(NFRA) FlexShares STOXX Global - Ratings and Ratios

The FlexShares STOXX Global Broad Infrastructure Index Fund (NYSE ARCA:NFRA) is designed to provide investors with diversified exposure to a broad range of publicly traded infrastructure companies across both developed and emerging markets. The fund tracks the STOXX Global Broad Infrastructure Index, which is constructed by STOXX Ltd., a renowned index provider. This index is built to capture companies that operate in sectors critical to the development and maintenance of infrastructure, such as energy, transportation, and utilities.

The fund’s portfolio is structured to include a mix of equities from around the world, with a significant portion allocated to U.S. companies. Under normal market conditions, NFRA invests at least 80% of its total assets in securities that are part of the underlying index, as well as American Depositary Receipts (ADRs) and Global Depositary Receipts (GDRs) linked to those securities. This approach ensures that the fund closely aligns with the performance of the STOXX Global Broad Infrastructure Index.

As an exchange-traded fund (ETF), NFRA offers investors the flexibility and liquidity of trading on the NYSE ARCA exchange. With an asset base of over $2.4 billion, the fund is substantial in size, which often translates to tighter bid-ask spreads and lower trading costs for investors. The fund’s focus on infrastructure makes it particularly relevant for investors seeking exposure to sectors that are often less volatile than pure-play technology or consumer discretionary stocks.

Infrastructure investments are typically associated with steady cash flows and long-term growth potential, as they often involve companies that operate in regulated industries or have contracts that provide predictable revenue streams. By diversifying across geographic regions and infrastructure subsectors, NFRA aims to mitigate risks associated with individual countries or industries while capturing the broader growth trends in global infrastructure development.