U.S. Global Investors (NASDAQ:GROW) announced the launch of its first actively managed exchange-traded fund, the U.S. Global Technology and Aerospace & Defense ETF (NYSE: WAR), on the New York Stock Exchange.
The WAR ETF targets sectors such as semiconductors, artificial intelligence (AI), data centers, cybersecurity, aerospace, and electronic warfare.
It applies a "smart beta 2.0" strategy, which combines quantitative and fundamental analysis to identify long-term growth opportunities while managing risk.
“From the ‘war on drugs’ to the iconic movie Star Wars, history has shown us the importance of defense against the forces that threaten peace,” said Frank Holmes, CEO and Chief Investment Officer of U.S. Global Investors (NASDAQ:GROW).
“With advances in robotics, drones, satellites, AI and cybersecurity, the ETF aims to capture opportunities in these critical sectors that are transforming how we think about defense and security in the modern world.”
The launch comes amid rising geopolitical tensions and record global military expenditures, which reached $2.4 trillion in 2023, according to industry data. In Europe, defense spending by EU member states is projected to hit €326 billion ($342 billion) this year, accounting for 1.9% of the bloc’s GDP.
WAR joins U.S. Global Investors (NASDAQ:GROW)’ portfolio, which includes JETS, focused on the airline industry; GO GOLD and Precious Metal Miners ETF (NYSE: GOAU), centered on gold mining; and Sea to Sky Cargo ETF (NYSE: SEA), targeting global shipping and logistics.