Cirdan launches “Photonics” certificate
Certificate facilitating investment into the world’s first photonics index
The Solactive EPIC Core Photonics Certificate will be listed on the Frankfurt Stock Exchange for retail and institutional investors with the ISIN Code XS2412871902 and an initial value of 1,000 euros per certificate. Investment in the certificates is targeted to be ready with brokers on or about 23 December 2021. In addition, the index will be available on the C8 Technologies platform for direct indexing.
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Pierre-Antoine Llinas from Solactive and Carlos Lee from EPIC (Source: EPIC)
The Solactive EPIC Core Photonics Index is the first of its kind to represent a global cross-section of the world’s largest and most liquid public photonics manufacturing companies and includes all companies with at least fifty percent of their revenues sourced from photonics manufacturing activities. This means that for the first time, investors will be able to specifically target their investments to the photonics industry.
“Photonics is a major enabler of a cleaner environment across myriad industries,” said EPIC CEO Carlos Lee. “The future of our planet depends on creating greener solutions to traditional manufacturing processes and photonics technologies facilitate this evolution across numerous industries. We may not know what the future looks like, but we are certain that photonics technologies will take us there!”
Over the next five years, the photonics industry is expected to grow by more than 13 % annually with a total market value in excess of 1 trillion dollars by 2026. Over the last six years, the back-tested Solactive EPIC Core Photonics Index outperformed MSCI World by 15 % per year with a similar level of risk (volatility).
“While the investment returns on individual photonics companies are potentially very large, it is difficult for investors to differentiate between winners and losers over time,” explained Markus Barth, CEO of Anatase Ltd, who designed the index in collaboration with EPIC and Solactive. “EPIC’s in-depth company analysis provides a diversified global basket of companies that are all key-enablers of a greener future.”
In addition, Barth noted, “The carbon footprint of photonics companies in this index is, on average, 70 % lower than well-known equity market benchmarks. This means they walk the walk in their own operations as well as facilitating energy and resource efficiencies for their customers.”
Following the launch, EPIC will be actively looking at how pension funds can avail themselves of this new, greener investment. Half of the certificate revenues will be reinvested into promoting photonics globally.
A detailed description of the index can be found in the upcoming issue 1/2022 (Febr./March) of PhotonicsViews, DOI: 10.1002/phvs.202200009, out January 14, 2022. Please download the PDF to order your copy.
