Solactive AG has developed the Solactive Wearable Tech Performance Index, designed to track the performance of major players in the wearable technology industry. The Index has been licensed to Vontobel for an Open End Certificate (DE000VZ96WT0).
The wearable technology space encompasses all kind of clothing and accessories incorporating either computer or electronic technologies -- well-known examples include glasses, wrist wear, insulin pump or e-textiles. These innovative products have seen a growing demand over the past couple of years in many industries including entertainment, media, sports, leisure and above all healthcare.
According to IDTechEx, leading indicators including Google trends, patent filings and sales figures, show a significant growth prospect for this burgeoning industry. The wearable electronics business in particular is expected to increase from over $14 billion in 2014 to over $70 billion in 2024.
Steffen Scheuble, CEO, Solactive, said: “Solactive has been innovating in the technology space for years now, launching first of their kind, sometimes nichy indices, before they became popular trends, such as the Solactive 3D Printing Index or the Solactive Robotic & Drones Index. We are delighted to keep expanding our offer for Vontobel with a benchmark for another fast pace growing industry, this time the wearable technology.”
The index universe is composed of all companies which have significant business operations in the wearable technology industry and are listed on a regulated stock exchange in the form of shares tradable for foreign investors without restrictions. Wearable technology refers to technologies that can be worn on the body and can connect to Internet or exchange data between a network and the device. The wearable technology industry includes companies involved in the development, production and sale of such products.
To be included in the Index, companies need to have a market capitalization of at least EUR 5 billion and a 3 months average daily volume of at least EUR 3 million. The biggest companies by market capitalization are included in the Index, with a cap at 15 components. The Solactive Wearable Tech Performance Index is equal weighted.
The Solactive Wearable Tech Performance Index is a Total Return Index calculated in EUR. The Index will start calculating on 11th May 2015, based on 100. The Index will be rebalanced semi-annually on the third Wednesday of April and October.
As of 9th April 2015, the 8 components of the Solactive Wearable Tech Performance Index are as follow: