9 ETF Charts I Thought You’d Like This Week - (Week #12)
Listings, India, IPOs, and an interesting "Police ETF" idea.
ETF Listings Overview
NYSE is the dominant “Home of ETFs” with over 60% of US-domiciled ETFs listed there.
Sector ETFs Overview
Information Technology ETFs continue to be in a league of their own with over 10% returns and over $8 billion in net inflows year-to-date. Utilities continue to be the least popular with over $2 billion in net outflows.
Actively Collecting Money
Active ETFs in the U.S. have reached $600 billion in total assets under management and have gathered $50 billion in net inflows year-to-date.
We take a look at the most popular active equity ETFs so far this year.
Grayscale Bleeding Out
Investors have been withdrawing funds from Grayscale‘s Bitcoin ETF since it transitioned to an ETF on Jan. 10, totaling over $12 billion in outflows by Thursday. Despite the rise in Bitcoin's price, the ETF's assets dropped to $23 billion, while new Bitcoin ETFs gained traction.
Grayscale anticipates further outflows due to profit-taking and creditor repayments. CEO Michael Sonnenshein mentioned plans to reduce fees gradually from the current 1.5%.
DisembARKing
Despite the rebound in performance over the past year, issuer ARK Invest has failed to attract new money into their famous ARK equity ETFs suite.
India Long-Term Bet
From economic development to space breakthroughs, India has a promising future ahead. Recognizing this potential, U.S. investors have been investing in the world's fifth-largest economy through India ETFs.
Revisiting the “IPO” ETF after Reddit’s debut
Reddit, one of the original social media companies, finally made its debut on the New York Stock Exchange this week— more than a decade after many of its peers. Shares closed 48% above their IPO price, ranking the IPO as the fourth-best performer of the year.
Best IPOs of 2024
Closing price on IPO date vs. IPO price
SolarMax Technology, Inc.: 100%
CG Oncology, Inc.: +96%
Astera Labs, Inc: 72%
Reddit, Inc.: 48%
Kyverna Therapeutics: 36%
About the IPO ETF
This recent IPO has spotlighted the sole ETF offering exposure to the largest US-listed newly public companies — the Renaissance IPO ETF ($IPO) The fund follows the Renaissance IPO Index, which recently underwent its quarterly revisions, with new additions and deletions. Investors seeking exposure to Reddit may need to wait until it's incorporated into the index mix.
Reviewing $IPO's recent performance, it has outperformed the SPY over the past year (50% vs 33%). However, since its inception, the fund has underperformed the SPY (103% vs 203%).
ETF Idea: Police & Public Safety
I used to think there was an ETF for pretty much everything, but then I found this really interesting index.
It was put together by Michael Hardimman and calculated by the folks over at Index One. And guess what? It's been doing better than the S&P 500 for the last five years. So, what exactly is this index all about?
The index is called the Police & Public Safety Index. It seeks to track pure-play and quasi-play companies operating in the police, public safety, and first responder space.
The methodology identifies ‘pure-play’ firms, defined as those deriving more than 50% of their revenue from the relevant industries, as well as ‘quasi-play’ firms which derive between 20% and 50% of their revenue from the police and public safety industries.
On their top 10 list, they've got companies like Byrna Technologies, Everbridge, Palantir Technologies, and a bunch of others that are really into making stuff for public safety and security.
About Index One: Index One is the trading name of Index One Limited. Index One offers indexing solutions for a variety of financial and non-financial use cases. Index One is the administrator, calculation agent, and primary disseminator of the index.
Double Booking for a Trip to the Moon
Traders have been rushing to gain 2x leveraged exposure to Nvidia to capitalize on the company's shares' meteoric rise.
Disclaimer
This newsletter is for informational purposes only and is not financial advice. We do not guarantee the accuracy of the information or calculations provided. It is essential to consult a qualified financial advisor before making any investment decisions. We are not responsible for any errors or omissions in the data. Investing in ETFs or any financial instrument involves risk, and you should conduct your own research. Past performance does not guarantee future results. By using this newsletter, you agree to these terms and conditions.