Eyeing Rising World Food Demand, Global X Debuts Fertilizer ETF
PowerShares launches a convertible ETF, plus the week's best- and worst-performing ETFs.
On Thursday, May 26, Global X launched the first exchange-traded fund that holds companies in the fertilizer and potash industries.
The new fund is the latest bet by an ETF provider on rapidly rising global-food demand. In a release, Global X noted that grain yields in India are less than half of those in the United States, which largely is the result of improper fertilization. And Global X pointed out that China and India's rapidly growing agricultural industries alone account for more than 40% of world fertilizer use, with emerging markets in Asia and Latin America accounting for almost two thirds of global consumption of fertilizer.
Robert Goldsborough does not own shares in any of the securities mentioned above. Find out about Morningstar’s editorial policies.