Cambria Tax Aware ETF (TAX)

Overview

Cambria Tax Aware ETF seeks long-term capital appreciation by investing in a diversified portfolio of U.S. equities, employing strategies to minimize taxes. It focuses on asset location to optimize after-tax returns.

Reputation and Reliability

Cambria is known for its innovative, rules-based ETFs and active ETF management. They have a solid track record and are considered reputable.

Management Expertise

Cambria Investment Management has a team with expertise in quantitative investing and tax-efficient strategies.

Goal

To provide long-term capital appreciation while minimizing taxes.

Investment Approach and Strategy

Strategy: Actively managed, focusing on asset location and tax-loss harvesting to improve after-tax returns.

Composition Primarily holds U.S. equities across various market caps and sectors.

Market Share: The ETF's market share is relatively small compared to larger, more established broad market ETFs.

Total Net Assets (AUM): 33663390

Key Competitors

• VTI
• SCHB
• ITOT
• IVV

Competitive Landscape

The ETF market is highly competitive, dominated by low-cost, passively managed index funds. Cambria Tax Aware ETF differentiates itself through its active tax management, which aims to provide higher after-tax returns. However, this active management can result in higher expenses compared to passive alternatives. Investors must weigh the potential tax benefits against the higher cost.

Historical Performance: Data unavailable for direct inclusion. (Please refer to financial resources for performance data.)

Benchmark Comparison: Data unavailable for direct inclusion. (Please refer to financial resources for benchmark comparisons.)

Expense Ratio: 0.29

Average Trading Volume

The average trading volume is moderate, which can impact execution costs for large orders.

Bid-Ask Spread

The bid-ask spread is generally competitive, but may widen during periods of market volatility or lower trading volume.

Market Environment Factors

Economic growth, interest rates, and tax policy changes all impact Cambria Tax Aware ETF. Market volatility also affects the investment choices and tax-loss harvesting opportunities.

Growth Trajectory

The fund's growth depends on its ability to attract investors seeking tax-efficient solutions and demonstrate superior after-tax performance compared to benchmark.

Competitive Edge

Cambria Tax Aware ETF's competitive advantage lies in its focus on tax-efficient investing through active management. The fund's ability to actively manage tax implications while generating competitive returns makes it appealing to investors seeking to minimize their tax burden. Its strategy is to generate after-tax returns that is higher than those funds which do not actively manage tax implications. This targeted approach differentiates it from passive, broad-market ETFs. This may not matter for investors who use the ETF in their tax advantaged accounts.

Volatility

The fund's volatility is generally similar to that of the broader U.S. equity market.

Market Risk

The fund is subject to market risk, meaning that the value of its holdings can decline due to overall market conditions or specific company events. It is also susceptible to tax-policy risks as changes in tax law could affect the fund's strategy.

Ideal Investor Profile

The ideal investor is a high-net-worth individual or taxable account investor who is concerned about the tax implications of their investments and seeks to minimize their tax liability.

Market Risk

Best suited for long-term investors who are willing to pay a slightly higher expense ratio for potential tax benefits.

Cambria Tax Aware ETF is an actively managed ETF that seeks to provide long-term capital appreciation while minimizing taxes. It uses a tax-aware investment approach and asset location strategy for investors who are concerned about the tax implications of their investments. The ETF is suitable for investors looking for tax-efficient strategies and are willing to pay a higher expense ratio for the tax benefits. However, the fund's performance will depend on the success of its active management in generating competitive after-tax returns. The ETF faces competition from other broad market funds and its market share is limited as a result of the specialized offering and higher cost.

Data Sources:

• Cambria Investment Management Website
• ETF.com
• Morningstar
• SEC Filings

Disclaimers:

The data provided is for informational purposes only and does not constitute investment advice. Past performance is not indicative of future results. Investment decisions should be made in consultation with a qualified financial advisor.