Alternative Investments/ESG: Global X Debuts ESG-Focused, Options-Based ETFs

The new Global X ETFs offer exposure to ESG and also limit the risk of losses.

Global X ETFs, a company based in New York that offers exchange-traded funds (ETFs), has revealed the introduction of two new funds. These funds, the Global X S&P 500 ESG Covered Call ETF (XYLE) and the Global X Nasdaq 100 ESG Covered Call ETF (QYLE), add to the company’s range of options-based funds.

Covered call strategies can be a valuable addition to investors’ portfolios as they offer a diversified source of income and the potential to reduce downside risks. Previously, covered call strategies were only available to those with experience in options trading. However, the introduction of ETFs that incorporate covered call strategies makes it simpler for investors to utilize these strategies. The new Global X funds will provide investors access to a covered call strategy while ensuring securities selected meet specific sustainability criteria associated with Environmental, Social, and Governance (ESG) factors. (CISION PRNewswire)

Rohan Reddy, Director of Research at Global X ETFs, noted that investors frequently turn to covered call strategies when facing economic uncertainty due to concerns of a market downturn or increasing rates. Reddy stated that the launch of the two new ETF strategies will allow investors to invest in companies that display positive ESG characteristics and potentially earn income and monetize volatility.

The Global X S&P 500 ESG Covered Call ETF (XYLE) and the Global X Nasdaq 100 ESG Covered Call ETF (QYLE) aim to provide investment outcomes that align with the Cboe S&P 500 ESG BuyWrite Index and the Nasdaq-100 ESG BuyWrite Index, respectively, before fees and expenses.

The expense ratios of both funds are 0.60%.

Related Story:  Global X ETFs Australia Launches Low Cost Carbon ETF

Image by OpenClipart-Vectors from Pixabay

Free Industry News

Subscribe to our free newsletter for updates and news about alternatives investments.

  • This field is for validation purposes and should be left unchanged.


Latest Alternative Investment News
FinTech: Pluto Inks Collaboration With Mastercard For B2B Payments In The UAE
December 1, 2023     FinTech, News

Pluto, a prominent provider of financial corporate spend management solutions in the UAE, has forged a strategic alliance with Mastercard (NYSE: MA), the global technology giant in the payments sector….
Alternative Investments/Real Estate: Alternative Investing Platform Yieldstreet Acquires Real-Estate Focused Cadre
December 1, 2023     Alternative Investments, News, Real Estate

Yieldstreet, a prominent private market investment platform, has officially announced its acquisition of Cadre, an online real estate-focused investment platform catering to institutional and high net worth investors. This strategic…
Venture Capital: Rocket Propulsion Startup Ursa Major Lands $138M
December 1, 2023     News, Venture Capital

Ursa Major Technologies recently closed its Series D and D-1 funding rounds, securing a substantial $138 million investment led by Explorer 1 Fund and Eclipse, with participation from RTX Ventures,…
Artificial Intelligence: Saudi Venture Fund Forced To Sell Shares In Altman-Backed Chip Startup Rain AI
December 1, 2023     Artificial Intelligence, Latest News, News

The Biden administration has compelled Saudi Aramco (TADAWUL: 2222)-backed venture capital firm, Prosperity7, to divest its shares from Rain Neuromorphics, a Silicon Valley AI chip startup supported by Sam Altman,…