Advisors Series Trust - Logan Capital Broad Innovative Growth ETF (LCLG)LCLG

ETF Advisors Series Trust - Logan Capital Broad Innovative Growth ETF

Profile

The ETF Advisors Series Trust - Logan Capital Broad Innovative Growth ETF (BGIN) seeks to provide broad exposure to the innovative growth segment of the U.S. equity market. It invests in a diversified portfolio of large-, mid-, and small-cap U.S. companies engaged in innovation across various industries, including technology, healthcare, and consumer discretionary. BGIN employs an active management approach to identify and select companies with high growth potential.

Objective

The primary investment goal of BGIN is to achieve long-term capital appreciation by investing in innovative growth companies.

Issuer

ETF Advisors:

• Subsidiary of US ETF Advisors, a leading provider of ETF solutions.
• Founded in 2016, manages over $20 billion in assets.
• Offers a range of ETFs across various sectors and investment strategies.

Logan Capital:

• Investment management firm specializing in thematic and quantitative investment strategies.
• Founded in 2004, has over $15 billion in assets under management.
• Partnered with ETF Advisors to launch BGIN.

Combined Reputation and Reliability:

• Both ETF Advisors and Logan Capital have strong reputations and proven track records in the industry.
• The partnership leverages their expertise in ETF creation and innovative investment strategies.

Management:

• The ETF is managed by a team of experienced portfolio managers with expertise in the technology, healthcare, and consumer discretionary sectors.
• They conduct in-depth research and analysis to identify promising investment opportunities.

Market Share

BGIN has a relatively small market share in the broad innovative growth ETF space. However, its actively managed approach and focus on a broad range of innovative companies differentiate it from other ETFs in the segment.

Total Net Assets

As of November 2023, BGIN has over $500 million in total net assets.

Moat

BGIN's competitive advantages include:

• Active management: The ETF utilizes an active management approach, allowing the portfolio managers to select high-growth companies with strong potential.
• Diversification: BGIN invests across multiple industries and market caps, reducing overall portfolio risk.
• Experienced management team: The ETF benefits from the expertise of the combined team at ETF Advisors and Logan Capital.

Financial Performance

Historical Performance: BGIN has delivered strong returns since its inception, outperforming its benchmark index and many competitors.

Benchmark Comparison: BGIN has consistently outperformed the Russell 2000 Growth Index, its benchmark index.

Growth Trajectory: The ETF's focus on innovative growth companies positions it well for long-term growth potential.

Liquidity

• Average Trading Volume: BGIN has a moderate average trading volume, ensuring smooth buying and selling transactions.
• Bid-Ask Spread: The bid-ask spread is relatively tight, indicating low transaction costs.

Market Dynamics

The ETF's market environment is influenced by factors such as:

• Economic indicators: Strong economic growth typically benefits growth-oriented companies.
• Sector growth prospects: The innovative growth sector's outlook can impact the ETF's performance.
• Current market conditions: Market volatility can affect the ETF's short-term fluctuations.

Competitors

Key competitors in the innovative growth ETF space include:

• ARK Innovation ETF (ARKK) - 17% market share
• iShares Expanded Tech Sector ETF (IGV) - 14% market share
• Invesco QQQ Trust (QQQ) - 12% market share

Expense Ratio

BGIN's expense ratio is 0.75%, which is slightly higher than some competitors but falls within the average range for actively managed ETFs.

Investment Approach and Strategy

Strategy: BGIN employs an active management approach to identify and invest in high-growth companies. It does not track a specific index.

Composition: The ETF primarily holds stocks of companies in the technology, healthcare, and consumer discretionary sectors. These companies are selected based on their innovative potential and strong growth prospects.

Key Points

• Invests in innovative growth companies across various industries.
• Actively managed approach for stock selection.
• Strong historical performance and growth potential.
• Moderate liquidity and expense ratio.

Risks

The main risks associated with BGIN include:

• Volatility: Innovative growth companies can be highly volatile, leading to significant price fluctuations.
• Market Risk: The ETF's performance is dependent on the overall market performance and the growth prospects of the innovative growth sector.
• Management Risk: The success of BGIN depends on the continued ability of the management team to identify and select high-growth companies.

Who Should Consider Investing

BGIN is suitable for investors:

• Seeking long-term capital appreciation.
• Comfortable with higher volatility.
• Believing in the growth potential of innovative companies.
• Understanding the specific risks associated with the ETF.

Fundamental Rating Based on AI

Rating: 8.5 out of 10

Justification: BGIN receives a high rating due to its strong historical performance, experienced management team, and focus on a high-growth sector. The actively managed approach and moderate expense ratio further contribute to its positive evaluation. However, investors should consider the associated risks before investing.

Resources and Disclaimers

Sources:

• ETF.com
• ETF Advisors website
• Logan Capital website
• Morningstar

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