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Market’s Only Cancer Immunotherapy ETF Launches

Oct. 14, 2015

Exchange Traded Concepts Partners with Loncar Investments,
ISE ETF Ventures, and Amplify Development on the Loncar Cancer Immunotherapy ETF (NASDAQ: CNCR)

  • Cancer immunotherapy companies are beneficially disrupting cancer treatment by deploying body’s own immune system to fight disease
  • ETF seeks to track index developed by biotechnology investor Brad Loncar
  • ETF offers diversified exposure to both pharmaceutical companies and clinical-stage biotechnology firms having immunotherapy focus

Oklahoma City, Okla. – October 14, 2015 –The first ETF to exclusively hold shares of public companies that are engaged in the research and development of therapies that treat cancer through the body’s immune system will begin trading on the NASDAQ this morning. The Loncar Cancer Immunotherapy ETF (CNCR) is based on the Loncar Cancer Immunotherapy Index, an innovative index developed by biotechnology investor Brad Loncar, and has an expense ratio of 0.79 percent.

Exchange Traded Concepts, LLC (ETC) partnered with Loncar Investments, ISE ETF Ventures, and Amplify Development LLC on the successful launch.

The ETF includes both large pharmaceutical and growth-oriented biotechnology companies that are leading this disruptive approach to cancer treatment. Bristol-Myers Squibb (4.15% index weighting, ticker: BMY), Merck (3.89% index weighting, ticker: MRK), Juno Therapeutics (3.53% index weighting, ticker: JUNO) and Cellectis (2.98% index weighting, ticker: CLLS) are four of the index’s thirty holdings. Twenty-three of the holdings are growth companies, while the remaining seven are large-cap, value equities.

“Immunotherapy is changing the way many cancers are being treated,” said Brad Loncar, Chief Executive Officer of Loncar Investments. “This innovative field within biotechnology is expected to become the foundational treatment for cancer over the next ten years. We think it is important to give investors a benchmark to track the progress of this growing biotechnology sector, which over time will likely continue to have a positive impact on society.”

“The science of cancer immunotherapy is one of the most exciting areas within biotechnology,” said J. Garrett Stevens, CEO of Exchange Traded Concepts. “The Loncar Cancer Immunotherapy ETF allows investors to participate in the breakthrough in this well-defined sector in a diversified way. We are proud to deliver this product to the market.”

“We are excited to partner with Exchange Traded Concepts, Loncar Investments and Amplify Development to bring this new ETF to market,” said Kris Monaco, Head of ISE ETF Ventures. “Our product portfolio focuses on ETFs that provide investors with exposure to targeted segments in first to market ETFs, and the Loncar Cancer Immunotherapy ETF is an outstanding fit with those objectives.”

“As the ETF market becomes more crowded, it can be challenging to find new investment themes that tap into a unique and compelling industry trend,” said Christian Magoon, CEO of Amplify

Development LLC. “With his expertise in the biotechnology space, Brad Loncar has been able to do exactly that through the Loncar Cancer Immunotherapy Index, and I am pleased to partner with Brad, ETC and ISE ETF Ventures to offer this exciting new ETF.”

Why immunotherapy: Cancer immunotherapy is an important sector in biotechnology that is changing the way many cancers are treated. While traditional medicines like chemotherapies often give cancer a broad punch, the benefit of using immunotherapy is derived from the immune system’s dynamic nature and the way it can more precisely be tailored to fight the disease. Some immunotherapies have exhibited uncommon results in clinical trials including partial and complete responses in late stage cancer patients.

Media Contact:
Joe Anthony for ISE ETF Ventures ise@gregoryfca.com
610-228-2103

About Exchange Traded Concepts: ETC is carving out a niche as a portal to launch new, custom exchange-traded funds efficiently and cost-effectively through a complete turnkey solution. ETC is a private-label exchange-traded funds advisor with passive and active exemptive relief from the Securities and Exchange Commission (SEC) to launch both domestic and international equity exchange traded ETFs under the Investment Company Act of 1940. For more information, please go to www.exchangetradedconcepts.com.

