ETF Securities launches AI-focused ETF

The ETF Securities ROBO Global Robotics and Automation ETF (ROBO), which tracks the ROBO Global Robotics and Automation Index, began trading on the ASX yesterday.

According to a statement by ETF Securities, the robotics economy is estimated to be worth US$1.2 trillion by 2025, driven by demand for higher productivity and applications in various industries.

Commenting on the launch of the ETF, head of ETF Securities Australia Kris Walesby said, “The robotics and automation industries are part of a global megatrend which is expected to outperform the broader market in coming decades.

“ROBO Global is the pioneer in this area, having created the first robotics and automation ETF on the NASDAQ in 2013, and continues to work with a strategic advisory team including leading robotics experts.

“We’re excited to be partnering with them to offer local investors a unique opportunity to buy into a spread of transformational technologies which might otherwise be challenging to invest in.”

ROBO tracks 83 stocks in small- and mid-cap companies in 12 sub-sectors across more than 15 companies and avoids “more mature technology names which may lack innovation”, according to the statement.

A spokesperson told ifa that ETF Securities will pay a fee to ROBO Global for its use of the index.