Important Information

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

  • Global X Innovative Bluechip Top 10 ETF (the "Fund’s") seeks to provide investment results that, before deduction of fees and expenses, closely correspond to the performance of the Mirae Asset Global Innovative Bluechip Top 10 Index (the “Index”).
  • The Index is a new index. The Index has minimal operating history by which investors can evaluate its previous performance. There can be no assurance as to the performance of the Index. The Fund may be riskier than other exchange traded funds tracking more established indices with longer operating history. The Index is an equal weighted index whereby the Index constituents will have the same weighting at each rebalancing (but not between each rebalancing) regardless of its size or market capitalisation based on the methodology of the Index.
  • The Fund’s investments are concentrated in companies with a technology theme. Many of the companies with a high business exposure to a technology theme have a relatively short operating history. Technology companies are often characterised by relatively higher volatility in price performance when compared to other economic sectors. Companies in the technology sector also face intense competition, and there may also be substantial government intervention, which may have an adverse effect on profit margins. Rapid changes could render obsolete the products and services offered by these companies. These companies are also subject to the risks of loss or impairment of intellectual property rights or licences, cyber security risks resulting in undesirable legal, financial, operational and reputational consequences.
  • The Fund’s investments are concentrated in companies in the technology sector. The Fund’s value may be more volatile than that of a fund with a more diverse portfolio. The value of the Fund may be more susceptible to adverse economic, political, policy, foreign exchange, liquidity, tax, legal or regulatory event affecting the technology sector.
  • The number of constituents of the Index is fixed at 10. The Fund by tracking the Index may have a more concentrated investment portfolio than it would have held if tracking an index with a higher number of constituents, leading to higher risks of volatility.
  • Underlying investments of the Fund may be denominated in currencies other than the base currency of the Fund. In addition, the base currency of the Fund is USD but the trading currency of the Fund is in HKD. The Net Asset Value of the Fund and its performance may be affected unfavourably by fluctuations in the exchange rates between these currencies and the base currency and by changes in exchange rate controls.
  • As part of the securities lending transactions, there is a risk of shortfall of collateral value due to inaccurate pricing of the securities lent or change of value of securities lent. This may cause significant losses to the Fund. The borrower may fail to return the securities in a timely manner or at all. The Fund may suffer from a loss or delay when recovering the securities lent out. This may restrict the Fund’s ability in meeting delivery or payment obligations from redemption requests.
  • The trading price of the Units on the SEHK is driven by market factors such as the demand and supply of the Units. Therefore, the Units may trade at a substantial premium or discount to the Fund’s Net Asset Value.
  • Payments of distributions out of capital or effectively out of capital amounts to a return or withdrawal of part of an investor’s original investment or from any capital gains attributable to that original investment. Any such distributions may result in an immediate reduction in the Net Asset Value per Unit of the Fund and will reduce the capital available for future investment.

Gobal X Innovative Bluechip Top 10 ETF

Growth Potential of Innovation & Disruptive Technology

Global X Innovative Bluechip Top 10 ETF (3422), explores cutting-edge areas such as AI, semiconductors, electric vehicles, and biotech. It is designed for those seeking long-term growth and diversification across industries. With a curated portfolio of financially stable companies that have a track record of growth and profitability, investors can benefit from their competitive advantages and potential for superior performance.

Backed by a proven track record of success with five AI ETFs1 already investing in disruptive technologies, we offer a unique opportunity to grasp the potential of innovation. Join us and unlock the power of disruptive technology with Global X Innovative Bluechip Top 10 ETF.

Grasp the opportunity of disruptive technology and share the potential of innovation

Global X Innovative Bluechip Top 10 ETF (3422)

What's The Benefit for Investing in the ETF?

Growth and Innovation Themes

Full exposure to some of the most attractive growth and innovation themes, such as AI, semiconductors, electric vehicles, and biotech.

Selective Portfolio
 

By holding only the 10 quality stocks, investors can have direct exposure to the global leaders.

Bluechip Advantages
 

Our portfolio embodies the characteristics and advantages of bluechip stocks, with positive operating margins, ROA and ROE.

Why Invest in Bluechip Stocks?

Capital Expenditure and Market Concentration in Megatrend Technologies

Megatrend technologies, like EVs and AI, require substantial capital expenditures for development. Microsoft plans to invest around US$32bn this year2, primarily driven by AI investments. Amazon allocates over US$50bn annually for e-commerce2, cloud, and AI infrastructure. TSMC expects to invest over US$30bn this year2, surpassing Intel, Globalfoundries, and UMC combined. The technology gap between TSMC and competitors widens, with TSMC ahead in transistor density on the current roadmap. Smaller companies may struggle due to limited financial resources, hindering their ability to compete with larger blue-chip companies. This concentration of resources favors the established players.

Research and Analysis

AI Is Here to Stay

AI is rapidly transforming industries, offering lucrative investment prospects. Generative AI, particularly large language models, stands to revolutionize business operations, benefiting leading providers.

Companies with large AI models offer API services, enabling application development atop their models and cloud services. Pricing varies, such as OpenAI's DALL·E charging US$0.02 per generated image3. Hyperscale Cloud providers like Google and Amazon also offer AI capabilities as APIs, with distinctions in task types and capabilities. This API access to large AI models presents ample innovation opportunities.