About Loncar Investments: Loncar Investments, LLC, the provider of the Loncar Immunotherapy Index index, is committed to making the biotechnology space more approachable to a wider range of investors. The company is principally owned by biotech investor Brad Loncar. Mr. Loncar manages a biotech-focused family portfolio from his Lenexa, Kansas office. He can be followed on Twitter at @bradloncar and his commentary is available at www.loncarblog.com.

About ISE ETF Ventures: ISE ETF Ventures partners with issuers to launch exchange traded products (ETPs) such as exchange traded ETFs (ETFs), exchange traded notes (ETNs) and other similar product types. They also provide capital for the start-up and ongoing backstopping of new ETPs. Partners are able to leverage ISE ETF Ventures’ global experience and broad network of industry participants in order to grow their ETP presence and increase product issuance. Total assets under management for ETPs tied to ISE ETF Ventures indexes is approximately $3 billion.

ISE ETF Ventures is operated by ISE Holdings, which is a member of Eurex Group, and together they operate one of the largest transatlantic derivatives marketplaces. Eurex Group is owned by Deutsche Börse AG (Xetra: DB1).

About Amplify Development LLC: Amplify Development LLC is led by fund industry veteran Christian Magoon and partners in the development and support of compelling third party funds. The firm is an affiliate of Amplify Investments LLC, an ETF Sponsor.

Opinions expressed are those of ETC, Loncar Investments and their partners and are subject to change, not guaranteed, and should not be considered investment advice.

Investing involves risk; Principal loss is possible. The fund will invest in immunotherapy companies which are highly dependent on the development, procurement and marketing of drugs and the protection and exploitation of intellectual property rights. A company’s valuation can also be greatly affected if one of its products is proven or alleged to be unsafe, ineffective or unprofitable. The costs associated with developing new drugs can be significant, and the results are unpredictable. The process for obtaining regulatory approval by the U.S. Food and Drug Administration or other governmental regulatory authorities is long and costly and there can be no assurance that the necessary approvals with be obtained and maintained. The fund may invest in foreign securities, which involve political, economic, currency risk, greater volatility, and differences in accounting methods. The fund is non-diversified meaning it may concentrate its assets in fewer individual holdings than a diversified fund. Therefore, the fund is more exposed to individual stock volatility than a diversified fund. The fund invests in smaller companies which may have more limited liquidity and greater volatility compared to larger companies. The fund is not actively managed and may be affected by a general decline in market segments related to the index. The fund invests in securities included in, or representative of securities included in, the index, regardless of their investment merits. The performance of the fund may diverge from that of the Index and may experience tracking error to a greater extent than a fund that seeks to replicate an index.

The fund’s investment objectives, risks, charges and expenses must be considered carefully before investing. The summary and statutory prospectuses contain this and other important information about the investment company, and may be obtained by calling 800.617.0004 or visiting www.loncarETFs.com. Read it carefully before investing.

ETF holdings are subject to change and should not be considered a recommendation to buy or sell any security. The % of assets held in the index and disclosed in this material is as of 10/7/2015. The fund, once launched, seeks to replicate the % of holdings in the underlying index.

The NASDAQ Composite Index is a market capitalization-weighted index that is designed to represent the performance of the National Market System which includes over 5,000 stocks traded only over-the-counter and not on an exchange. One cannot invest directly in an index.

Diversification does not assure a profit nor protect against loss in a declining market.

The SEC does not approve or disapprove of any investment. (www.sec.gov).

The Loncar Cancer Immunotherapy fund is distributed by Quasar Distributors, LLC.


  • Loncar Funds
  • P.O Box 15072
  • Lenexa, KS 66285
  • +1 800-617-0004
  • Contact Us

CNCR Prospectus CHNA Prospectus

A basis point is a common unit of measure for interest rates and other percentages in finance. One basis point is equal to 1/100th of 1%, or 0.01% (0.0001).

The Loncar Cancer Immunotherapy Index is an index of 25 securities that have a strategic focus on the area of cancer immunotherapy, or harnessing the immune system to fight cancer. Quotes for the index can be found under the symbol “LCINDX” on the Bloomberg Professional service and other financial data providers. One may not directly invest in an index.

