ALPS Disruptive Technologies ETF (DTEC)

Overview

The ALPS Disruptive Technologies ETF (DTEC) seeks long-term capital appreciation by investing in companies that develop disruptive technologies across various sectors, including healthcare innovation, internet of things, clean energy & smart grid, fintech, and robotics & artificial intelligence.

Reputation and Reliability

ALPS is a well-established ETF provider known for its innovative and thematic ETFs.

Management Expertise

ALPS has a dedicated team of investment professionals experienced in managing thematic and sector-specific ETFs.

Goal

To seek long-term capital appreciation.

Investment Approach and Strategy

Strategy: DTEC uses a proprietary selection process to identify companies involved in disruptive technologies and allocates assets across five key themes.

Composition The ETF primarily holds stocks of companies operating in the fields of healthcare innovation, internet of things, clean energy & smart grid, fintech, and robotics & artificial intelligence.

Market Share: Relatively small market share within the broader technology ETF space, but significant within the disruptive technologies niche.

Total Net Assets (AUM): 349.14

Key Competitors

• ARK Innovation ETF (ARKK)
• Global X Robotics & Artificial Intelligence ETF (BOTZ)
• ROBO Global Robotics and Automation Index ETF (ROBO)
• First Trust Nasdaq Artificial Intelligence and Robotics ETF (ROBT)

Competitive Landscape

The disruptive technology ETF landscape is competitive, with several players focusing on specific sub-themes. DTEC's advantage lies in its diversified approach across multiple disruptive themes, while competitors like ARKK offer a more concentrated, high-growth approach. DTEC's disadvantage is that it may not capture as much upside in any single theme compared to more specialized ETFs. Its diversification may also limit its growth potential compared to competitors with concentrated portfolios of disruptive technologies.

Historical Performance: Varies significantly based on market conditions; refer to financial data providers for specific performance figures.

Benchmark Comparison: Performance is generally compared to broader technology indices and specific indices related to disruptive technologies.

Expense Ratio: 0.5

Average Trading Volume

DTEC exhibits moderate liquidity, allowing investors to buy and sell shares efficiently under normal market conditions.

Bid-Ask Spread

The bid-ask spread is typically relatively tight, indicating reasonable trading costs for investors.

Market Environment Factors

Economic growth, interest rates, technological advancements, regulatory changes, and investor sentiment influence DTEC's performance.

Growth Trajectory

Growth depends on the adoption and commercialization of disruptive technologies, with holdings periodically rebalanced to reflect changes in market dynamics.

Competitive Edge

DTEC's multi-theme approach offers diversified exposure to disruptive technologies. Its rigorous stock selection process aims to identify companies with high growth potential. Its relatively low expense ratio compared to some thematic ETFs is also an advantage. This diversified exposure means that the ETF is not overly reliant on the success of a single disruptive technology, spreading risk across various sectors. The ETF also benefits from the growing investor interest in disruptive technologies as a whole.

Volatility

DTEC can exhibit higher volatility due to its focus on growth-oriented companies in rapidly evolving sectors.

Market Risk

The underlying assets are primarily stocks, which are subject to market risk, sector-specific risk, and the risk of technological obsolescence.

Ideal Investor Profile

Investors with a long-term investment horizon and a high tolerance for risk who are seeking exposure to the growth potential of disruptive technologies.

Market Risk

Suitable for long-term investors who understand the risks and opportunities associated with investing in emerging technologies.

The ALPS Disruptive Technologies ETF (DTEC) provides diversified exposure to companies developing disruptive technologies across various sectors. It seeks long-term capital appreciation through a thematic investment approach. While it offers growth potential, investors should be aware of its volatility and associated market risks. DTEC is best suited for long-term investors with a high risk tolerance who believe in the transformative power of disruptive technologies. The ETF's performance is closely tied to the adoption and success of these technologies.

• ARKW
• FINQ
• IRBO
• JHBC
• RAYS

Data Sources:

• ALPS ETFs Website
• ETF.com
• Morningstar
• Yahoo Finance
• etfdb.com

Disclaimers:

This analysis is for informational purposes only and does not constitute financial advice. Investment decisions should be based on individual circumstances and consultation with a qualified financial advisor. Data is based on available information and may not be entirely accurate.