LNG - Roundhill Investment launches LNG-focused ETF on NYSE
2023-09-22 09:31:34 ET
Roundhill Investments is rolling an exchange-traded fund that offers energy-focused investors exposure to the liquefied natural gas, or LNG, value chain, including liquefaction, LNG carriers and regasification.
The new product, dubbed Roundhill Alerian LNG ETF ( NYSEARCA: LNGG ) starts trading on the New York Stock Exchange Arca on Friday.
"LNG represents a transformative frontier in the energy sector, and its growth trajectory is evident from its rapidly expanding share within the global gas supply," said Dave Mazza, chief strategy officer at Roundhill.
Indeed, LNG's share in the global gas supply is projected to rise to 23% by 2050 from 13% as of February 2021, driven by meeting escalating demand and a surge in expected spending on greenfield LNG projects in the upcoming years, Roundhill said, citing McKinsey's global gas outlook.
The fund's top five biggest holdings at launch include:
Cheniere Energy ( NYSE: LNG ) (16.1% weighting)
Santos ( OTCPK:STOSF ) ( OTCPK:SSLZY ) (14.1% weighting)
Woodside Energy Group ( NYSE: WDS ) ( OTC:WOPEF ) (13.4% weighting)
Tokyo Electric Power Company Holdings ( OTCPK:TKECF ) ( OTCPK:TKECY ) (4.8% weighting)
ENN Energy Holdings ( OTCPK:XNGSY ) ( OTCPK:XNGSF ) (4.6% weighting).
"For climate conscious investors, LNGG offers a practical solution to invest in a transitional fuel source that is significantly cleaner than alternatives like coal," Maz added.
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Roundhill Investment launches LNG-focused ETF on NYSE