Neuberger Berman Energy Transition & Infrastructure ETF (NBET)

Overview

The Neuberger Berman Energy Transition & Infrastructure ETF (NBEL) focuses on companies involved in the energy transition and infrastructure sectors, including renewable energy, clean technology, and modern infrastructure. The ETF invests primarily in companies expected to benefit from the shift toward sustainable energy sources and the modernization of infrastructure systems.

Reputation and Reliability

Neuberger Berman is a well-established investment management firm with a long history and a solid reputation for providing investment solutions to institutional and individual investors.

Management Expertise

The management team possesses expertise in infrastructure investing, clean energy technology, and thematic investing, with experience in analyzing and selecting companies poised to benefit from the global energy transition.

Goal

Seeks to provide investment results that, before fees and expenses, correspond generally to the price and yield performance of the Solactive Energy Transition & Infrastructure Index.

Investment Approach and Strategy

Strategy: The ETF aims to replicate the performance of the Solactive Energy Transition & Infrastructure Index, which tracks companies engaged in activities related to energy transition and infrastructure.

Composition The ETF primarily holds stocks of companies operating in sectors such as renewable energy, energy storage, smart grid technologies, electric vehicles, and modern infrastructure systems. It may also hold a small percentage of cash or other instruments.

Market Share: NBEL's market share in the energy transition and infrastructure ETF sector is relatively small compared to established competitors.

Total Net Assets (AUM): 41470000

Key Competitors

• ICLN
• TAN
• QCLN
• FAN

Competitive Landscape

The energy transition and infrastructure ETF sector is highly competitive, with several established ETFs holding significant market share. NBEL's advantages include Neuberger Berman's expertise, but disadvantages include a smaller AUM and limited trading history compared to larger competitors. NBEL differentiates through its specific index and potentially more focused exposure to certain aspects of the energy transition.

Historical Performance: Historical performance data is limited due to the ETF's relatively recent inception. A 3-year, 5-year, and 10-year comparison is not possible.

Benchmark Comparison: Comparison to the Solactive Energy Transition & Infrastructure Index is essential to assess the ETF's tracking effectiveness. (Performance data should be sourced from reliable financial data providers.)

Expense Ratio: 0.55

Average Trading Volume

The ETF's average trading volume is relatively moderate, which may affect the ease of buying and selling shares.

Bid-Ask Spread

The bid-ask spread may vary based on market conditions but generally reflects the liquidity of the underlying holdings.

Market Environment Factors

Economic indicators such as interest rates, government policies supporting renewable energy, and the overall growth prospects of the clean technology and infrastructure sectors significantly influence NBEL. Investor sentiment toward ESG investing and climate change also play a crucial role.

Growth Trajectory

Growth trends include increasing investment in renewable energy infrastructure, adoption of electric vehicles, and the modernization of existing infrastructure systems. Changes to strategy and holdings will be driven by shifts in the energy transition landscape and index rebalancing.

Competitive Edge

NBEL benefits from Neuberger Berman's investment expertise and established reputation, and could be perceived to have competitive advantages from a focus on energy transition and infrastructure offering targeted exposure. The selection of holdings is based on exposure to companies expected to benefit from the global energy transition. NBEL aims to provide investors with a portfolio focused on these sectors, but a smaller AUM will also require NBEL to build credibility and confidence.

Volatility

Historical volatility will need to be evaluated based on available trading data, and market risk will be dependent on the volatility of the underlying stocks and the sensitivity of the sector to economic conditions.

Market Risk

Specific risks include regulatory changes affecting the renewable energy sector, technological disruptions impacting specific sub-sectors, and sensitivity to commodity prices for energy-related companies.

Ideal Investor Profile

The ideal investor is one who seeks exposure to the energy transition and infrastructure sectors, believes in the long-term growth potential of these areas, and is willing to accept moderate to high volatility.

Market Risk

NBEL is most suitable for long-term investors who are optimistic about the growth prospects of clean energy and infrastructure and are comfortable with sector-specific risk. It might be used by active traders seeking tactical exposure, but is less suited for passive index followers focused on broader market diversification.

The Neuberger Berman Energy Transition & Infrastructure ETF (NBEL) offers a focused investment in companies participating in the energy transition and infrastructure sectors. The ETF aims to track the Solactive Energy Transition & Infrastructure Index, providing exposure to renewable energy, clean technology, and modern infrastructure companies. With its small AUM and limited trading history, NBEL is a more recent entrant in a competitive landscape dominated by established funds. NBEL appeals to long-term investors interested in sustainable investing and benefiting from the global shift towards cleaner energy sources but carries sector-specific risks and lower market share.

Data Sources:

• Neuberger Berman Website
• ETF.com
• Bloomberg
• Morningstar

Disclaimers:

The data provided is for informational purposes only and should not be considered investment advice. Past performance is not indicative of future results. Investment decisions should be made based on individual circumstances and after consulting with a qualified financial advisor.