The latest thematic exchange traded fund (ETF) to hit the market will hitch its wagon to US President Donald Trump and the Republican Party with their pledge to ‘Make America Great Again’.
The ETF will invest solely in stocks tied to the Republican Party and is set to be launched in the US by investment manager Point Bridge Capital, according to a filing with the country's stock market regulator.
Formally called the Point Bridge GOP Stock Tracker ETF, the new index-tracker fund will carry the ticker MAGA, which stands for President Trump’s campaign slogan ‘Make America Great Again’.
GOP refers to the 'Grand Old Party', a long-standing nick name for the Republican party.
According to the filing with the Securities and Exchange Commission, the US-listed tracker will invest in companies which have employees or activities which are highly linked to Republican candidates for election to senior positions.
This could mean companies associated with candidates for Congress, vice president or even the role of president. This is as well as those tied to federal committees or groups or other related investable stocks.
Annual charges for the fund will be $72 a year for every $10,000 under management. It is expected to list on CBOE Holdings Inc’s (CBOE.O) Bats exchange, according to Reuters.