Fintech & Blockchain ETF (FTEC) – Global X ETFs Australia


Fintech & Blockchain ETF

Reasons to Consider FTEC

High Growth Potential

In 2020, the number of active online banking users was approaching 1.9bn worldwide. Forecasts suggest that number could reach 2.5bn by 2024, highlighting the vast reach in just one segment of this theme,1 and the global bitcoin market is expected to surpass USD$5.4bn by 2030.2

Global Tailwinds

Fintech and blockchain are global themes, poised to benefit as both expanding broadband and mobile internet penetration coincide with a rising middle class in developing markets, historically under-served by traditional financial services, and government and industry seek to improve the accuracy, transparency, and security of financial transactions.

Changing Consumer Preferences

While Fintech companies have historically catered to the digital preferences of younger consumers, they are increasingly competing on cost and convenience across a range of more established industries like lending and insurance. 58 countries now offer bitcoin ATMs.3

1 Statista, Mar 2021
2 MarketWatch, Oct 2021
3 Statista, Aug 2021

Product Information As of 8 Dec 2023

Inception Date 13 Oct 2021
Management Costs (% p.a.) 0.69
Currency Hedged No
Domicile Australia
Legal Form Managed Investment Trust
SMSF Eligible Yes

NAV Information As of 8 Dec 2023

NAV/Unit (A$) 8.38950000
Currency (NAV) AUD
Shares Outstanding 790,128
AUM (A$) 6,628,771.51

Product Summary

The Global X Fintech & Blockchain ETF (FTEC) seeks to invest in companies on the leading edge of the emerging financial technology sector, which encompasses a range of innovations helping to transform established industries like insurance, investing, fundraising, and third-party lending through unique mobile and digital solutions. This theme also includes those positioned to benefit from the increased adoption of blockchain technology, including companies in digital asset mining, blockchain & digital asset transactions, blockchain applications, blockchain & digital asset hardware, and blockchain & digital asset integration.

Product Objective

The Global X Fintech & Blockchain ETF (FTEC) seeks to provide investment results that correspond generally to the price and yield performance, before fees and expenses, of the Indxx Developed Markets Fintech & DeFi Index.

Trading Details

Ticker FTEC
Bloomberg Code FTEC AU Equity
ISIN AU0000171472
Trading Hours 10:00AM – 4:00PM

Management & Administration

Issuer Global X Management (AUS) Limited
Custodian The Hongkong and Shanghai Banking Corporation Limited, Sydney Branch
Registrar Computershare Investor Services Pty Limited

Benchmark Information

Benchmark Indxx Developed Markets Fintech and DeFi Index
Provider Indxx, LLC.

Distributions As of 31 Oct 2023

12-Month Yield 0.00%
12-Month Franking Level 0.00%
Distribution Frequency Semi-Annually
Distribution History View

Performance Table As of 8 Dec 2023

Total Return (Fund) Total Return (Benchmark) Tracking Difference Tracking Error
1 Month 14.12% 14.18% -0.06% 0.41%
3 Months 6.82% 7.32% -0.49% 0.54%
1 Year 33.52% 35.10% -1.58% 1.13%
3 Year p.a. -- -- -- --
5 Year p.a. -- -- -- --
10 Year p.a. -- -- -- --
Since Inception p.a. -7.83% -6.85% -0.98% 1.63%

