Thornburg International Growth Fund ETF (TXUG)

Overview

The Thornburg International Growth Fund ETF (TGVF) seeks long-term growth of capital by investing in a diversified portfolio of international growth stocks, excluding the U.S. Its primary focus is on companies with strong growth potential and sound financials.

Reputation and Reliability

Thornburg Investment Management has a solid reputation built over several decades. However, the relative newness of their ETF offerings could lead to questions regarding long-term ETF management reliability.

Management Expertise

Thornburg's investment team has extensive experience in international growth investing, leveraging a fundamental research approach.

Goal

The primary investment goal of TGVF is to achieve long-term growth of capital.

Investment Approach and Strategy

Strategy: TGVF does not track a specific index. Instead, it employs an active management strategy, selecting stocks based on fundamental analysis and growth potential.

Composition TGVF primarily holds stocks of companies located outside the United States, with a focus on growth-oriented businesses across various sectors.

Market Share: TGVF's market share in the international growth ETF sector is relatively small compared to larger, more established funds.

Total Net Assets (AUM): 48410000

Key Competitors

• VEA
• IXUS
• ACWX
• SCHF

Competitive Landscape

The international growth ETF market is highly competitive with numerous well-established players. TGVF's active management approach differentiates it, but it faces the challenge of outperforming passive index-tracking funds. Its smaller AUM could impact liquidity and trading costs compared to competitors. However, if the active strategy proves successful, the potential for higher returns can be an advantage.

Historical Performance: Historical performance data is limited due to the ETF's recent inception. Data should be observed to have a clear understanding on the performance.

Benchmark Comparison: Comparing TGVFu2019s performance to a relevant international growth benchmark, like the MSCI EAFE Growth Index, is crucial to assess the effectiveness of its active management strategy.

Expense Ratio: 0.85

Average Trading Volume

The average trading volume of TGVF is moderate, which may impact the ease of executing large trades.

Bid-Ask Spread

The bid-ask spread of TGVF can vary depending on market conditions and trading volume; investors should monitor this cost before trading.

Market Environment Factors

Global economic growth, interest rate policies in developed markets, and geopolitical events significantly impact TGVF's holdings.

Growth Trajectory

TGVF's growth trajectory is dependent on its ability to attract assets and deliver competitive returns relative to its benchmark; changes to holdings will likely reflect Thornburg's evolving market outlook.

Competitive Edge

TGVF's competitive advantage lies in its active management approach and Thornburg's expertise in international growth investing. The fund's investment team aims to identify undervalued companies with strong growth potential, which could lead to outperformance compared to passive index funds. Thornburg's fundamental research-driven process and bottom-up stock selection methodology is a differentiating factor. The funds also aim to make sustainable investments.

Volatility

As an international growth fund, TGVF may exhibit higher volatility than broader market ETFs due to fluctuations in foreign markets and currencies.

Market Risk

Specific risks include currency risk, political risk in emerging markets, and sector-specific risks related to the fund's holdings.

Ideal Investor Profile

The ideal investor is one seeking long-term capital appreciation, comfortable with international equity risk, and believes in the potential of active management to generate alpha.

Market Risk

TGVF is best suited for long-term investors with a moderate to high risk tolerance and a desire for international growth exposure beyond the U.S. market.

Thornburg International Growth Fund ETF (TGVF) is an actively managed ETF focused on long-term capital appreciation through investment in international growth stocks. While its smaller AUM and higher expense ratio are disadvantages, its active strategy and Thornburg's expertise offer potential upside. Investors should consider their risk tolerance and investment horizon when evaluating TGVF. The ETF's performance needs to be monitored to gauge the efficiency of the fund's active management strategy, and determine if it is a good fit for investors.

Data Sources:

• Thornburg Investment Management Website
• ETF.com
• Morningstar
• Bloomberg

Disclaimers:

The data and analysis provided are for informational purposes only and should not be considered investment advice. Investment decisions should be made based on individual circumstances and consultation with a qualified financial advisor.