Gettin’ GIGE With It: Introducing SoFi Gig Economy and SoFi 50 ETFs
You may have heard that a couple weeks ago, we launched our very first SoFi-branded, waived-fee* ETFs, SoFi Select 500 and SoFi Next 500. Well, we’ve got more good news! We’re here today to share that we’ve launched two more ETFs. We’d like to introduce SoFi Gig Economy (NASDAQ: GIGE) and SoFi 50 (NYSE: SFYF).
Quick refresher for those newer investors amongst us: an ETF (exchange traded fund) is a basket of stocks or bonds that gives investors broad access to different types of investments. It trades just like stocks on an exchange, with the price changing as they are bought and sold.
The SoFi Gig Economy ETF (GIGE) is an actively managed fund, advised by Toroso Investments , that is designed to seek long term capital appreciation by capturing exposure to the economic shift toward gig-oriented companies. The “gig economy” refers to a group of companies that embrace and support the workforce in which employment is based around short-term engagements that allow for flexibility and personal freedom and temporary contracts.
The fund is structured so that most companies that IPO can be included in the portfolio within 31 days of their IPO, as opposed to traditional passive funds that must likely wait 60 to 90 days to include a new IPO (think like Uber and WeWork, which have filed for an IPO but aren’t public as of when this was published).
The SoFi 50 ETF (SFYF) tracks the performance, before fees and expenses, of the Solactive SoFi US 50 Growth Index, by capturing the performance of 50 of the 1,000 largest publicly-traded U.S. companies that have the highest growth score based on three key signals: top-line revenue growth, net income growth, and forward-looking consensus estimates of net income growth. The index is equally weighted.
GIGE will be listed on Nasdaq with an expense ratio of 59 basis points and SFYF will be listed on the NYSE Arca and has an expense ratio of 29 basis points. SoFi partnered with Tidal ETF Services for the trust, strategy, administrative and operational aspects of the ETFs.
All of our ETFs are available through SoFi Invest, as well as through any other brokerage account.
Additional information, including fact sheets and a prospectus, can be found on SoFi’s website at SoFi.com/Invest/ETFs.
Before investing you should carefully consider the Fund’s investment objectives, risks, charges and expenses. This and other information is in the prospectus. A prospectus may be obtained by visiting www.sofi.com/invest/etfs. Please read the prospectus carefully before you invest.
*Investors buy and sell ETF shares through a brokerage account or an investment adviser like ordinary stocks, brokerage commissions and/or transaction costs or service fees may apply. Please consult your broker or financial advisor for their fee schedule. The Fund’s investment adviser has agreed to waive its Management Fees for SoFi Select 500 ETF and SoFi Next 500 ETF until at least June 30, 2020.
SoFi 50 ETF risks: There is no guarantee that the Fund’s investment strategy will be successful. Investments in REITs involve unique risks. Securities in the real estate sector are subject to the risk that the value of their underlying real estate may go down. Shares may trade at a premium or discount to their NAV in the secondary market, and a fund’s holdings and returns may deviate from those of its index. These variations may be greater when markets are volatile or subject to unusual conditions. A high portfolio turnover rate increases transaction costs, which may increase the Fund’s expenses. The Fund is new and has a limited operating history. The fund is passively managed and attempts to mirror the composition and performance of The Solactive SoFi US 50 Growth Index. The Fund’s returns may not match due to expenses incurred by the Fund or lack of precise correlation with the index. You can lose money on your investment in the Fund. Diversification does not ensure profit or protect against loss in declining markets.
SoFi Gig Economy ETF risks: There is no guarantee that the Fund’s investment strategy will be successful. Shares may trade at a premium or discount to their NAV in the secondary market, and a fund’s holdings and returns may deviate from those of its index. These variations may be greater when markets are volatile or subject to unusual conditions. A high portfolio turnover rate increases transaction costs, which may increase the Fund’s expenses. The Fund is new and has a limited operating history. You can lose money on your investment in the Fund. Diversification does not ensure profit or protect against loss in declining markets. Investments in foreign securities may involve risks such as social and political instability, market illiquidity, exchange-rate fluctuations, a high level of volatility and limited regulation. Investing in emerging markets involves different and greater risks, as these countries are substantially smaller, less liquid and more volatile than securities markets in more developed markets. Because the Fund may invest in a single sector, country or industry, its shares do not represent a complete investment program. As a non-diversified fund, the value of the shares may fluctuate more than shares invested in a broader range of industries and companies because of concentration in a specific sector, country or industry.
SoFi ETFs are distributed by Foreside Fund Services, LLC.