Top Holdings As of 11 Dec 2023

Net Assets (%) Name SEDOL Market Price (Local) Shares Held Market Value (A$)
2.64 GALAXY DIGITAL H BD5H1G9 9.74 16,072 174,970
2.55 AFFIRM HOLDINGS BMF9NM8 42.07 2,646 169,008
2.54 COINBASE GLOBA-A BMC9P69 146.62 756 168,291
2.46 ADYEN NV BZ1HM42 1,186.80 84 162,989
2.36 MARATHON DIGITAL BLR7B52 16.78 6,139 156,399
2.13 RIOT PLATFORMS I BD9F675 15.83 5,870 141,080
2.05 NUVEI CORP-SUB V BMFNHJ5 32.31 3,756 135,643
1.96 STONECO LTD-A BGKG6M3 15.84 5,415 130,226
1.96 BLOCK INC BYNZGK1 69.17 1,235 129,697
1.76 UPSTART HOLDINGS BL53QN5 36.92 2,079 116,536
1.71 VERTEX INC - A BMX6DM1 28.58 2,616 113,513
1.67 GARTNER INC 2372763 452.00 161 110,487
1.64 NORDNET AB PUBL BNDLH43 180.60 4,153 108,894
1.64 FAIR ISAAC CORP 2330299 1,134.39 63 108,505
1.63 PAGSEGURO DIGI-A BFWK4R7 10.47 6,810 108,253
1.60 NEXI SPA BJ1F880 7.42 8,735 106,023
1.59 WISE PLC - A BL9YR75 8.09 6,845 105,438
1.58 EQUIFAX INC 2319146 228.38 302 104,715
1.55 AVANZA BANK HOLD BJXMLF7 226.20 3,121 102,497
1.54 ROBINHOOD MARK-A BP0TQN6 11.73 5,729 102,029
1.49 EXPERIAN PLC B19NLV4 30.81 1,682 98,696
1.48 MOODY'S CORP 2252058 374.61 173 98,394
1.46 FISERV INC 2342034 132.36 483 97,062
1.46 WOLTERS KLUWER 5671519 129.80 457 96,982
1.46 INTUIT INC 2459020 573.90 111 96,717
1.45 THOMSON REUTERS BNBXPB4 141.38 449 96,378
1.44 LONDON STOCK EX B0SWJX3 91.00 550 95,320
1.44 DEUTSCHE BOERSE 7021963 180.50 323 95,319
1.44 S&P GLOBAL INC BYV2325 415.38 151 95,229
1.43 MORNINGSTAR INC B081VR8 274.76 228 95,112
1.43 GUIDEWIRE SOFTWA B7JYSG3 97.89 638 94,821
1.43 CBIZ INC 2730781 58.22 1,071 94,669
1.43 JACK HENRY 2469193 164.69 378 94,516
1.42 NASDAQ INC 2965107 53.97 1,151 94,313
1.42 LENDINGCLUB CORP BK95GR4 6.90 8,997 94,252
1.42 TRADEWEB MARKE-A BJXMVK2 90.35 685 93,965
1.41 H&R BLOCK INC 2105505 45.43 1,359 93,736
1.39 VISA INC-CLASS A B2PZN04 255.74 238 92,410
1.39 GMO PAYMENT GATE B06CMQ9 8,513.00 1,000 89,440
1.38 SS&C TECHNOLOGIE B58YSC6 57.11 1,054 91,390
1.36 DUN & BRADSTREET BLF9ZT2 10.59 5,621 90,376
1.35 CME GROUP INC 2965839 211.62 278 89,320
1.34 FACTSET RESEARCH 2329770 443.89 132 88,960
1.33 FIDELITY NATIONA 2769796 58.94 987 88,323
1.32 ASSETMARK FINANC BKF9D68 26.79 2,155 87,653
1.32 SOFI TECHNOLOGIE BM8J4C2 8.13 7,084 87,441
1.31 MASTERCARD INC-A B121557 412.16 139 86,981
1.31 HUB24 LTD BD4T5X1 33.85 2,555 86,487
1.30 XP INC - CLASS A BK4Y052 23.83 2,390 86,470
1.30 INTERCONTINENTAL BFSSDS9 113.34 501 86,212
1.30 PAYPAL HOLDINGS BYW36M8 58.94 961 85,996
1.29 GLOBAL PAYMENTS 2712013 120.16 470 85,744
1.26 MSCI INC B2972D2 506.68 109 83,850
1.24 HUATAI SECURIT-H BWVFT00 9.80 43,336 82,562
1.22 FLEETCOR TECHNOL B4R28B3 256.09 208 80,873
1.20 XERO LTD B8P4LP4 105.00 761 79,905
1.20 INTERACTIVE BROK B1WT4X2 83.15 632 79,786
1.19 WESTERN UNION B1F76F9 11.94 4,356 78,966
1.16 DLOCAL LTD BKVF490 16.98 2,982 76,876
1.16 EDENRED B62G1B5 53.20 883 76,802
1.15 ENVESTNET INC B474ZK7 42.57 1,183 76,460
1.10 TRANSUNION BYMWL86 62.63 765 72,743
1.08 HKEX 6267359 248.40 1,527 73,739
1.07 TOAST INC-A BP6D7B7 15.35 3,036 70,755
1.03 LUFAX HOLDIN-ADR BNDK6G5 0.87 51,670 68,046
0.91 BILL HOLDINGS IN BKDS4H5 70.98 562 60,564
0.74 WORLDLINE BNFWR44 15.55 1,922 48,863
Holdings are subject to change.

Sector Breakdown As of 11 Dec 2023

Sector Weight (%)
Financials 71.5
Information Technology 15.7
Industrials 11.3
Consumer Discretionary 1.4
Other/Cash 0.1

Country Breakdown As of 11 Dec 2023

Country Weight (%)
United States 66.4
Brazil 4.9
Netherlands 3.9
Canada 3.5
Sweden 3.2
Britain 3.0
China 2.3
France 1.9
Italy 1.6
Ireland 1.5
Germany 1.4
Other/Cash 6.4



  • What is “fintech”?

