As has been reported throughout the financial media, including in this space earlier this week, changed the names and indexes for six ETFs that previously carried the PureFunds brand, including a popular ETF dedicated to cybersecurity stocks.
On Aug. 1, the first ETF to focus on cybersecurity stocks became the ETFMG Prime Cyber Security ETF (NYSEArca: HACK). The move, seen as controversial by many in the ETF space, also means HACK is trading with a new index.
As ETF Trends reported earlier this week, according to a statement from ETF Managers Group, Kris Monaco and Prime Indexes, his new company, are also providing new underlying indices on HACK and several other ETFs that previously traded as PureFunds products.
“Comprised of companies that offer hardware, software, consulting and services to defend against cybercrime, the ETFMG Prime Cyber Security ETF offers investors a transparent and efficient vehicle to invest in this burgeoning industry. The Fund seeks to provide investment results that, before fees and expenses, correspond generally to the price and yield performance of the Prime Cyber Defense Index,” according to ETFMG.
HACK holds 35 stocks and has $1.1 billion in assets under management. HACK previously tracked the ISE Cybersecurity Index. That index “uses a market capitalization weighted allocation across the infrastructure provider and service provider categorizations as well as an equal weighted allocation methodology for all components within each sector allocation,” according to Seeking Alpha.