Global X Autonomous and Electric Vehicles ETF

IMPORTANT INFORMATION

Investors should not base investment decisions on this website alone. Please refer to the Prospectus for details including the product features and the risk factors. Investment involves risks. There is no guarantee of the repayment of the principal. Investors should note:

Global X Autonomous and Electric Vehicles ETF’s (the “Fund’s”) investment in equity securities is subject to general market risks, whose value may fluctuate due to various factors, such as changes in investment sentiment, political and economic conditions and issuer-specific factors.
The fund may invest in small and/or mid-capitalisation companies. The stock of small-capitalisation and mid-capitalisation companies may have lower liquidity and their prices are more volatile to adverse economic developments than those of larger capitalisation companies in general.
Companies in the electric vehicle and autonomous driving sectors may face intense competition which may have an adverse effect on profit margins and the prices of the securities of the companies. Their profitability is particularly vulnerable and susceptible to rapid changes in technology, rapid obsolescence of products and services, the loss or breach of intellectual property rights, government regulation, domestic and international competition, evolving industry standards, introduction of new product and service, fluctuations in supply and demand for their products and services and the company’s ability to manufacture electric vehicles, produce electric vehicle components and materials and develop autonomous vehicle technology on schedule to meet consumer demand.
Companies in electric vehicle and autonomous driving industry may rely on significant spending on research and development and the businesses of companies with exposure to or investments in autonomous vehicle technology may be exposed to the risk of cybersecurity breaches, traffic accidents related to autonomous vehicles, and other issues that could result in increased regulation. Any errors or vulnerabilities that may be discovered in the products after release may adversely affect the business and operating results of such companies in the electric vehicle and autonomous driving sectors.
Some securities exchanges may have the right to suspend or limit trading in any security traded on the relevant exchange. The government or the regulators may also implement policies that may affect the financial markets. Some markets may have higher entry barrier for investments as identification number or certificate may have to be obtained for securities trading. All these may have a negative impact on the Fund.
The trading price of the Unit (the “Unit”) on the SEHK is driven by market factors such as demand and supply of the Unit. Therefore, the Units may be traded at a substantial premium or discount to the Fund’s net asset value.

Autonomous and Electric Vehicles – Drive Toward a Clean Future

Global X Autonomous and Electric Vehicles ETF

In a single trade, gain access to dozens of companies that are critical to the development of autonomous and electric vehicles.

Stock Code

2849 (HKD)^#
Underlying Index

Solactive Autonomous & Electric Vehicles Index
AUM^* (as of )

HK$
Ongoing Charges Over A Year^{^} As the Fund is newly set up, this figure is an estimate only and represents the sum of the estimated ongoing charges over a 12-month period, expressed as a percentage of the estimated average net asset value over the same period. It may be different upon actual operation of the Fund and may vary from year to year.
As the Fund adopts a single management fee structure, the estimated ongoing charges of the Fund will be equal to the amount of the single management fee, which is capped at 0.68% of the average net asset value of the Fund. Any ongoing expenses exceeding 0.68% of the average net asset value of the Fund will be borne by the Manager and will not be charged to the Fund. Please refer to “Ongoing fees payable by the Sub-Fund” in the KFS and the Prospectusfor details.

0.68%
Inception Date

9 Dec 2021
Product Details^#

^ The Fund adopts a single management fee structure, whereby a single flat fee will be paid out of the assets of the Fund to cover all of the costs, fees and expenses of the Fund. Click to learn more.

# Investment involves risk. Before making any investment decision to invest in the Fund, investors should read the Fund’s prospectus for details and the risk factors. Visit Global X ETFs Hong Kong website for more details relating to this fund (including but not limited to the fund’s iNAV, market price, performance, daily holdings and tracking difference/error).

Why Invest?

Video: Global X Autonomous and Electric Vehicles ETF

With the rapid evolvement of battery/AI technologies and favourable regulations, autonomous and electric vehicles are expected to see strong growth in the coming years.

The shift from internal combustion engine vehicles to electric vehicles is accelerating thanks to declining battery cost and range anxiety.

Autonomous driving will lead to a more productive society by making urban mobility more affordable and efficient.

