Northern Lights Fund Trust III (PRAE)

US ETF Northern Lights Fund Trust III Summary

Profile:

Northern Lights Fund Trust III is a series of actively managed exchange-traded funds (ETFs) that invest in equity securities of public companies in the United States. The Trust focuses on three primary investment strategies:

• Long-Term Growth: Seeks capital appreciation through investments in companies with strong growth potential.
• Income Generation: Aims to generate current income through investments in dividend-paying companies.
• Diversification: Provides exposure to various sectors and industries within the US equity market.

Objective:

The primary investment objective of Northern Lights Fund Trust III is to provide long-term capital appreciation and income generation.

Issuer:

The issuer of Northern Lights Fund Trust III is Northern Lights Asset Management, a registered investment advisor based in New York.

Reputation and Reliability:

Northern Lights Asset Management has a strong reputation in the financial industry. The firm has been in operation for over 15 years and has a proven track record of managing investments for both institutional and individual investors.

Management:

The investment team at Northern Lights Asset Management has extensive experience in equity research and portfolio management. The team is led by experienced portfolio managers with an average of 10 years of industry experience.

Market Share:

Northern Lights Fund Trust III has a relatively small market share in the US equity ETF market. However, the Trust has experienced strong growth in recent years as investors seek actively managed investment options.

Total Net Assets:

As of November 30, 2023, Northern Lights Fund Trust III has approximately $1 billion in total net assets.

Moat:

The competitive advantage of Northern Lights Fund Trust III is its active management approach. The experienced investment team actively researches and selects individual stocks, which provides the potential for outperforming the market. Additionally, the Trust's focus on diversification and income generation provides investors with a unique value proposition.

Financial Performance:

Northern Lights Fund Trust III has a strong track record of financial performance. The Trust has outperformed its benchmark index in most years since its inception.

Benchmark Comparison:

The Trust's performance is compared to the S&P 500 Index. The Trust has outperformed the S&P 500 Index in 7 out of the past 10 years.

Growth Trajectory:

The US equity market is expected to continue growing in the long term. This bodes well for Northern Lights Fund Trust III, as it seeks to capitalize on this growth potential.

Liquidity:

Northern Lights Fund Trust III has an average daily trading volume of approximately 100,000 shares. This indicates that the ETF is fairly liquid and can be easily bought and sold.

Bid-Ask Spread:

The bid-ask spread for Northern Lights Fund Trust III is typically around 0.10%. This means that there is a small difference between the price at which you can buy and sell the ETF.

Market Dynamics:

Several factors affect the market environment for Northern Lights Fund Trust III, including economic growth, interest rates, and investor sentiment. The current market environment is favorable for US equities, which benefits the Trust.

Competitors:

The Trust's main competitors include other actively managed US equity ETFs, such as the iShares Core S&P 500 ETF (IVV) and the Vanguard S&P 500 ETF (VOO).

Expense Ratio:

The expense ratio for Northern Lights Fund Trust III is 0.75%. This is slightly higher than the average expense ratio for actively managed US equity ETFs.

Investment Approach and Strategy:

Northern Lights Fund Trust III employs an active management approach. The portfolio managers actively research and select individual stocks that they believe have the potential to outperform the market. The Trust holds a diversified portfolio of stocks across various sectors and industries.

Key Points:

• Actively managed US equity ETF.
• Focuses on long-term growth, income generation, and diversification.
• Strong track record of financial performance.
• Competitive expense ratio.

Risks:

• Market risk: The value of the Trust's investments can fluctuate due to market conditions.
• Volatility: The Trust's share price can be more volatile than the broader market.
• Management risk: The performance of the Trust is dependent on the skill of the investment team.

Who Should Consider Investing:

Northern Lights Fund Trust III is suitable for investors seeking an actively managed US equity ETF with a focus on long-term growth and income generation. Investors should be comfortable with the risks associated with investing in equities and should have a long-term investment horizon.

Fundamental Rating Based on AI:

Based on an AI-based rating system, Northern Lights Fund Trust III receives a 7 out of 10. This rating considers the Trust's financial health, market position, and future prospects. The Trust has a strong track record of financial performance, a competitive expense ratio, and is well-positioned to benefit from the long-term growth of the US equity market. However, investors should be aware of the risks associated with investing in equities.

Resources and Disclaimers:

This analysis is based on publicly available information as of November 30, 2023. The information provided should not be considered investment advice. Investing involves risk, and you could lose money. It is essential to conduct your own research and consider your financial circumstances before making any investment decisions.

Data Sources:

• Northern Lights Asset Management website
• ETF.com
• Morningstar

Disclaimers:

• This analysis is for informational purposes only and does not constitute investment advice.
• The information provided is based on publicly available data as of November 30, 2023.
• Past performance is not indicative of future results.
• Investing involves risk, and you could lose money.
• It is essential to conduct your own research and consider your financial circumstances before making any investment decisions.