This isn't just a multi-year story, it's a multi-decade one, and we continue to enjoy working with a creative firm like Claymore Securities, which had the vision to provide these portfolio solutions to brokers and their clients.
Huntington Beach, CA (PRWEB) January 3, 2008
Investment firm Delta Global Advisors, Inc. announced today the launch of two unit investment trusts focused on global infrastructure, the Delta Global Basic Needs and Delta Global Basic Services Portfolios.
"We divided the broad infrastructure theme in this way to let investors decide how they would most like to participate in this theme, via Basic Services and the fundamental industries which are crucial to a developing society and/or through Basic Needs and its exposure to the raw materials which serve as the building blocks of an emerging economy," said Chip Hanlon, President of Delta Global. "Both portfolios are focused on companies primarily exposed to Asia and emerging markets elsewhere," he continued.
Basic Needs provides exposure to agriculture, water and raw materials including energy, industrial metals and basic materials such as cement and steel. The portfolio contains 38 companies with headquarters in fifteen countries, including China, India, Australia and Brazil, as of date of deposit.
The Basic Services portfolio is made up of 27 holdings headquartered in eight different countries with operations worldwide, and provides exposure to utilities, telecom, ports, airports, roads and railroads, as of date of deposit.
Delta Global believes such securities are attractive due to the long-term need for basic infrastructure development throughout Asia and in other emerging markets around the globe.
"I chuckle when I hear commentators make statements about how the Chinese economy should continue to grow through next year's Olympics in Beijing. China's infrastructure needs alone are so big as to be mind-boggling," said Hanlon. "This isn't just a multi-year story, it's a multi-decade one, and we continue to enjoy working with a creative firm like Claymore Securities, which had the vision to provide these portfolio solutions to brokers and their clients."
Scott Larsen, Managing Director of Unit Investment Trusts at Claymore Securities, said, "We are pleased to partner once again with Delta Global, and these products provide unique investment solutions based upon Delta's experience in world markets."
The Delta Global Basic Needs and Basic Services UITs are available through most full service and discount brokerage firms and they are offered by Chicago-based Claymore Securities, Inc., whose entities have provided supervision, management, servicing or distribution on approximately $18.3 billion in assets as of November 30, 2007. Claymore currently offers exchange-traded funds, unit investment trusts and closed-end funds.
About Delta Global Advisors:
Delta Global Advisors, Inc. is an SEC-registered investment adviser. Delta Global's founder and president, Chip Hanlon, is a securities analyst, a contributing writer for Real Money and a widely-followed authority on foreign markets, currencies and commodities. He is also writing a book on global investing for FT Prentice Hall Publishing. Delta Global focuses on providing specialized global investment strategies and consulting on specialized investment themes with institutional clients.
Claymore Securities, Inc. is a privately-held financial services company offering unique investment solutions for financial advisors and their valued clients. Claymore entities have provided supervision, management, servicing or distribution on approximately $18.3 billion in assets as of November 30, 2007. Claymore currently offers exchange-traded funds, unit investment trusts and closed-end funds.
As with all investments, you can lose money by investing in this trust. The trust also might not perform as well as you expect. This can happen for reasons such as these:
Stock prices can be volatile. The value of your investment may fall over time. Market value fluctuates in response to various factors. These can include stock market movements, purchases or sales of securities by the trust, government policies, litigation, and changes in interest rates, inflation, the financial condition of the securities' issuer or even perceptions of the issuer.
The sponsor does not actively manage the portfolios. The trusts will generally hold, and may continue to buy, the same securities even though a security's outlook, market value or yield may have changed.
Share prices or dividend rates on the stocks may decline during the life of the trusts. There is no guarantee that the issuers of the securities will declare dividends in the future and, if declared, whether they will remain at current levels or increase over time.
The trusts invest in ADRs and foreign securities.
The trust's investment in ADRs and foreign securities presents additional risk. ADRs are issued by a bank or trust company to evidence ownership of underlying securities issued by foreign corporations. Foreign risk is the risk that foreign securities will be more volatile than U.S. securities due to such factors as adverse economic, currency, political, social or regulatory developments in a country, including government seizure of assets, excessive taxation, limitations on the use or transfer of assets, the lack of liquidity or regulatory controls with respect to certain industries or differing legal and/or accounting standards.
The trusts may invest in companies that are considered to be passive foreign investment companies ("PFICs"). PFICs are generally certain non-U.S. corporations that receive at least 75% of their annual gross income from passive sources (such as interest, dividends, certain rents and royalties or capital gains) or that hold at least 50% of their assets in investments producing such passive income. As a result of an investment in PFICs, the trust could be subject to U.S. federal income tax and additional interest charges on gains and certain distributions with respect to those equity interests, even if all the income or gain is distributed to its unitholders in a timely manner. The trusts will not be able to pass through to its unitholders any credit or deduction for such taxes.
The trusts may include securities issued by companies located in emerging markets. Emerging markets are generally defined as countries with low per capita income in the initial stages of their industrialization cycles. The markets of emerging markets countries are generally more volatile than the markets 4 Investment Summary of developed countries with more mature economies.
All of the risks of investing in foreign securities described above are heightened by investing in emerging markets countries.
The trusts invest in stocks issued by small-capitalization and mid-capitalization companies. These stocks customarily involve more investment risk than stocks of larger capitalization companies. Small-capitalization and mid-capitalization companies may have limited product lines, markets or financial resources and may be more vulnerable to adverse general market or economic developments.
Inflation may lead to a decrease in the value of assets or income from investments.
Risks Specific to the Delta Global Basic Needs Portfolio:
The trust invests in securities of companies in the basic materials sector.
General risks of companies in the basic materials sector include the general state of the economy, consolidation, domestic and international politics and excess capacity. In addition, basic materials companies may also be significantly affected by volatility of commodity prices, import controls, worldwide competition, liability for environmental damage, depletion of resources and mandated expenditures for safety and pollution control devices.
Risks Specific to the Delta Global Basics Services Portfolio:
The trust includes stocks issued by companies in the industrial sector.
Companies in the industrial sector are affected by a number of factors including the general state of the economy, intense competition, domestic and international politics, excess capacity and spending trends.
The trust includes securities from the utility sector.
Adverse developments in this sector may significantly affect the value of your units. Companies involved in the utility sector must contend with environmental considerations, taxes, government regulation, price and supply fluctuations, competition and energy conservation.
Investors should consider the investment objectives and policies, risk considerations, charges and ongoing expenses of the UITs carefully before investing. The prospectus contains this and other information relevant to an investment in these Trusts. Please read the prospectus carefully before you invest or send money. If a free prospectus did not accompany this literature, please contact your securities representative or Claymore Securities Inc., 2455 Corporate West Drive, Lisle, IL. 60532, 800-345-7999.
Charles P. "Chip" Hanlon, President
Delta Global Advisors, Inc.
Scott Larsen, Managing Director of UITs
Claymore Securities, Inc.
NOT FDIC - INSURED • NOT BANK - GUARANTEED • MAY LOSE VALUE
Claymore Securities, Inc.