Breakwave launches second shipping ETF

ETF issuer, ETF Managers Group, has announced that the ETFMG Breakwave Sea Decarbonization Tech ETF (NYSE Arca: BSEA) will begin trading on the New York Stock Exchange. 

The firm writes that BSEA is designed to provide investors access to a diversified set of global companies involved in actively reducing the environmental impact of the global maritime sector, including those that develop technologies, manufacture equipment or provide services related to marine or ocean decarbonisation.

“BSEA is a key step towards capitalising on the ocean decarbonisation transition by providing investors with an easy way to track the performance of publicly-traded sector leaders backed by comprehensive research and analytics,” says John Kartsonas, Founder and Managing Partner of Breakwave Advisors.

The shipping industry accounts for roughly 3 per cent of global carbon emissions, around 1 billion metric tons of greenhouse gases emitted yearly. Without further action, shipping emissions are expected to surge. BSEA provides exposure to dynamic and pioneering companies involved in developing and commercializing technologies that could benefit from the growth of new sector initiatives aiming to combat the environmental impact of the global maritime sector. This includes companies involved in cleaner propulsion (including alternative fuels, batteries and fuel cells), carbon capture technologies and offshore wind development.

“We are excited to bring yet another first to the market with BSEA, a product that answers investor demand for access to these disruptive technology companies at the forefront of ocean decarbonisation,” says Sam Masucci, Founder and CEO of ETFMG.

“Shipping will always remain a major part of the global economy, while the decarbonisation transition will provide considerable investment opportunities that are still in their infancy,” says Hal Malone, Principal of Sea/Switch Partners.

BSEA tracks the Marine Money Decarbonization Index. The Index was developed and is maintained by Maritime Transformation Partners, a collaboration between Marine Money, Breakwave Advisors and Sea/Switch Partners. 

“For more than 30 years, Marine Money’s mission has been to facilitate and strengthen the relationship between investors and the maritime industry. As the industry embarks on a multi-decade process of mandated decarbonization, the Marine Money Decarbonization Index will help investors participate in this significant opportunity. The launching of the Index marks the beginning of an important journey. We anticipate that the Index will evolve as more companies go public and existing companies grow and satisfy the Index inclusion requirements,” says Matt McCleery, President of Marine Money.

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