Franklin Templeton is expanding its metaverse ETF to include exposure to artificial intelligence (AI) and blockchain.
Consequently, the Franklin Metaverse UCITS ETF (METU) will be renamed the Franklin AI, Metaverse, and Blockchain UCITS ETF. The fund, which tracks the Solactive Global Metaverse Innovation index, will add 15 companies to its portfolio, increasing the total to 75.
The index themes will be reduced from seven categories to four: the metaverse ecosystem, blockchain technology, digital asset platforms, and AI applications and services.
The ETF’s investment objective—providing exposure to technologies that offer products and services around the metaverse and support blockchain technologies—will remain unchanged. These changes will take effect on June 7.
Franklin Templeton Metaverse Fund Holdings
METU’s top three holdings are Nvidia (8.2%), Meta Platforms (5.4%), and Coinbase Global (5%).
Franklin Templeton launched METU in September 2022, and its assets have grown to $3.6 million since inception.
Recently, HANetf revamped its metaverse ETF into a ‘Web 3.0’ strategy, with a new name and index and expanded sector exposure. Meanwhile, Roundhill Investments exited the European ETF market last October, closing its metaverse ETF just 18 months after launch.
In the U.S., Franklin Templeton manages $17.6 billion across 60 ETFs, with the largest being the Franklin FTSE Japan ETF (FLJP) at $2.09 billion in assets. Over the past year, the best-performing Franklin Templeton ETF was FLJH, with a 36% return. The most recent addition to their ETF lineup is the Franklin Bitcoin ETF (EZBC), launched on January 11.
Franklin Templeton does not have a metaverse ETF in the U.S. The most similar fund to the U.K. product is the $20.9 million Franklin Intelligent Machines ETF (IQM), which has gained 38% over the past year.
In the latest episode of Talk ETFs on etf.com, Franklin Templeton’s global ETF head, Patrick O’Connor, discusses the company’s expanding ETF offerings.
Source: finance.yahoo.com
