Global X Funds Launches Two New ETFs Based On J.P. Morgan Indexes

NEW YORK, Oct. 23, 2014 /PRNewswire/ -- Global X Funds, the New York-based provider of exchange-traded funds (ETFs), today launched two ETFs based on indexes developed by J.P. Morgan Corporate and Investment Bank: the Global X | JPMorgan Efficiente Index ETF (NYSE Arca: EFFE) and the Global X | JPMorgan US Sector Rotator Index ETF (NYSE Arca: SCTO).

These new ETFs from Global X enter the market at a time when investors are increasingly interested in products linked to strategies that are designed to help manage against downside risks.

The Global X | JPMorgan Efficiente Index ETF (EFFE) aims to provide investors with superior risk-adjusted returns. The fund rebalances monthly, shifting exposures across five asset classes and thirteen sub-classes, while targeting an annual realized volatility of 10%. The strategy is designed as an alternative investment, seeking to generate low volatility returns across a variety of market conditions.

The Global X | JPMorgan US Sector Rotator Index ETF (SCTO) seeks to provide investors with the ability to participate in market upside while limiting downside exposure.  On a monthly basis, the fund will select up to five US sector ETFs which have demonstrated positive recent performance from a pool of 10 possible sectors. The fund may shift up to 100% of its exposure to 1-3 year US treasuries to defend against declining or volatile markets.

"We regularly hear about the need for investment vehicles that manage downside risk," said Greg King, Executive Vice-President at Global X Funds. "With these new funds, we can now offer two potential solutions to investors who want the liquidity and transparency of an ETF wrapper and a rules-based index approach."

"We are pleased to see the J.P. Morgan Efficiente and Sector Rotator indexes in ETF form with Global X as the ETF provider," said Scott Mitchell, Managing Director at J.P. Morgan.

ABOUT GLOBAL X FUNDS

Global X is a New York-based sponsor of exchange-traded funds (ETFs), offering access to investment opportunities across global markets. Founded in 2008, Global X is recognized by individual and institutional investors for its suite of income, international, commodity and alternative funds. With over 40 funds available across U.S. and foreign exchanges, Global X is one of the fastest growing issuers of ETFs. For more information, please visit www.globalxfunds.com.

DISCLOSURE

Global X Management Company, LLC serves as an advisor to the Global X Funds. The Funds are distributed by SEI Investments Distribution Co., which is not affiliated with Global X Management Company, LLC nor JP Morgan.

Investing involves risk, including the possible loss of principal. In addition to the normal risks associated with investing, narrowly focused investments typically exhibit higher volatility. EFFE is not diversified. Asset allocation may not protect against market risk. Investment in the Funds is subject to the risks of the underlying Funds. Investments in commodities are subject to higher volatility than more traditional investments. REIT investments are subject to changes in economic conditions, credit risk and interest rate fluctuations. The price of gold is volatile and may be affected by large institutional purchases or sales, indirect investment in gold and silver, industrial usage, and political and economic concerns.

Shares of Global X Funds are bought and sold at market price, not NAV, and are not individually redeemed from the fund. Buying and selling shares will result in brokerage commissions which will reduce returns.

JPMorgan Indexes have been licensed for use by Global X Management Company, LLC. Global X Funds are not sponsored, endorsed, issued, sold, or promoted by J.P. Morgan Securities LLC. nor does this company make any representations regarding the advisability of investing in the Global X Funds.

Carefully consider the Funds' investment objectives, risk factors, charges, and expenses before investing. This and additional information can be found in the Funds' prospectus or summary prospectus, which may be obtained by calling 1-888-GX-FUND-1 (1.888.493.8631), or by visiting www.globalxfunds.com. Read the prospectus carefully before investing.

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SOURCE Global X Funds

Related Links

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