Starboard Investment Trust (AMAX)AMAX

ETF Starboard Investment Trust (STB) Summary

Profile: Starboard Investment Trust (STB) is a closed-end fund that invests in publicly traded companies with catalyst opportunities, primarily in the United States. The fund focuses on activist investing, taking an active role in its portfolio companies to enhance shareholder value. STB utilizes a quantitative investment model and fundamental analysis to identify potential opportunities.

Objective: The primary objective of STB is to achieve long-term capital appreciation through an actively managed portfolio of equity investments.

Issuer: Starboard Value LP is the investment advisor to STB. Starboard Value is a New York-based investment firm founded in 2011, specializing in activist investing and event-driven strategies. The firm has a strong reputation in the market, with a track record of successful investments and activism.

Market Share: STB has a market share of approximately 0.1% in the closed-end fund sector.

Total Net Assets: As of October 26, 2023, STB has total net assets of approximately $500 million.

Moat: STB's competitive advantage lies in its active management, proprietary research, and access to experienced personnel. The fund employs a team of experienced analysts and portfolio managers who possess expertise in identifying and pursuing value-enhancing opportunities.

Financial Performance: STB has outperformed the S&P 500 index over the past five years, with a total return of 136% compared to the index's 90%.

Benchmark Comparison: STB has a beta of 1.1, indicating that the fund is slightly more volatile than the overall market.

Growth Trajectory: STB has experienced significant growth in recent years, with its net assets increasing from $100 million in 2018 to $500 million in 2023. The fund's future growth potential is expected to be driven by its continued success in identifying and capitalizing on value-enhancing opportunities.

Liquidity: STB has a relatively low average trading volume of around 50,000 shares per day. The bid-ask spread is typically around 0.5%.

Market Dynamics: The market environment for STB is influenced by factors such as the overall market performance, interest rates, and the availability of attractive investment opportunities.

Competitors: Key competitors of STB include Landcadia Holdings III (LCA), Pzena Investment Management (PZN), and Jana Partners Strategic Investments (JPSP).

Expense Ratio: STB has an expense ratio of 1.65%, which includes management fees and other operational costs.

Investment Approach and Strategy: STB utilizes a combination of quantitative and fundamental analysis to identify undervalued companies. The fund typically invests in companies with potential catalysts for value creation, such as M&A activity, restructuring, or underperformance.

Key Points:

• Actively managed closed-end fund focusing on activist investing
• Strong track record of outperforming the market
• Experienced management team with expertise in identifying value-enhancing opportunities
• Relatively low liquidity

Risks:

• Volatility: STB is a more volatile investment than the broader market.
• Market Risk: The fund's performance is dependent on the performance of its underlying investments.
• Regulatory Risk: Changes in regulations could impact the fund's investment strategies.

Who Should Consider Investing:

• Investors seeking long-term capital appreciation
• Investors comfortable with higher volatility
• Investors who believe in the value of activist investing

Fundamental Rating Based on AI: 8/10

Justification: STB possesses strong fundamentals, including a track record of outperformance, experienced management, and a differentiated investment approach. However, the fund's relatively low liquidity and exposure to market risk are moderate concerns.

Resources and Disclaimers:

• Starboard Value LP: https://www.starboardvalue.com/
• Morningstar: https://www.morningstar.com/etfs/arcx/stb
• Yahoo Finance: https://finance.yahoo.com/quote/STB
• Bloomberg Terminal

Disclaimer: This analysis is for informational purposes only and should not be considered financial advice. Please consult with a qualified financial advisor before making any investment decisions. The information presented is based on data available as of October 26, 2023, and may not be current.