Direxion Launches World With out Waste ETF, ‘WWOW’

Thursday has introduced the primary ETF targeted on publicity to a extra ESG-based financial system. Direxion formally introduced the latest launch of the Direxion World With out Waste ETF (WWOW). WWOW invests in 50 corporations on the forefront of the transfer to a round financial system from a linear one.

Till lately, the ‘take-make-consume-waste’ of assets inside a linear financial system has prevailed. Uncooked materials reworked right into a product, and after its utility was over, its lifecycle ended, and it grew to become waste. Alternatively, the regenerative framework offered by a round financial system affords corporations the power to deal with environmental and sustainability priorities, drive innovation, and push for competitiveness whereas producing development.

“Buyers have embraced ETFs with publicity to renewable and various sources of power, however a round financial system encapsulates a far broader vary of corporations,” stated David Mazza, Managing Director at Direxion. “WWOW is the primary US-listed fund offering direct publicity to corporations serving to to make a world with out waste.”

WWOW seeks funding outcomes, earlier than charges and bills, which observe the Indxx US Round Financial system Index. The Indxx US Round Financial system Index tracks the efficiency of 50 US-listed corporations which are consultant of the transformative shift from the linear mannequin of the financial system to a round one. The index contains 5 sub-themes central to the round financial system, offering buyers entry to the shifting paradigm in rising segments similar to biofuels, solar energy, and waste administration, together with collaboration and content material sharing platforms. The highest 10 corporations from every sub-theme, by largest whole market capitalization, will type the ultimate index.

The 5 Sub-Themes Are:

• Sustainability of Sources: Present renewable power – bio-based or absolutely recyclable enter materials – to exchange single-lifecycle inputs.
• Useful resource Restoration: Get better helpful assets and power from disposed of merchandise or byproducts.
• Life Cycle Extension: Prolong the working lifecycle of merchandise and elements by repairing, upgrading, and reselling.
• Sharing Platforms: Allow the elevated utilization charge of merchandise by way of shared entry, possession, and use.
• Product as a Service: Provide product entry, and retain possession, to internalize the advantages of round useful resource productiveness.

The highest holdings within the Indxx US Round Financial system Index signify giant, mid, and small cap companies throughout a mixture of distinctive sub-industries consultant of a world with out waste. Most of the holdings concentrate on the Info Know-how sector, with additional publicity to the Communication Companies, Client Discretionary, and Industrials sectors.

Supply: Supply: Bloomberg Finance, L.P., Indxx, as of 12.31.2020.

For extra data, please go to www.direxion.com.

For extra market tendencies, go to ETF Developments.

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