Solactive’s innovative Industry 4.0 Index strikes with Horizons ETFs
Being referred to as the “Next Industrial Revolution”, the impact of Industry 4.0 is expected to add 14.2 tn USD to the global economy by 2030[1]. To grant investors exposure to this expanding technological progress, Solactive released its Solactive Industry 4.0 Index in August 2018, which serves as the underlying for Horizons ETFs newly launched Horizons Industry 4.0 Index ETF.
With the inception of this ETF, investors are able to benefit from the dynamic development of companies that are operating in any of the following segments: Advanced Robotics, Augmented Reality & 3D Printing, Cloud & Big Data, Cyber Security, and Internet of Things – a market with the potential to unlock significant cost reduction, efficiency gains and investments per annum of 907 bn USD[2]. Based on their market capitalization and/or their R&D to Sales ratio, the top 10 companies per segment are selected to form the investment universe for the ETF.
Steffen Scheuble, CEO at Solactive, comments: “The tremendous potential that lies in Industry 4.0 will drastically shape the future of humanity. As the interconnection and total automation of factories lead towards an autonomous machine economy, vast productivity advancements will arise that present a sizable opportunity for investors.”
The inception of the Industry 4.0 Index ETF marks the second release of a series of innovative Horizons ETFs within the thematic range, after the launch of the Horizons Blockchain Technology & Hardware Index ETF, which is tracking the Solactive Blockchain Technology & Hardware Index.
“Through Solactive’s rapidly growing indexing capabilities, we’ve been able to provide the public with access to a vast suite of investment products ranging from traditional fixed income and dividend stocks, to the more exotic like medical marijuana, crude oil and natural gas and recently Blockchain,” said Steve Hawkins, President and CEO of Horizons ETFs. “Today, we’re launching an ETF under the ticker symbol FOUR that offers broad exposure to the technology companies driving Industry 4.0. We look forward to continuing our partnership with Solactive and bringing more cutting-edge ETFs to market.”
Horizons Industry 4.0 Index ETF will launch on November 6th, 2018.
[1] Accenture
[2] pwc