POTX


Cannabis ETF

Fund Summary

The Global X Cannabis ETF (POTX) seeks to invest in companies across the cannabis industry. This includes companies involved in the legal production, growth and distribution of cannabis and industrial hemp, as well as those involved in providing financial services to the cannabis industry, pharmaceutical applications of cannabis, cannabidiol (i.e., CBD), or other related uses including but not limited to extracts, derivatives or synthetic versions.

Fund Objective

The Global X Cannabis ETF (POTX) seeks to provide investment results that correspond generally to the price and yield performance, before fees and expenses, of the Cannabis Index.

Why POTX?

High Growth Potential

POTX enables investors to access a basket of high growth potential companies from across the cannabis industry.

Unconstrained Approach

POTX’s composition transcends classic sector, industry, and geographic classifications by tracking an emerging theme.

ETF Efficiency

In a single trade, POTX delivers targeted access to dozens of companies with significant exposure to the cannabis theme.

Fund Details As of 01/21/21

Key Facts

Ticker POTX
Inception Date 09/17/19
CUSIP 37954Y426
ISIN US37954Y4263
Bloomberg Index Ticker POTX
Primary Exchange Nasdaq
Number of Holdings 18

Stats & Fees

Net Assets $88,229,192
Net Asset Value (NAV) $15.08
Shares Outstanding 5,850,000
Total Expense Ratio 0.50%

Distributions

30-Day SEC Yield -0.53%
Distribution Frequency Semi-Annually

Fund Prices As of 01/21/21

NAV $15.08 Daily Change -$0.22 -1.46%
Market Price $15.13 Daily Change -$0.28 -1.82%
30-Day Median Bid-Ask Spread 0.38%

Performance History

Cumulative %

Data as of month-end (12/31/20)

Fund NAV Market Price Index
Year-to-Date -30.37% -30.58% -36.13%
1 Month -17.00% -16.95% -17.30%
3 Months 38.14% 37.36% 36.84%
6 Months -1.56% -1.46% -4.19%
Since Inception -56.81% -57.68% -61.12%

Avg Annualized %

Data as of month-end (12/31/20)

Fund NAV Market Price Index
1 Year -30.37% -30.58% -36.13%
Since Inception -47.94% -48.75% -51.91%

Avg Annualized %

Data as of quarter-end (12/31/20)

Fund NAV Market Price Index
1 Year -30.37% -30.58% -36.13%
Since Inception -47.94% -48.75% -51.91%

Cumulative return is the aggregate amount that an investment has gained or lost over time. Annualized return is the average return gained or lost by an investment each year over a given time period.

The performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when sold or redeemed, may be worth more or less than their original cost and current performance may be lower or higher than the performance quoted.

Fund Characteristics As of 01/21/21

Return on Equity -131.40%
Weighted Avg. Market Cap 2,202 M
2019 2020
Price-to-earnings -5.18 -2.17
Price-to-book value 1.70 8.82

Source: AltaVista Research, LLC

Fund Risk Stats As of 01/21/21

Versus Beta
S&P 500 1.86
MSCI EAFE 1.96
MSCI Emg. Mkts 1.19
Standard Deviation 71.30%

Source: AltaVista Research, LLC

Sector Breakdown As of 12/31/20

% of Net Assets
Consumer Staples 70.9
Health Care 15.4
Industrials 9.2
Consumer Discretionary 4.5

