NEW YORK, Oct 05, 2009 (BUSINESS WIRE) — Jefferies today announced the Jefferies | TR/J CRB Global Commodity Equity Index Fund, an equity-based exchange traded fund
(ETF) that tracks the overall performance of a commodity equity index.
The ETF trades on NYSE Arca, Inc. under the ticker symbol (CRBQ).
For more than 50 years, the Thomson Reuters / Jefferies CRB Index (the
"CRB Index") has served as a widely recognized measure of the global commodity markets.
Building upon the history and reputation of the CRB Index, the new
group of indices (the "CRB-EQ Indices") will offer investors unique,
simplified benchmarks for globally traded equities of companies that
are principally engaged in the production and distribution of
commodities and commodity-related products and services in the
agriculture, industrial metals, energy and precious metals sectors. The CRB-EQ Indices include a composite index on which the first new ETF is based.
These new ETFs will seek investment results
that replicate as closely as possible the price and yield performance
of the CRB-EQ Indices, before fees and expenses.
Adam De Chiara, Co-President of Jefferies Asset Management,
LLC, said, "Unlike many futures-based commodity ETFs, potential new
futures regulation should not impact the ability of these ETFs to issue
shares. Additionally, there is no Schedule K-1 to file, and, since
these ETFs are not based on futures, they avoid the cost and complexity
of continually buying and selling expiring futures contracts. We
believe that the new ETFs will provide much-needed capitalization for
expanding global commodity production. That should be good for
consumers, good for producers and good for the global economy." Art
Hogan, Equity Product Manager
and Chief Market Strategist at Jefferies, further commented, "The
introduction of this ETF is notable on a number of levels. Not only is
it the first investable equity product for the CRB, it's also the first
in a series of commodity-related funds based on these new equity
indices, and the first ETF under the Jefferies brand." ALPS Advisors,
Inc. is the investment adviser for the new ETF, and Arrow Investment Advisors, LLC is the investment sub-adviser. ALPS Distributors, Inc.
is the Distributor of the ETF. ALPS Fund
Services, Inc. will provide administration, compliance, creative
services, fund accounting, legal, marketing, tax administration,
transfer agency and shareholder services.
S-Network Global Indexes, LLC is the index
provider for the CRB-EQ group of indices. Jefferies and Thomson Reuters
are brand licensors for the CRB-EQ indices and for the new ETF.
About Jefferies Jefferies, a major
global securities and investment banking group, has served companies
and their investors for more than 45 years.
