Benzinga | Jun 17, 2021 08:16AM EDT

US Global Investors Highlights Launch Of Europe's First Airlines Industry ETF: JETS Launches On London Stock Exchange

U.S. Global Investors, Inc. (NASDAQ:GROW) ("the Company"), a registered investment advisory firm that focuses on specialized markets around the world, is thrilled to announce its partnership with HANetf to launch Europe's first and only global airlines industry ETF. The U.S. Global Jets UCITS ETF (JETS) launched today on the London Stock Exchange (LSE).

This move marks the second time this year that the Company has expanded its product line to international markets, the first case being in April when it launched its airlines ETF on the Mexican Stock Exchange (BMV).

Based in London, HANetf is Europe's first independent full-service provider of Undertakings for Collective Investment in Transferable Securities (UCITS) ETFs, with over $2 billion in assets under management (AUM). Exchange-traded funds that qualify as UCITS can be registered in Europe and offered to investors throughout the European Union (EU) using standardized regulatory requirements. Once approved, they become exempt from regulation in individual countries.

The Company manages the U.S. Global Jets ETF (JETS), a U.S.-based exchange-traded fund that invests in not just carriers around the world but also airport services companies and aircraft manufacturers. As of June 1, AUM stood at $4.0 billion. Inflows into JETS began to soar in the first quarter of 2020 as investors bet on the eventual development and distribution of a vaccine against COVID-19.

A similar investment case prompted the idea of a European-based airlines ETF, according to Frank Holmes, the Company's CEO and chief investment officer.

"Here in the U.S., leisure travel is steadily recovering as over half of American adults are now either fully or partially vaccinated against COVID-19. That's compared to only around 40% of people in the EU who have received at least one dose," Mr. Holmes says. "Therefore, we still believe there is great upside potential in terms of European commercial flight demand, especially now that EU officials have agreed that member states should start allowing fully vaccinated foreigners to visit.

"Like U.S. investors, Europeans are signaling that they want investment vehicles that seek to capitalize on the reopening of the global economy," Mr. Holmes continues. "The JPMorgan Global Composite PMI, a leading indicator of economic business conditions, hit an incredible 15-year high in May, which points to strong growth going forward. I believe our airlines ETF, in collaboration with HANetf, will meet EU and United Kingdom investors' demand for such a product that seeks to track the global economic reopening."

The U.S. Global Jets UCITS ETF will seek to acquire a number of European airlines-related stocks, including Ireland-based Ryanair, Hungary-based Wizz Air and Zurich Airport in Switzerland.