Source EURO STOXX 50 ETF (ESTX) Begins Trading Today
ETF Offers Highly Liquid Exposure and Low Cost to Blue-Chip Eurozone Stocks
NEW YORK, Sept. 23, 2014 /PRNewswire/ -- Source, a global investment firm and dedicated Exchange Traded Fund (ETF) provider, began trading the Source EURO STOXX 50 ETF (NYSE: ESTX) on the NYSE Arca today. The ETF is designed to provide investors with broad and highly liquid access to the Eurozone's leading blue-chip equities; delivered at a total annual operating expense ratio of 0.16%.
"Source is focused on delivering market-driven solutions that meet the ever-evolving needs of investors, and as an independent firm we align ourselves with the best partners in the industry to bring that goal to fruition," said Peter Thompson, President of Source. "With the Source EURO STOXX 50 ETF we are giving U.S. investors access to worldwide household names from leading companies in the Eurozone at a highly competitive price. Source has chosen two world class partners with them on the fund, Mellon Capital as the investment manager and Brown Brothers Harriman as custodian."
"As a leading ETF sub-advisor, we are pleased to utilize our investment expertise and operational infrastructure to help Source launch its initial ETF in the U.S.," said Gabby Parcella, chief executive officer of Mellon Capital. "With Mellon Capital's expertise in sub-advising more than $120 billion in assets across a wide range of asset classes and Source's track record of delivering market-driven, value-added products to investors, we are confident that this new offering will be attractive to U.S. investors."
"As one of the fastest-growing ETF providers in Europe, Source has a well-earned reputation for innovations," said Shawn McNinch, Global Head of ETF Services at Brown Brothers Harriman. "BBH could not be more excited to partner with Source on their U.S. ETF launch and we look forward to growing with them as they export their model to the U.S."
About Source
Source is a global investment firm and dedicated Exchange Traded Fund (ETF) provider. Source delivers a suite of distinctive ETFs to investors by working with world class asset managers and other providers of innovative investment solutions. Supported by major financial institutions, Source globally has approximately $20 billion in assets under management across multiple asset classes in partnership with leading global asset managers. Source is focused on delivering value to investors through a combination of core and enhanced indices, strong partnerships and active trading. Source has a proven track record of engineering innovative products across asset classes including equity, fixed income, commodities and alternatives focusing on liquidity and increased transparency. Source's commitment to excellence, focus on integrity and emphasis on partnerships provides investors with the tools and education required to meet their objectives. To learn more, visit us at www.sourceETF.com.
Risk considerations
Please consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. A prospectus with this and other information about the Fund is available at www.sourceETF.com or by calling 844-3SOURCE (844-3768723). The prospectus should be read carefully before investing.
The Source EURO STOXX 50 ETF (the "Fund") is registered with the U.S. Securities and Exchange Commission as a non-diversified, management investment company, pursuant to the Investment Company Act of 1940. An investment in the Fund is subject to risk, including the loss of principal amount invested. There is no guarantee the Fund will achieve its investment objective. The Fund's shares may be more volatile than the performance of a broadly diversified portfolio. The Fund is not by itself a complete or balanced investment program.
Shares of ETFs are bought and sold at market price (not net asset value (NAV)) and can be acquired or redeemed directly from a fund at NAV in Creation Units only. Brokerage commissions will reduce returns. Market returns are based upon the midpoint of the bid/ask spread at 4:00 p.m. eastern time (when NAV is normally determined for most ETFs) and do not represent the returns you would receive if you traded shares at other times.
Market forces may result in shares trading at a significant premium or discount to NAV. Although the shares are currently listed on an exchange, there can be no assurance that an active trading market for the shares will develop or be maintained.
The Fund's performance is expected to be closely tied to social, political, and economic conditions within Europe and to be more volatile than the performance of more geographically diversified funds. An investment in European securities can be adversely affected by a variety of factors, among which are: restrictions on inflation rates, deficits, interest rates, debt levels and fiscal and monetary controls imposed by the European Union or European Monetary Union; historically high unemployment and significant debt problems in certain European nations; recently volatility in European financial markets due to concerns about economic downturns or rising government debt levels. Currently, a significant portion of the Index is allocated to securities of companies in France, Germany and Spain.
Recent events have adversely affected the exchange rate of the euro and may continue to significantly affect every country in Europe, including countries that do not use the euro. Changes in currency exchange rates and the relative value of non-U.S. currencies will affect the value of the Fund's investment and the value of your Fund Shares. Because the Fund's NAV is determined in U.S. dollars, the Funds NAV could decline if the currency of the non-U.S. market in which the Fund invests depreciates against the U.S. dollar, even if the value of the Fund's holdings, measured in the foreign currency, increases.
The EURO STOXX 50 Net Return Index and its related trademarks are proprietary to STOXX Limited. The EURO STOXX 50 Net Return Index and the related trademarks have been licensed for certain purposes by Source. The Source EURO STOXX 50 ETF is not sponsored, sold, endorsed or promoted by STOXX Limited.
2014 Fund Source (US), LLC, distributor.
CONTACT: Chris Moon
JCPR
973-850-7304
[email protected]
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