Knowledge Leaders Developed World ETF (KLDW)

ETF Knowledge Leaders Developed World ETF Summary

Profile: ETF Knowledge Leaders Developed World ETF (KLDW) offers exposure to a basket of global developed market equities, with a focus on sustainability and social responsibility. The ETF employs a proprietary methodology to select companies based on their environmental, social, and governance (ESG) performance.

Objective: KLDW aims to provide long-term capital appreciation by investing in leading companies in developed markets that demonstrate strong ESG practices.

Issuer:

• Company: Knowledge Leaders Fund, LLC
• Reputation and Reliability: Knowledge Leaders Fund is a specialist ESG asset manager with over 20 years of experience in sustainable investing.
• Management: The ETF is managed by a team of experienced portfolio managers with expertise in ESG investing and quantitative analysis.

Market Share: KLDW holds a small market share within the broader ESG ETF landscape.

Total Net Assets: As of November 2023, KLDW has approximately $500 million in assets under management.

Moat:

• ESG Focus: KLDW offers a unique blend of ESG integration and developed market exposure.
• Proprietary Methodology: The ETF uses a proprietary ESG scoring system to identify leading companies in sustainability.
• Active Management: The ETF is actively managed, allowing for greater flexibility and selectivity in portfolio construction.

Financial Performance:

• Historical Returns: KLDW has generated competitive returns compared to its benchmark index, the MSCI World Index.
• Benchmark Comparison: The ETF has outperformed the MSCI World Index in recent years, particularly during periods of heightened market volatility.

Growth Trajectory:

• ESG Investing Trend: The demand for ESG-focused investments is expected to continue growing.
• Fund Performance: KLDW's strong track record and competitive performance position it well for future growth.

Liquidity:

• Average Trading Volume: KLDW has a moderate average daily trading volume, ensuring adequate liquidity for most investors.
• Bid-Ask Spread: The bid-ask spread is relatively tight, indicating low transaction costs.

Market Dynamics:

• Economic Growth: Global economic growth prospects will influence the performance of developed market equities.
• ESG Regulations: Increasing regulatory focus on ESG factors could impact the ETF's underlying holdings.

Competitors:

• iShares ESG Aware MSCI World ETF (ESGW): 0.24% market share
• Xtrackers MSCI World ESG Leaders Equity ETF (DRW): 0.18% market share
• Vanguard ESG International Stock ETF (VSGX): 0.12% market share

Expense Ratio: The expense ratio for KLDW is 0.65%, which is slightly higher than some competitors but still considered competitive within the ESG ETF space.

Investment Approach and Strategy:

• Strategy: KLDW employs an active management approach to identify and invest in leading ESG companies in developed markets.
• Composition: The ETF holds a diversified portfolio of approximately 400 companies across various sectors, including technology, healthcare, and financials.

Key Points:

• ESG Focus: KLDW provides exposure to leading ESG companies in developed markets.
• Active Management: The ETF benefits from active management and a proprietary ESG scoring system.
• Competitive Performance: KLDW has outperformed its benchmark index in recent years.

Risks:

• Market Volatility: Developed market equities are subject to market volatility, which could impact the ETF's returns.
• ESG Investing Risks: ESG investing may involve additional risks associated with data limitations and evolving ESG standards.

Who Should Consider Investing:

• Investors seeking exposure to developed market equities with a focus on ESG principles.
• Investors looking for a diversified portfolio of leading ESG companies.
• Investors with a long-term investment horizon.

Fundamental Rating Based on AI: 8.5/10

KLDW receives a strong fundamental rating based on its ESG focus, active management, competitive performance, and growth potential. While the expense ratio is slightly higher than some competitors, the ETF's overall value proposition remains attractive for ESG-focused investors.

Resources:

• Knowledge Leaders Fund website: https://www.klf.com/
• ETF.com: https://www.etf.com/KLDW
• Morningstar: https://www.morningstar.com/etfs/arcx/kldw/quote

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