HANetf launches its Sports Betting and iGaming ETF on Deutsche Börse tracking Solactive Index
After the successful launch of its Fischer Sports Betting and iGaming UCITS ETF (BETS) on the London Stock Exchange, the British White Label ETF provider HANetf brought this innovative concept to Continental Europe, now launching BETS on Deutsche Börse on June 15th. The ETF includes sports and online betting companies, which experienced a surge in demand during the Covid 19 pandemic and in the light of loosened restrictions for online gambling opportunities in the US. The Fischer Sports Betting and iGaming UCITS ETF tracks the Solactive Fischer Sports Betting and iGaming Index.
According to a recent report published by Goldman Sachs, the US sports betting and iGaming market stands on the verge of a massive growth trajectory. The report forecasts an increase of the US sports betting and iGaming market of approximately 2,300% between 2020 and 2033, accumulating to a $53 billion volume. To enable European investors to benefit from this potential development, HANetf teamed up with gambling consulting company Fischer Sports and Solactive to develop the Solactive Fischer Sports Betting and iGaming Index, which serves as the underlying for BETS.
The Solactive Fischer Sports Betting and iGaming Index serves as a representation of securities that have business operations in the fields of Sports Betting and iGaming. The index selects its constituents from a universe of developed and emerging market companies (excluding Chinese A-shares) with market capitalizations greater than $100 million and average daily trading volumes above $250,000. To determine the index universe, Solactive utilizes its proprietary natural language processing algorithm ARTIS®. ARTIS® is utilizing advanced algorithms to parse high volumes of public documents evaluating companies’ exposure to various themes or topics. The sophisticated procedure not only detects potential index constituents considering a firm’s exposure to a theme but also ranks its importance to the very subject or industry.
ARTIS® identifies Sports Betting and iGaming companies that have or are expected to have significant exposure to the provision of the following products and/or services: operation of online/internet gambling platforms; business-to-consumer operators or consumer-facing brands; technology platform providers that provide the infrastructure and other including player account management systems; and media, affiliates, streaming and content, and other services providers. Each company identified by ARTIS® receives a score that reflects its exposure to the index strategy. The final selection of the index constituents is executed by Fischer Gaming, which is a boutique consulting firm specialising in the global gaming and entertainment industry and is based in Los Angeles.
Hector McNeil, co-Founder and co-CEO at HANetf, commented: “HANetf has consistently been at the forefront of innovation within the European ETF market, and the addition of the Fischer Sports Betting and iGaming UCITS ETF only adds further credence to that claim. We’re delighted to finally offer the European investor a seat at the Sports Betting and iGaming table, having watched from the sidelines as their North American counterparts have taken advantage of this exciting growth market.”
Timo Pfeiffer, Chief Markets Officer at Solactive, comments: “Developing innovative index strategies with our business partners that add value to investors’ portfolios is a deeply rooted attitude within Solactive’s DNA. Our longstanding business relationship with HANetf sparked numerous innovative and cutting-edge ideas, which are now successful and leading products serving investors. We are excited about this new ETF, and we’re looking forward to developing more pioneering index-based projects with HANetf.”
The Fischer Sports Betting and iGaming UCITS ETF started trading on the London Stock Exchange on June 4th, 2021, and is listed on Xetra on June 15th, 2021.