Mirae Asset GlobalX Japan, Japan's First 'S&P 500 Dividend Aristocrats ETF' Listed

Listed on Tokyo Stock Exchange: 'Global X S&P 500 Dividend Aristocrats ETF'

[Asia Economy Reporter Kwangho Lee] Mirae Asset Global Investments announced on the 13th that its Japanese joint venture, Global X Japan, will newly list the Global X S&P 500 Dividend Aristocrats ETF on the Tokyo Stock Exchange.

The Global X S&P 500 Dividend Aristocrats ETF (2236 JP) invests in dividend aristocrats among the S&P 500 constituent companies that have consistently increased their dividends. Dividend growth stocks with continuously increasing dividends are classified based on the duration of dividend increases: Dividend Blue-Chip for over 5 years, Dividend Achievers for over 10 years, Dividend Aristocrats for over 25 years, and Dividend Kings for over 50 years.

These stocks have steady cash flow and solid fundamentals based on stable profit growth, indicating high growth potential. In particular, despite recent concerns about a global economic recession, the ETF focuses on financially stable stocks that provide dividend income as well as defensive capabilities in down markets, expecting future growth.

The ETF’s benchmark index is the S&P 500 Dividend Aristocrats Index. This index consists of stocks from the S&P 500, which includes the top 500 companies in the U.S. stock market, that have increased dividends for at least 25 consecutive years, have a market capitalization of over $3 billion, and an average daily trading volume exceeding $5 million. The index uses an equal-weighting method and limits sector weights to 30%, aiming for risk management through diversified investment. As of the end of November last year, the index comprised 64 stocks.

Global X Japan, a local Japanese entity established in September 2019 as a joint venture between Global X and Japan’s Daiwa Securities Group, began listing ETFs on the Tokyo Stock Exchange in August 2020 with products such as the Global X MSCI SuperDividend® Japan ETF and the Global X Logistics J-REIT ETF. Since then, it has introduced income-type products that regularly pay distributions, thematic products investing in innovation-driven structural changes, and core products reflecting environmental, social, and governance (ESG) factors.

Global X ETFs can be traded through overseas stock accounts at major domestic securities firms such as Mirae Asset Securities.