Hector McNeil, the co-chief executive of HANetf, says the new GinsGlobal fund launched last week proves that traditional asset managers can compete in the realm of ETFs even without any experience of the market.
GinsGlobal became the first institutional asset manager to launch a UCITS ETF through HANetf’s platform late last week and followed hot on the heels of the white-label platform’s debut fund launch in late September which is came to market with EMQQ.
Speaking of both launches, McNeil says that HANetf had dispelled fears on the part of providers into the European ETF market of barriers to entry that were perceived as being too high and costly to overcome both in terms of money and infrastructure.
“This has changed with the recent launches from HANetf,” he told ETF Stream. “With EMQQ, we brought an already successful US-based ETF issuer to Europe.
“With GinsGlobal, we have demonstrated that traditional mutual fund orientated asset managers with little or no ETF experience can effectively leverage the HANetf infrastructure and bring their ideas to European investors in ETF format, aligning with investor preferences for lower cost, more liquid and more transparent investment solutions.”
McNeil pointed out that the HANetf philosophy is that ETFs are “simply a technology” and that they can propel investment ideas with efficiency.
“The growth rate in European ETFs, which topped 40% in 2017, has meant that many traditional asset managers are now looking to develop their own ETF strategy to participate in this high-octane story,” he adds.
Having achieved its launch aims, HANetf is now looking towards further launches in 2019 as the company picks up valuable momentum.
“We want to see even more companies benefit from this market,” says McNeil. “In 2019, HANetf will continue to bring new asset managers and exciting new investment propositions to Europe – we have an extremely strong pipeline and expect this to grow even further given the tangible successes of the HANetf platform in recent days.”
The HAN-GINS Cloud Technology UCITS ETF (SKYY) and HAN-GINS Global Innovative Technologies ETF (ITEK) launched on London Stock Exchange on 10th October.
The two new ETFs enable investors to gain exposure to companies leading transformative technological and industrial innovation on a global basis and have been developed with GinsGlobal Index Funds, a multi-billion dollar global asset management organisation, as their inaugural European funds and first ETFs.
The HAN-GINS Cloud Technology fund tracks the Solactive Cloud Technology Index, an index of leading companies that are active in the field of cloud-based software and services. The fund uses an artificial intelligence process to identify and capture a global cloud technology opportunity set with constituents weighted by market capitalization and capped at 4%. The fund has a TER of 75 basis points.
The HAN-GINS Global Innovative Technology fund tracks the Solactive Innovative Technologies Index, a diversified, global index of pioneering companies that are poised to create and benefit from tomorrow’s industrial revolutions. The fund targets companies involved in robotics and automation, cloud computing and big data, cyber security and other cutting-edge technologies. The fund also has TER of 75 bps.
Anthony Ginsberg, founder and managing director of GinsGlobal Index Funds, says the new theme-based ETFs will provide European investors with easy low-cost access to “dynamic global companies representing the fourth industrial revolution.”
“We believe HANetf’s Irish platform is an attractive proposition for many global investors as they have made our transition from mutual funds to ETFs as smooth as possible.”