SAN FRANCISCO, Calif., May 8, 2019 /PRNewswire/ -- SoFi announced today the availability of its two newest exchange-traded funds (ETFs): the SoFi Gig Economy ETF (NASDAQ: GIGE) and the SoFi 50 ETF (NYSE: SFYF), further extending the company's approach of providing members access to unique investing opportunities.
The SoFi Gig Economy ETF (GIGE) is an actively managed fund, advised by Toroso Investments, that is designed to seek long term capital appreciation by capturing exposure to the economic shift toward gig-oriented companies. The "gig economy" refers to a group of companies that embrace and support the workforce in which employment is based around short-term engagements that allow for flexibility and personal freedom and temporary contracts. The fund is structured so that most companies that IPO can be included in the portfolio within 31 days of their IPO, as opposed to traditional passive funds that must likely wait 60 to 90 days to include a new IPO.
The SoFi 50 ETF (SFYF) tracks the performance, before fees and expenses, of the Solactive SoFi US 50 Growth Index, by capturing the performance of 50 of the 1,000 largest publicly-traded U.S. companies that have the highest growth score based on three key signals: top-line revenue growth, net income growth, and forward-looking consensus estimates of net income growth. The index is equally weighted.
"Our members are excited by high-growth and gig economy companies because these companies are in many cases part of their lives," said SoFi CEO Anthony Noto. "We're giving our members a way to get started investing by buying what they know and investing in themselves."
GIGE will be listed on Nasdaq with an expense ratio of 59 basis points. SFYF, which is designed to track the performance of an index developed by Solactive AG, will be listed on the NYSE Arca and has an expense ratio of 29 basis points. SoFi partnered with Tidal ETF Services for the trust, strategy, administrative and operational aspects of the ETFs.
The introduction of GIGE and SFYF comes on the heels of SoFi's recent launch of two waived-fee* ETFs: the SoFi Select 500 ETF (SFY) and the SoFi Next 500 ETF (SFYX), and the recent rollout of SoFi Invest, an investing platform that offers both Active (brokerage) and Automated (robo-advisor) investing with no commissions or management fees. All of SoFi's ETFs are available through SoFi Invest, as well as through any other brokerage account.
Additional information, including fact sheets and a prospectus, can be found on SoFi's website at SoFi.com/Invest/ETFs.
SoFi helps people achieve financial independence to realize their ambitions. Our products for borrowing, saving, spending, investing, and protecting give our more than half a million members fast access to tools to get their money right. SoFi membership comes with the key essentials for getting ahead, including career advisors and connection to a thriving community of like-minded ambitious people. For more information, visit SoFi.com or download our iOS and Android apps.
About Tidal ETF Services
Formed by ETF industry pioneers and thought leaders, Tidal ETF Services LLC sets out to disrupt the way ETFs have historically been developed, launched, marketed and sold. With a focus on helping ETF issuers, Tidal offers a comprehensive suite of services, proprietary tools, and methodologies designed to bring lasting ideas to market. As advocates for ETF innovation, Tidal wants investors to have insight and access to the most interesting and viable ETFs available today. For more information, visit tidaletfservices.com.
Before investing you should carefully consider the Fund's investment objectives, risks, charges and expenses. This and other information is in the prospectus. A prospectus may be obtained by visiting www.sofi.com/invest/etfs. Please read the prospectus carefully before you invest.
*Investors buy and sell ETF shares through a brokerage account or an investment adviser like ordinary stocks, brokerage commissions and/or transaction costs or service fees may apply. Please consult your broker or financial advisor for their fee schedule. The Fund's investment adviser has agreed to waive its Management Fees for SoFi Select 500 ETF and SoFi Next 500 ETF until at least June 30, 2020.
SoFi 50 ETF risks: There is no guarantee that the Fund's investment strategy will be successful. Investments in REITs involve unique risks. Securities in the real estate sector are subject to the risk that the value of their underlying real estate may go down. Shares may trade at a premium or discount to their NAV in the secondary market, and a fund's holdings and returns may deviate from those of its index. These variations may be greater when markets are volatile or subject to unusual conditions. A high portfolio turnover rate increases transaction costs, which may increase the Fund's expenses. The Fund is new and has a limited operating history. The fund is passively managed and attempts to mirror the composition and performance of The Solactive SoFi US 50 Growth Index. The Fund's returns may not match due to expenses incurred by the Fund or lack of precise correlation with the index. You can lose money on your investment in the Fund. Diversification does not ensure profit or protect against loss in declining markets.
SoFi Gig Economy ETF risks: There is no guarantee that the Fund's investment strategy will be successful. Shares may trade at a premium or discount to their NAV in the secondary market, and a fund's holdings and returns may deviate from those of its index. These variations may be greater when markets are volatile or subject to unusual conditions. A high portfolio turnover rate increases transaction costs, which may increase the Fund's expenses. The Fund is new and has a limited operating history. You can lose money on your investment in the Fund. Diversification does not ensure profit or protect against loss in declining markets. Investments in foreign securities may involve risks such as social and political instability, market illiquidity, exchange-rate fluctuations, a high level of volatility and limited regulation. Investing in emerging markets involves different and greater risks, as these countries are substantially smaller, less liquid and more volatile than securities markets in more developed markets. Because the Fund may invest in a single sector, country or industry, its shares do not represent a complete investment program. As a non-diversified fund, the value of the shares may fluctuate more than shares invested in a broader range of industries and companies because of concentration in a specific sector, country or industry.
SoFi ETFs are distributed by Foreside Fund Services, LLC.