SCIU: new Multi Factor US Equity ETF by Global X

CLOSED 08/21/2020

Global X begun trading the Global X Scientific Beta US ETF (NYSE Arca: SCIU) on Tuesday, May 12, 2015.
Here is a synopsis of the new ETF:



Symbol: SCIU    Exchange: NYSE Arca
Name: Global X Scientific Beta US ETF Net Expense Ratio: 0.35%



The Global X Scientific Beta US ETF seeks investment results that correspond generally to the price and yield performance, before fees and expenses, of the Scientific Beta United States Multi-Beta Multi-Strategy Equal Risk Contribution Index .
The Fund invests at least 80% of its total assets in the securities of the Underlying Index.




The Scientific Beta United States Multi-Beta Multi-Strategy Equal Risk Contribution Index generally comprises approximately 500 or less U.S. listed common stocks selected based on a proprietary methodology developed by EDHEC Risk Institute Asia Ltd. (Index Provider).
The objective of the Underlying Index is to outperform traditional market capitalization-weighted indexes, with lower volatility.
The components of the Underlying Index are selected from a universe of the largest 500 U.S. stocks as measured by free float market capitalization. The Underlying Index’s components are selected by applying 4 factors that have been widely recognized by academic literature to outperform market capitalization weighted-indexes over the long run:
Value, Size, Low-Volatility and Momentum.
Each of these factors is applied by using the following metrics: price-to-book ratio for Value; free-float market capitalization for Size; historical volatility over the trailing 104 week period for Low-Volatility; and one-year-minus-one-month total returns for Momentum.
Finally, components are weighted by employing a proprietary, multi-step process that combines multiple weighting methodologies to diversify the risks associated with any one weighting scheme.


Index Top Consituents (05/12/15):

UnitedHealth Group Inc. 0.8%
Cigna Corp. 0.7%
Annaly Capital Management, Inc.  0.7%
Merck & Co. Inc. 0.7%
Amdocs Limited 0.6%
American Water Works Company, Inc. 0.6%
Avalonbay Communities Inc 0.6%
ConAgra Foods, Inc. 0.6%
AmerisourceBergen Corporation 0.6%
Markel Corp. 0.6%


Index Industry Breakdown (05/12/15):

Financials 18.2%
Information Technology 15.7%
Health Care 14.0%
Consumer Discretionary 12.5%
Industrials 9.6%
Utilities 9.2%
Consumer Staples 8.4%
Energy 5.9%
Materials 5.0%
Telecommunication Services 1.5%



Useful Links:
SCIU Home Page

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