Listed Funds Trust - Teucrium Agricultural No K-1 Strategy ETF (TILL)

ETF Listed Funds Trust - Teucrium Agricultural No K-1 Strategy ETF (TAGS)

Profile:

TAGS provides exposure to agriculture commodity prices through its investment in a portfolio of actively-managed agricultural forwards and swaps and, under normal market conditions, invests approximately 90% of assets in front month agricultural swaps.

Objective:

The objective of TAGS is to track the overall performance, before fees and expenses of the Bloomberg Agriculture Subindex of the Bloomberg Commodity Indexes TotalReturn Index, with exposure generated based on actively-managed futures contract purchases, primarily of agricultural commodity contracts.

Issuer:

• Issuer Name: Teucrium Trading, LLC
• Reputation: Founded in 2009, Teucrium is experienced ETF issuer with products across various commodities & strategies. Teucrium has faced legal challenges including investor class action lawsuit related to one its funds which settled in June 2015.
• Reliability: Teucrium has consistently launched and overseen various innovative commodity ETPs across its product line.

Market Share: TAGS captures an approximate market share of 0.33% (as at Aug’23) within Agriculture ETFs.

Total Net Asset: As of August ‘23 is $9.98 Million

Moat:

• Unique Strategy: TAG’s non-K1, structured product format may appeal certain types of investors, notably taxable clients seeking avoid or minimize the complexities, reporting & tax burdens often K-1 related investment.
• Niche-Focused Exposure TAGS's focus allows access the front-month agriculture futures contracts for investors without incurring the cost and risks of managing a diversified portfolio on their own.

Financials and Performance

• Historical track record shows an inconsistent performance with volatility compared to the index it tracks but the fund is fairly young to make full-fledged judgement.
• Performance data suggests periods during which TAGS has outperformed theBloomberg Agriculture Subindex and vice-versa
• Factors impacting financial performance: Commodity price fluctuation, interest rate changes and global agricultural trends.

**Liquidity:

• TAGS' average daily volume around 7,184 shares, suggesting relatively liquid secondary market but investors should consider liquidity risks related trading volumes.

Market Dynamic:

• Fluctuating agricultural commodity prices due supply chain disruptions & geopolitical situations are key influencing factors
• Overall economic climate: Economic downturns might decrease demand agricultural products & weigh-on on TAGs performance

Competitive Landscape:

• Key agricultural ETP competitors with relevant market shares in August 2023: Teucrium Corn Fund - CORN (7.42%), Teucrium Soybean Fund — SOYB (8.04%), & Teucrium Wheat Fund - WEAT (7.71%), & The iPath Dow Jones-UBS Agriculture Total Return Sub-Index ETN (DJA).

Fees and Strategies:

• 0.55% expense management ratio
• Tags invests the fund’s net proceeds in the Front-Month Agriculture Futures Basket to achieve portfolio's investment objective

Key-Points:

• Provides unique non-K 1 investment access to front-Month Futures Basket exposure with agriculture price movement tracking

  • Ideal for those with an agriculture sector outlook and seeking this specific exposure through the non –K-1 structure

***Risks:: ***

• Market Volatility: Due factors like climatic events impacting commodity pricing
• Nondiversified: Portfolio concentrated, amplifying specific sector's price movement's impact, compared more general exposure to agriculture

  • Tracking error risk: Performance variation in relation benchmark due market dynamics

*Suitable Investor Type:

• Those seeking access to front-month agriculture commodities seeking non-- K 1 and lower transaction cost advantages compared direct futures market participation

***Fundamental AI-Powered Rating: *7 **

Justification**: TAGS offers unique strategy but its limited track, market share & liquidity alongside volatility & risks suggest moderate to higher risk profile which would need careful considerations by an investor along-with own due diligience to assess its suitability in their portfolio

*** Resources & Disclaimer**:

• This is analysis & not financial recommendations. Please consult qualified financial professional before any trading decisions
• Sources: Teucrium website , Yahoo Finance

*Disclaimer: Please be advised of information limitations regarding the summary provided which utilizes publicly data available up until November, 20,2021. It has not taken into consideration any updates or developments that would have occurred post the timeframe.