An International Large Cap Stock Fund With Downside Hedging Abilities
NASDAQ OMX today announced that Compass EMP will list a new exchange traded fund, Compass EMP Developed 500 Enhanced Volatility Weighted Index ETF (Symbol: CIZ), on The NASDAQ Stock Market® (NASDAQ®). CIZ will begin trading on NASDAQ Wednesday, October 1, 2014.
"It's exciting to introduce an innovative international, 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 at Compass EMP. "Our latest ETF is focused on the largest 500 international equities, and may offer performance enhancements through fundamental criteria combined with its distinct securities volatility weighting. In addition, this ETF has the ability to liquidate 75% of the securities in the index to cash in the event of a market decline."
CIZ seeks investment results that correspond generally to the price and yield performance, before fees and expenses, of the CEMP International 500 Long/Cash Volatility Weighted Index (the "Index"). CIZ's investment objective and the Index may be changed without shareholder approval. The Index is a passive index and generally consists of the common stock of the 500 largest companies by market capitalization that have their headquarters in a developed country (excluding the U.S. and emerging markets) and the stock of which trades on an exchange in a developed country (other than the U.S. and emerging markets). The Index includes only those companies with consistent positive earnings (at least its 4 most recent quarters) and is weighted based on the volatility of each stock.
"We're pleased to welcome Compass EMP's fifth exchange traded-product (ETP) to their innovative product suite of ETPs listed on The NASDAQ Stock Market," said Walt Smith, Vice President, Head of U.S. Equities at NASDAQ OMX. "We are committed to increasing the value of our partnership by continuing to facilitate various investment opportunities across multiple asset classes."
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 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.