Global X Introduces ETFs Of New NASDAQ Indexes

December 27, 2011 by  
Filed under Commentary, ETF IPOs (New ETFs)

Global X Funds launched two new products on December 6:  Global X NASDAQ 500 ETF (QQQV) and Global X NASDAQ 400 Mid Cap ETF (QQQM).  The underlying indexes are also new.  The NASDAQ 500 Index is capitalization-weighted and consists of the 500 largest domestic and international non-financial securities listed on NASDAQ.  The NASDAQ 400 Index measures the performance of the top 400 mid-capitalization domestic and international non-financial securities listed on NASDAQ.  Said another way, the NASDAQ 400 consituents are the smallest 400 members of the NASDAQ 500.  Excluding the financial sector boosts the historical performance of these new indexes.

Global X NASDAQ 500 ETF (QQQV): summary page and fact sheet (pdf).  Largest holdings as of 12/22/11 are Apple (APPL) 11.7%, Microsoft (MSFT) 6.8%, Google (GOOG) 5.1%, Oracle (ORCL) 4.1%, and Intel (INTC) 3.9%.  Top five sector allocations are Technology 60.5%, Consumer Discretionary 16.7%, Health Care 13.2%, Industrials 4.2%, and Consumer Staples 2.4%.

Global X NASDAQ 400 Mid Cap ETF (QQQM): summary page and fact sheet (pdf).  Largest holdings as of 12/22/11 included Verisk Analytics (VRSK) 1.1%, Windstream (WIN) 1.1%, Discovery Communications (DISCA) 1.0%, Trimble Navigation (TRMB) 1.0%, and Ansys (ANSS) 0.9%.  Top five sector allocations are Technology 37.3%, Health Care 21.7%, Consumer Discretionary 18.1%, Industrials 10.5%, and Materials 3.7%.

The NASDAQ 500 Index appears to have about 79% of its capitalization in the largest 100 stocks (the NASDAQ 100 Index), with the NASDAQ 400 Index accounting for the other 21%.

Both funds have an expense ratio of 0.48%.  Additional information from Global X includes the fund profiles and index descriptions (pdf) along with the announcement press release (pdf).  The prospectus (pdf) also covers Global X NASDAQ 100 Global Technology Index ETF (QQQT), an ETF that is not yet available.

Disclosure covering writer, editor, and publisher:  No positions in any of the securities mentioned.  No positions in any of the companies or ETF sponsors mentioned.  No income, revenue, or other compensation (either directly or indirectly) received from, or on behalf of, any of the companies or ETF sponsors mentioned.

Comments

Comments are closed.