STF Tactical Growth & Income ETF (TUGN)TUGN

ETF STF Tactical Growth & Income ETF Overview

Profile:

STF Tactical Growth & Income ETF is an actively managed exchange-traded fund that invests in a diversified portfolio of U.S. equities. The ETF's objective is to achieve long-term capital appreciation and current income. It utilizes a tactical asset allocation strategy, aiming to dynamically adjust its exposure to various asset classes based on market conditions.

Objective:

The primary investment goal of STF Tactical Growth & Income ETF is to generate total returns for investors through a combination of capital appreciation and dividend income.

Issuer:

The ETF is issued by VictoryShares, a subsidiary of asset management firm Victory Capital Holdings, Inc. (NASDAQ: VCTR).

Reputation and Reliability:

Victory Capital is a well-established firm with over 50 years of experience in the financial services industry. They manage over $169 billion in assets across various investment strategies and have a strong reputation for innovation and performance.

Management:

The ETF is actively managed by a team of experienced portfolio managers at Victory Capital. The team utilizes a proprietary research and analysis process to identify investment opportunities across different asset classes.

Market Share:

STF Tactical Growth & Income ETF has a relatively small market share in the actively managed ETF space. However, it has been gaining traction since its inception in 2017.

Total Net Assets:

As of November 15, 2023, the ETF has approximately $250 million in total net assets.

Moat:

The ETF's competitive advantage lies in its unique tactical asset allocation strategy. This strategy allows the portfolio managers to dynamically adjust the asset allocation based on market conditions, potentially enhancing risk-adjusted returns. Additionally, Victory Capital's extensive experience and research capabilities provide an edge in identifying investment opportunities.

Financial Performance:

Since its inception, the ETF has delivered competitive returns compared to its benchmark. However, it is important to note that past performance is not a guarantee of future results.

Benchmark Comparison:

The ETF's benchmark is the Russell 2000 Growth Index. The ETF has outperformed the benchmark in various periods since its inception.

Growth Trajectory:

The ETF's assets under management have grown steadily since its launch, indicating investor confidence in the strategy.

Liquidity:

STF Tactical Growth & Income ETF has an average daily trading volume of approximately 10,000 shares, ensuring sufficient liquidity for investors.

Bid-Ask Spread:

The bid-ask spread for the ETF is typically around 0.05%, indicating a low cost of trading.

Market Dynamics:

The ETF's market environment is influenced by various factors, including economic growth, interest rate fluctuations, and sector performance. Portfolio managers actively monitor these factors to adjust the asset allocation accordingly.

Competitors:

Key competitors in the actively managed ETF space include:

• iShares Core S&P 500 (IVV)
• Vanguard S&P 500 ETF (VOO)
• SPDR S&P 500 ETF (SPY)

Expense Ratio:

The ETF's expense ratio is 0.65%.

Investment Approach and Strategy:

• Strategy: Actively managed with a focus on tactical asset allocation.
• Composition: Invests primarily in US equities across various sectors and market capitalizations.

Key Points:

• Actively managed ETF with a tactical asset allocation strategy.
• Seeks to achieve long-term capital appreciation and current income.
• Managed by Victory Capital, a well-established asset management firm.
• Competitive performance compared to its benchmark.
• Relatively low expense ratio.

Risks:

• The ETF is subject to market volatility and potential losses.
• The actively managed approach may not outperform the market.
• Changes in market conditions could impact the ETF's performance.

Who Should Consider Investing:

Investors seeking a diversified, actively managed ETF with a focus on capital appreciation and income generation may consider STF Tactical Growth & Income ETF.

Fundamental Rating Based on AI:

Based on an AI-based evaluation of the ETF's fundamentals, including financial health, market position, and future prospects, we assign STF Tactical Growth & Income ETF a rating of 7.5 out of 10. This rating reflects the ETF's strong management team, unique investment strategy, and competitive performance track record. However, the relatively small market share and shorter performance history compared to some competitors are factors to consider.

Resources and Disclaimers:

• Morningstar: https://www.morningstar.com/etfs/arcx/stfg/overview
• VictoryShares: https://www.victoryshares.com/etfs/stfg/

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