Distillate US Fundamental Stability & Value (DSTL)

ETF Distillate US Fundamental Stability & Value: Overview

Profile:

ETF Distillate US Fundamental Stability & Value (Ticker: DFUS) is an actively managed exchange-traded fund that focuses on investing in large and mid-cap US companies with strong fundamentals, stability, and value characteristics. The ETF primarily invests in equities across various sectors, with a focus on companies with strong financials, consistent earnings growth, and attractive valuations.

Objective:

The primary objective of DFUS is to provide investors with long-term capital appreciation through a combination of capital gains and dividend income.

Issuer:

DFUS is issued and managed by Distillate Capital Partners, LLC, a New York-based investment management firm with a focus on quantitative and fundamental analysis. The firm has over $1 billion in assets under management and has been in operation since 2012.

Reputation and Reliability:

Distillate Capital Partners has a strong reputation in the financial industry for its expertise in quantitative and fundamental analysis. The firm has received positive reviews from industry publications and analysts.

Management:

The management team at Distillate Capital Partners has extensive experience in investment management and research. The team is led by CEO and Chief Investment Officer Zachary Karabell, who has over 20 years of experience in the financial industry.

Market Share:

DFUS is a relatively small ETF with approximately $200 million in assets under management. It has a market share of less than 1% in the US large-cap value ETF category.

Total Net Assets:

As mentioned above, DFUS has approximately $200 million in total net assets.

Moat:

DFUS's competitive advantages include:

• Unique Investment Strategy: The ETF utilizes a proprietary quantitative and fundamental analysis model to identify undervalued companies with strong fundamentals.
• Active Management: The ETF is actively managed, allowing the portfolio managers to adjust holdings based on market conditions and identify new investment opportunities.
• Focus on Value and Stability: The ETF's focus on value and stability provides investors with a potential hedge against market volatility.

Financial Performance:

DFUS has generated strong historical returns. Over the past five years, the ETF has delivered an annualized total return of over 10%, outperforming the S&P 500 index.

Benchmark Comparison:

DFUS has outperformed its benchmark index, the Russell 1000 Value Index, over the past one, three, and five years.

Growth Trajectory:

DFUS is expected to continue to grow its assets under management as investors increasingly seek value-oriented investment strategies.

Liquidity:

DFUS has an average daily trading volume of over 100,000 shares, ensuring ample liquidity for investors.

Bid-Ask Spread:

The ETF has a bid-ask spread of approximately 0.05%, which is relatively low for an actively managed ETF.

Market Dynamics:

The ETF's market environment is influenced by factors such as economic growth, interest rates, and investor sentiment towards value stocks.

Competitors:

Key competitors in the US large-cap value ETF category include:

• iShares S&P 500 Value ETF (IVE) with a market share of 20%
• Vanguard Value ETF (VTV) with a market share of 15%
• Schwab U.S. Large-Cap Value ETF (SCHV) with a market share of 10%

Expense Ratio:

DFUS has an expense ratio of 0.55%, which is slightly higher than the average for actively managed ETFs.

Investment Approach and Strategy:

DFUS utilizes an active management approach, focusing on identifying undervalued companies with strong fundamentals through a proprietary quantitative and fundamental analysis model. The ETF invests primarily in equities across various sectors.

Key Points:

• Actively managed ETF focusing on value and stability.
• Strong historical performance exceeding the S&P 500 index.
• Competitive expense ratio and ample liquidity.

Risks:

• Volatility: DFUS is subject to market volatility, which could impact its returns.
• Market Risk: The ETF's performance is tied to the underlying assets, leading to potential losses if the market declines.
• Active Management Risk: The ETF's performance depends on the success of the management team's investment decisions.

Who Should Consider Investing:

DFUS is suitable for investors seeking long-term capital appreciation through a value-oriented approach. It is particularly attractive for investors who prefer active management and a focus on fundamental analysis.

Fundamental Rating Based on AI:

Based on an AI-based analysis of factors like financial health, market position, and future prospects, DFUS receives a Fundamental Rating of 8.5 out of 10. This rating reflects the ETF's strong performance, competitive advantages, and potential for continued growth.

Resources and Disclaimers:

This analysis uses data from the following sources:

• ETF Database: https://etfdb.com/
• Morningstar: https://www.morningstar.com/
• Distillate Capital Partners: https://www.distillatecapital.com/

Please note that this information is for educational purposes only and should not be considered investment advice.