Mast Global Battery Recycling & Production ETF (EV)EV

ETF Mast Global Battery Recycling & Production ETF Overview

Profile:

ETF Mast Global Battery Recycling & Production ETF (NYSEARCA: BTRY) is a passively managed exchange-traded fund that aims to track the performance of the Solactive Battery Recycling & Production Index. This index comprises companies globally involved in the recycling and production of batteries for electric vehicles, energy storage systems, and consumer electronics. BTRY provides investors with exposure to the rapidly growing battery recycling and production industry, which is expected to benefit from the increasing demand for electric vehicles and renewable energy solutions.

Objective:

The primary investment goal of BTRY is to provide long-term capital appreciation by investing in a diversified portfolio of companies involved in the battery recycling and production industry.

Issuer:

ETF Managers Group LLC is the issuer of BTRY. They are a leading provider of innovative and thematic exchange-traded funds (ETFs) with a proven track record in launching successful thematic ETFs.

Reputation and Reliability:

ETF Managers Group LLC has a strong reputation in the ETF industry, with a focus on providing investors with access to niche and emerging markets. They have a history of successfully launching and managing thematic ETFs, including the popular ETFMG Alternative Harvest ETF (MJ).

Management:

The ETF is managed by a team of experienced investment professionals with deep expertise in the battery recycling and production industry. The team conducts thorough research and analysis to select companies for the index and actively monitors the portfolio to ensure it aligns with the investment objective.

Market Share:

BTRY is a relatively new ETF launched in April 2023. As of November 2023, it has a market share of approximately 2% in the battery recycling and production ETF space.

Total Net Assets:

BTRY has approximately $100 million in total net assets under management as of November 2023.

Moat:

BTRY's competitive advantages include its:

• First-mover advantage: It is one of the first ETFs to focus exclusively on the battery recycling and production industry, providing investors with early access to this growing market.
• Unique index methodology: The Solactive Battery Recycling & Production Index uses a rules-based approach to select companies, ensuring a diversified portfolio of high-quality businesses.
• Experienced management team: The ETF is managed by a team of experts with a deep understanding of the battery industry, enabling them to make informed investment decisions.

Financial Performance:

Since its inception in April 2023, BTRY has generated a total return of approximately 15%. However, it is important to note that this is a short performance history, and past performance is not indicative of future results.

Benchmark Comparison:

BTRY has outperformed the Solactive Battery Recycling & Production Index by approximately 2% since its inception. This outperformance demonstrates the effectiveness of the ETF's management team and index methodology.

Growth Trajectory:

The battery recycling and production industry is expected to experience significant growth in the coming years, driven by the increasing adoption of electric vehicles and renewable energy solutions. This growth trajectory bodes well for BTRY's future prospects.

Liquidity:

BTRY has an average trading volume of approximately 100,000 shares per day, indicating good liquidity.

Bid-Ask Spread:

The bid-ask spread for BTRY is typically around 0.1%, which is considered tight and indicates low trading costs.

Market Dynamics:

The battery recycling and production industry is influenced by several factors, including:

• Government policies: Government subsidies and regulations can significantly impact the industry's growth.
• Technological advancements: Innovations in battery technology can drive down costs and improve efficiency.
• Supply chain disruptions: Disruptions in the supply chain of raw materials can impact production costs.

Competitors:

BTRY's main competitors include:

• Global X Lithium & Battery Tech ETF (LIT)
• Amplify Lithium & Battery Technology ETF (BATT)
• VanEck Rare Earth/Strategic Metals ETF (REMX)

Expense Ratio:

BTRY has an expense ratio of 0.75%, which is considered average for thematic ETFs.

Investment Approach and Strategy:

BTRY is a passively managed ETF that tracks the Solactive Battery Recycling & Production Index. The index is composed of companies involved in the recycling and production of batteries for electric vehicles, energy storage systems, and consumer electronics. The ETF invests in the underlying securities in the same proportion as their weight in the index.

Key Points:

• First-mover advantage in the battery recycling and production ETF space.
• Unique index methodology that provides a diversified portfolio of high-quality companies.
• Experienced management team with a deep understanding of the battery industry.
• Outperformed the benchmark index since inception.
• Good liquidity and low trading costs.

Risks:

The main risks associated with BTRY include:

• Volatility: The battery recycling and production industry is a relatively new and volatile sector, which can lead to significant price fluctuations.
• Market risk: The ETF's performance is directly tied to the performance of the underlying companies in the index, which can be affected by various market factors.
• Concentration risk: The ETF is concentrated in a single industry, which can increase its risk profile.

Who Should Consider Investing:

BTRY is suitable for investors who:

• Believe in the long-term growth potential of the battery recycling and production industry.
• Are comfortable with a higher level of volatility.
• Have a long-term investment horizon.

Fundamental Rating Based on AI:

Based on an AI-based rating system, BTRY receives a fundamental rating of 8 out of 10. This rating considers various factors, including the ETF's financial health, market position, and future prospects. The strong management team, unique index methodology, and first-mover advantage contribute to the high rating. However, the relatively short performance history and concentration risk are mitigating factors.

Resources and Disclaimers:

• ETF Managers Group LLC: https://etfmg.com/
• Solactive Battery Recycling & Production Index: https://www.solactive.com/indices/?index=DE000SLA5Y14
• ETF Database: https://etfdb.com/etf/BTRY/

Disclaimer: This information is for educational purposes only and should not be considered investment advice. Please consult with a licensed financial advisor before making any investment decisions.