The Loncar China BioPharma Index is an index of 28 securities that have a strategic focus on advancing China’s biopharma industry. Quotes for the index can be found under the symbol “LCHINA” on the Bloomberg Professional service and other financial data providers. One may not directly invest in an index.

Holdings are subject to change.

The Hong Kong Stock Exchange (HKEX) is the primary stock exchange in the Hong Kong Special Administrative Region of China. Nasdaq is one of the primary stock exchanges in the United States.

Carefully consider the Fund’s investment objectives, risk factors, charges and expenses before investing. This and additional information can be found in the Fund’s prospectus, which may be obtained at www.loncarfunds.com. Read the prospectus carefully before investing.

Investing involves risk. Principal loss is possible. The fund may trade at a premium or discount to NAV. CNCR will invest in immunotherapy companies which are highly dependent on the development, procurement and marketing of drugs and the protection and exploitation of intellectual property rights. A company’s valuation can also be greatly affected if one of its products is proven or alleged to be unsafe, ineffective or unprofitable. The costs associated with developing new drugs can be significant, and the results are unpredictable. The process for obtaining regulatory approval by the U.S. Food and Drug Administration or other governmental regulatory authorities is long and costly and there can be no assurance that the necessary approvals with be obtained and maintained. The Fund may invest in foreign securities, which involve political, economic, currency risk, greater volatility, and differences in accounting methods. The Fund is non-diversified meaning it may concentrate its assets in fewer individual holdings than a diversified fund. Therefore, the Fund is more exposed to individual stock volatility than a diversified fund. The Fund invests in smaller companies, which may have more limited liquidity and greater volatility compared to larger companies. The Fund is not actively managed and may be affected by a general decline in market segments related to the index. The fund invests in securities included in, or representative of securities included in, the index, regardless of their investment merits. The performance of the fund may diverge from that of the Index and may experience tracking error to a greater extent than a fund that seeks to replicate an index. Shares are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Brokerage commissions will reduce returns.

RISK FOR THE CHNA ETF: The biopharmaceutical industry in China is strictly regulated and changes in such regulations, including banning or limiting certain products, may have a material adverse effect on the operations, revenues, and profitability of Biopharma Companies. The laws and regulations applicable to the process of administrative approval of medicine and its production in China require entities producing biopharma products to comply strictly with certain standards and specifications promulgated by the government. Changes in currency exchange rates and the relative value of non-U.S. currencies will affect the value of the investment. Currency exchange rates can be very volatile and can change quickly and unpredictably. Investments in non-U.S. securities involve certain risks that may not be present with investments in U.S. securities. For example, investments in non-U.S. securities may be subject to risk of loss due to foreign currency fluctuations or to political or economic instability. Investments in non-U.S. securities also may be subject to withholding or other taxes and may be subject to additional trading, settlement, custodial, and operational risks. These and other factors can make investments in the Fund more volatile and potentially less liquid than other types of investments. To the extent the Fund invests a significant portion of its assets in the securities of companies of a single country or region, such as China, it is more likely to be impacted by events or conditions affecting that country or region. The Fund is a recently organized, non-diversified management investment company with no operating history. As a result, prospective investors have no track record or history on which to base their investment decision. The Fund is considered to be non-diversified, which means that it may invest more of its assets in the securities of a single issuer or a smaller number of issuers than if it were a diversified fund. The Fund is not actively managed and the Fund's sub-adviser would not sell shares of an equity security due to current or projected underperformance of a security, industry or sector, unless that security is removed from the Index or the selling of shares of that security is otherwise required upon a reconstitution of the Index in accordance with the Index methodology. To the extent the Fund invests more heavily in particular sectors of the economy, its performance will be especially sensitive to developments that significantly affect those sectors."

Diversification may not protect against market risk.

Exchange Traded Concepts, LLC serves as the investment advisor, and Vident Investment Advisory, LLC serves as a sub advisor to the fund. The Funds are distributed by Quasar Distributors, LLC, which is not affiliated with Exchange Traded Concepts, LLC or any of its affiliates.