The conversational AI market provides a useful comparison, with a projected 37% CAGR, reaching US$16bn by 20264. Cloud-based solutions are expected to grow at a higher CAGR (51.8%), validated by Microsoft's ChatGPT on Azure. This fuels growth prospects for Microsoft, Google, Amazon, and data center supply chain players.

The semiconductor industry is crucial for AI, providing high-performance computing and specialized hardware accelerators. NVIDIA dominates the data center GPU market with over 80% market share5, positioning them to benefit from the AI investment cycle. Server processor revenue is projected to grow at a 21% CAGR, reaching US$105.5bn by 2027. NVIDIA's success in AI training GPUs is attributed to its comprehensive software stack, CUDA, and competitive chip performance through in-house GPU architecture like Hopper and Tensor Core technology, designed for accelerated AI model training.

EV Revolution Is the Clear Path Forward

Global vehicle electrification transition is a clear trend forward for passenger vehicles. EV penetration continues to move up across key economies globally, MS project BEV (Battery powered electric vehicle) to cross-over with ICE (Internal combustion engine vehicle) sometime in the 2030s, we are only in the early days of EV revolution as global EV penetration is still below 15% at the moment.

CATL is the leader in R&D expenditure among battery pure plays followed by Samsung SDI. R&D spending continues to increase with leading companies spending 6% of revenue on R&D6, which is similar to leading EV makers. CATL spent US$4.8bn over the past 5 years in R&D which is greater than the next 5 Chinese battery makers combined. CATL annual R&D spending is 2x leading Korean battery makers. In patents, Chinese companies dominate in LFP and Na-ion while Koreans focus more on solid state and Si-anode.

Among the top six battery makers, CATL has a relative lead for patents across the different battery chemistries. BYD has a slight lead over CATL on number of LFP patents. LGES has a strong position for high nickel, silicon anodes, solid state and lithium sulphur batteries. SDI is also similarly strong across silicon anodes and for next generation batteries. Both SK On and Panasonic have a relatively average portfolio compared to peers.

Biotech's Positive Outlook and Growth Potential

Eli Lilly, a prominent biopharmaceutical company, boasts a favorable outlook with no major Loss of Exclusivities (LoEs) on the horizon. Its strong growth is attributable to blockbuster products. Positioned as a key leader in the GLP-1 market, Eli Lilly has revolutionized diabetes treatment with its next-generation insulins and GLP-1 therapies. Beyond weight loss, these therapies target various co-morbid conditions such as sleep apnea, osteoarthritis, heart failure, kidney disease, and cardiovascular diseases. One of the product has exhibited robust progress since its launch and holds the potential to become a mega-blockbuster in cardio-metabolic indications. Analysts predict significant sales for Eli Lilly's GLP-1 drugs, estimating that the overall GLP-1 class could generate sales of US$110bn by 2033, with Eli Lilly's drugs contributing US$65bn to obesity and diabetes sales.

With upcoming catalysts in its pipeline, Eli Lilly is well-positioned to sustain its above-market sales growth and solidify its standing as one of the fastest-growing companies in the industry. The company's innovative therapies and positive growth trajectory make it a formidable player in the biopharmaceutical landscape.

Why ETF?

For a number of reasons, including diversification, lower fees than single stock, simplicity of trading, and exposure to particular markets or sectors, retail investors may decide to participate in ETFs. Because they enable users to buy a collection of equities in a single trade, ETFs are frequently viewed as a practical solution for ordinary investors to obtain exposure to a variety of assets.

3422Global X Innovative Bluechip Top 10 ETF

Stock Code3422 (HKD) #
Underlying IndexMirae Asset Global Innovative Bluechip Top 10 Index *
Ongoing Charges Over A Year^
0.68%
Inception Date24 Nov 2023

# 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).
* The Underlying Index is a net total return, equal weighted index. A net total return index reflects the reinvestment of dividends or coupon payments, after deduction of any withholding tax (including surcharges for special levies, if applicable).
^ 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.

Why Global X ETFs?

As a member of Mirae Assets, we benefit from its global asset management expertise and worldwide network. This enables us to provide diversified investment products and client portfolio solutions to deliver the best result to different region investors.

How to Buy ETF?

Step
1

Create a brokerage account

ETFs can be traded through online brokers. A brokerage account allows you to trade ETFs, stocks and other investment products.
Step
2

Fund the account

After you have created a brokerage account, you will need to fund the account before you can start investing in ETFs. Usually, you can fund your brokerage account in different ways, but the exact way will depend on the broker.
Step
3

Search for ETFs

After funding your account, you can search for ETFs and trade in the same way that you would do for shares of stocks.
Step
4

Confirm and purchase

Check carefully the amount that you would like to purchase and then confirm to complete your order.
1 As of June 2023, we have 5 AI-related ETFs listed in HKEX.
2 Source: Company data, Mirae Asset, 2023.
3 Source: OpenAI DALL.E, June 2023.
4 Source: Citi, IDC, 2022.
5 Source: Company data, Mirae Asset, 2023.
6 Source: Bernstein, August 2023.

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.

The Products are not sponsored, endorsed, issued, sold or promoted by their index providers. For details of an index provider including any disclaimer, please refer to the relevant Product’s offering documents.

The contents of this website is prepared and maintained by Mirae Asset Global Investments (Hong Kong) Limited and has not been reviewed by the Securities and Futures Commission of Hong Kong.