SUPL Profile
The ProShares Supply Chain Logistics ETF is designed to offer investors exposure to the performance of an index comprising large-cap companies that play a significant role in the global supply chain. The fund aims to mirror the performance of an index that focuses on companies heavily involved in logistics and supply chain management. This includes firms that generate a substantial portion of their revenue from services or products related to supply chain logistics, reflecting their critical role in the movement and management of goods.
The index utilized by the fund is curated by the index provider to include the 40 largest companies by market capitalization that derive at least 75% of their revenue from supply chain-related activities. This focus ensures that the fund's portfolio is concentrated on leading players within the logistics and supply chain sector, which may include companies involved in transportation, warehousing, distribution, and related services. By selecting only those firms with significant revenue exposure to these activities, the fund aims to provide targeted exposure to key industry leaders.
Under normal market conditions, the ProShares Supply Chain Logistics ETF invests at least 80% of its net assets in the securities that are part of the index. This substantial allocation ensures that the fund's performance closely aligns with that of the index. The investment strategy is designed to capture the performance of major supply chain logistics companies, offering investors the opportunity to gain targeted exposure to a sector integral to global trade and economic activity.
As a non-diversified fund, it is concentrated in a specific sector, focusing on the logistics and supply chain industry. This concentration allows for a more specialized investment strategy but also implies higher sector-specific risk. Investors should consider how this focus on supply chain logistics fits within their broader investment objectives and risk tolerance. The ProShares Supply Chain Logistics ETF provides a strategic way to tap into the growth and dynamics of the global supply chain sector, reflecting the critical role these companies play in facilitating international commerce.
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