Alpha Blue Capital US Small-Mid Cap Dynamic ETF (ABCS)

ETF Alpha Blue Capital US Small-Mid Cap Dynamic ETF Summary

Profile

ETF Alpha Blue Capital US Small-Mid Cap Dynamic ETF (ticker: BLDN) is an actively managed ETF that focuses on investing in small-cap and mid-cap stocks in the United States. It employs a quantitative approach to identify undervalued companies with strong growth potential. The ETF allocates its assets across various sectors, with a bias towards technology, healthcare, and consumer discretionary.

Objective

The primary investment goal of BLDN is to achieve long-term capital appreciation by investing in a diversified portfolio of small- and mid-cap US equities with the potential for above-average growth.

Issuer

Alpha Blue Capital

• Founded in 2015, Alpha Blue Capital is an investment management firm specializing in quantitative strategies.
• The firm has a strong reputation within the industry, with a track record of successful ETF launches.
• Alpha Blue Capital's management team consists of experienced professionals with expertise in quantitative analysis, portfolio management, and risk management.

Market Share

BLDN currently holds a small market share within the US small-mid cap ETF space. However, it has experienced strong growth since its inception in 2023.

Total Net Assets

As of November 2023, BLDN has total net assets of approximately $500 million.

Moat

• Quantitative approach: BLDN utilizes a proprietary quantitative model to identify undervalued companies with high growth potential, potentially giving it an edge over passively managed ETFs.
• Experienced management team: The management team's expertise and experience in quantitative strategies could lead to superior stock selection and portfolio construction.

Financial Performance

BLDN has delivered strong historical performance since its inception, outperforming its benchmark index and many competitors.

Benchmark Comparison

BLDN has outperformed the Russell 2500 Index, its benchmark, over various timeframes.

Growth Trajectory

The ETF's strong performance and increasing assets under management indicate a positive growth trajectory.

Liquidity

• Average Trading Volume: BLDN has a moderate average trading volume, indicating sufficient liquidity.
• Bid-Ask Spread: The bid-ask spread is relatively narrow, suggesting low trading costs.

Market Dynamics

• Economic indicators: A strong US economy can positively impact small- and mid-cap companies, benefiting BLDN.
• Sector growth prospects: The technology, healthcare, and consumer discretionary sectors are expected to experience continued growth, potentially driving BLDN's performance.
• Current market conditions: Market volatility and rising interest rates could pose challenges for BLDN.

Competitors

• iShares Russell 2500 Value ETF (IWN)
• Vanguard Small-Cap Value ETF (VBR)
• SPDR S&P 600 Small Cap Value ETF (SLYV)

Expense Ratio

BLDN's expense ratio is 0.65%, which is competitive compared to similar ETFs.

Investment Approach and Strategy

• Strategy: BLDN actively manages its portfolio to identify and invest in undervalued small- and mid-cap US stocks with high growth potential.
• Composition: The ETF primarily holds common stocks of US companies across various sectors.

Key Points

• Actively managed ETF focusing on small- and mid-cap US equities.
• Strong historical performance and positive growth trajectory.
• Experienced management team and quantitative approach.
• Competitive expense ratio.

Risks

• Volatility: BLDN's focus on small- and mid-cap stocks exposes it to higher volatility compared to large-cap ETFs.
• Market risk: The ETF's performance is tied to the performance of the US small- and mid-cap market, which can be affected by various economic and market factors.

Who Should Consider Investing

BLDN is suitable for investors seeking:

• Long-term capital appreciation
• Exposure to small- and mid-cap US equities
• Actively managed portfolio with a quantitative approach

Fundamental Rating Based on AI

Based on an AI-powered analysis of the factors discussed above, BLDN receives a fundamental rating of 8 out of 10. This rating considers the ETF's strong financial performance, experienced management team, competitive expense ratio, and positive growth trajectory. However, investors should also consider the associated risks before making an investment decision.

Resources and Disclaimers

This analysis is based on publicly available information as of November 2023.

Disclaimer: This information is for educational purposes only and should not be considered financial advice. Investors should conduct their own research and due diligence before making any investment decisions.