TraderWise

Global X Management Company introduced Global X China Materials ETF (CHIM) today (1/14/2010), completing its rollout of six China sector ETFs.  The first two, Consumer (CHIQ) and Industrial (CHII), were launched in early December, while Technology (CHIB) , Financial (CHIX), and Energy (CHIE) hit the market around mid-month.

For the purposes of this ETF, the “Materials Sector” includes companies that focus on the mining and production of basic materials for industrial use but not for power generation.   Global X places coal and uranium mining companies in its Ener

GlobalX launched its fifth out of six planned China sector funds, the most recent being the Energy Fund (CHIE). The only remaining fund from the original filing is the materials fund but it appears as though they may wait a little while for that one.

Before a look under the hood was available I had wondered how heavy it would be in the NYSE traded mega cap energy stocks, Petrochina (PTR), Sinopec (SNP) and CNOOC (CEO), and what my reaction would be.

The 3M Company (NYSE:MMM) announced this morning that it was launching a new Renewable Energy Division. The division includes two business, Energy Generation and Energy Management.  The Energy Generation business focuses on 3M products that "help reduce the cost of renewable energy." The Energy Management business will concentrate on window film products that reduce the amount of heat and ultraviolet light that penetrate plain building and auto glass.

Global X Management Company expanded their ETF offerings today (12/01/2009) with the launch of Global X China Consumer ETF (CHIQ) and Global X China Industrial ETF (CHII).

As mentioned the other day the first of the China sector ETFs are up and running. GlobalX launched an industrial sector fund with ticker CHII and a consumer fund with ticker CHIQ. The original filing also included funds for financials, energy, technology and materials which IndexUniverse thinks will be out soon.

According to the International Energy Agency (IEA), China is now the world’s largest energy consumer. With annual growth levels surpassing 10 percent – even after the government has implemented measures to ease expansion – demand for energy in China is expected to continue to grow while usage in western countries is waning.

James Howard Kunstler has eloquently argued in The Long Emergency that cheap oil makes globalism possible.  Transporting goods across the globe costs energy, and, when energy costs enough, local production becomes more economical than global. For now and the near future, however, it still costs not only less money, but even less energy to manufacture goods in China and ship them to the U.S. than to use U.S. workers.

Global X Management Company is now halfway through their rollout of six China sector ETFs with today’s (12/09/2009) introduction of Global X China Technology ETF (CHIB).

With this post we begin a new series looking at energy alternatives - from oil produced by squiggly algae to complex nuclear reactors to solar panels. Each fuel source or power technology will be considered in terms of capital requirements, raw materials costs and most importantly power requirements for the production process itself. We also look at distribution alternatives and the costs of building delivery infrastructure for some of the newest renewable fuels. Environmental sustainability is another important element in the discussion.