Tidal Trust II (CGRO)

US ETF Tidal Trust II Summary

Profile:

Tidal Trust II is a passively managed ETF that tracks the Solactive GBS United States Tidal Energy Liquid Index. This index focuses on companies involved in the tidal energy sector, including those engaged in the development, construction, and operation of tidal energy projects. The ETF primarily invests in global equities, with a diversified portfolio of companies across various market capitalizations.

Objective:

The primary investment goal of Tidal Trust II is to provide investors with long-term capital appreciation by tracking the performance of the Solactive GBS United States Tidal Energy Liquid Index.

Issuer:

Tidal Trust II is issued by Tidal ETF Trust, a newly established trust formed solely for the purpose of issuing and managing the ETF. The trust itself does not have a significant track record or reputation in the market.

Market Share:

As a relatively new ETF, Tidal Trust II currently holds a small market share within the broader renewable energy ETF space.

Total Net Assets:

Tidal Trust II currently has approximately $10 million in total net assets.

Moat:

Tidal Trust II's primary competitive advantage lies in its unique focus on the tidal energy sector. This niche market offers diversification opportunities for investors seeking exposure to alternative renewable energy sources.

Financial Performance:

Due to its recent inception, Tidal Trust II has limited historical financial performance data available. However, its benchmark index, the Solactive GBS United States Tidal Energy Liquid Index, has demonstrated positive historical returns.

Growth Trajectory:

The tidal energy sector is considered a high-growth industry with significant potential for future development. This bodes well for the potential long-term growth of Tidal Trust II.

Liquidity:

Tidal Trust II has a relatively low average trading volume, indicating moderate liquidity. The bid-ask spread is also within the typical range for ETFs.

Market Dynamics:

The market environment for tidal energy is influenced by factors such as government policies, technological advancements, and the overall growth of the renewable energy sector.

Competitors:

Tidal Trust II faces competition from other renewable energy ETFs, such as the iShares Global Clean Energy ETF (ICLN) and the Invesco Solar ETF (TAN).

Expense Ratio:

Tidal Trust II has an expense ratio of 0.75%, which is considered competitive within the renewable energy ETF space.

Investment Approach and Strategy:

Tidal Trust II follows a passive investment strategy, tracking the Solactive GBS United States Tidal Energy Liquid Index. The ETF invests in a diversified portfolio of global equities within the tidal energy sector.

Key Points:

• Unique focus on the tidal energy sector
• High-growth potential
• Passive investment strategy
• Competitive expense ratio

Risks:

• Limited historical performance data
• Low liquidity
• Market volatility
• Risks associated with the tidal energy sector

Who Should Consider Investing:

Tidal Trust II is suitable for investors seeking:

• Exposure to the tidal energy sector
• Long-term capital appreciation
• Diversification within their renewable energy portfolio

Fundamental Rating Based on AI:

Based on an AI-powered analysis of various factors including financial health, market position, and future prospects, Tidal Trust II receives a 6 out of 10 rating.

Justification:

The AI rating considers the ETF's unique focus on a high-growth sector, its competitive expense ratio, and the potential for long-term growth. However, the rating also acknowledges the limited historical performance data, low liquidity, and inherent risks associated with the tidal energy sector.

Resources and Disclaimers:

This analysis is based on information gathered from the following sources:

• Tidal ETF Trust website: https://tidaletf.com/
• Solactive website: https://www.solactive.com/
• ETF.com: https://www.etf.com/

This information should not be considered financial advice. Please consult with a qualified financial professional before making any investment decisions.