NEW YORK, Sept. 9, 2019 /PRNewswire/ -- Global X ETFs, the New York-based sponsor of exchange traded funds, today announced that its parent company, Global X Management Company, Inc. has entered into a joint venture agreement with Tokyo-based Daiwa Securities Group Inc. and Daiwa Asset Management Co. Ltd. to expand access to intelligent outcome-oriented ETFs for Japanese investors. The Japanese entity, Global X Japan Co., Ltd., ("Joint Venture") will support the rapidly advancing Japanese demand for ETF products.
While the ETF market remains in its earlier stages in Japan, the US, by comparison, currently holds over 50% of worldwide ETF assets.1 With nearly half of all personal financial assets in Japan being held in cash, there is significant room for a low-cost and efficient fund structure to capture the attention and interest of local investors.2 The Joint Venture will aim to capitalize on Global X's leadership in areas like Thematic Growth, Income, and International Access, as well as Daiwa's expertise in Japanese wealth management and brokerage services, to navigate the growing ETF industry in Japan.
"This is an incredible and exhilarating time to be involved in the global ETF business," said Luis Berruga, CEO at Global X. "We've seen how astonishingly fast this space can evolve as investors have eagerly embraced ETFs over the last decade. In close collaboration with Daiwa, we'll have the opportunity to extend that experience to a large and growing market that we believe will be well served by our differentiated offerings."
"We are thrilled to be collaborating with Global X, a leader in ETF development with a well-recognized brand around the globe," added Koichi Matsushita, Deputy President and Head of Asset Management Division at Daiwa Securities Group Inc. "We have long been advocates for ETFs in Japan, and see vast opportunity for expanding the offerings available to investors across the country."
The Joint Venture will be headquartered in Tokyo and will leverage Global X and Daiwa's involvement in offering US-listed ETFs suitable for the local investors, along with domestically-listed products. A full team of investment professionals will be working for the Joint Venture, and will leverage Daiwa's expertise in operating financial institutions in Japan, including retail distribution, along with Global X's leadership in ETF product design, research, and marketing capabilities.
ABOUT GLOBAL X
Global X was founded in 2008 with the mission of listening to and empowering clients to invest wisely in unexplored and intelligent solutions. Our product lineup features more than 60 ETF strategies. While we are distinguished for our Thematic Growth, Income and International Access ETFs, we also sponsor Core, Commodity, and Alpha ETFs to suit a wide range of investment objectives. Explore our ETFs, research and insights, and more at globalxetfs.com.
Daiwa is one of the leading, comprehensive financial service firms in Asia with a 117-year history. It provides a wide range of products and services to individual investors, primarily in Japan, as well as to corporations, financial institutions, governments, municipalities and governmental agencies both inside and outside of Japan. It conducts its business in four segments: the Retail Division, the Wholesale Division, which comprises of Global Markets and Global Investment Banking, the Asset Management Division and the Investment Division.
This information is not intended to be individual or personalized investment or tax advice and should not be used for trading purposes. Please consult a financial advisor or tax professional for more information regarding your investment and/or tax situation.
Information provided by Global X Management Company LLC (Global X ETFs or Global X)
1 ETFGI, "ETFGI Global ETF and ETP Industry Insights", March 2019.
2 Federal Reserve Bank of San Francisco, "Why Do Japanese Households Hold So Much Cash?", March 18, 2019
SOURCE Global X ETFs