On Wednesday, Global X ETFs launched the Global X Infrastructure Development ex-U.S. ETF (IPAV), trading now on the Cboe BZX Exchange.
“Global X has always been committed to providing investors with access to innovative, disruptive, long-term thematic trends—and infrastructure development is a key component to the wider integration of megatrends such as AI, increased energy demand, and shifting demographics, which are reshaping the world,” noted Pedro Palandrani, director of research at Global X. “We are thrilled to introduce IPAV, which seeks to cast a wide net for capturing critical infrastructure development companies across both developed and emerging markets outside of the U.S.”
IPAV has a net expense ratio of 0.55%. The fund’s goal is to provide similar performance results to that of the Global X Infrastructure Development ex-U.S. Index.
Global Infrastructure Access
The index in particular provides targeted exposure to equities based and listed in markets outside the United States, including emerging markets. Eligible companies within the index are involved in infrastructure development in a variety of ways. The index’s portfolio can include companies engaged in engineering, construction services, raw material production, and distribution, among other services.
Within the index’s portfolio are companies of a variety of cap sizes, ranging from small- to large-caps. Per the prospectus, the index had 100 constituents as of July 22, 2024.
IPAV intends to use a replication to track the performance of the underlying index. However, the fund may instead opt for a representative sampling strategy, should it be more beneficial to shareholders at the time.
“Global X has become a leader with thematic index based ETFs,” said Todd Rosenbluth, head of research at VettaFi. “The success of their U.S. infrastructure fund proves they can provide investors with targeted exposure to fast growing companies.”
Global X currently has over 90 ETFs available in the U.S. As a whole, these funds represent over $50 billion in assets under management.
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