Neuberger Berman Next Generation Connected Consumer ETF (NBCC)

Overview

The Neuberger Berman Next Generation Connected Consumer ETF (NBCC) focuses on companies expected to benefit from the growth of the connected consumer, including those involved in e-commerce, digital media, and related technologies. It aims to capitalize on the evolving consumer landscape driven by technology and connectivity. The ETF primarily invests in equity securities.

Reputation and Reliability

Neuberger Berman is a well-established asset management firm with a long history and solid reputation in the investment industry.

Management Expertise

Neuberger Berman has experienced investment professionals managing its ETFs, demonstrating expertise in equity investing and thematic strategies.

Goal

To provide investment results that closely correspond, before fees and expenses, to the performance of the LibertyQ U.S. Next Generation Connected Consumer Index.

Investment Approach and Strategy

Strategy: The ETF aims to track the LibertyQ U.S. Next Generation Connected Consumer Index, which is designed to select stocks of U.S. companies that are well-positioned to benefit from the next generation connected consumer.

Composition The ETF primarily holds equity securities of companies involved in areas like e-commerce, social media, digital advertising, and connected devices.

Market Share: NBCC holds a small market share within the broader consumer discretionary and technology ETF space.

Total Net Assets (AUM): 42300000

Key Competitors

• Amplify Online Retail ETF (IBUY)
• ProShares Online Retail ETF (ONLN)
• Global X E-commerce ETF (EBIZ)

Competitive Landscape

The competitive landscape is moderately fragmented, with several ETFs vying for investor capital in the consumer and technology sectors. NBCC's advantage lies in its specific focus on the connected consumer theme, while its disadvantage is a relatively lower AUM and brand recognition compared to larger, more established competitors.

Historical Performance: Historical performance data should be obtained from reliable financial data providers and presented for various time periods (e.g., 1-year, 3-year, 5-year, 10-year, since inception).

Benchmark Comparison: The ETF's performance should be compared to the LibertyQ U.S. Next Generation Connected Consumer Index to assess its tracking efficiency.

Expense Ratio: 0.55

Average Trading Volume

The ETF's average trading volume is moderate, indicating acceptable liquidity for most investors.

Bid-Ask Spread

The bid-ask spread is generally tight, implying relatively low transaction costs for trading this ETF.

Market Environment Factors

Economic growth, consumer spending trends, technological advancements, and regulatory changes affecting the e-commerce and digital media sectors can impact the ETF's performance.

Growth Trajectory

The ETF's growth trajectory is linked to the increasing adoption of digital technologies and the expansion of the connected consumer market. Changes to its strategy may involve adjustments to its sector allocations or index tracking methodology.

Competitive Edge

NBCC's competitive edge stems from its specific thematic focus on companies benefiting from the connected consumer trend. This niche focus allows investors to target a specific segment of the market. Neuberger Berman's expertise in thematic investing and its established brand further support the ETF. However, its relatively small AUM could be considered a disadvantage against larger competitors with greater liquidity and marketing resources.

Volatility

The ETF's volatility is moderate, reflecting the inherent volatility of the technology and consumer discretionary sectors.

Market Risk

The ETF is exposed to market risk, particularly related to changes in consumer spending, technological disruptions, and regulatory risks affecting the underlying companies.

Ideal Investor Profile

The ideal investor is one who seeks exposure to the growth potential of the connected consumer market and is comfortable with moderate volatility.

Market Risk

The ETF is suitable for long-term investors who believe in the growth of the digital economy and connected consumer trends. It may also appeal to active traders seeking exposure to specific sectors.

The Neuberger Berman Next Generation Connected Consumer ETF (NBCC) provides targeted exposure to companies benefiting from the increasing connectivity of consumers. While it offers a focused investment strategy, its market share is relatively small compared to larger competitors. Investors should consider its moderate volatility and thematic approach when evaluating its suitability for their portfolios. The ETF's success is tied to the continued growth and evolution of the connected consumer market.

Data Sources:

• Neuberger Berman
• ETF.com
• Morningstar

Disclaimers:

This analysis is based on available information and should not be considered investment advice. Investors should conduct their own research before making investment decisions.