There is no guarantee that any strategies, funds, or securities discussed will be successful.
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. Emerging markets involve heightened risks related to the same factors as well as increased volatility and lower trading volume. Narrowly focused investments and investments focusing on a single country or smaller companies may be subject to higher volatility. There are additional risks associated with investing in base and precious metals as well as their respective mining industries.
High yielding stocks are often speculative, high-risk investments. These companies can be paying out more than they can support and may reduce their dividends or stop paying dividends at any time, which could have a material adverse effect on the stock price of these companies.
EFAS may be exposed to the risks of leverage, which may be considered a speculative investment technique. Leverage magnifies the potential for gain and loss on amounts invested and therefore increases the risks associated with investing in the Fund.
The companies in which DRIV invests may be subject to rapid changes in technology, intense competition, rapid obsolescence of products and services, loss of intellectual property protections, evolving industry standards and frequent new product productions, and changes in business cycles and government regulation.
The 13F filings used to select the securities in GURU’s Underlying Index are filed by each hedge fund approximately 45 days after the end of each calendar quarter. Therefore a given hedge fund may have already sold its position by the time of the 13F filing. The selection of holdings is not based upon performance of the underlying hedge funds.
Investments in securities of companies engaged in Information Technology can be affected by rapid product obsolescence, and intense industry competition. Investments in infrastructure-related companies have greater exposure to the potential adverse economic, regulatory, political and other changes affecting such entities. Investment in infrastructure-related companies are subject to various risks including governmental regulations, high interest costs associated with capital construction programs, costs associated with compliance and changes in environmental regulation, economic slowdown and excess capacity, competition from other providers of services and other factors. Performance of companies in the financial sector may be adversely impacted by many factors, including, among others, government regulations, economic conditions, credit rating downgrades, changes in interest rates, and decreased liquidity in credit markets.
AUSF, FINX, SRET, TFIV, TFLT, GREK, AIQ, DRIV, QQQC, SOCL, SIL, NGE, URA, CATH, MILN, LIT, BOTZ, COPX, EFAS, GXG, SCTO, MLPX, MLPA and PAVE are non-diversified.
Greece’s ability to repay its sovereign debt is in question, and the possibility of default is not unlikely. The Japanese economy may be subject to considerable degrees of economic, political and social instability, which could have a negative impact on Japanese securities. In addition, Japan is subject to the risk of natural disasters, such as earthquakes, volcanoes, typhoons and tsunamis, which could negatively affect the Fund.
Diversification and asset allocation may not protect against market risk. Investment in SCTO, TFIV and TFLT are subject to the risks of the underlying Funds.
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). The MLP funds invest in the energy industry, which entails significant risk and volatility. The MLP funds invest in small and mid-capitalization companies, which pose greater risks than large companies. The MLP Funds also pay 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.
CATH is not authorized or sponsored by the Roman Catholic Church and the United States Conference of Catholic Bishops has not endorsed Global X, its investment management activities and/or the Fund.
This material should not be relied upon by the reader as research or investment advice regarding the funds, any stock, or any investment strategy in particular. You should consult your financial professional for further information.
Carefully consider the Funds’ investment objectives, risk factors, charges, and expenses before investing. This and additional information can be found in the Funds’ summary or full prospectus, which may be obtained by calling 1-888-GX-FUND-1 (1.888.493.8631), or by visiting globalxfunds.com. Please read the prospectus carefully before investing.
NASDAQ OMX Indexes, Solactive Indexes, S&P Indexes, FTSE Indexes, MSCI Indexes, INDXX, and EDHEC Risk Institute Asia Ltd. Indexes have been licensed by NASDAQ OMX, Solactive AG, Standard & Poors, FTSE, and MSCI respectively, for use by Global X Management Company, LLC. Global X Funds are not sponsored, endorsed, issued, sold, or promoted by NASDAQ OMX, Solactive AG, Standard & Poors, FTSE, MSCI, INDXX, or EDHEC, nor do these companies make any representations regarding the advisability of investing in the Global X Funds.
Global X Management Company, LLC serves as an advisor to the Global X Funds. The Funds are distributed by SEI Investments Distribution Co. (SIDCO, 1 Freedom Valley Drive, Oaks, PA, 19456), which is not affiliated with Global X Management Company, LLC.
Shares of ETFs are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Brokerage commissions will reduce returns. Information on funds other than the Global X Funds should not be deemed an offer to sell or a solicitation of an offer to buy shares of any funds other than the Global X Funds.