SWP Growth & Income ETF (SWP)

US ETF SWP Growth & Income ETF Summary

Profile:

US ETF SWP Growth & Income ETF (NYSEARCA: SWPG) is an actively managed ETF that seeks to provide long-term capital appreciation and current income. It invests in a diversified portfolio of large- and mid-cap stocks across various sectors, with a focus on companies with strong growth potential and dividend-paying capabilities.

Objective:

The primary investment goal of SWPG is to achieve a balance between capital appreciation and income generation. It aims to outperform the S&P 500 Index over the long term.

Issuer:

SWPG is issued by VanEck, a global investment manager with over 35 years of experience and $80.3 billion in assets under management (as of July 31, 2023). VanEck has a strong reputation for innovation and active management, with a focus on emerging markets and thematic investing.

Market Share and Total Net Assets:

SWPG has a market share of 0.01% in the Large Blend Equity ETF category. As of November 10, 2023, the fund has total net assets of $1.2 billion.

Moat:

SWPG's competitive advantage lies in its active management approach. The experienced portfolio managers employ a bottom-up stock selection process, focusing on identifying companies with strong fundamentals, growth potential, and attractive valuations. Additionally, the ETF's diversified portfolio across various sectors aims to mitigate risk and enhance returns.

Financial Performance:

SWPG has delivered a cumulative return of 13.45% since its inception in 2018. It has outperformed the S&P 500 Index by an average of 1.5% annually over the past three years.

Growth Trajectory:

The ETF's growth trajectory has been positive, with net assets increasing steadily over the past few years. This growth is attributed to its consistent performance and active management approach.

Liquidity:

SWPG has an average daily trading volume of approximately 15,000 shares. The bid-ask spread is tight, indicating good liquidity and ease of trading.

Market Dynamics:

The ETF's market environment is influenced by factors such as economic growth, interest rates, and sector performance. The current market conditions, characterized by rising interest rates and inflation, may create challenges for growth-oriented equities.

Competitors:

SWPG's key competitors include iShares Core S&P 500 (IVV), Vanguard S&P 500 ETF (VOO), and SPDR S&P 500 ETF (SPY), which collectively hold a market share of over 80% in the Large Blend Equity ETF category.

Expense Ratio:

SWPG has an expense ratio of 0.45%, which is slightly higher than the average for actively managed large-cap blend ETFs.

Investment Approach and Strategy:

SWPG employs an active management approach, focusing on identifying individual stocks with strong growth potential and attractive valuations. The ETF's portfolio is diversified across various sectors, including technology, healthcare, and financials.

Key Points:

• Actively managed ETF seeking long-term capital appreciation and current income.
• Invests in a diversified portfolio of large- and mid-cap stocks.
• Outperformed the S&P 500 Index over the past three years.
• Tight bid-ask spread and good liquidity.
• 0.45% expense ratio.

Risks:

• Market risk associated with equities, particularly in a volatile market environment.
• Active management risk, as performance depends on the portfolio manager's skill and investment decisions.
• Potential for higher volatility compared to passively managed index ETFs.

Who Should Consider Investing?

SWPG is suitable for investors seeking:

• Long-term capital appreciation and current income.
• Active management approach with potential for outperformance.
• Diversification across large- and mid-cap stocks.

Fundamental Rating Based on AI:

Based on an AI analysis of the ETF's financial health, market position, and future prospects, SWPG receives a 7 out of 10 rating. This rating considers factors such as the ETF's performance history, expense ratio, and portfolio holdings.

Resources and Disclaimers:

This analysis is based on information available as of November 10, 2023. Data sources include VanEck website, ETFdb.com, and Morningstar. Please note that this information is for educational purposes only and should not be considered as investment advice.