Range Debuts 4 Energy-Related ETFs

Those funds are as follows:

• Range Global Coal Index ETF (COAL B)
• Range Global Offshore Oil Services Index ETF (OFOS C+)
• Range Global LNG Ecosystem Index ETF (LNGZ C)
• Range Nuclear Renaissance Index ETF (NUKZ )

“We view the energy transition as progressing into a new phase. Investors are increasingly recognizing the need for base load power solutions in support of renewables,” Range Fund Holdings Founder and CEO Tim Rotolo said in a press release. The document said the lineup is designed around the idea that energy is going to dominant in global markets.

Rotolo further noted that energy demand is at record highs, while the fossil fuel economy is in flux due to concerns around climate change.

“This situation has created an opportunity for forward thinking investors to allocate their resources,” he added.

The methodologies of the underlying indexes classify companies as “pure play” if they generate half or more of their revenues from businesses related to the targeted industry or expect to do so; “pre-revenue” if the companies are mainly focused on the targeted industry but not yet producing revenue; or “diversified” if their activities in the targeted industry amount to less than half of their revenue, according to the prospectuses.

The methodology weights companies by modified market capitalization. It caps pure-play or pre-revenue firms  at weights of 10%. It caps diversified companies at weights of 3%, according to the prospectuses. Each ETF’s portfolio includes roughly 30 companies, the documents said.

All four new funds have expense ratios of 0.85%.

Range ETFs is also the provider of the Range Cancer Therapeutics ETF (CNCR B-). The fund launched in 2015 and has roughly $14 million in assets under management.

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