Global X Funds, a New York-based provider of exchange-traded
funds, on Friday launched its Lithium ETF (NYSE Arca: LIT).
Global X Funds says the ETF is the first to offer
investors targeted access to the lithium resource industry, which is considered critical for advanced battery production, energy storage and alternative energy solutions.
“The Global X Lithium ETF is an efficient way to invest in what we refer to as a “green”
commodity because of its direct correlation to the renewable energy market such as electric
cars and energy storage,” said Bruno del Ama, CEO of Global X Funds.
The ETF tracks the Solactive Global Lithium Index, which is designed to reflect performance of
the largest and most liquid lithium battery producing and mining and refining companies in the
world.
As of July 13, 2010, the three largest components of the ETF are lithium producers SQM
from Chile, and FMC Corporation (NYSE: FMC) and Rockwood Holdings (NYSE: ROC) from the US. 51% of
the index includes lithium battery manufacturers, while 49% of the index consists of lithium
mining and refining companies.
“Lithium is the lightest metal” said Jose C. Gonzalez, COO of Global X Funds. “When processed it
has the capacity to store electric energy more efficiently than any other material. Efficient
electric energy storage is necessary for all green energy products and the computer systems that
control them–like electric cars, solar, wind and water power.”
Loading...