SUMMIT, N.J.--(BUSINESS WIRE)--Factor Advisors, a subsidiary of ETF Managers Group, alongside PureFunds®, ISE ETF Ventures, Reality Shares®, and DRONELIFE, today launches the PureFunds Drone Economy Strategy™ ETF (ticker: IFLY), the first exchange-traded fund providing access to companies designing, manufacturing, and researching drones and drone technology. The ETF begins trading today on NYSE Arca.
IFLY is the fourth addition to PureFunds’ suite of SelecTech ETFs, following first-to-market ETFs for cyber security, big data, and mobile payments technologies.
“Like other established investment sectors, technology has been driven by the growth of its various industries,” said Andrew Chanin, CEO of PureFunds. “Investors of all backgrounds have sought the opportunity to diversify their broad technology exposure with a thematic approach, and the PureFunds Drone Economy Strategy ETF offers added flexibility for investing in technology.”
IFLY will seek to correspond to the price and yield performance of the Reality Shares Drone™ Index (index ticker: RSD), a group of 47 companies determined based on a combination of:
- Projected revenue from drone technology;
- Direct involvement in developing or researching drone technology;
- Services provided to companies directly involved in drone technology; and
- The expected growth of a company’s revenue from drone technology.
IFLY’s holdings include Aerovironment, Inc. (ticker: AVAV), Parrot SA (ticker: PARRO), Honeywell (ticker: HON), and The Boeing Company (ticker: BA).*
“Drones have already demonstrated how they can reshape the work of some corporations and government entities,” said Kian Salehizadeh, Analyst at Reality Shares. “Insurers are using them to evaluate claims and property damage, agriculturalists can better address crop and land damages, and police departments have deployed drones to address criminal activity before it begins. New discoveries of drone use will continue as more organizations embrace the latest advances in technology.”
“We are pleased to support the PureFunds Drone Economy Strategy ETF, the first ETF dedicated to drone technology,” said Kris Monaco, Head of ISE ETF Ventures. “It is important for the ETF marketplace to empower investors with access to new investment concepts that reflect the growth an evolving global economy.”
Sam Masucci, founder and CEO of ETF Managers Group said, “The Drone Economy Strategy ETF offers investors a potential unique opportunity to benefit from the fast moving and exciting business linked to drone development. Many companies and industries will benefit from the growth in this space through the manufacturing of drone hardware components and software or the many efficiencies this new technology brings to existing industries. ETF Managers Group is proud to be a part of the team delivering this exciting new ETF.”
Visit www.purefunds.com to learn more about IFLY.
About ETF Managers Group LLC
Factor Advisors LLC is a wholly owned subsidiary of Exchange Traded Managers Group LLC (ETF Managers Group), a leading Exchange Traded Funds (ETF) private label services company. ETF Managers Group offers a full range of ETF product services to the asset management community including commodity pool ETPs as well as both active and passive ETF funds. The services provided include product operations, regulatory, financial and compliance management. ETF Managers Group offers active marketing and dedicated wholesale services for all ETF product types.
About PureFunds
As an innovator of ETF concepts, PureFunds® strives to provide the market with easy access to in- demand niche sectors through Pure-Play ETFs. We are a New York City based research and business management firm, serving as the Manager and/or Sponsor to the suite of PureFunds ETFs. We aim to provide investors with tactical ETFs that may offer attractive investment opportunities in sectors that traditionally have been difficult to invest in.
Founded in 2010, we recognized a void in the Exchange Traded Product universe. Although there were many ETF issuers and products in the marketplace, specific thematic investments that the market desired were simply overlooked. With this realization in mind, we partnered with world-class industry leaders to develop these concepts into tradable products.
With vast experience in global equity investing and ETF trading, we have a refreshing and alternative insight into the growing world of ETFs. We have constructed our distinct suite of products in an attempt to meet the needs of investors and traders alike.
