Exchange Traded Concepts, LLC (ETC) partnered with Loncar Investments, ISE ETF Ventures, and Amplify Development LLC begun trading the Loncar Cancer Immunotherapy ETF (NASDAQ: CNCR) on Wednesday, October 14, 2015.
FUND INFORMATION:
| Symbol: CNCR | Exchange: Nasdaq |
| Name: Loncar Cancer Immunotherapy ETF | Net Expense Ratio: 0.79% |
FUND OBJECTIVE:
The Loncar Cancer Immunotherapy ETF seeks to track the total return performance, before fees and expenses, of the Loncar Cancer Immunotherapy Index.
REFERENCE INDEX:
The Loncar Cancer Immunotherapy Index is composed of the common stock of approximately 30 pharmaceutical or biotechnology companies identified by Loncar Investments, LLC, the Fund’s index provider, as having a high strategic focus on the development of drugs that harness the body’s own immune system to fight cancer (immunotherapy). Loncar identifies companies with a high strategic focus on cancer immunotherapy (Immunotherapy Companies) based on whether they meet one or more of the following criteria:
(i) The company has a cancer immunotherapy drug(s) approved by either the U.S. Food and Drug Administration or the European Medicines Agency;
(ii) The company has a cancer immunotherapy drug(s) in the human stage of testing;
(iii) The company has announced intentions to begin human stage testing of a cancer immunotherapy drug(s); or
(iv) The company has announced an immunotherapy collaboration or partnership with a major pharmaceutical company.
The Index is constructed using an objective, rules-based methodology that begins with an initial universe of all pharmaceutical and biotechnology companies whose equity securities or American Depositary Receipts (ADRs) are listed on a U.S. exchange. The initial universe is then narrowed to include only those companies that have been determined by Loncar to be Immunotherapy Companies, that are not known to be under investigation by the SEC or any other government or regulatory entity, that have a minimum market capitalization of $100 million, and that meet certain liquidity thresholds. The Index may include small-, mid-, and large-capitalization companies.
From the remaining companies, the Index Provider then selects
(i) 7 of the largest pharmaceutical Immunotherapy Companies, including the leading pharmaceutical company in each of the 3 most established and recognized categories of immunotherapy techniques (cell-based therapies, checkpoint inhibitors and targeted antibodies), plus the 4 other largest pharmaceutical Immunotherapy Companies, and
(ii) the 23 largest biotechnology Immunotherapy Companies based on their market capitalization.
The Index is equal-weighted and is rebalanced and reconstituted on the third Tuesday of June and December. The Index was created by Loncar in March 2015 in anticipation of the commencement of operations of the Fund.
Top 10 Holdings (09/30/2015):
Symbol |
Name |
Weight |
| INCY | INCYTE CORP | 4.87% |
| AZN | ASTRAZENECA PLC | 4.48% |
| CELG | CELGENE CORP | 4.48% |
| KITE | KITE PHARMA INC | 4.47% |
| ZIOP | ZIOPHARM ONCOLOGY INC | 4.36% |
| PFE | PFIZER INC | 4.30% |
| BMY | BRISTOL-MYERS SQUIBB | 4.26% |
| NVS | NOVARTIS AG | 4.19% |
| AMGN | AMGEN INC | 4.10% |
| MRK | MERCK & CO INC | 4.10% |
Useful Links:
CNCR Home Page
ETFtrack Comment:
CNCR is the first ETF to exclusively hold shares of public companies that are engaged in the research and development of therapies that treat cancer through the body’s immune system.
“Immunotherapy is changing the way many cancers are being treated,” said Brad Loncar, Chief Executive Officer of Loncar Investments. “This innovative field within biotechnology is expected to become the foundational treatment for cancer over the next ten years. We think it is important to give investors a benchmark to track the progress of this growing biotechnology sector, which over time will likely continue to have a positive impact on society.”
“The science of cancer immunotherapy is one of the most exciting areas within biotechnology,” said J. Garrett Stevens, CEO of Exchange Traded Concepts. “The Loncar Cancer Immunotherapy ETF allows investors to participate in the breakthrough in this well-defined sector in a diversified way. We are proud to deliver this product to the market.”
“We are excited to partner with Exchange Traded Concepts, Loncar Investments and Amplify Development to bring this new fund to market,” said Kris Monaco, Head of ISE ETF Ventures. “Our product portfolio focuses on funds that provide investors with exposure to targeted segments in first to market ETFs, and the Loncar Cancer Immunotherapy ETF is an outstanding fit with those objectives.”
“As the ETF market becomes more crowded, it can be challenging to find new investment themes that tap into a unique and compelling industry trend,” said Christian Magoon, CEO of Amplify Development LLC. “With his expertise in the biotechnology space, Brad Loncar has been able to do exactly that through the Loncar Cancer Immunotherapy Index, and I am pleased to partner with Brad, ETC and ISE ETF Ventures to offer this exciting new fund.”