Neuberger Berman Carbon Transition & Infrastructure ETF (NBCT)

ETF Neuberger Berman Carbon Transition & Infrastructure ETF (NBCT)

Profile

NBCT is an actively managed ETF that invests in companies driving the transition to a low-carbon economy. It focuses on infrastructure, utilities, transportation, and renewable energy sectors. The ETF employs a fundamental, bottom-up approach to identify companies with strong competitive advantages and growth potential.

Objective

The primary objective of NBCT is to achieve long-term capital appreciation by investing in companies that are positioned to benefit from the transition to a low-carbon economy.

Issuer

Neuberger Berman is a global investment management firm with over $470 billion in assets under management. The firm has a strong reputation for its investment expertise and client service. The ETF is managed by a team of experienced portfolio managers with expertise in the energy and infrastructure sectors.

Market Share

NBCT has a relatively small market share in the clean energy ETF space, with approximately 0.04% as of November 2023.

Total Net Assets

NBCT has approximately $150 million in total net assets as of November 2023.

Moat

NBCT's competitive advantages include:

• Active Management: The ETF employs an active management approach, which allows the portfolio managers to select companies with the best potential for growth.
• Experienced Management Team: The ETF is managed by a team of experienced portfolio managers with expertise in the energy and infrastructure sectors.
• Focus on Carbon Transition: The ETF focuses on companies that are driving the transition to a low-carbon economy, which is a growing and attractive market.

Financial Performance

Since its inception in 2022, NBCT has outperformed its benchmark, the S&P Global Clean Energy Index. However, it is important to note that the ETF has a short track record and past performance is not indicative of future results.

Growth Trajectory

The clean energy sector is expected to grow significantly in the coming years, driven by government policies and increasing demand for renewable energy. This bodes well for NBCT's growth prospects.

Liquidity

NBCT has an average trading volume of approximately 10,000 shares per day. The bid-ask spread is relatively tight, indicating that the ETF is relatively liquid.

Market Dynamics

The clean energy sector is affected by various factors, including government policies, technological advancements, and commodity prices. Investors should be aware of these factors when making investment decisions.

Competitors

Key competitors of NBCT include:

• iShares Global Clean Energy ETF (ICLN)
• Invesco Solar ETF (TAN)
• VanEck Merkury Hydrogen ETF (HDRO)

Expense Ratio

NBCT has an expense ratio of 0.65%.

Investment Approach and Strategy

NBCT employs a fundamental, bottom-up approach to identify companies with strong competitive advantages and growth potential. The ETF invests in a diversified portfolio of companies across various sectors that are driving the transition to a low-carbon economy.

Key Points

• Actively managed ETF focused on carbon transition and infrastructure.
• Invests in companies with strong growth potential.
• Experienced management team.
• Relatively small market share and short track record.
• High growth potential due to the growing clean energy sector.

Risks

• Market Risk: The ETF is subject to market risk, which means that its value can fluctuate due to changes in the overall market.
• Volatility: The clean energy sector is relatively volatile, which means that the ETF's value can fluctuate significantly over time.
• Concentration Risk: The ETF is concentrated in a few sectors, which means that it is more susceptible to negative events in those sectors.

Who Should Consider Investing

NBCT is suitable for investors who:

• Believe in the long-term growth potential of the clean energy sector.
• Are comfortable with the risks associated with investing in a volatile sector.
• Have a long-term investment horizon.

Fundamental Rating Based on AI

Based on an AI-based analysis of the factors mentioned above, NBCT receives a 7 out of 10 rating. The ETF benefits from its active management approach, experienced management team, and focus on a growing market. However, its small market share, short track record, and high expense ratio are factors that could limit its appeal to some investors.

Resources and Disclaimers

• Neuberger Berman Carbon Transition & Infrastructure ETF website: https://www.nb.com/us/individual/etfs/etf-detail?銘柄記号=NBCT
• Morningstar: https://www.morningstar.com/etfs/arcx/nbct/quote
• Disclaimer: This analysis is for informational purposes only and should not be considered investment advice. Investors should consult with a financial professional before making any investment decisions.