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HGEN - ETFS Hydrogen ETF

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Newly listed on the ASX. Link to ETFS

"ETFS Hydrogen ETF (ASX Code: HGEN) offers investors exposure to the world’s leading hydrogen companies, with a focus on pure-plays. Sometimes described as the “Swiss army knife” of decarbonisation, hydrogen contains three times more energy on a weight-for-weight basis than petrol while producing no carbon dioxide emissions. Hydrogen can be used to replace fossil fuels like coal in areas that have proved hard to “green up” in the past. "

HGEN aims to provide investors with a return, before fees and expenses, that tracks the performance of the Solactive Global Hydrogen ESG Index. The index holds 30 companies from developed markets, Taiwan and Korea with a focus on pure-play hydrogen businesses. These include hydrogen fuel-cell makers; companies developing hydrogen-based infrastructure like refuelling stations; and companies creating hydrogen or making storage facilities.

HGEN uses a full-replication strategy to track the index, meaning that it holds shares of every company in its index. Pure-play hydrogen companies, which are identified using natural language processing, receive more weight in the fund and have their weights capped at 10%. Non-pure play hydrogen companies receive less weight, and have their weights capped at 4% each.

Listed with 1,00,000 shares at 10.00. Management costs 0.69%. Distributions - Annually. Currency hedged - No

Benchmark: Solactive Global Hydrogen ESG Index.

hgen1.PNG
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ETF to the hottest new sector in the market.

A bit like buying a share in a ship of the Dutch East India Company sailing to India and hopefully returning with riches galore.

It will be interesting following this ETF and their holdings over time.
 

So_Cynical

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Distribution Frequency Annually and top 4 holdings (35% of the fund) dont pay dividends - So not for anyone chasing yield, not in the short term anyway, over time could/should be a big capital winner as new emerging players that can innovate and be successful will be added over time.
 
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Faramir

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I could feel FOMO setting in until I saw MER 0.69 (Maybe this is a fair mer for this thematic). Maybe I should watch it carefully. Already I feel like I have missed the boat. People like Twiggy can do wonders to this EFT by saying anything in the media. That can put a rocket under this. Will this have the same pull as SEMI, AC/DC and other thematic in-vogue EFTs? Why is it I feel like I have no idea of what I am talking about?

For dumb people like me, I think a general simple EFT would be better as some of these better players, if they become big, will end up in the general simple EFTs as well.
 

Faramir

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Same guys that launched FANG Feb 2020. I missed that boat.

What AUM of $11.8 million? Why not call it FUM? Is that Allocation Under Management? Does small EFTs make anyone nervous?

Tell me if anyone thinks I am wrong but I think this will boon! Lots of spare printed money flying around. Those hands will definitely suffer FOMO in this new theme? I wonder what’s it’s liquidity is like?
 

Sean K

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I've been wanting to buy something with the word 'hydrogen' in the title, but I just couldn't sort the wheat from the chaff, so I've had a dabble in this thing.

I've looked at the companies in their portfolio and I have no idea what any of them actually do, so it looks like a solid investment.

Already had a very good start since listing, but got to start somewhere.
 

Dona Ferentes

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pretty high, but it depends on the amount of Funds under Management

Here is a list of all ASX listed ETFs, where you can see the numbers.

click on each code to look deeper
 

Dona Ferentes

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Lotsa gaps....
There are going to be gaps most days. The pricing is set by the Market Makers, who would receive most of their pricing information from the OS markets, esp US, where the component companies in this ETF are based and how the companies traded during and at end of day. . They would then set the range which they will Offer or Cancel units . Only a small amount of pricing is from the intra-day trading on the ASX.

From the PDS:
Creation Requests for Units of a Fund are only available to Authorised Participants who have been authorised as ‘trading participants’ under the ASX Operating Rules. The offer contained within this PDS is therefore made to Authorised Participants only.

Any other investors may not apply for Units in a Fund via this PDS, however Units can be purchased in the secondary market on the ASX via a broker, investment advisor or ASX participant.
 

Garpal Gumnut

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There are going to be gaps most days. The pricing is set by the Market Makers, who would receive most of their pricing information from the OS markets, esp US, where the component companies in this ETF are based and how the companies traded during and at end of day. . They would then set the range which they will Offer or Cancel units . Only a small amount of pricing is from the intra-day trading on the ASX.

From the PDS:
A fair few gaps yet to be filled on the way down before I’ll be in.

8 at last count.

I don’t need no bank johnny nor broker to tell me I’m sophisticated.

gg
 

Garpal Gumnut

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Still counting the gaps. Only three or four left. Some are quite small. I'll become interested around $10.00 or below.

I include a selection of ASX Hydrogeners that are on a watch list. Also a tall chart of HGEN. Please add any H2 stocks that are missing. SRJ has been suspended. They are doing "something different" now, so have been removed from my list.

chartdownload-4.png

Screen Shot 2021-12-02 at 4.00.46 pm.png

gg
 

Sean K

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Still counting the gaps. Only three or four left. Some are quite small. I'll become interested around $10.00 or below.

That gap just under $11 looks like a good spot to me.

I bought a few skinny soy chai latte's worth over $13, which I've stopped drinking for now, so I'm still in front.
 

Ann

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I bought a few skinny soy chai latte's worth over $13, which I've stopped drinking for now, so I'm still in front.

Geez mate $13 WTF!
Awesome coffee at 7/11 for a dollar. If I am feeling flush and the markets are on the up I go for the $2 cup but you need to do a $1 flat white (avoiding the cup filling fluff rip off ) and a $1 short black combination in the $2 cup for the strength! :)

 
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