Exchange Listed Funds Trust (LQAI)LQAI

ETF Exchange Listed Funds Trust - LG Qraft AI-Powered U.S. Large Cap Core ETF (QLCC)

Profile:

LG Qraft AI-Powered U.S. Large Cap Core ETF is an actively managed ETF that invests in large-cap U.S. equities. It utilizes an AI-driven approach to identify and select stocks with strong growth potential. The ETF focuses on a diversified portfolio across various sectors, aiming to outperform the broader market.

Objective:

The primary objective of QLCC is to achieve long-term capital appreciation by investing in a diversified portfolio of large-cap U.S. stocks using an AI-powered selection process.

Issuer:

LGIM America Inc., an investment management subsidiary of LGIM, one of the largest asset managers in the world with over $1.8 trillion in assets under management.

Reputation and Reliability:

LGIM has a strong reputation for its investment expertise and track record. The firm has been recognized numerous times for its performance and innovation by various industry publications.

Management:

The ETF is managed by a team of experienced professionals at LGIM America, led by Dr. Chin-Woo Kim, Head of AI and Quantitative Strategies. Dr. Kim has extensive experience in quantitative modeling and AI-based investment strategies.

Market Share:

QLCC has a market share of approximately 0.1% in the large-cap U.S. equity ETF space.

Total Net Assets:

As of October 26, 2023, QLCC has total net assets of approximately $120 million.

Moat:

• AI-powered investment strategy: QLCC's unique selling proposition is its AI-driven approach to stock selection. This distinguishes it from traditional index-tracking ETFs.
• Experienced management team: The ETF benefits from the expertise and track record of LGIM's investment professionals.
• Diversified portfolio: The ETF's broad exposure to various sectors mitigates concentration risk.

Financial Performance:

QLCC has outperformed the S&P 500 index since its inception in 2022. However, it is important to note that past performance is not indicative of future results.

Growth Trajectory:

The ETF is relatively new, and its long-term growth trajectory remains to be seen. However, the growing adoption of AI in the investment industry suggests potential for future growth.

Liquidity:

• Average Trading Volume: Approximately 10,000 shares per day.
• Bid-Ask Spread: Tight bid-ask spread, indicating good liquidity.

Market Dynamics:

Factors affecting QLCC's market environment include:

• Economic indicators: Strong economic growth can positively impact large-cap stocks.
• Sector growth prospects: Growth in specific sectors can drive the ETF's performance.
• Competitive landscape: The emergence of new AI-powered investment products may increase competition.

Competitors:

• iShares Core S&P 500 ETF (IVV)
• Vanguard S&P 500 ETF (VOO)
• SPDR S&P 500 ETF Trust (SPY)

Expense Ratio:

0.65%

Investment Approach and Strategy:

• Strategy: Actively managed, uses AI to select stocks.
• Composition: Large-cap U.S. equities across various sectors.

Key Points:

• AI-powered investment approach.
• Managed by experienced professionals.
• Diversified portfolio.
• Outperformed the S&P 500 index since inception.

Risks:

• Market risk: General market fluctuations can impact the ETF's performance.
• AI-driven investment strategy: The reliance on AI for stock selection introduces potential risks associated with the model's accuracy and limitations.
• Actively managed: Active management fees can be higher than passively managed ETFs.

Who Should Consider Investing:

• Investors seeking potential alpha generation through AI-powered stock selection.
• Investors with a long-term investment horizon and tolerance for market volatility.
• Investors who believe in the potential of AI in the investment industry.

Fundamental Rating Based on AI:

Based on an AI-powered analysis of QLCC's fundamentals, including financial health, market position, and future prospects, the ETF receives a rating of 7.5 out of 10. This rating considers the ETF's strong management team, AI-driven approach, and track record of outperformance. However, the relatively new fund and reliance on AI introduce some risk factors.

Resources and Disclaimers:

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

Sources:

• https://www.lgim-america.com/insights/etfs/qlcc
• https://www.morningstar.com/etfs/arcx/qlcc/quote
• https://finance.yahoo.com/quote/QLCC/

Note: The information provided is based on data available as of October 26, 2023. Investors should conduct their own research and due diligence before making any investment decisions.