NEW YORK, July 17, 2018 /PRNewswire/ -- Global X Funds, the New York-based provider of exchange-traded funds (ETFs), today announced the listing of the Global X S&P 500® Quality Dividend ETF (CBOE: QDIV).
QDIV tracks the S&P 500® Quality High Dividend Index. The index portfolio consists of no fewer than 50 stocks from the S&P 500®, selecting companies that are within the top 200 of the index universe both by a quality score and by indicated annual dividend yield. Each company's quality score is derived from its return-on-equity, accruals ratio, and financial leverage ratio.
"For Q2 2018 alone, S&P 500 companies issued a record $111.6 billion in dividends, and 216 of its components increased their cash payments by 13.55 percent on average," said Vinit Srivastava, Managing Director, Product Management at S&P Dow Jones Indices. "As dividends reach record levels, a need for equity income can be combined with a selection of the higher-quality companies issuing those dividends, which the S&P 500 Quality High Dividend Index can provide. We're pleased to license the index to Global X for its newest income ETF."
By combining a quality screen with dividend yield, the fund seeks to provide investors access to companies that are more likely to maintain their dividend payments throughout changing economic environments.
"The steady rise of interest rates has created a dilemma for income-seeking investors, as bond yields finally become more attractive, but may be coupled with a loss of principal as rates continue to rise," said Jay Jacobs, director of research at Global X. "With QDIV, we are excited to offer a dividend strategy for investors that has the potential both provide quality income and appreciate in value in a strengthening economy."
The fund will be the twelfth in Global X's $3bn suite of income ETFs.i
ABOUT GLOBAL X
Seeking to provide access to high-quality and cost-efficient investment solutions, Global X is a New York-based sponsor of exchange-traded funds (ETFs). Founded in 2008, we are distinguished by our smart core, income, alpha, risk management and access suites of ETFs and have more than 50 funds available across U.S. and foreign exchanges. Global X is recognized as a leader in developing intelligent investment solutions for our clients.
Investing involves risk, including the possible loss of principal. There is no guarantee dividends will be paid. Companies may reduce or eliminate dividends at any time. QDIV is non-diversified.
Shares of ETFs are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Brokerage commissions will reduce returns.
Carefully consider the Fund's investment objectives, risks, and charges and expenses before investing. This and other information can be found in the Fund's summary or full prospectuses which may be obtained by calling 1-888-GX-FUND-1 (1.888.493.8631), or by visiting globalxfunds.com. Please read the prospectus carefully before investing.
Global X Management Company LLC serves as an advisor to Global X Funds. The Funds are distributed by SEI Investments Distribution Co. (SIDCO), which is not affiliated with Global X Management Company LLC. Global X Funds are not sponsored, endorsed, issued, sold or promoted by Standard & Poors, nor does Standard & Poors make any representations regarding the advisability of investing in the Global X Funds. Neither SIDCO nor Global X is affiliated with Standard & Poors.
The S&P Index(es) (the "Index(es)") underlying the product provider's (the "Issuer") investment products (the "Investment Products") are proprietary to S&P Dow Jones Indices LLC ("S&P DJI"). S&P® and the names identifying the Index(es) are trademarks of Standard & Poor's Financial Services LLC and have been licensed for use by S&P DJI and sublicensed for certain purposes by the Issuer. The Issuer's Investment Products based on the Index(es) are not in any way sponsored, endorsed, sold or promoted by S&P DJI, its affiliates or licensors and those parties make no representations or warranties, express or implied, regarding the advisability of investing in securities generally or in the Investment Products particularly or the ability of the Index(es) to track general market performance.
i Data as of 6/30/2018.
SOURCE Global X Funds