Daily ETF Watch: UBS Debuts Europe ETN

Today UBS launched the UBS AG FI Enhanced Europe 50 ETN (FIEE). The ETN tracks the STOXX Europe 50 USD (Gross Return) Index and the notes are due on Feb. 12, 2026.

The STOXX Europe 50 is a popular index that covers the largest blue-chip stocks included in the Stoxx Europe 600. FIEE’s underlying index is weighted by free-float market capitalization, with a 10% cap on the weight of any single component. Its components are drawn from 18 different European countries.

FIEE comes with an annual tracking fee of 0.95%.

2 Industry Funds Filed

ETF Series Solutions, a division of U.S. Bancorp, has filed for two ETFs that target specific areas of the market. The Aerospace & Defense ETF and the Whetstone Energy Infrastructure ETF are being sponsored by different firms, but both will focus on specific slices of different sectors. Both will be advised by frequent ESS partner Exchange Traded Concepts.

The aerospace and defense fund will focus on companies that develop, produce or market products and services in the areas of defense, homeland security and aerospace. To be eligible for inclusion, companies must be listed on a developed-market exchange and meet market-capitalization and liquidity requirements.

The index uses an interesting weighting approach. It classifies components into the “core” and “noncore” groups based on whether their aerospace and defense business activities are part of their core operations. Components are equally weighted within each group, but the core group is overweighted in comparison to the noncore group.

Vident Investment Advisory will be the fund’s subadvisor. The filing did not include an expense ratio, ticker or listing exchange.

The second fund will target the midstream energy infrastructure space, which encompasses companies involved in the processing, storage, transportation and distribution of energy-related commodities. Described in the prospectus as “Incentive Holders” because they must hold “incentive distribution rights” in a limited partnership that provide them the motivation to increase distributions to the limited partnership’s limited partners, the eligible components must also be listed on a U.S. or Canadian exchange and have a market capitalization of at least $100 million in addition to meeting various requirements regarding their business activities.

The fund will not hold master limited partnerships (MLPs); rather, it will hold companies that either are general partners in an MLP or other entities that hold IDRs in an MLP, the prospectus said.

Components will be weighted according to a modified market-capitalization methodology.

Whetstone Capital Advisors will be the fund’s subadvisor. The filing did not include a ticker or expense ratio, but indicated the fund would list on the Nasdaq stock exchange.

Contact Heather Bell at [email protected].