Global X Funds, the New York based provider of exchange traded funds, today launched a fund that gives investors exposure to the largest hedge fund managers.

The Global X Top Guru Holdings Index ETF (GURU) will is benchmarked to The Top Guru Holdings Index, which compiles fund managers from a select pool of hedge funds that file 13F information on a quarterly basis. Hedge funds with high turnover and non-concentrated positions are eliminated from the pool. The fund has an expense ratio of 75 basis points.

“You have a lot of people looking at enhanced indexing strategies where you still get the benefits of passive investments and low costs with better constructed indices providing access to alpha versus standard benchmarks. Funds that provide alpha look at historical information," CEO Bruno del Ama, told Money Management Executive. 

"What we did was to use data from the most sophisticated investors out there."

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