Each Fund seeks to meet its investment objective by investing in the assets comprising the relevant Index in accordance with the weightings determined and published by the applicable Index Provider. 

The ROBO Global® Robotics and Automation Index is designed to measure the performance of robotics-related and/or automation-related companies. The Index is comprised of companies involved in the rapidly developing global robotics and automation industry which satisfy minimum criteria relating to Market Capitalisation and average daily value traded and which are listed on recognised global stock exchanges.

Benefits of investing in the Global X ROBO Global Robotics & Automation ETF

Why ROBO?

Exposure to RAAI

RAAI technologies are already disrupting nearly every industry in every geography, creating a swift transition to an "automate or fail" economy that is dictating the success or failure of corporations large and small. ROBO provides investors with access to this high growth and rapidly evolving megatrend.

Experts in the field

ROBO Global is a recognised leader in robotics and automation investing solutions. The coverage team includes full-time financial and research professionals supported by industry entrepreneurs and academic leaders who specialise in global developments across the RAAI supply chain. ROBO Global devised the benchmark industry classification system to help investors navigate this emerging industry.

Liquidity

ROBO holds only stocks trading on recognised global exchanges and the Index includes filters on market capitalisation and daily trading volume as well as individual stock caps to ensure that funds tracking the Index do not become significant shareholders of any of the constituents.

Transparent

Full portfolio holdings for ROBO are made publicly available daily

How to use ROBO in a Portfolio?

• Alternatives; exposure to the high growth RAAI thematic

• Tactical tilt towards technology and industrials sectors in emerging industries

Capital Growth

Satellite/small allocation (<25%)

Fund overview

ROBO is an exchange traded fund (ETF) which is tradable by investors on stock exchanges intraday and can be created and redeemed daily by certain financial institutions (known as Authorised Participants).

Index description

The ROBO Global Robotics and Automation Index is the first index to provide investors with a comprehensive, transparent and diversified benchmark that represents the global value chain of robotics, automation and artificial intelligence (RAAI) related companies.

For the selection process, the Index classifies companies as either: (1) "bellwether" stocks, the majority of whose business is related to robotics and automation; or (2) "non-bellwether" stocks, that have a distinct portion of their business involved in robotics and automation.

The index allocates 40% to "bellwether" and 60% to "non-bellwether" and equally weights stocks within the two categories.

Index Objective

The ROBO Global Robotics and Automation Index is designed to measure the performance of robotics-related and/or automation-related companies. The Index is comprised of companies involved in the rapidly developing global robotics and automation industry which satisfy minimum criteria relating to Market Capitalisation and average daily value traded and which are listed on recognised global stock exchanges.

About ETF Securities Australia

ETF Securities Australia is an expert, independent provider of accessible investment solutions. We use transparent and cost effective investment solutions to enable Australian investors to achieve their desired outcome, while also intelligently diversifying their portfolios. We also act as a dedicated source of actionable investor knowledge for Australian investors and their advisers.

How we invest your money

The ROBO Global index universe is constructed by a board of strategic advisors that represent some of the most knowledgeable minds in the RAAI world with 200+ years of combined experience in these fields. The strategic advisers actively select and monitor companies that are eligible for inclusion in the ROBO ETF. 

Companies must pass further selection criteria including an ESG policy, market capitalisation over $200 million and a three-month average daily trading volume over $1 million.

Index methodology

The methodology employed by Solactive in calculating the Index can be found at www.solactive.com

Index tracking

Each Fund will attempt to (before fees and expenses) fully replicate the performance of the relevant Index by investing its assets in a portfolio of securities that comprise the Index in proportion to the weight assigned to each security within the Index.

Any changes in the composition of an Index, whether due to scheduled rebalancing or other unscheduled events (e.g. corporate actions), will generally be reflected in the portfolio of securities held by a Fund as soon as practically possible.

In certain circumstances, it may not be possible or practical for the Responsible Entity to exactly replicate the Index. For example, trading in particular securities may be suspended. In other circumstances the exact replication of the Index may be impractical or excessively costly, for example where the Index comprises a large number of securities that are assigned small weights.

To assist investors, each Fund's full portfolio holdings will be published on a daily basis at the same time that Authorised Participants and market makers are provided with portfolio composition files.

Each Fund may hold derivative contracts from time to time, such as exchange traded options written on the Index or its constituent securities, and other investments that do not comprise the Index, but help to achieve the investment objectives of that Fund. These other investments that do not comprise the index may include for example:

• cash or short term deposits;

• related securities such as tradable rights resulting from corporate actions undertaken by Index constituents;

• depository receipts or other securities that may be substituted for Index constituents that are impractical or costly to trade; and

• futures, options, swaps or other ETFs with similar exposures to the Index that may help minimise deviations from the Index, where appropriate.

These are expected to be used in limited circumstances.

Cash balances may also be held in each Fund from time to time. None of the Funds will engage in securities lending.