Rize Circular Economy Enablers UCITS ETF

Issuer: ARK Investment Management

Asset Class: Equity

TER: 45bps

Trading Currency: GBX

Pays Income: False

Listing Date: 31 May 2023

Ticker: CIRC

ISIN: IE000RMSPY39

The investment strategy focuses on the circular economy, representing a fundamental shift from the traditional linear "take-make-dispose" model to a more sustainable, regenerative system. This new economic framework aims to decouple growth from the consumption of finite resources by designing out waste, keeping materials in use for as long as possible, and regenerating natural systems. The fund targets companies that are pivotal in enabling this global economic transition, offering investors a way to participate in a structural shift toward greater resource efficiency and environmental responsibility.

The portfolio provides exposure to a diversified range of companies that are actively developing solutions to support the circular economy. These companies fall into several key areas, including those creating enabling technologies like software for resource management, those developing sustainable materials and redesigning products for longevity, and those innovating in the recovery and recycling of materials. The fund also includes businesses offering "product-as-a-service" models, which shift the focus from ownership to usage, further promoting durability and reuse.

By investing in these "enablers," the strategy seeks to capture the growth potential of a megatrend driven by increasing consumer awareness, regulatory pressures, and the economic benefits of resource efficiency. The move towards a circular economy is not just an environmental imperative but also a significant economic opportunity. This approach allows for participation in the potential long-term value creation of companies at the forefront of building a more sustainable and resilient global economy.