About ISE ETF Ventures
The ISE ETF Ventures team is dedicated to creating and supporting innovative indexes that track growing industries, emerging technologies and markets, and packaged trading strategies. Their index design expertise includes a diverse range of asset classes and instrument types including global equities, fixed income, currencies, futures and options. ISE ETF Ventures partners with issuers to launch unique exchange traded products (ETPs) such as exchange traded funds (ETFs), exchange traded notes (ETNs) and other similar product types. They also provide capital for the start-up and ongoing backstopping of new ETPs. Partners are able to leverage ISE ETF Ventures’ global experience and broad network of industry participants in order to grow their ETP presence as well as reduce risk and increase product issuance. Total assets under management (AUM) for ETPs tied to ISE ETF Ventures is approximately $3 billion.
As part of the International Securities Exchange Holdings, Inc. (ISE Holdings), operator of three U.S. options exchanges, ISE ETF Ventures’ indexing experts are nimble, flexible, and entrepreneurial with a track record of creating distinctive, out-of-the-box ideas. ISE ETF Ventures currently has a portfolio of over 30 proprietary and partner indexes, and supports over 15 ETPs and other investment products.
ISE ETF Ventures is operated by ISE Holdings, which is a member of Eurex Group, and together they operate one of the largest transatlantic derivatives marketplaces. Eurex Group is owned by Deutsche Börse AG (Xetra: DB1).
About Reality Shares
Reality Shares aims to democratize the world’s best investing ideas through innovative products, quantitative rigor, and a commitment to risk mitigation. Founded in 2012, Reality Shares was created to serve a range of investors who weren’t getting what they needed from traditional investment products. We saw institutional investors enjoy success in the markets with sophisticated strategies, which offered exposure to long-term corporate growth while also managing volatility and risk. We believed these strategies had much wider potential, and yet most investors had no access to them. Today, as an innovative asset management firm, ETF issuer, and index provider, Reality Shares continues its mission of offering institutional-grade strategies for ETF investors.
For the latest information and updates, connect with ISE ETF Ventures on Twitter (@ISEexchange) and LinkedIn (www.LinkedIn.com/company/ise), or visit www.ise.com/etfventures.
Carefully consider the Fund’s investment objectives, risk factors, charges and expenses before investing. This and additional information can be found in the Funds’ statutory and summary prospectus, which may be obtained by calling 1-877-756-PURE (1.877.756.7873), or by visiting www.PureFunds.com. Read the prospectus carefully before investing.
Investing involves risk, including the possible loss of principal. The fund is new with limited operating history. Shares of any ETF are bought and sold at market price (not NAV), may trade at a discount or premium to NAV and are not individually redeemed from the Fund. Brokerage commissions will reduce returns. Narrowly focused investments typically exhibit higher volatility. Drone Economy Companies face intense competition, both domestically and internationally, may have limited product lines, markets, financial resources, customers, or personnel, may have products that face rapid obsolescence, and are heavily dependent on the protection of patent and intellectual property rights. Drone Economy Companies may be dependent on the U.S. government and its agencies for a significant portion of their sales, and their success and growth may be dependent on their ability to win future government contracts.
Consequently, such companies may be negatively affected by budgetary constraints, spending reductions, congressional appropriations, and administrative allocations of funds that affect the U.S. government and its agencies. Drone Economy Companies are also subject to increasing regulatory constraints that may limit the sale or use of a company’s products, including the need to obtain regulatory approvals from government agencies (e.g., Federal Aviation Administration). Drone Economy products are likely to be extremely complex, which could increase the likelihood of unknown defects or errors. Such factors may adversely affect the profitability and value of Drone Economy companies.
*Holdings subject to change. As of 3/7/2016, the Fund held Aeroenvironment, Inc. (12.09% weight), Parrot SA (9.00% weight), Honeywell (2.90% weight), and The Boeing Company (4.44% weight).
It is not possible to directly invest in an index.
Factor Advisors, LLC serves as the investment adviser and Penserra Capital Management, LLC serves as sub advisor to the fund. ETF Manager’s Group is the parent company of Factor Advisors, LLC.
PureFunds are distributed by ALPS Distributors, Inc. which is not affiliated with Factor Advisors, LLC, or any of its affiliates, or the sub advisor. Sam Masucci, Kian Salehizadeh and Andrew Chanin are registered reps of ALPS Distributors, Inc.
SDJ000187 Expires 6/30/16
