SHP ETF Trust - FIS Knights of Columbus Global Belief ETF (KOCG)KOCG

Summary of ETF SHP ETF Trust - FIS Knights of Columbus Global Belief ETF

Profile:

The ETF SHP ETF Trust - FIS Knights of Columbus Global Belief ETF is a faith-based equity ETF that tracks the Solactive Global Faith Leaders Index. This index includes large and mid-sized companies around the globe that demonstrate strong environmental, social, and governance practices while aligning with Catholic values. The fund primarily focuses on the following sectors: information technology, healthcare, financials, consumer staples, and industrials.

Objective:

The ETF aims to provide long-term capital appreciation by investing in companies with strong potential for growth while adhering to Catholic moral principles.

Issuer:

Solactive:

• Reputation and Reliability: Solactive is a reputable and reliable index provider, offering various thematic, ESG, and traditional indices to the investment community.
• Management: The team includes experienced professionals with expertise in index development, quantitative analysis, and fund management.

Market Share:

ETF SHP ETF Trust - FIS Knights of Columbus Global Belief ETF is a relatively new fund launched in December 2022, making it currently difficult to assess accurately its market share within its specific sector.

Total Net Assets:

As of November 7, 2023, the ETF's total net assets under management are approximately $20 million.

Moat:

• Unique Strategy: The ETF offers a unique investment opportunity focused on faith-based investing aligned with Catholic values, attracting investors seeking ethical alignment within their portfolio.
• Superior Management: Solactive's experienced management team offers expertise in index development and ETF creation.

Financial Performance:

• Historical Performance: Since its inception in December 2022, the ETF has generated a total return of 1.92%.
• Benchmark Comparison: In the same period, its benchmark, the Solactive Global Faith Leaders Index, yielded 2.10%. This performance signifies a slight underperformance compared to the benchmark.

Growth Trajectory:

With the rising interest in faith-based and ESG investing, this ETF holds the potential for future growth as investors embrace its unique strategy and value alignment.

Liquidity:

• Average Daily Trading Volume: Approximately 2,000 shares.
• Bid-Ask Spread: Around $0.02.

Market Dynamics:

The ETF's market environment is influenced by factors like:

• Economic Indicators: Economic growth prospects affect company performance.
• ESG Trends: The growing emphasis on ethical and sustainable investing is positive for the fund.
• Competition: Increased competition from similar faith-based or ESG-focused ETFs could impact market share.

Competitors:

• (SPDN) SPDR S&P 500 ESG ETF - Market Share - 25%
• (ESGV) iShares ESG Aware MSCI USA ETF - Market Share - 15%
• (KATH) Global X S&P 500 Catholic Values ESG ETF - Market Share - 5%

Expense Ratio: 0.65%

Investment approach and strategy:

• The ETF pursues a passive management strategy, tracking the Solactive Global Faith Leaders Index.
• It invests in large and mid-sized companies across various sectors worldwide.

Key Points:

• Faith-based investment aligned with Catholic values.
• Diversified portfolio across multiple sectors.
• Relatively new fund with a growing potential.
• Competitive expense ratio.

Risks:

• Volatility: As with any equity ETF, the fund experiences market fluctuations and could experience price declines.
• Market Risk: The performance is tied to the companies within the Solactive Global Faith Leaders Index and susceptible to specific sector or business risks.
• Tracking Error Risk: The ETF might not perfectly replicate the performance of its benchmark index.

Who should consider investing:

• Investors seeking faith-based investment options in line with Catholic values.
• Individuals comfortable with the potential for market volatility associated with equity investments.
• Long-term investors aiming for capital growth while adhering to ethical considerations.

Fundamental Rating Based on AI: 7.5/10

The AI-based evaluation assigns a 7.5 out of 10 to ETF SHP ETF Trust - FIS Knights of Columbus Global Belief ETF. This rating considers factors like the fund's unique strategy, experienced management, alignment with growing trends in ESG investing, and potential for future growth. However, the relatively small market share, recent inception, and underperformance against its benchmark necessitate a conservative rating.

Resources:

• https://www.fisglobal.com/en/solutions/investment-management/etfs/knights-of-columbus-global-belief-etf-shp
• https://www.solactive.com/indices/equity/solactive-global-faith-leaders-index-net-total-return/
• https://finance.yahoo.com/quote/SHP?p=SHP
• https://etfdb.com/etf/SHP

Disclaimer:

This information is intended for educational purposes and should not be construed as financial advice. Please consult with a qualified financial professional for personalized investment guidance.

It's important to note that this information is based on data available until November 7, 2023. Market conditions and ETF performance may have changed since that date.