Kanish Chugh

And we use a company by the name of Clean Horizons, and they're essentially a, or the index provider, I should say, uses a company called Clean Horizons to create that index universe.

And they're a consultancy firm that's specifically designed

And that essentially looks at this whole idea of what needs to be within that idea of battery technology space and certain minimums that are around that as well.

On the mining side, there is a database that they use for primary lithium producers as well.

Now, that universe...

november and the underlying index is rebalanced every may and november and aligning itself with certain rules now these rules are essentially you know there has to be a minimum market capitalization so each stock has to have a minimum market cap of us 200 million dollars each stock has to be trading at least a million dollars a day

And importantly, actually, is each stock within the index cannot be classified as energy in terms of, so there's a classification company called Faxa, and they will classify each sort of each stock based on where their sort of revenue, where they sit.

So it's very much looking at the sectors of industrials, materials, consumer discretionary, and information technology.

Yeah, that's right.

So it's 31 at the moment.

There's 31 names.

Now,

When that rebalance, so I mentioned that it rebalances twice a year in May and November.

When it rebalances, actually, the portfolios rebalance back to an equal weight.

So within those 31 names, each stock has an equal representation in the portfolio.

Why is that important?

Again, it comes back to that idea of as an ETF provider, we're wanting to find an index, especially on a thematic, that doesn't choose just the largest company because then basically weights that company by its size and that's the market cap weighted methodology is when you essentially have, if we had 31 names, it would be the biggest company in there, which at the moment I'd say is probably Tesla, would have the largest weight.

We don't want that when we're looking at a thematic.

What we want is each company to have an equal representation and contribution to the portfolio.

So every May and November, portfolio is reweighted back to an equal setting.