Breaking News
0
Ad-Free Version. Upgrade your Investing.com experience. Save up to 40% More details

3 New Themed ETFs Offering Capital Growth

By Investing.com (Tezcan Gecgil/Investing.com )ETFsJul 30, 2021 02:57AM ET
www.investing.com/analysis/3-new-themed-etfs-offering-capital-growth-200594611
3 New Themed ETFs Offering Capital Growth
By Investing.com (Tezcan Gecgil/Investing.com )   |  Jul 30, 2021 02:57AM ET
Saved. See Saved Items.
This article has already been saved in your Saved Items
 

Fund issuers are increasingly launching new thematic exchange-traded funds (ETFs) that might provide access to sectors, asset classes or investing styles. Today, we introduce three such ETFs that were all introduced this month by The Cabana Group.

The main objective of these funds, called the “Target Leading Sector ETFs,” is capital growth. Fund managers first identify the economic cycle. Then, they select the holdings through the so-called “Cyclical Asset Reallocation Algorithm (CARA),” a proprietary tool owned by The Cabana Group.

All three of these funds invest in other ETFs. Although such an approach means instant diversification, it also leads to higher annual expenses, of which investors might want to keep track. Since each of these three funds has a different risk/return profile, each could appeal to a range of readers.

1. Cabana Target Leading Sector Conservative ETF

  • Current Price: $25.27
  • 52-Week Range: $24.65 - $26.21
  • Expense Ratio: 0.90% per year

The Cabana Target Leading Sector Conservative ETF (NYSE:CLSC) is the conservative fund in the series.

CLSC Weekly
CLSC Weekly

CLSC currently has nine ETF holdings. But the top five ETFs account for almost 90% of all holdings in the fund. Here are the leading fund ETFs:

  • Vanguard Communication Services Index Fund ETF Shares (NYSE:VOX) – 25.76% of the fund;
  • Invesco QQQ Trust (NASDAQ:QQQ) – 24.13% of the fund;
  • Vanguard Long-Term Bond Index Fund ETF Shares (NYSE:BLV) – 19.99% of the fund;
  • WisdomTree Bloomberg U.S. Dollar Bullish Fund (NYSE:USDU) – 12.01% of the fund;
  • Vanguard Health Care Index Fund ETF Shares (NYSE:VHT) – 8.02% of the fund.

Since inception on July 13, CLSC is up about 4%.

2. Cabana Target Leading Sector Moderate ETF

  • Current Price: $25.28
  • 52-Week Range: $23.99 - $25.44
  • Expense Ratio: 0.90% per year

As the name implies, the Cabana Target Leading Sector Moderate ETF (NYSE:CLSM) is the moderately risky fund out of the three ETFs in the series. It currently has around $215 million in assets.

CLSM Weekly
CLSM Weekly

CLSM has four holdings. The Invesco QQQ Trust (NASDAQ:QQQ) holds the biggest slice with 36.15%. Next in line are the Vanguard Consumer Discretionary Index Fund ETF Shares (NYSE:VCR), with 27.80%; the Vanguard S&P 500 ETF (NYSE:VOO), with 26.02%; and the Vanguard Long-Term Bond Index Fund ETF Shares (NYSE:BLV), with 9.97%.

Since inception in July, the fund is relatively flat, up about only 0.3%.

3. Cabana Target Leading Sector Aggressive ETF

  • Current Price: $25.23
  • 52-Week Range: $23.99 - $25.44
  • Expense Ratio: 0.90% per year

The most aggressive fund in the new series and, hence the riskiest of the three funds, is the Cabana Target Leading Sector Aggressive ETF (NYSE:CLSA). It has about $149 million in assets.

CLSA Weekly
CLSA Weekly

CLSA has only three holdings. The Vanguard Consumer Discretionary Index Fund ETF Shares (NYSE:VCR) holds the highest proportion of the holdings with 49.72%, followed by the Invesco QQQ Trust (NASDAQ:QQQ) and the Vanguard Communication Services Index Fund ETF Shares (NYSE:VOX), with 36.31% and 13.89% respectively.

During July, CLSA returned about 0.2%.

Bottom Line

Regular readers of this column will know that we encourage ETF (or equity) investors to conduct due diligence and also "invest with conviction.” In other words, it is important to understand what one buys and also to invest for the long run in robust names that will stand well during volatile times.

All three ETFs featured today invest in other funds that most investors could also buy individually. As the holdings of each of the three funds show, fund managers change the risk/return profile of the fund mainly by giving different weighting to various funds.

Therefore, the diversified approach offered by these ETFs could appeal to those who do not have much time or prior knowledge about these other funds. Thus, the three funds from Cabana could be worth keeping on your radar as the year progresses.

3 New Themed ETFs Offering Capital Growth
 

Related Articles

BlackBull Markets
Yellow Card For Sports ETF By BlackBull Markets - Sep 01, 2021

Cristiano Ronaldo announced that he would be leaving Juventus Football Club (MI:JUVE) and returning to play for the club where he started his professional career, Manchester United...

Damian Rodgers
A Gold ETF That Pays You Monthly By Damian Rodgers - Jul 29, 2021

There is a problem with gold ETFs like GLD (NYSE:GLD), iShares Gold Trust (NYSE:IAU), and GraniteShares Gold Trust (NYSE:BAR). They don’t pay any yield at all to investors. Gold...

3 New Themed ETFs Offering Capital Growth

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with other users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind:  

  •            Enrich the conversation, don’t trash it.

  •           Stay focused and on track. Only post material that’s relevant to the topic being discussed. 

  •           Be respectful. Even negative opinions can be framed positively and diplomatically. Avoid profanity, slander or personal attacks directed at an author or another user. Racism, sexism and other forms of discrimination will not be tolerated.

  • Use standard writing style. Include punctuation and upper and lower cases. Comments that are written in all caps and contain excessive use of symbols will be removed.
  • NOTE: Spam and/or promotional messages and comments containing links will be removed. Phone numbers, email addresses, links to personal or business websites, Skype/Telegram/WhatsApp etc. addresses (including links to groups) will also be removed; self-promotional material or business-related solicitations or PR (ie, contact me for signals/advice etc.), and/or any other comment that contains personal contact specifcs or advertising will be removed as well. In addition, any of the above-mentioned violations may result in suspension of your account.
  • Doxxing. We do not allow any sharing of private or personal contact or other information about any individual or organization. This will result in immediate suspension of the commentor and his or her account.
  • Don’t monopolize the conversation. We appreciate passion and conviction, but we also strongly believe in giving everyone a chance to air their point of view. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
Comments (5)
Andreas Himmel
Andreas Himmel Jul 30, 2021 12:40PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
too expensive!
Ibeyaima Brahmacharimayum
Ibeyaima Brahmacharimayum Jul 30, 2021 12:12PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
thanks
chinagolueloke eloke
chinagolueloke eloke Jul 30, 2021 12:05PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
thanks so much
Wankel YU
Wankel YU Jul 30, 2021 12:03PM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
bubble creator, ETF
Saw Ngwe Thein
Saw Ngwe Thein Jul 30, 2021 3:51AM ET
Saved. See Saved Items.
This comment has already been saved in your Saved Items
thank you
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
Continue with Google
or
Sign up with Email