Global X MSCI Colombia ETF (COLO39)

Overview

The described fund is an investment vehicle that primarily focuses on providing its investors with exposure to the Colombian market. By allocating at least 80% of its total assets in securities of the underlying index alongside American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs) based on these securities, the fund targets representations of the broad equity market within Colombia. Furthermore, it ensures that a minimum of 80% of its total assets is invested in securities of companies with substantial economic ties to Colombia, promising an in-depth engagement with the country's economic landscape. As a non-diversified fund, it may exhibit higher volatility compared to diversified funds but also offers the potential for significant returns by focusing on a specific geographical area.

Products and Services

The fund primarily offers two avenues for investment, which are:

• Securities of the Underlying Index: The fund invests a substantial part of its assets in the securities that form the basis of the underlying index. This strategy aims to mirror the performance of the broad Colombia equity universe, offering investors an opportunity to gain exposure to Colombian stocks and the larger market trends within the country.
• American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs): Additionally, the fund invests in ADRs and GDRs based on the securities in its underlying index. ADRs and GDRs allow the fund to hold shares in foreign companies while trading in U.S. and global markets, respectively. This approach broadens the investment landscape for the fund, enabling it to access the benefits of Colombia's economic developments through internationally recognized depositary receipts.