SP Funds S&P Global REIT Sharia ETF (SPRE)

Overview

The SP Funds S&P Global REIT Sharia ETF (SPRE) aims to provide investment results that correspond generally to the total return performance of the S&P Global REIT Sharia Index. It focuses on global real estate investment trusts (REITs) that comply with Sharia investment principles, offering exposure to a specific segment of the real estate market.

Reputation and Reliability

SP Funds is a smaller ETF issuer focusing on Sharia-compliant investments. Their reputation is growing, though their track record is still relatively short compared to larger ETF providers.

Management Expertise

The management team has experience in Sharia-compliant investments and ETF management. Details about specific team members' experience may require further research.

Goal

The primary investment goal is to replicate the performance of the S&P Global REIT Sharia Index.

Investment Approach and Strategy

Strategy: The ETF tracks a specific index: the S&P Global REIT Sharia Index.

Composition The ETF holds stocks of publicly traded REITs that adhere to Sharia investment guidelines, primarily focusing on real estate sectors like residential, commercial, and industrial properties.

Market Share: Limited data available on precise market share within the Sharia-compliant global REIT ETF space, suggesting a smaller market share.

Total Net Assets (AUM): 12174466

Key Competitors

• WAHG (Wahed FTSE USA Shariah ETF)
• SPUS (SP Funds S&P 500 Sharia ETF)
• HLAL (Wahed Dow Jones Islamic World ETF)

Competitive Landscape

The Sharia-compliant ETF market is still developing. SPRE's advantage is its specific focus on global REITs, providing targeted exposure. Competitors like WAHG and SPUS offer broader Sharia-compliant exposure to US equities, but do not specifically focus on REITs. A disadvantage is its smaller size and AUM compared to the more popular SPUS and WAHG, potentially leading to wider bid-ask spreads.

Historical Performance: Historical performance data should be obtained from financial data providers for specific time periods to assess the ETF's track record.

Benchmark Comparison: The ETF's performance should be compared against the S&P Global REIT Sharia Index to evaluate tracking effectiveness. Data needs to be obtained from financial sources.

Expense Ratio: 0.69

Average Trading Volume

The ETF's average trading volume can be assessed using financial data providers to indicate how easily shares can be bought and sold.

Bid-Ask Spread

The bid-ask spread varies depending on market conditions and should be checked regularly to understand trading costs.

Market Environment Factors

Economic indicators like interest rates, inflation, and global real estate market conditions, along with specific Sharia investment principles, influence the ETF.

Growth Trajectory

The growth trajectory depends on the expansion of the Sharia-compliant investment market and the performance of global REITs, as well as any changes to holdings.

Competitive Edge

SPRE's competitive advantage lies in its unique focus on global REITs screened for Sharia compliance. This niche targeting caters to investors specifically seeking ethical and religious alignment. This provides a focused real estate allocation within a Sharia framework. As the demand for Sharia-compliant investment options increases, SPRE is positioned to appeal to investors looking for a specialized solution.

Volatility

The ETF's volatility is influenced by the volatility of the underlying REITs and global economic conditions.

Market Risk

Risks include fluctuations in the real estate market, currency risk (due to global exposure), and changes in Sharia compliance standards.

Ideal Investor Profile

The ideal investor is someone who seeks Sharia-compliant investments, wants exposure to the global real estate market, and understands the risks associated with REITs.

Market Risk

SPRE is suitable for long-term investors seeking diversification with a Sharia-compliant mandate within their portfolios, and who have a moderate to high risk tolerance.

SP Funds S&P Global REIT Sharia ETF (SPRE) offers targeted exposure to global REITs adhering to Sharia investment principles, making it a niche product suitable for investors seeking ethical and religious alignment. The ETF tracks the S&P Global REIT Sharia Index and provides diversification within the real estate sector. While SPRE's AUM and market share are relatively small compared to broader Sharia-compliant ETFs, its focused approach can be appealing. Investors should consider the ETF's expense ratio, liquidity, and risks associated with REITs and global markets before investing.

Data Sources:

• SP Funds website
• ETF.com
• Morningstar
• Yahoo Finance

Disclaimers:

The data and analysis provided are for informational purposes only and should not be considered investment advice. Investment decisions should be based on thorough research and consultation with a qualified financial advisor. Market data is subject to change.