NEW YORK--(BUSINESS WIRE)--Defiance ETFs today announced the launch of the Defiance Quantum ETF (NYSE: QTUM), a fund designed to provide investors with access to cutting edge technologies that are exponentially increasing computing speeds and making it possible to solve increasingly complicated problems.
“Quantum computing may sound like something from the distant future, but leading technology companies, startups and research universities are already developing and implementing these approaches to solve practical problems and build competitive advantages,” said Matthew Bielski, founder and CEO of Defiance ETFs. “With QTUM, investors don’t need to wait on the sidelines. We’ve already seen demand from registered investment advisers (RIAs), family offices and ETF strategists interested in gaining targeted exposure to this technology via a liquid, transparent ETF.”
Quantum computing accelerates the entire computing process and expands the range of what’s possible in machine learning, artificial intelligence (AI) and other applications. For instance, Google and NASA have reported that a quantum computer they piloted together processes algorithms 100 million times faster than a traditional computer chip.1
The field has attracted billions of dollars in investment and funding.2 While nearly every industry has the potential to benefit from the growth of this technology, key applications are being built in finance, cybersecurity, drug discovery, energy and autonomous vehicles. There’s even the potential for quantum computing to help predict weather disasters.
Defiance ETF Director of Research Tom Bowles, an AI pioneer and serial entrepreneur who has helped found dozens of technology companies, says, “This technology represents a massive leap forward for the world of computing—it’s comparable to the shift from valve computing to silicon chips. Companies are already applying it and will continue to apply it in myriad ways, from optimizing investment portfolios to debugging software and finding wholly new drugs.
“Quantum computing also has the potential to make cryptography, and the technology that relies on it, obsolete. The possibilities are endless, and public and private organizations have already demonstrated that they’re deeply interested in putting the technology to good use,” he added.
QTUM offers a liquid and transparent way to invest in organizations developing and applying machine learning and quantum computing technology including hardware companies, software makers and defense and security firms.
The underlying index, the BlueStar Quantum Computing and Machine Learning Index (BQTUM), is global and diversified with approximately 60 stocks across all market capitalizations. Current country allocations include the United States, Japan, Korea, and China. The index is equal weighted, offering investors more targeted exposure, including to smaller companies with higher growth potential.
QTUM is the second ETF from Defiance ETFs, which specializes in portfolios that highlight disruptive technologies. The company’s first ETF, AUGR, which focuses on Augmented and Virtual Reality, launched in August.
“We strongly believe that all investors should have the ability to access the most transformative and disruptive technologies of our time,” Bielski said. “We started Defiance to offer those opportunities, and provide investors with precise exposures to emerging technologies that complement the existing tech in their portfolios.”
About Defiance ETFs
Defiance ETFs offers investors access to transformative technology via low-cost, targeted portfolios. Defiance ETFs’ distinct approach to disruptive investing empowers investors to be on the leading edge of technological developments that have the potential to alter industries, and change how we experience the world. The firm’s flagship product, AUGR, focuses on the opportunities presented by augmented and virtual reality.
The Funds’ investment objectives, risks, charges, and expenses must be considered carefully before investing. The prospectus and summary prospectus contains this and other important information about the investment company. The prospectus can be obtained by calling 1-833-333-9383 Please read it carefully before investing.
Investing involves risk. Principal loss is possible. As an ETF, the fund may trade at a premium or discount to NAV. Shares of any ETF are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. The Fund is not actively managed and would not sell a security due to current or projected under performance unless that security is removed from the Index or is required upon a reconstitution of the Index. A portfolio concentrated in a single industry or country, may be subject to a higher degree of risk. The value of stocks of information technology companies are particularly vulnerable to rapid changes in technology product cycles, rapid product obsolescence, government regulation and competition. The Fund is considered to be non-diversified, so it may invest more of its assets in the securities of a single issuer or a smaller number of issuers. Investments in foreign securities involve certain risks including risk of loss due to foreign currency fluctuations or to political or economic instability. This risk is magnified in emerging markets. Small and mid-cap companies are subject to greater and more unpredictable price changes than securities of large-cap companies.
The “BlueStar Quantum Computing and Machine Learning Index™”, “BQTUM™ Index” (collectively “Quantum Computing and Machine Learning Index”), is the exclusive property and a trademark of BlueStar Global Investors LLC d/b/a BlueStar Indexes® and has been licensed for use for certain purposes by Defiance ETFs LLC. Products based on the Quantum Computing and Machine Learning Index are not sponsored, endorsed, sold or promoted by BlueStar Global Investors, LLC or BlueStar Indexes®, and BlueStar Global Investors, LLC and BlueStar Indexes® makes no representation regarding the advisability of trading in such product(s).
It is not possible to invest directly in an index.
The Fund is distributed by Quasar Distributors, LLC.