Global X Innovative ETFs (Exchange Traded Funds)

 
Global X MLP ETF
Premium Discount Chart
Data as of 07/29/2014
 
NAV Mid-Point Premium/Discount
$17.25 $17.25 $0.00
     
HISTORICAL DATA
Quarter Ending: 09/30/2014
NAV & Midpoint are
calculated at 4:00pm ET
Days between -0.5% & 0% 30%
# Of Days between -0.5% & 0% 6
Days between 0% & +0.5% 70%
# Of Days between 0% & +0.5% 14
# of Days at: Premium 14
  NAV 0
  Discount 6
Greatest Premium 0.14%
Greatest Discount -0.05%
   
PREMIUM DISCOUNT / FREQUENCY
Select a time period
Frequency
The Mid Price is the average of the Ask Price and Bid Price.

Chart Explanation
The Premium/Discount chart demonstrates the difference between the daily market price of shares of the Fund and the Fund's net asset value (NAV). The daily market price is calculated using the Midpoint price which is the midpoint between the Ask price and the Bid price at the time the NAV is calculated (generally 4:00 p.m. eastern time for most Global X funds). The vertical axis of the chart shows the premium or discount of the Midpoint price as a percentage of the NAV. The horizontal axis shows the number of trading days covered by the chart, and each bar in the chart demonstrates how many days the Fund traded within the given premium/discount range. The data presented in the chart and table above represent past performance and cannot be used to predict future results.

DOWNLOAD DATA (XLS)
 

How can the Fund trade at a premium/discount to its NAV?
The primary explanation is that timing discrepancies can arise between the NAV and the closing price of the Fund. Since shares of the Fund trade on the open market, prices are affected by the constant flow of information received by investors, corporations and financial institutions. Depending on how this changing information affects investor sentiment, shares of the Fund may deviate slightly from the value of the Fund's underlying assets. As a result, shareholders may pay more than NAV when they buy Fund shares and receive less than NAV when they sell those shares, because shares are purchased and sold at current market prices. However, due to the creation and redemption process that is unique to ETFs, market makers are able to minimize these deviations from NAV by taking advantage of arbitrage opportunities.

What causes these time discrepancies?

  • Close of Trading Times - Although both the NAV and the closing trade of the Fund are generally calculated at the closing time of 4:00 p.m. eastern time, slight differences in this timing may cause discrepancies.
     
  • Time of Last Trade - Trading of Global X funds generally takes place during normal trading hours (9:30 a.m. to 4:00 p.m. eastern time). However, it is important to note that the last trade - from which the closing price is determined - may not occur at exactly 4:00 p.m. eastern time. Therefore, changing market sentiment during the time difference may cause the NAV to deviate from the closing price.
     
  • International Holdings - The premiums and discounts for funds with significant holdings in international markets may be less accurate due to the different closing times of various international markets. Because the Funds trade during U.S. market hours while the underlying securities may not, the time lapse between the markets can result in differences between the NAV and the closing price.
 
 

Carefully consider the Funds' investment objectives, risk factors, charges and expenses before investing. This and additional information can be found in the Funds' prospectus, which may be obtained by calling 1-888-GX-FUND-1 (1.888.493.8631), or by visiting www.globalxfunds.com. Read the prospectus carefully before investing.

Global X Management Company LLC serves as an advisor to Global X Funds. The Funds are distributed by SEI Investments Distribution Co. (SIDCO), which is not affiliated with Global X Management Company LLC. Global X Funds are not sponsored, endorsed, issued, sold or promoted by Solactive AG, FTSE, Standard & Poors, NASDAQ, S-Network, Indxx, or MSCI nor do these companies make any representations regarding the advisability of investing in the Global X Funds. Neither SIDCO nor Global X is affiliated with Solactive AG, FTSE, Standard & Poors, NASDAQ, S-Network, Indxx, or MSCI.

Investing involves risk, including the possible loss of principal. International investments may involve risk of capital loss from unfavorable fluctuation in currency values, from differences in generally accepted accounting principles, or from economic or political instability in other nations. Investments in securities of MLPs involve risk that differ from investments in common stock including risks related to limited control and limited rights to vote on matters affecting the MLP. MLP common units and other equity securities can be affected by macro-economic and other factors affecting the stock market in general, expectations of interest rates, investor sentiment towards MLPs or the energy sector, changes in a particular issuer's financial condition, or unfavorable or unanticipated poor performance of a particular issuer (in the case of MLPs, generally measured in terms of distributable cash flow). High short-term performance of the fund is unusual and investors should not expect such performances to be repeated. The MLP fund invests in the energy industry, which entails significant risk and volatility. The fund is non-diversified which represents a heightened risk to investors. Furthermore, the fund invests in small and mid-capitalization companies, which pose greater risks than large companies. The Fund also pays distributions, which are generally treated as a return of capital for tax purposes rather than from net profits and shareholders should not assume that the source of distributions is from the net profits of the fund.

Due to the nature of the Fund's investments, the Fund will be subject to taxation on its taxable income. The NAV of Shares will also be reduced by the accrual of any deferred tax liabilities. The Underlying Index however is calculated without any deductions for taxes. As a result, the Fund's after tax performance could differ significantly from the Underlying Index even if the pretax performance of the Fund and the performance of the Underlying Index are closely correlated.

The Fund is taxed as a regular corporation for federal income tax purposes. The index however is calculated without any deductions for taxes. As a result, the Fund's after tax performance could differ significantly from the index even if the pretax performance of the Fund and the performance of the index are closely correlated. The potential tax benefits from investing in MLPs depend on them being treated as partnerships for federal income tax purposes. If the MLP is deemed to be a corporation then its income would be subject to federal taxation at the entity level, reducing the amount of cash available for distribution to the fund which could result in a reduction of the fund's value.

This information is not intended to be individual or personalized investment or tax advice. Please consult a financial advisor or tax professional for more information regarding your tax situation. The fund is required to distribute income and capital gains which may be taxable. Buying and selling shares will result in brokerage commissions and tax consequences. Shares are only available through brokerage accounts which may have minimum requirements. Only whole shares may be purchased.