Keating Active ETF (KEAT)

Overview

The Keating Active ETF is an actively managed equity fund focusing on U.S. large-cap growth stocks. The strategy aims to identify companies with sustainable competitive advantages and strong earnings growth potential, often investing in sectors like technology, healthcare, and consumer discretionary.

Reputation and Reliability

Details about the issuer, Keating Investment Counsel, LLC, suggest a boutique asset management firm with a focus on active management strategies. Their reputation is built on a commitment to client-centric investment solutions.

Management Expertise

The ETF is managed by a team with experience in equity research and portfolio management, emphasizing fundamental analysis and a disciplined investment process to select high-conviction growth opportunities.

Goal

The primary investment goal of the Keating Active ETF is to achieve long-term capital appreciation by investing in a diversified portfolio of U.S. large-capitalization equities that exhibit strong growth characteristics.

Investment Approach and Strategy

Strategy: This ETF is not designed to track a specific index. Instead, it employs an active management strategy to identify and invest in companies believed to have above-average growth potential.

Composition The ETF primarily holds common stocks of U.S. large-capitalization companies. The portfolio's sector allocation is driven by the identification of growth opportunities rather than adherence to an index's weighting.

Market Share: Information on the specific market share of ETF Keating Active ETF within its niche of actively managed large-cap growth ETFs is not readily available without proprietary market data. However, as an active ETF, it operates within a segment that is generally smaller than passive index-tracking ETFs.

Total Net Assets (AUM): 271000000

Key Competitors

• Vanguard Growth ETF (VUG)
• iShares Russell 1000 Growth ETF (IWF)
• Invesco QQQ Trust (QQQ)

Competitive Landscape

The actively managed large-cap growth ETF space is highly competitive, with many established players offering similar strategies. Keating Active ETF's advantage lies in its concentrated, high-conviction approach, potentially offering more differentiated exposure than broader index-tracking ETFs. However, it faces challenges in competing with the scale, lower expense ratios, and brand recognition of larger passive ETFs.

Historical Performance: Historical performance data for Keating Active ETF shows a performance that has varied. Over the past year, it has delivered a specific return, while longer-term performance metrics (3-year, 5-year) indicate its ability to generate returns within its growth-oriented mandate. The ETF's performance is subject to the inherent volatility of growth stock investing.

Benchmark Comparison: When compared to its benchmark, the Russell 1000 Growth Index, Keating Active ETF has demonstrated periods of outperformance and underperformance. The active management aims to outperform the benchmark, but success is contingent on the fund manager's stock selection abilities.

Expense Ratio: 1.15

Average Trading Volume

The ETF Keating Active ETF exhibits an average daily trading volume that indicates moderate liquidity, facilitating relatively easy entry and exit for most investors.

Bid-Ask Spread

The bid-ask spread for ETF Keating Active ETF is generally tight, reflecting efficient pricing and reasonable transaction costs for traders.

Market Environment Factors

The performance of Keating Active ETF is influenced by macroeconomic factors such as interest rates, inflation, and overall economic growth, which significantly impact the growth stock sector. Sector-specific trends, particularly in technology and innovation, are also critical drivers.

Growth Trajectory

The growth trajectory of Keating Active ETF is tied to its ability to consistently identify and capitalize on high-growth companies. Changes in its strategy or holdings are driven by the fund manager's ongoing research and market outlook, aiming to adapt to evolving economic conditions and identify new growth engines.

Competitive Edge

Keating Active ETF's competitive edge stems from its disciplined, research-driven approach to identifying high-quality growth companies with sustainable moats. The active management allows for flexibility to adjust holdings based on detailed fundamental analysis and conviction in specific long-term themes, potentially uncovering opportunities missed by passive strategies. The fund's concentrated portfolio aims to maximize the impact of its best ideas.

Volatility

Keating Active ETF has exhibited historical volatility consistent with actively managed large-cap growth equity funds, reflecting the inherent price swings of growth-oriented companies.

Market Risk

Specific market risks include the sensitivity of growth stocks to changes in interest rates and economic sentiment, potential for overvaluation of growth companies, and the concentration risk associated with a potentially smaller number of holdings compared to broader market indices.

Ideal Investor Profile

The ideal investor for Keating Active ETF is an individual seeking long-term capital growth who understands and can tolerate the higher volatility associated with growth-oriented equities. They should also have a conviction in active management and be comfortable with a fund that may deviate significantly from traditional index benchmarks.

Market Risk

Keating Active ETF is best suited for long-term investors who are looking for active management to potentially outperform the market in the large-cap growth segment. It is less suitable for passive index followers or those seeking very low expense ratios.

The Keating Active ETF is an actively managed fund focused on U.S. large-cap growth stocks, aiming for long-term capital appreciation through fundamental analysis. Managed by experienced professionals, it seeks to identify companies with strong growth potential and competitive advantages. While it operates in a competitive landscape, its active strategy offers potential for outperformance, albeit with higher volatility and expense ratios compared to passive alternatives. This ETF is best suited for long-term investors comfortable with growth stock risks.

Data Sources:

• Fund Fact Sheets
• Issuer Website Information
• Financial Data Aggregators

Disclaimers:

This information is for educational purposes only and should not be considered investment advice. Past performance is not indicative of future results. Investing in ETFs involves risks, including the possible loss of principal. Consult with a qualified financial advisor before making any investment decisions.