New Global X ETF excludes financials and resources

Global X ETFs has launched the Australia ex Financial & Resources ETF (OZXX) on the Australian Securities Exchange. The ETF invests in Australia's top 100 companies, but excludes those in the financial (including REITs), energy and mining sectors.

The ETF will track the Solactive Australia Ex Financials Materials and Energy Capped Index and has a management fee of 0.25 per cent per annum.

"OZXX will offer investors exposure to midcap and smaller capitalisation companies, and this potentially offers greater growth opportunities than those offered by the big banks, which operate in more mature markets," Global X Head of Investment Strategy, Blair Hannon, said.

Top holdings include CSL, Telstra, Wesfarmers, Woolworths and Transurban.

The ETF was launched after Global X was approached by an asset consultant that manages up to two billion dollars on behalf of financial advisers, to develop the ETF.

"Although OZXX was initiated by a client request, we surveyed the market and believe that OZXX will deliver value to our clients and fill a gap in many Australian investors' portfolios for greater exposure to relatively higher growth shares," Hannon said.

The ETF is the company's 32 in Australia and the 12th launched in just the last 12 months.