    Fintech is a combination of the words finance and technology. Fintech companies are those bringing cutting-edge technology to the financial services industry, and in the process ruffling the feathers of incumbent banks, insurers and wealth managers. Fintech adoption is surging thanks to the world going cashless, which has been a boom for digital payments and point of sale companies. By the adoption of smartphones, which has rocketed digital wallets. By the growth of big data and cloud, which has led to a surge in research providers and financial software companies and by nascent blockchain technology, which if used to its potential could disrupt much of financial services.
  • What is “decentralised finance”?

    Decentralised finance, sometimes referred to as “blockchain”, is distributed ledger technology. Most media coverage of this exciting new area has focused on bitcoin and other cryptocurrencies. However, there is more to blockchain than just cryptos. Promising blockchain innovations include “tokenisation”, which could allow private assets, such as real estate and cars, to trade in tokenised form in a similar way to shares in companies. Another potentially interesting area is “smart contracts”. This is where the terms of an agreement between companies are automatically executed by a blockchain, without the need for lawyers.
  • How are the companies in the index identified?

    Indxx starts by looking at companies within developed markets that meet minimum size and liquidity requirements. Indxx then hones in on several “sub-themes”, which they – and Global X – believe are relevant to fintech and decentralised finance. These sub-themes are decentralised finance, digital payments, financial data provider and analyser, financial enterprise solutions, peer-to-peer lending, personal finance software, tax compliance software, trading and capital markets, and point-of-sale. Within these sub-themes, companies are assessed based on revenue purity. Those making more than 50% of their revenue from these sub-themes are eligible for index inclusion. Companies eligible are selected based on market capitalisation, with each sub-theme capped at providing 10 companies except for decentralised finance which is capped at 20.
  • How are companies in FTEC weighted?

    FTEC uses an equal weight methodology, which is where an equal value of each company included in the index is bought at rebalance. Assuming no market movements, this would mean that each of the 75 companies included in the index would receive 1.33% of the fund’s weight at each rebalance. Equal weighting may have the advantage of allowing investors to “spread their bets” across a diverse range of companies in a fast-changing industry more equally. However, equal weighting has risks. These include potentially higher volatility as it lowers the median market capitalisation of a portfolio compared with market weighted approaches.
  • Why use FTEC for exposure to fintech?

    Fintech and blockchain are rapidly evolving industries. Afterpay was founded in 2014, yet as of August 2021, it has become one of Australia’s largest companies by market capitalisation. Picking individual companies that are likely to win from any theme is very difficult. But picking winners in new areas like fintech can be harder still due to the speed at which things can change. A strength of FTEC is that it offers diversification, providing investors with a basket of 75 researched stocks that capture the fintech theme. The result is that FTEC’s portfolio is likely to be less volatile than picking individual stocks. FTEC also provides a way to access global companies in a single trade. While some fintech companies – like Afterpay and Xero – trade on Australian exchanges, most global companies do not. This spares investors the work and cost of buying a portfolio of companies on foreign exchanges. As FTEC is locally domiciled, there is also less paperwork for end investors. Investors will not be required to complete W8 BEN forms.
  • How can you use FTEC in a portfolio?

    1. To express long-term strategic or short-term tactical views on disruptive financial technology.
    2. To complement financial services sector exposure with tech-aligned companies outside of the GICS classification (the industry sector classification created by MSCI and S&P Dow Jones Indices).
    3. To aid portfolio diversification via investment in companies that are largely absent from the Australian market.
  • Does FTEC overlap with other Global X funds?

    We design our ETFs with a view of minimising the amount of overlap between each. In this way, investors who buy more than one of our funds avoid buying the same stocks repeatedly. The precise amount of overlap between each fund can differ as the stocks moving in and out of each ETF change at index rebalance/reconstitution. Whatever overlap exists is usually small. For investors wanting to know the exact quantity of overlap between specific ETFs, please feel free to contact us.
  • Where can I buy and sell FTEC?

    When it launched, FTEC was listed on the CBOE exchange, the alternative exchange to the ASX. This means that if your broker is not connected to CBOE, then you will be unable to buy and sell FTEC. Most share trading platforms (such as CommSec, Open Markets, Wealthhub and more) are connected to the CBOE exchange and can facilitate your trade. If the platform you use is not connected with CBOE or you are having difficulties locating FTEC online, then we suggest contacting their trade and support team to enquire what is the best possible way to trade FTEC.

Investments may go up or down in value and you may lose some or all of the amount invested. Past performance is not necessarily a guide to future performance. Any advice provided by Global X Management (AUS) Limited (“Global X”) is general advice and does not take into account your personal objectives, financial situation or needs. You should consult an independent investment adviser prior to making an investment in order to determine its suitability to your circumstances. This material may contain links to third party websites. Global X does not control and is not responsible for the information contained within third party websites. None of these links imply Global X’s support, endorsement or recommendation of any other company, product or service.

Global X Management (AUS) Limited ACN 150 433 828 AFSL No 466778

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