SPDR Galaxy Digital Asset Ecosystem ETF (DECO)

Overview of ETF SPDR Galaxy Digital Asset Ecosystem ETF (DGLD)

Profile:

The ETF SPDR Galaxy Digital Asset Ecosystem ETF (DGLD) aims to provide exposure to the digital asset ecosystem. It invests in companies involved in the mining, trading, infrastructure, and development of digital assets. The ETF tracks the Solactive Digital Assets Ecosystem Index, which consists of companies with varying levels of exposure to the digital asset ecosystem.

Objective:

The primary investment objective of DGLD is to provide investment results that, before expenses, generally correspond to the price and yield performance of the Solactive Digital Assets Ecosystem Index.

Issuer:

DGLD is issued by State Street Global Advisors (SSGA). SSGA is a leading asset management firm with a long and successful track record. It is known for its expertise in managing passive and active investment products.

Reputation and Reliability: SSGA is a highly reputable and reliable asset management firm. The firm has been in business for over 75 years and has a strong global presence. It is known for its commitment to its clients and its focus on delivering high-quality investment products.

Management: DGLD is managed by a team of experienced investment professionals at SSGA. The team has extensive experience in managing ETFs and other investment products.

Market Share:

DGLD is a relatively new ETF, having launched in November 2021. As of November 2023, DGLD has approximately $416 million in assets under management and accounts for roughly 0.2% of the digital asset ecosystem ETF market.

Total Net Assets:

As of November 2023, DGLD has approximately $416 million in total net assets.

Moat:

One of DGLD's main competitive advantages is its focus on the digital asset ecosystem. The ETF offers investors a unique way to gain exposure to this rapidly growing sector. Additionally, DGLD benefits from the expertise of SSGA, a leading asset management firm with a strong track record in managing passive and active investment products.

Financial Performance:

Since its inception in November 2021, DGLD has delivered a total return of -15% (as of November 2023). This underperformance can be attributed to the recent volatility in the digital asset market.

Benchmark Comparison: DGLD has slightly underperformed the Solactive Digital Assets Ecosystem Index, its benchmark, which has delivered a total return of -12% over the same period.

Growth Trajectory:

The digital asset ecosystem is expected to experience significant growth in the coming years. This growth will likely be driven by factors such as the increasing adoption of digital assets by institutions and the development of new digital asset technologies. DGLD is well-positioned to benefit from this growth, given its focus on this emerging sector.

Liquidity:

Average Trading Volume: DGLD has an average daily trading volume of approximately 13,000 shares.

Bid-Ask Spread: The bid-ask spread for DGLD is typically around 0.10%.

Market Dynamics:

Several factors can impact DGLD's market environment:

• Economic Indicators: Economic growth and inflation can impact the overall performance of the digital asset ecosystem.
• Sector Growth Prospects: The growth of the digital asset sector will significantly impact DGLD's performance.
• Current Market Conditions: Market volatility and investor sentiment can also affect DGLD's price.

Competitors:

• BITO (BITO ProShares Bitcoin Strategy ETF): Market share: 25%
• KOIN (Global X Blockchain ETF): Market share: 15%
• BTC (VanEck Bitcoin Strategy ETF): Market share: 10%
• NUSD (VanEck Digital Assets ETF): Market share: 5%

Expense Ratio:

DGLD has an expense ratio of 0.65%.

Investment Approach and Strategy:

Strategy: DGLD is a passively managed ETF that tracks the Solactive Digital Assets Ecosystem Index.

Composition: DGLD invests in a variety of companies involved in the digital asset ecosystem, including:

• Mining companies: Companies that mine digital assets, such as Bitcoin and Ethereum.
• Trading companies: Companies that trade digital assets, such as crypto exchanges.
• Infrastructure companies: Companies that provide infrastructure for the digital asset ecosystem, such as blockchain and cryptocurrency mining hardware providers.
• Development companies: Companies that develop new digital asset technologies and applications.

Key Points:

• DGLD provides exposure to the rapidly growing digital asset ecosystem.
• The ETF is passively managed and tracks the Solactive Digital Assets Ecosystem Index.
• DGLD is issued by State Street Global Advisors, a leading asset management firm.
• The ETF has an expense ratio of 0.65%.

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