Insufficient assets prompts Direxion to close its billionaire-mimicking ETF

Mar 2nd, 2018 | By | Category: Equities

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Direxion Investments is to close its billionaire-mimicking ETF, the Direxion iBillionaire Index ETF (IBLN US)

Billionaire investor Warren Buffett

The fund will cease trading on NYSE Arca on 6 April 2018.

The fund seeks to outperform the S&P 500 Index by tapping into the investment strategies of Wall Street’s top billionaire investors. 

It tracks the iBillionaire Index, which holds the top 30 US equities held by a select pool of leading billionaire investors.

The index tracks the top stock picks of ten leading billionaire investors including Warren Buffett, George Soros, Carl Icahn, John Paulson, Ray Dalio, David Tepper, Edward Lampert and David Einhorn.

The long-only equity index is equally weighted and rebalanced on a quarterly basis. Information technology represents the largest sector weighting at 39.5%, followed by consumer discretionary at 23.5%.

Since its launch in August 2014, the fund has not attracted sufficient assets to continue to operate in an economically efficient manner. As a result, the board has decided that liquidating and closing the ETF would be in the best interest of the fund and its shareholders. Shareholders may sell their holdings prior to 6 April.


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