As of today the New York-based exchange traded fund (ETF) issuer Global X Funds launches the third ETF at the NYSE Arca this week based on indices calculated by Structured Solutions AG. In addition to the Global X Food ETF and the Global X Fishing ETF, which track the performance of companies active in the global food and fishing industry, respectively, the Global X Mexico Small-Cap ETF offers exposure to small-sized companies headquartered in Mexico.
 

Rising population leads to a rapidly rising food consumption. In the last few years the global population ate more grains than farmers produced. Additionally there is not much new farm land left and poor weather conditions can affect harvest.Considering these factors food prices may grow steadily in the next few years. Additionally the climate change, water shortages and growing costs of fossil fuel-based fertilizers may trigger price changes as well. The inflation rate of emerging markets, such as China, is reflecting these scenarios already.

The Solactive Global Food Index includes some of the largest companies worldwide which are active in the global food industry. The Index is calculated as a total return Index and published in USD. The index is adjusted semi annually and includes 50 constituents.

For years the oceans seemed to be limitless, but the last years have shown that the world’s oceans are overfished
more than ever before. Technical progress, rising population and bycatch has resulted in overfishing. Illegal fishing boosts the situation. However fish products are the most traded food product in the world. About one third of the worldwide fish species are overfished or already collapsed. To cover the high demand more and more aqua farms are established. Aquaculture belongs to one of the fastest growing sectors of the food industry.

The Solactive Global Fishing Index is calculated as a total return Index and published in USD. The index is adjusted semi-annually and includes 20 constituents.

Mexico is one of the largest countries in Latin America and is one of the top 15 trading nations in the world.
Additionally the emerging markets country is the seventh largest producer of crude oil.
After the crisis in 2009, Mexico´s economy recovered fast, so that in 2010 Mexico held the second largest economic performance (according to GDP growth) of Latin America. A 4% growth for Mexico is estimated in 2011. The country’s most important economic sectors are service, industry and trade. Mexico’s exports, which are mostly sent to the United States, Mexico’s major export partner, include industrial goods like vehicles, vehicle parts and machines.

The Solactive Mexico Small-Cap Index is calculated as a total return Index and published in USD. The index is adjusted semi-annually and weighted according to free float market capitalization. The Index includes 28 constituents.

Steffen Scheuble, CEO of the Structured Solutions AG, comments: „Worldwide food consumption should continue to increase for a number of reasons. Thus rising food prices are hardly avoidable. In particular companies active in the emerging markets should benefit from growing purchasing power“.

Sebastian Seifried, Head of Indexing of the Structured Solutions AG, says: „Indices focused on topics like the global food or fish industry offer investors the possibility to invest in these sectors in a diversified manner. We are pleased to deliver the underlyings for the new ETFs in the USA“.

“Our new ETFs permit investors easy access to current themes and interesting investment sectors. With Structured Solutions as Index provider we can execute these ideas in an efficient way”, adds Global X Funds CEO Bruno del Ama.

The Indices are calculated every trading day between 09:00am and 10:30pm (CET) and published on the website
www.solactive.com as well as through data vendors.