Strong Growth Momentum

The rapid rise of autonomous and electric vehicles (AVs/EVs) is triggering the auto industry’s biggest shakeup in more than a century, drawing the internal combustion engine (ICE) age closer to an end and paving the way for a new era of “zero crashes, zero emissions, and zero fatalities”.¹ While still at an early stage in terms of development and adoption globally, the AV/EV market is expeditiously advancing with ever-evolving cutting-edge battery and artificial intelligence technologies, as well as supportive government incentives such as purchase subsidies and tax bonuses. The global AV market is expected to see a compound annual growth rate (CAGR) of 39% during 2021-2025 to reach $400 billion by the end of this period.² While for the EV market, sales are also projected to rise sharply from three million in 2020 to 66 million in 2040, accounting for more than two-thirds of the total passenger vehicle sales then.³

Electric Vehicles Disrupting Traditional Vehicles

EVs, powered by on-board batteries or hydrogen fuel cells, are well positioned to disrupt traditional fossil fuel-based vehicles as they produce zero direct greenhouse gas emissions and have lower lifetime fuel and maintenance cost. Though EVs remain slightly more expensive than ICEs in general at present, the situation is quickly changing with battery prices declining sharply thanks to process improvements and scale effects. Research published in 2021 found that the cost of batteries has dropped by 97% since they were first commercially introduced in 1991,⁴ bringing EVs significantly closer to parity with ICE costs. Meanwhile, consumers have greatly overcome “range anxiety”, fears that a battery can not take them as far as a gas tank, as the median range for EVs has extended by 56% over the last decade, with certain models being able to drive well over 300 miles on a single charge.⁵ Governments across the world have also rolled out a series of favourable policies to bolster the AV/EV market, betting that it will play a big role in decarbonizing global economies.

Autonomous Driving Toward a More Productive Economy

AVs rely on artificial intelligence to operate with varying degrees of human input, and the ultimate goal is to universally achieve full automation which requires no human input to operate in all driving conditions. A wholesale shift from ICE vehicles to AVs/EVs will not just reshape the entire transportation industry, but also our daily lives, leading to a more productive economy. Savings on fuel and maintenance from electric engines, coupled with the autonomous nature that allows for higher usage rates and no driver wages, could drive down transportation costs considerably. Meanwhile, as AVs can effectively “see” the road and respond to changing conditions or navigate obstacles by computing billions of data points each second from an array of sensors, cameras and radar systems, more than 1.35 million traffic fatalities are estimated to be eliminated around the world every year.⁶ Traffic congestion will also likely become a thing of the past, as networked cars will communicate with each other and local infrastructure to seamlessly choreograph traffic movements, saving the average commuter 42 hours per year.⁷

*Source: Mirae Asset Global Investments.

1. The Economist, “Self-Driving Cars Will Profoundly Change the Way People Live”, March 1, 2018.

2. Statista, 2021. (https://www.statista.com/statistics/1224515/av-market-size-worldwide-forecast/)

3. BloombergNEF’s Economic Transition Scenario, August 9, 2021.

4. MIT News, March 23, 2021.

5. Global X, 2021.

6. World Health Orgnaization, 2018.

7. Inrix, 2016.

This website is intended for Hong Kong investors only. Your use of this website means you agree to our Terms of use. This website is strictly for informational purposes only and does not constitute a representation that any investment strategy is suitable or appropriate for an investor’s individual circumstances. In 2018, Global X was acquired by Mirae Asset Global Investments and Mirae Asset Global Investments Co., Ltd. is the parent company of Mirae Asset Global Investments (Hong Kong) Limited.

The information contained in this website is for information purposes only and does not, constitute any recommendations, offer or solicitation to buy, sell or subscribe to any securities or financial instruments in any jurisdiction. Investment involves risk. It cannot be guaranteed that the performance of the Product will generate a return and there may be circumstances where no return is generated or the amount invested is lost. Past performance is not indicative of future performance.

Before making any investment decision to invest in the Product, investors should read the Product’s prospectus for details and the risk factors. Investors should ensure they fully understand the risks associated with the Product and should also consider their own investment objective and risk tolerance level. Investors are advised to seek independent professional advice before making any investments.

Certain information contained in this website is compiled from third party sources. Whilst Mirae Asset Global Investments (Hong Kong) Limited (“Mirae Asset HK”), the Manager of the Product, has, to the best of its endeavor, ensured that such, information is accurate, complete and up-to-date, and has taken care in accurately reproducing the information. Mirae Asset HK accepts no liability for, any loss or damage of any kind resulting out of the unauthorized use of this website.

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The contents of this material is advertising in nature and is prepared by Mirae Asset Global Investments (Hong Kong) Limited and has not been reviewed by the Securities and Futures Commission of Hong Kong. Issuer: Mirae Asset Global Investments (Hong Kong) Limited.