Source: AltaVista Research, LLC

Country Breakdown As of 12/31/20

% of Net Assets
Canada 75.3
United States 12.2
Britain 7.7
Australia 4.8

Source: AltaVista Research, LLC

Top 10 Holdings As of 01/22/21

Net Assets (%) Ticker Name SEDOL Market Price ($) Shares Held Market Value ($)
12.54 TLRY TILRAY INC-CLASS 2 COMMON BDD1B29 18.02 603,352 10,872,403.04
11.46 APHA CN APHRIA INC BTC2NF2 12.95 766,883 9,932,030.36
10.45 ACB AURORA CANNABIS INC BLB8BB7 10.65 850,738 9,060,359.70
7.98 CRON CN CRONOS GROUP INC BF01YS3 10.66 649,687 6,922,433.63
7.15 WEED CN CANOPY GROWTH CORP BYTN3W0 33.79 183,505 6,200,526.74
6.25 GWPH GW PHARMACEUTICALS -ADR B94RPL5 141.70 38,262 5,421,725.40
6.13 HEXO CN HEXO CORP BMDCRL6 6.66 797,284 5,310,212.78
5.02 CRBP CORBUS PHARMACEU BRYGB65 2.11 2,061,410 4,349,575.10
3.98 AH CN ALEAFIA HEALTH INC BDRXWQ2 0.67 5,164,207 3,451,738.58
3.81 YCBD CBDMD INC BJHG360 3.73 886,570 3,306,906.10
Holdings are subject to change.

Investing involves risk, including the possible loss of principal. The investable universe of companies in which POTX may invest may be limited. The Fund invests in securities of companies engaged in Healthcare and Pharmaceutical sectors. These sectors can be affected by government regulations, expiring patents, rapid product obsolescence, and intense industry competition. International investments may involve risk of capital loss from unfavorable fluctuation in currency values, from differences in generally accepted accounting principles or from social, economic or political instability in other nations. POTX is non-diversified.

POTX’s investments are concentrated in the cannabis industry, and the Fund may be susceptible to loss due to adverse occurrences affecting this industry. The cannabis industry is a very young, fast evolving industry with increased exposure to the risks associated with changes in applicable laws (including increased regulation, other rule changes, and related federal and state enforcement activities), as well as market developments, which may cause businesses to contract or close suddenly and negatively impact the value of securities held by the Fund.  Cannabis Companies are subject to various laws and regulations that may differ at the state/local, federal and international level. These laws and regulations may significantly affect a Cannabis Company’s ability to secure financing and traditional banking services, impact the market for cannabis business sales and services, and set limitations on cannabis use, production, transportation, export and storage. The possession, use and importation of marijuana remains illegal under U.S. federal law. Federal law criminalizing the use of marijuana remains enforceable notwithstanding state laws that legalize its use for medicinal and recreational purposes. This conflict creates volatility and risk for all Cannabis Companies, and any stepped-up enforcement of marijuana laws by the federal government could adversely affect the value of the Fund’s investments. Given the uncertain nature of the regulation of the cannabis industry in the United States, the Fund’s investment in certain entities could, under unique circumstances, raise issues under one or more of those laws, and any investigation or prosecution related to those investments could result in expense and losses to the Fund.

Shares of ETFs are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Brokerage commissions will reduce returns. Beginning September 29, 2020, market price returns are based on the official closing price of an ETF share or, if the official closing price isn’t available, the midpoint between the national best bid and national best offer (“NBBO”) as of the time the ETF calculates current NAV per share. Prior to September 29, 2020, market price returns were based on the midpoint between the Bid and Ask price. Market price returns. NAVs are calculated using prices as of (4:00 PM Eastern Time). The returns shown do not represent the returns you would receive if you traded shares at other times. Indices are unmanaged and do not include the effect of fees, expenses or sales charges. One cannot invest directly in an index.

Since the Fund’s shares did not trade in the secondary market until several days after the Fund’s inception, for the period from inception to the first day of secondary market trading in Shares, the NAV of the Fund is used to calculate market returns.

Carefully consider the Fund’s investment objectives, risks, and charges and expenses before investing. This and other information can be found in the Fund’s summary or full prospectuses. Please read the prospectus carefully before investing.

Global X Management Company LLC serves as an advisor to Global X Funds. The Funds are distributed by SEI Investments Distribution Co. (SIDCO), which is not affiliated with Global X Management Company LLC or Mirae Asset Global Investments. Global X Funds are not sponsored, endorsed, issued, sold or promoted by Solactive AG, nor does Solactive AG make any representations regarding the advisability of investing in the Global X Funds. Neither SIDCO, Global X nor Mirae Asset Global Investments are affiliated with Solactive AG.