A new exchange traded fund (ETF) focuses exclusively on companies involved in the smart grid business.
The NASDAQ OMX Group, Inc. (NASDAQ:NDAQ), Clean Edge, Inc., and First Trust Advisors L.P. launched the First Trust NASDAQ® Clean Edge® Smart Grid Infrastructure Index Fund (NASDAQ:GRID).
It is based on the NASDAQ® Clean Edge® Smart Grid Infrastructure Index (NASDAQ:QGRD), a benchmark for the smart grid and electric infrastructure sector. The ETF is managed by First Trust Advisors L.P.
QGRD is a modified market-capitalization index and includes companies that are primarily involved in electric grid; electric meters, devices and networks; energy storage and management; and enabling software used by the smart grid and electric infrastructure sector.
"First Trust has filled the need for an investment product based on an index that has brought sharper focus to an industry that is transforming our nation’s energy grid," said NASDAQ OMX Executive Vice President John Jacobs.
"This is the first ETF to track a smart grid and electric infrastructure index," said Ron Pernick, Clean Edge Co-Founder and Managing Director.