Global X Funds - Global X Data Center REITs & Digital Infrastructure ETF (VPN)

Overview

The fund is a specialized investment vehicle that primarily targets the digital infrastructure sector, including data centers, cellular towers, and digital infrastructure hardware. By committing at least 80% of its total assets and borrowings for investment purposes to securities from the Solactive Data Center REITs & Digital Infrastructure Index, as well as American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs) related to the index's securities, the fund seeks to offer investors focused exposure to a rapidly growing area. This focus underscores the increasing importance of digital infrastructure to support widespread internet use, cloud computing, and the storage and processing of data. The fund’s designation as non-diversified indicates it may invest a larger portion of its assets in fewer issuers, potentially increasing exposure to the volatility and specific risks associated with the targeted sectors.

Products and Services

The fund offers investment opportunities through securities in the following areas:

• Data Centers:

  Investments in companies that own, operate, or lease space in facilities used to house computer systems and associated components, such as telecommunications and storage systems. These data centers are fundamental backend structures for cloud services, internet services, and large-scale computing technologies.

• Cellular Towers:

  Focusing on enterprises involved in the ownership, operation, and leasing of cell towers. These towers are critical for telecommunication networks, providing the necessary infrastructure for mobile phone signals and data transmission across various distances, thereby supporting the ongoing expansion of global mobile connectivity.

• Digital Infrastructure Hardware:

  Targets investments in companies that manufacture or distribute hardware essential for digital infrastructure, including routers, switches, servers, and other equipment that facilitates digital communications and data processing. This category highlights the backbone equipment necessary for sustaining global digital networks and services.