GraniteShares ETF Trust - GraniteShares Nasdaq Select Disruptors ETF (DRUP)

Overview

The GraniteShares Nasdaq Select Disruptors ETF (DRUP) seeks to provide investment results that closely correspond to the performance of the Nasdaq Select Disruptors Index. It invests in companies expected to disrupt traditional industries through innovation and technology. The fund focuses on identifying and investing in businesses with high growth potential and innovative business models.

Reputation and Reliability

GraniteShares is a relatively newer ETF issuer, but is known for its innovative and targeted ETF offerings. While not as established as larger firms, they are known for well-designed products.

Management Expertise

The management team has experience in investment management and ETF structuring, demonstrating competence in managing specialized ETFs.

Goal

To provide investment results that closely correspond, before fees and expenses, to the performance of the Nasdaq Select Disruptors Index.

Investment Approach and Strategy

Strategy: The ETF tracks the Nasdaq Select Disruptors Index, which selects companies based on their likelihood to disrupt traditional industries.

Composition The ETF primarily holds stocks of companies identified as disruptors, across various sectors but with a focus on technology, healthcare, and consumer discretionary.

Market Share: DRUP's market share within the disruptive technology ETF sector is relatively small, reflecting its niche focus and competition from larger, more established funds.

Total Net Assets (AUM): 19328817

Key Competitors

• ARK Innovation ETF (ARKK)
• Global X Disruptive Technology ETF (CLOU)
• First Trust Cloud Computing ETF (SKYY)

Competitive Landscape

The disruptive technology ETF space is highly competitive, dominated by larger funds with significant AUM. DRUP differentiates itself with its specific index and selection methodology. ARKK has a first-mover advantage and a large following, but DRUP may offer a more targeted approach for investors seeking specific disruptors. CLOU and SKYY focus specifically on cloud computing, a subset of disruptive technology.

Historical Performance: Historical performance data is needed here and will vary. Please consult financial resources for accurate information.

Benchmark Comparison: Benchmark comparison is needed here and will vary. Please consult financial resources for accurate information.

Expense Ratio: 0.58

Average Trading Volume

The average trading volume of DRUP is relatively low, which may result in wider bid-ask spreads.

Bid-Ask Spread

The bid-ask spread for DRUP can be wider than more liquid ETFs, especially during off-peak trading hours.

Market Environment Factors

Economic growth, interest rates, and investor sentiment towards technology and innovation influence DRUP's performance. The ETF is also affected by sector-specific developments within the industries its holdings operate.

Growth Trajectory

Growth trends depend on the successful adoption of disruptive technologies and the performance of the underlying companies. Changes to the index methodology or portfolio holdings can impact the ETF's future performance.

Competitive Edge

DRUP's competitive advantage lies in its focused approach on selecting companies poised to disrupt traditional industries, using a specific methodology for identifying disruptors. This targeted approach allows investors to gain exposure to a specific segment of the market. However, its smaller AUM and lower liquidity may pose challenges compared to larger, more established competitors. The selection methodology offers a way to capture innovative companies within a sector experiencing rapid growth.

Volatility

DRUP is likely to exhibit higher volatility due to its focus on high-growth, disruptive companies.

Market Risk

The ETF is exposed to market risk, sector-specific risk (technology, healthcare), and the risk that the selected companies may not successfully disrupt their respective industries.

Ideal Investor Profile

DRUP is suited for investors with a high-risk tolerance who are seeking exposure to disruptive technologies and are willing to accept higher volatility for potential long-term growth.

Market Risk

DRUP is better suited for long-term investors or active traders seeking thematic exposure, rather than passive index followers.

The GraniteShares Nasdaq Select Disruptors ETF (DRUP) offers a targeted approach to investing in companies poised to disrupt traditional industries. It's index based methodology provides exposure to a specific segment within a fast-changing sector. While potentially offering high growth, DRUP is also subject to market and sector volatility. Investors should carefully consider their risk tolerance and investment horizon before investing in DRUP, especially in light of its relatively small AUM and the existence of well-established competitors.

Data Sources:

• GraniteShares ETF Trust
• Nasdaq
• Various Financial News and Data Providers

Disclaimers:

The information provided is for informational purposes only and should not be considered investment advice. Investment decisions should be based on individual circumstances and consultation with a qualified financial advisor. Past performance is not indicative of future results.