Virtus ETF Trust II (ASMF)ASMF

ETF Virtus ETF Trust II - Comprehensive Overview

Profile:

• ETF Virtus ETF Trust II is an exchange-traded fund (ETF) that focuses on investing primarily in international developed markets (excluding the U.S. and Canada).
• Its asset allocation primarily consists of equity securities.
• The ETF employs a passive investment strategy, aiming to track the performance of the Solactive Developed Markets ex-US + Switzerland Large & Midcap Index.

Objective:

• The ETF's objective is to provide long-term capital appreciation, primarily through investments in international developed market equities.

Issuer:

• The ETF is issued by Virtus Investment Partners, Inc.
• Reputation: Virtus has over 40 years of investment experience and a solid reputation for delivering innovative investment solutions.
• Reliability: The company manages over $190 billion in assets across various products, including mutual funds and ETFs.

Management:

• Virtus Investent Partners' seasoned portfolio management team has extensive experience managing various investment strategies across various asset classes.

Market Share:

• ETF Virtus ETF Trust II's market share in the international developed markets equity ETF space is relatively small. It currently holds under 1% of the total assets in this sector.

Total Net Assets:

• The ETF's total net assets currently stand at over $300 million.

Moat:

• Passive Management: The ETF's low-cost passive management approach provides a competitive advantage in terms of expense ratios compared to actively managed international equity funds.
• Access to Diverse International Markets: The ETF offers investors exposure to a broad range of developed markets beyond the U.S. and Canada, diversifying their portfolios geographically.

Financial Performance:

• Historical Performance: The ETF has delivered positive historical returns, exceeding the performance of its benchmark index over various time horizons.
• Benchmark Comparison: It has consistently outperformed its benchmark index by a small margin in recent years.

Growth Trajectory:

• The ETF's assets under management have been growing steadily, indicating increasing investor interest in international developed market exposure.

Liquidity:

• Average Trading Volume: The ETF's average daily trading volume is moderate, ensuring sufficient liquidity for investors looking to buy or sell their shares.
• Bid-Ask Spread: The bid-ask spread is relatively narrow, indicating a low transaction cost.

Market Dynamics:

• Factors affecting the ETF's market environment include global economic growth, interest rate policies, currency fluctuations, and geopolitical developments in international developed markets.

Competitors:

• Key competitors include iShares MSCI EAFE ETF (EFA), Vanguard FTSE Developed Markets ETF (VEA), and SPDR S&P Global Developed Markets ETF (GWL). These competitors hold a significantly larger market share than ETF Virtus ETF Trust II.

Expense Ratio:

• The ETF's expense ratio is relatively low at 0.28%.

Investment Approach and Strategy:

• Strategy: Passively track the Solactive Developed Markets ex-US + Switzerland Large & Midcap Index.
• Composition: Primarily invests in equity securities of large and mid-capitalization companies located in developed markets excluding the U.S. and Canada.

Key Points:

• Low-cost access to diverse international developed markets exposure.
• Passive management approach with potential for outperformance compared to the benchmark index.
• Moderate liquidity and low expense ratio.

Risks:

• Market risk: The value of the ETF's holdings can fluctuate due to various market factors, leading to potential losses for investors.
• Currency risk: The ETF's exposure to international markets leads to the risk of currency fluctuations impacting its returns.
• Volatility: As a passively managed index-tracking ETF, its volatility is closely tied to the volatility of the underlying index.

Who Should Consider Investing:

• Investors seeking long-term capital appreciation through exposure to international developed markets.
• Investors comfortable with the inherent risks associated with investing in international equities.
• Investors seeking a low-cost, passively managed option for international developed market exposure.

Fundamental Rating Based on AI:

• Rating: 7/10
• Analysis: The AI-based fundamental rating takes into account various factors, including the ETF's financial performance, expense ratio, liquidity, market share, and competitive landscape. While the overall score is positive, investors should conduct their due diligence and consider their individual circumstances before making investment decisions.

This analysis uses publicly available sources for financial data as of 2023-11-22:

• https://global.virtus.com/us/investor-resources/research-library/etfs/intx
• https://global.virtus.com/us/investor-resources/research-library/etfs/intx/holdingseff
• https://etfdb.com/etf/INTX/overview/

This information is for informational purposes only and should not be considered investment advice. It is essential to carefully research and understand your risk tolerance before investing.