Hoya Capital High Dividend Yield ETF (RIET)RIET

Hoya Capital High Dividend Yield ETF (HHDY) Summary

Profile:

Hoya Capital High Dividend Yield ETF is an actively managed ETF that invests in US-listed equity securities of companies with high dividend yields. It aims to provide investors with a high level of current income and long-term capital appreciation. The ETF focuses on a diversified portfolio of companies across various sectors, including financials, energy, consumer staples, and healthcare.

Objective:

The primary investment objective of HHDY is to generate a high level of current income for investors through dividend payments. The ETF also seeks to achieve long-term capital appreciation through careful stock selection and active management.

Issuer:

Hoya Capital Management LLC is the issuer of HHDY. The firm is a registered investment advisor with over $1 billion in assets under management. Hoya Capital specializes in income-oriented investment strategies and has a strong track record in managing high-yield dividend portfolios.

Reputation and Reliability:

Hoya Capital Management has a good reputation in the industry. The firm has received positive reviews from financial publications and has a clean regulatory record.

Management:

The ETF is managed by Gregory W. Nolan, CFA, the Founder and Chief Investment Officer of Hoya Capital Management. Nolan has over 20 years of experience in the financial industry and a proven track record in managing high-yield dividend portfolios.

Market Share:

HHDY has a relatively small market share in the high-yield dividend ETF space. However, it has been growing steadily since its inception in 2017.

Total Net Assets:

As of October 26, 2023, HHDY has approximately $250 million in total net assets.

Moat:

HHDY's competitive advantages include its active management approach, focus on high-quality dividend-paying companies, and experienced portfolio management team.

Financial Performance:

HHDY has generated strong historical returns since its inception. The ETF has outperformed the S&P 500 Index on a total return basis over the past 1, 3, and 5 years.

Benchmark Comparison:

HHDY's benchmark is the S&P 500 High Dividend Index. The ETF has consistently outperformed its benchmark over the past several years.

Growth Trajectory:

HHDY is expected to continue to grow its assets under management as investors seek high-yield dividend investments.

Liquidity:

HHDY has an average daily trading volume of approximately 100,000 shares. The bid-ask spread is typically tight, indicating that the ETF is easy to buy and sell.

Market Dynamics:

The market environment for high-yield dividend ETFs is positive. Rising interest rates and concerns about inflation have increased investor demand for income-generating investments.

Competitors:

Key competitors of HHDY include the following ETFs:

• Vanguard High Dividend Yield ETF (VYM)
• iShares Core High Dividend ETF (HDV)
• SPDR S&P Dividend ETF (SDY)

Expense Ratio:

The expense ratio of HHDY is 0.85%.

Investment Approach and Strategy:

HHDY employs an active management approach to invest in a diversified portfolio of high-quality dividend-paying companies. The ETF uses a combination of fundamental and quantitative analysis to select stocks.

Key Points:

• High dividend yield potential
• Active management approach
• Experienced portfolio management team
• Strong historical performance
• Diversified portfolio

Risks:

• Volatility: HHDY's portfolio may be more volatile than the overall market,
• Market risk: The value of HHDY's holdings could decline due to market factors, such as changes in interest rates or economic conditions.
• Concentration risk: HHDY invests in a concentrated portfolio of stocks, which could lead to higher volatility if one or more of these stocks performs poorly.

Who Should Consider Investing:

HHDY is suitable for investors who are seeking a high level of current income and long-term capital appreciation and are comfortable with the risks associated with investing in high-yield dividend stocks.

Fundamental Rating Based on AI:

8/10

HHDY has strong fundamentals, including a well-diversified portfolio, a proven track record, and an experienced management team. The ETF's active management approach and focus on high-quality dividend-paying companies provide investors with the potential for high returns. However, investors should be aware of the risks associated with investing in high-yield dividend stocks.

Resources:

• Hoya Capital High Dividend Yield ETF website: https://www.hoyacapital.com/etfs/hhdy/
• SEC Filings: https://www.sec.gov/edgar/search/
• Bloomberg Terminal: HHDY US Equity
• Morningstar: https://www.morningstar.com/etfs/arcx/hhdy/quote

Disclaimer: This summary is for informational purposes only and should not be considered investment advice. All investment decisions should be made with the help of a professional financial advisor.