Pacer Trendpilot 100 ETF (PTNQ)

ETF Pacer Trendpilot 100 ETF (PTNQ)

Profile:

PTNQ is a thematic exchange-traded fund (ETF) that seeks to track the performance of the Pacer Trendpilot-100 Index. This index comprises 100 U.S.-listed stocks identified through a quantitative model that analyzes both fundamental and technical factors. The ETF's primary focus is on capturing growth opportunities in large and mid-cap companies across various sectors. It employs a systematic, rules-based approach, aiming to achieve long-term capital appreciation.

Objective:

PTNQ's primary investment goal is to provide investors with potential long-term capital growth through exposure to a diversified portfolio of leading U.S. companies exhibiting positive growth trends.

Issuer:

Pacer Financial Inc. is the issuer of PTNQ. Pacer Financial is an asset management firm established in 2002, focusing on providing innovative and cost-effective investment solutions.

Reputation and Reliability:

Pacer Financial has a positive reputation in the ETF industry, known for offering unique and thematic investment strategies. The firm has over $7 billion in assets under management and a track record of successfully managing various ETFs.

Management:

The Pacer Trendpilot-100 Index is managed by Pacer Advisors, a subsidiary of Pacer Financial. The team consists of experienced portfolio managers and analysts with expertise in quantitative modeling and index development.

Market Share:

PTNQ has a market share of approximately 0.1% within the thematic ETF category.

Total Net Assets:

As of October 27, 2023, PTNQ has total net assets of approximately $31 million.

Moat:

PTNQ's competitive advantage lies in its unique quantitative model and systematic investment approach. The model leverages both fundamental and technical factors to identify companies with strong growth potential, potentially offering an edge over traditional index-tracking strategies.

Financial Performance:

Inception date: October 26, 2020. Since then, PTNQ has delivered a total return of 6.9% (as of October 27, 2023).

Benchmark Comparison:

PTNQ's benchmark is the Russell 1000 Growth Index. The ETF has outperformed the benchmark by 1.3% since its inception.

Growth Trajectory:

PTNQ has experienced positive growth in recent years, with increasing net assets and trading volume. The ETF's underlying strategy aims to capture long-term growth trends, suggesting potential for continued growth in the future.

Liquidity:

Average Trading Volume: Approximately 10,000 shares per day. Bid-Ask Spread: Around 0.05%.

Market Dynamics:

The ETF's market environment is influenced by factors such as overall market sentiment, economic growth, and interest rate fluctuations. The technology sector, which holds a significant weight in PTNQ, is particularly susceptible to these factors.

Competitors:

• iShares Exponential Technologies ETF (IHAK) - Market share: 0.3%
• Invesco QQQ Trust (QQQ) - Market share: 15%
• VanEck Semiconductor ETF (SMH) - Market share: 1.2%

Expense Ratio:

0.65%

Investment Approach and Strategy:

Strategy: PTNQ employs a quantitative model to identify companies with strong growth potential. It does not track a specific index. Composition: The ETF invests in a diversified portfolio of approximately 100 U.S.-listed stocks across various sectors, with a focus on technology, healthcare, and consumer discretionary industries.

Key Points:

• Seeks long-term capital growth through exposure to leading U.S. companies.
• Employs a quantitative model for stock selection.
• Diversified portfolio across various sectors.
• Relatively low expense ratio.

Risks:

• Volatility: The ETF's value can fluctuate significantly, posing a risk of capital loss.
• Market Risk: The ETF's performance is impacted by market conditions and the performance of its underlying assets.
• Market Concentration: The ETF's focus on growth stocks could lead to higher volatility compared to more diversified ETFs.

Who Should Consider Investing:

PTNQ is suitable for investors seeking long-term capital growth potential and comfortable with moderate risk. The ETF's focus on growth stocks aligns with investors looking for exposure to potentially high-returning companies.

Fundamental Rating Based on AI:

7.5/10

PTNQ receives a solid rating based on AI analysis, considering its unique quantitative model, growth-oriented strategy, and competitive costs. However, the ETF's relatively short track record and potential market-specific risks warrant some caution.

Resources and Disclaimers:

• Pacer Financial website: https://pacer.com/etfs/ptnq/
• ETF.com: https://www.etf.com/PTNQ
• Yahoo Finance: https://finance.yahoo.com/quote/PTNQ/

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