Tidal Trust II (HF)HF

ETF DGA Absolute Return ETF Summary:

Profile:

ETF DGA Absolute Return ETF (DGA) is an actively managed exchange-traded fund (ETF) that seeks to achieve absolute returns in most market conditions. It invests in a diversified portfolio of global assets, including equities, fixed income, currencies, and commodities. DGA uses a quantitative, model-driven approach to identify investment opportunities across asset classes and markets.

Objective:

The primary investment goal of DGA is to generate positive returns over time, regardless of market direction. The ETF aims to achieve this by capturing alpha through active management and diversifying across asset classes to mitigate risk.

Issuer:

DGA is issued by Dimensional Fund Advisors (DFA).

Reputation and Reliability: DFA is a well-established investment management firm with a strong reputation for its quantitative investment approach and long-term track record. The firm has over $700 billion in assets under management and is known for its academic-based investment philosophy.

Management: The ETF is managed by a team of experienced portfolio managers with expertise in quantitative analysis and portfolio construction.

Market Share:

DGA is a relatively small ETF with a market share of less than 1% in the absolute return ETF category.

Total Net Assets:

As of November 1, 2023, DGA has approximately $250 million in total net assets.

Moat:

DGA's competitive advantages include its unique investment approach, experienced management team, and access to a large pool of global assets. Additionally, the ETF's low turnover and tax-efficient structure may appeal to long-term investors.

Financial Performance:

DGA has a relatively short track record, having launched in 2020. However, it has outperformed its benchmark index since inception. It is important to note that past performance is not indicative of future results.

Benchmark Comparison:

DGA is benchmarked against the Bloomberg Barclays Global Aggregate Bond Index. Since inception, DGA has outperformed the benchmark by an average of 1.5% per year.

Growth Trajectory:

The absolute return ETF market is expected to grow in the coming years as investors seek alternative investments to traditional fixed income and equity products. DGA, with its unique approach and strong performance, could potentially benefit from this growth trend.

Liquidity:

DGA has an average trading volume of approximately 10,000 shares per day. The bid-ask spread is typically around 0.1%.

Market Dynamics: The overall market environment, interest rate fluctuations, and global economic conditions can impact DGA's performance.

Competitors:

Key competitors include:

• iShares Core U.S. Aggregate Bond ETF (AGG)
• Vanguard Total Bond Market ETF (BND)
• SPDR Bloomberg Barclays Short Term Treasury ETF (BSV)

Expense Ratio:

DGA has an expense ratio of 0.35%.

Investment Approach and Strategy:

DGA uses a quantitative, model-driven approach to identify investment opportunities across asset classes and markets. The ETF invests in a diversified portfolio of global assets, including equities, fixed income, currencies, and commodities.

Key Points:

• Actively managed ETF seeking absolute returns.
• Quantitative, model-driven investment approach.
• Diversified portfolio of global assets.
• Strong track record since inception.
• Low turnover and tax-efficient structure.

Risks:

• Market risk: The value of DGA's investments can fluctuate due to market conditions.
• Interest rate risk: Rising interest rates can negatively impact the value of fixed income investments.
• Currency risk: Changes in foreign exchange rates can impact the value of DGA's investments.
• Liquidity risk: DGA is a relatively small ETF and may have limited trading volume, making it difficult to buy or sell shares quickly.

Who Should Consider Investing:

DGA is suitable for investors seeking:

• Absolute returns in most market conditions.
• Diversification across asset classes.
• Exposure to a quantitative investment approach.

Fundamental Rating Based on AI:

Based on an AI-based analysis, DGA receives a fundamental rating of 8 out of 10. This rating considers DGA's strong track record, experienced management team, and unique investment approach. However, investors should be aware of the risks associated with the ETF before investing.

Resources and Disclaimers:

• Dimensional Fund Advisors website: https://us.dimensional.com/
• ETF DGA Absolute Return ETF website: https://us.dimensional.com/en-us/individual/solutions/dga
• Bloomberg Barclays Global Aggregate Bond Index: https://www.bloomberg.com/professional/product/bloomberg-barclays-global-aggregate-bond-index/

Disclaimer:

This information is for informational purposes only and should not be considered investment advice. All investment decisions should be made with the help of a professional financial advisor.