Smart Beta Product Seeks to Outperform Traditional Indexes and Active ETFs (image: Kobizmedia/ Korea Bizwire)
NEW YORK, Aug. 4, 2014 (Korea Bizwire) – NASDAQ OMX today announced that Compass EMP listed a new exchange traded fund (ETF) which began trading on Friday, August 1, 2014. Compass EMP U.S. Discovery 500 Enhanced Volatility Weighted Index (Nasdaq:CSF), listed on The NASDAQ Stock Market(R) (NASDAQ(R)).
“It’s exciting to introduce our latest, innovative Smart Beta product that seeks to outperform both traditional indexes as well as active ETFs over the long-term,” said Stephen Hammers, Chief Investment Officer of Compass EMP Funds. “Our newest ETF is focused on U.S. small cap equities and may offer performance enhancements through fundamental criteria combined with its unique securities volatility weighting. Further, this ETF has the ability to liquidate 75% of the securities in the index to cash in the event of a market decline.”
CSF is designed to track the performance of the CEMP U.S. Small Cap 500 Long/Cash Volatility Weighted Index, before expenses. The fund will track the CEMP Smart Beta Index and will combine Smart Beta methodologies with the ability to move cash in the event of a market decline. The CEMP U.S. Small Cap 500 Long/Cash Volatility Weighted Index is based on the daily price of the CEMP U.S. Small Cap 500 Volatility Weighted Index. The index represents the broad U.S. small cap stock market, and is designed to hedge downside risk potential.
“We’re pleased to welcome Compass EMP’s fourth innovative exchange traded product (ETP) to the NASDAQ marketplace,” said Dave LaValle, Head of Exchange Traded Product Listings at NASDAQ OMX. “We value our partnership with Compass EMP and appreciate their confidence in choosing NASDAQ as their listing partner to bring their first suite of ETPs to market.”
NASDAQ OMX operates an efficient platform for successfully introducing a product suite into one of the single largest pools of liquidity, including market participants which represent a full spectrum of investors. ETF issuers benefit from an end-to-end solution that provides ongoing product support at every level including index licensing, listings opportunities, data offerings and trading services. As the home to some of the world’s most innovative ventures, NASDAQ OMX generates opportunities for issuers to access new markets and deliver new concepts that change the way the industry develops, manages and applies ETFs.
About Compass EMP:
Compass EMP was founded in 1996 and is a Registered Investment Advisor with the SEC. The firm is led by David J. Moore, CFP(R) (Chairman), Stephen M. Hammers, CIMA(R) (Chief Investment Officer) and Rob Walker (President). Compass EMP is the creator of the CEMP Indexes, manages 21 total mutual funds and ETFs built upon those Indexes, and offers globally diversified investment portfolios to institutions, financial advisors and their clients. Further information is available at www.CEMPIndex.com and www.CompassEMPFunds.com
About NASDAQ OMX:
NASDAQ OMX (Nasdaq:NDAQ) is a leading provider of trading, exchange technology, information and public company services across six continents. Through its diverse portfolio of solutions, NASDAQ OMX enables customers to plan, optimize and execute their business vision with confidence, using proven technologies that provide transparency and insight for navigating today’s global capital markets. As the creator of the world’s first electronic stock market, its technology powers more than 70 marketplaces in 50 countries, and 1 in 10 of the world’s securities transactions. NASDAQ OMX is home to more than 3,400 listed companies with a market value of over $8.5 trillion and more than 10,000 corporate clients. To learn more, visit www.nasdaqomx.com.
Cautionary Note Regarding Forward-Looking Statements
The matters described herein contain forward-looking statements that are made under the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements include, but are not limited to, statements about NASDAQ OMX and its products and offerings. We caution that these statements are not guarantees of future performance. Actual results may differ materially from those expressed or implied in the forward-looking statements. Forward-looking statements involve a number of risks, uncertainties or other factors beyond NASDAQ OMX’s control. These factors include, but are not limited to factors detailed in NASDAQ OMX’s annual report on Form 10-K, and periodic reports filed with the U.S. Securities and Exchange Commission. We undertake no obligation to release any revisions to any forward-looking statements.
Compass EMP U.S. Discovery 500 Enhanced Volatility Weighted Index has not been passed on by NASDAQ OMX as to its legality or suitability, and it is not issued or sold by NASDAQ OMX. NASDAQ OMX MAKES NO WARRANTIES AND BEARS NO LIABILITY WITH RESPECT TO THE COMPASS EMP U.S. DISCOVERY 500 ENHANCED VOLATILITY WEIGHTED INDEX.
Nothing contained herein should be construed as investment advice from NASDAQ OMX, either on behalf of a particular financial product or an overall investment strategy. NASDAQ OMX makes no recommendation to buy or sell any financial product or any representation about the financial condition of any company or fund. Investors should undertake their own due diligence and carefully evaluate financial products before investing. ADVICE FROM A SECURITIES PROFESSIONAL IS STRONGLY ADVISED
NDAQG
CONTACT: Compass EMP Media Contact:
Milin Iyer
+1 (703) 894-1042
MIyer@SunstarStrategic.com
NASDAQ OMX Media Contact:
Alexa Sugrue
+1 (212) 231-5552
Alexa.Sugrue@NASDAQOMX.com
Source: The NASDAQ OMX Group, Inc. (via Globe Newswire)
