Northern Lights Fund Trust IV - Inspire 100 ETF (BIBL)

Overview

The Northern Lights Fund Trust IV - Inspire 100 ETF (IGUN) is an actively managed exchange-traded fund that aims to provide exposure to companies that align with biblical values and principles. It focuses on selecting companies that demonstrate ethical practices and positively impact society, rather than tracking a specific index. The strategy involves a proprietary screening process to identify a diversified portfolio of US equities.

Reputation and Reliability

Northern Lights Fund Trust is a trusted issuer of ETFs, known for its reliable fund administration and operational infrastructure. Inspire Investing, the sub-advisor, has a strong reputation in the faith-based investing community.

Management Expertise

The ETF is managed by Inspire Investing, a firm specializing in biblically responsible investing. Their team possesses deep expertise in both financial markets and the application of faith-based principles to investment selection.

Goal

To generate long-term capital appreciation by investing in companies that meet Inspire Investing's biblically responsible investment criteria.

Investment Approach and Strategy

Strategy: The ETF employs an active management strategy, deviating from traditional index tracking. It uses a proprietary screening methodology to select companies based on their alignment with biblical values.

Composition The ETF primarily holds a diversified portfolio of US-based common stocks, focusing on companies that pass the Inspire Investing's screening process.

Market Share: Specific market share data for IGUN is not publicly available, but it operates in the niche of faith-based ETFs.

Total Net Assets (AUM):

Key Competitors

• Impact Shares Sustainable Development Goals ETF (SDGA)
• Global X Ethics ETF (LENS)

Competitive Landscape

The faith-based ETF market is a niche but growing segment. IGUN competes with other ETFs that focus on ethical or socially responsible investing, though IGUN's specific biblical criteria offer a unique differentiator. Its advantages lie in its specialized focus, while disadvantages might include a smaller universe of investable companies and potentially less liquidity compared to broader market ETFs.

Historical Performance: Historical performance data for IGUN should be obtained from reliable financial data providers. As an actively managed fund with a specific screening process, its performance can vary significantly from broad market indices.

Benchmark Comparison: IGUN typically aims to outperform broader market indices over the long term, but its primary benchmark is its own proprietary screening methodology. Comparisons to broad equity indices like the S&P 500 are often made to show its performance relative to the wider market.

Expense Ratio:

Average Trading Volume

The average trading volume for IGUN is generally low, which is typical for niche ETFs, meaning it may be harder to buy or sell large quantities without impacting the price.

Bid-Ask Spread

The bid-ask spread for IGUN can be wider than for more liquid ETFs, increasing the cost of trading for investors.

Market Environment Factors

IGUN is influenced by the overall performance of the US equity market. Factors such as economic growth, interest rate policies, and consumer sentiment play a role. Additionally, the growing interest in ESG (Environmental, Social, and Governance) and faith-based investing can positively impact its inflows.

Growth Trajectory

The growth trajectory of IGUN is tied to the increasing demand for values-based investing. Changes to strategy and holdings are driven by the ongoing refinement of Inspire Investing's proprietary screening process and evolving market conditions.

Competitive Edge

IGUN's primary competitive edge is its unique focus on biblically responsible investing, appealing to a specific segment of investors. Its proprietary screening process by Inspire Investing provides a structured and values-driven approach to stock selection, differentiating it from generic ESG funds. This niche focus allows it to attract a dedicated investor base seeking alignment between their financial goals and personal beliefs.

Volatility

The volatility of IGUN is expected to be in line with the equity market it invests in, though its specific stock selection might lead to divergences from broader market volatility. Historical volatility metrics should be reviewed for precise assessment.

Market Risk

IGUN is exposed to market risk inherent in the US equity markets, including economic downturns, geopolitical events, and sector-specific downturns. Additionally, the active management and proprietary screening carry specific risks related to the fund manager's ability to select winning stocks.

Ideal Investor Profile

The ideal investor for IGUN is an individual or institution that seeks to align their investments with their Christian faith and values. They are likely long-term oriented and comfortable with the potential for active management to deviate from broad market performance.

Market Risk

IGUN is best suited for long-term investors who prioritize ethical and faith-based considerations in their portfolio construction. It is less suited for active traders due to its typical lower liquidity.

The Northern Lights Fund Trust IV - Inspire 100 ETF (IGUN) offers a unique approach to US equity investing by focusing on companies aligning with biblical values, managed by Inspire Investing. Its active strategy and proprietary screening aim for long-term capital appreciation within a niche market. While offering a distinct values-based option, investors should consider its specialized focus and potential for lower liquidity compared to broader market ETFs.

Data Sources:

• Fund Prospectus
• Issuer Website (Inspire Investing)
• Financial Data Providers (e.g., Morningstar, ETFdb)

Disclaimers:

This information is for educational purposes only and does not constitute investment advice. Past performance is not indicative of future results. Investors should consult with a qualified financial advisor before making any investment decisions. Data accuracy and completeness are subject to the availability and reliability of external sources.