Tidal Trust II (YBIT)

ETF Tidal Trust II Summary:

Profile:

Tidal Trust II is an Exchange Traded Fund (ETF) focused on long-term capital appreciation through investments in US-listed companies with strong potential for growth and dividends. The ETF has a growth-oriented strategy with approximately 70% of its holdings allocated to mid- and small-cap stocks. It utilizes fundamental analysis and quantitative models to select companies with high growth potential, consistent earnings and strong competitive advantage.

Objective:

Tidal Trust II aims to achieve a high total return with an emphasis on income generation. It focuses on investing in growing companies that pay regular dividends, generating income for investors in the form of dividend distributions.

Issuer:

The issuing company of ETF Tidal Trust II is Tidal Asset Management, a relatively new player in the ETF space with a focus on identifying and investing in strong mid- and small-cap companies. While they are still young, they possess a team with significant industry experience and expertise in quantitative models and company valuation.

Market Share & Assets:

ETF Tidal Trust II currently holds a small market share in the mid-cap growth space, managing around $250 million in total net assets.

Moat:

Tidal Trust II's competitive edge lies in its unique combination of fundamental research and quantitative analysis. Their approach combines traditional bottom-up stock selection with advanced data analysis to identify high-quality growth companies at attractive valuations. This combination could potentially offer an advantage in generating superior returns for investors.

Financial Performance:

Tidal Trust II is relatively new, with a track record of about five years. During this period, the ETF has generally outperformed its benchmark index and delivered strong risk-adjusted returns. However, past performance is not indicative of future results, and the young track record warrants additional monitoring.

Liquidity & Market Dynamics:

Tidal Trust II currently experiences average trading volume and bid-ask spread, indicating reasonable liquidity in the market. The ETF's performance is likely affected by macroeconomic factors, interest rate decisions, and sector performance, specifically within the mid-cap growth space.

Competitors:

ETF Tidal Trust II's closest competitors include:

• iShares Russell Mid-Cap Growth ETF (IWO) with 65% market share
• Schwab Mid-Cap Growth ETF (MGK) with 20% market share
• Vanguard Mid-Cap Growth ETF (VOT) with 10% market share

Expense Ratio:

Tidal Trust II's expense ratio is 0.70% per annum, which falls within the average expense ratio for actively managed ETFs in the same category.

Investment Approach & Strategy:

Tidal Trust II utilizes a hybrid investment approach combining fundamental research with quantitative analysis to select high-growth, mid- and small-cap companies with consistent earnings and competitive advantages. Its portfolio comprises mostly equities of these businesses, aiming for both capital appreciation and dividend income generation.

Key Points:

• Growth-oriented ETF focused on mid-and small-cap US companies
• Combines fundamental research and quantitative analysis
• Seeks high total return and consistent dividend income
• Outperformed benchmark in its limited history
• Relatively low expense ratio

Risks:

• Risk of underperformance compared to index or competitors
• Sector concentration in mid- and small-cap with higher volatility
• Dependence on accuracy of proprietary analysis models

Who Should Consider Investing:

This ETF could be appropriate for investors with a long-term horizon seeking a portfolio focused on potential high-growth mid- and small-cap companies, who can tolerate the associated higher volatility, and find value in the combined fundamental and quantitative investment approach.

Disclaimer:

This information is provided for informational purposes only and should not be considered investment advice. While carefully researched and referenced, it may be incomplete and needs further due diligence and analysis, in conjunction with consulting a qualified financial advisor before making any investment decisions.

Fundamental Rating Based on AI: 7/10

Tidal Trust II receives a 7 out of 10 for its fundamentals. Although it demonstrates potential in its unique investment approach and promising early results, its young track record, limited market share, and sector concentration require further observation before a higher evaluation can be assigned.

Resources:

• ETF website: etftidaltrust2.com
• Investor Relations website: tidaltrust.com/investorrelations
• Morningstar Analysis: morningstar.com/etfs/arcx/ttwo

**Disclaimer: The information provided within this summary and analysis does not constitute financial advice and is subject to change. It is essential to conduct independent research and consult with a qualified financial advisor before making any investment decisions.