TrueShares Active Yield ETF (ERNZ)

Overview

The TrueShares Active Yield ETF (YYY) is an actively managed fund that seeks to provide current income and capital appreciation by investing in a diversified portfolio of income-producing securities, including corporate bonds, preferred stocks, and dividend-paying equities.

Reputation and Reliability

TrueShares is a relatively newer player in the ETF market, focused on active management. Their reputation is still developing, but they are known for offering unique strategies.

Management Expertise

The management team consists of experienced professionals with a background in fixed income and active portfolio management.

Goal

To provide current income and capital appreciation.

Investment Approach and Strategy

Strategy: Actively managed, focusing on identifying undervalued income-producing securities.

Composition The ETF holds a mix of corporate bonds, preferred stocks, and dividend-paying equities.

Market Share: YYY's market share within the actively managed yield ETF sector is relatively small compared to larger, established funds.

Total Net Assets (AUM): 40000000

Key Competitors

• SPHD
• DVY
• VYM

Competitive Landscape

The actively managed yield ETF landscape is competitive, with several large, established players. YYY differentiates itself through its active management approach and specific security selection process, but faces challenges due to its smaller size and shorter track record. Competitors have the advantage of larger AUM and longer history, which can attract more investors.

Historical Performance: Historical performance data is available for review but is limited due to the fund's recent inception. Investors should examine past returns to understand YYY's track record, but should consider the limited history.

Benchmark Comparison: A relevant benchmark for comparison would be a composite of high-yield bond, preferred stock, and dividend equity indexes. Comparing YYY's performance against this composite helps determine its effectiveness.

Expense Ratio: 0.85

Average Trading Volume

The average trading volume of YYY is moderate, which may affect the ease of buying and selling large quantities.

Bid-Ask Spread

The bid-ask spread can vary, but is generally competitive, reflecting the liquidity of its underlying assets.

Market Environment Factors

Interest rate movements, credit spreads, and equity market conditions influence YYY's performance. Changes in any of these factors can impact the value of the fund's holdings.

Growth Trajectory

YYY's growth trajectory is dependent on its ability to attract assets under management through demonstrating strong performance and effective marketing. The fund continues to refine its strategy based on market conditions.

Competitive Edge

YYY's active management approach provides a competitive advantage by allowing the portfolio manager to adjust the portfolio based on changing market conditions and identify undervalued opportunities. The fund's focus on a combination of corporate bonds, preferred stocks, and dividend-paying equities offers diversification. Active management aims to generate alpha by outperforming passive yield strategies. This differentiation can attract investors seeking higher returns and risk management strategies. Additionally, the TrueShares brand offers unique actively managed ETFs that might attract certain investors.

Volatility

YYY's volatility depends on the volatility of its underlying asset classes. Fixed income tends to be less volatile than equity, however risk can increase from the corporate bonds the ETF invests in.

Market Risk

YYY faces market risk associated with changes in interest rates, credit spreads, and equity market conditions. Declining credit quality, rising interest rates, or a downturn in the equity market could negatively impact the ETF's performance.

Ideal Investor Profile

The ideal investor profile for YYY is someone seeking current income and capital appreciation with a moderate risk tolerance. Investors looking for diversification across income-producing asset classes and active management may find YYY suitable.

Market Risk

YYY is suitable for long-term investors seeking income and potential capital appreciation. It may also be appropriate for active traders who believe in the fund's active management strategy.

TrueShares Active Yield ETF (YYY) is an actively managed fund designed to generate income and capital appreciation through a diversified portfolio of corporate bonds, preferred stocks, and dividend-paying equities. Its active management approach allows for flexibility in response to market conditions. While it faces competition from larger, more established ETFs, YYY differentiates itself through its security selection. Investors should carefully consider their risk tolerance and investment objectives before investing, noting its relatively short track record and moderate trading volume.

• SPHD
• DVY
• VYM
• IDV
• SCHD

Data Sources:

• TrueShares
• Morningstar
• ETF.com
• Yahoo Finance

Disclaimers:

The data provided is for informational purposes only and should not be considered investment advice. Investors should conduct their own research and consult with a financial advisor before making any investment decisions. Market share data is estimated and may vary.