor does this company make any representations
regarding the advisability of investing in the Global X
Funds.
SOURCE Global X Funds