(FNG) NEW TECH AND MEDIA ETF
The industrial revolution ushered in a new age of economic growth and development. Historically, the advent of innovative ways to build and communicate have continued to drive the global economy forward. Breakthroughs from the invention of the light bulb, transportation advancements, assembly lines, the telephone, computer chips and the internet have accelerated the growth of new companies as the equity markets progress higher and higher. The AdvisorShares New Tech and Media ETF (Ticker: FNG) is an actively managed strategy designed to invest in the companies that are driving economic growth in the modern era, and can adapt to changing leadership by maintaining the ability to invest in the next generation of technology and media companies leading the equity markets.
FNG’s investment thesis believes that high-performing technology and media leaders, popularly characterized as “FANG,” will continue to provide superior long-term performance. These disruptive innovators have created, acquired and refined current business models more successfully than others in the technology and media industries, establishing them as leaders on the forward edge. The portfolio manager seeks to identify additional constituents with similar characteristics using technical analysis, sampling and broad-based fundamental reviews to enhance the exposure of the portfolio. This approach will be dynamic, enabling the portfolio management team to use a repeatable and scalable process that consistently seeks out the next industry leaders in technology and media as those faces change over time.
|Symbol||Exchange||Inception Date||CUSIP||Indicative Value||Options|
<strong>Why Invest in FNG?</strong>
- Current Day Market Leaders -The companies among the high-performing technology and media leadership advance commerce forward and can outperform broad market benchmarks. These equities are also consistently increasing their market cap within broad-based indexes due to superior fundamentals and company management. FNG’s portfolio management team believes these leadership qualities will be maintained as long-term drivers of equity markets.
- Ability to Diversify Among Tech & Media Leaders -The strong balance sheets and appetites for expansion that exist within the high-growth equity core creates a natural diversifying quality to the ETF’s portfolio. Notable company acquisitions by market leaders exemplify how owning outliers may return more than originally assumed. FNG seeks to fill the void for those investors that don’t want to rely on specific equity selection therefore minimizing company specific risk, but maintain an investment view on the overall technology, media and social media industries.
- Exposure to Future Tech & Media Leaders -Before the FANG acronym became apropos, there were the Four Horsemen (Microsoft, Intel, Dell and Cisco), and long prior to that came the Nifty Fifty. Inevitably, if history provides any guide, new companies will emerge to assume the role of market leaders. Whether that evolves in months, years or decades, the actively managed ETF’s investment process is designed to identify these new constituents and seeks to maintain their performance within the portfolio. The actively managed aspect of FNG allows for evolution and relevance, as opposed to the constraints and staleness that can follow index-based ETFs.
<strong>Where Can FNG Fit in a Traditional Portfolio?</strong>
FNG can provide a high-growth complement or satellite equity holding to a broadbased equity allocation, while mitigating specific company risk for investors seeking efficient exposure to the market leaders and disruptive innovators among technology and technology-related companies.
- Narrow & Concentrated Exposure -FNG’s portfolio management team seeks to provide a similar return stream to the performance of technology and media equity leaders as characterized by the FANG stocks acronym, representative of the first letters of Facebook, Amazon, Netflix and Google (now Alphabet), as well as Alibaba often providing an additional “A” to make the “FAANG” acronym.
- Actively Managed Access to Current & Future Leaders -The companies in FNG’s high-growth portfolio have demonstrated leadership in their respective industries. By investing in such disruptive innovators and similar-type companies, this portfolio maintains both a leadership and a leading-edge role.
- Adapts with Disruptive Innovators -FNG offers actively managed ETF access to this concentration of high-performing technology and media stocks allowing flexibility within its portfolio, unlike the restrictions of following an index.
- Economically Friendly Product -FNG delivers a more inclusive price point for investors seeking exposure to the this segment of the equity market along with added diversification benefits. An expensive entry for many of these equity behemoths can prevent investors from buying shares of the individual companies.
<strong>About Sabretooth Advisors, LLC.</strong>
Sabretooth Advisors is an RIA comprised of a seasoned group of ETF and Trading industry professionals with an average of 20 years of financial services experience. Sabretooth has an affiliation with three financial service firms (Precision Securities, 212 Capital Management and Street One Financial), which provides extended outreach to the capital markets and the investment community.
<strong>About the Portfolio Manager</strong>
Scott Freeze, Chief Investment Officer & Portfolio Manager
Mr. Freeze has been involved with ETFs since entering the financial services industry in the 1990s. Prior to joining the Sub-Advisor in 2017, he worked for The Vanguard Group as a Supervisor for Vanguard Brokerage Services before moving to Croix Securities in 2002 to develop an automated trading platform. Mr. Freeze worked at Knight Capital from 2003 to 2005 on the program/ETF desk and Miller Tanaka from 2005 to 2008. Mr. Freeze founded Street One Financial in September 2009 to service ETF users and traders.
As of 9/17/2019
|4PM Bid/Offer Midpoint||$10.82||Premium Discount||$-0.08|
|Assets Under Management||$10,899,229.85|
Shares are bought and sold at market price (closing price) not NAV and are not individually redeemed from the Fund. Market price returns are based on the midpoint of the bid/ask spread at 4:00 pm Eastern Time (when NAV is normally determined), and do not represent the return you would receive if you traded at other times. Holdings and allocations are subject to risks and to change. A holding identified with an “MM” at the end of its name indicates it is a Money Market fund.
As of 8/31/2019
|NAV||Market Price Return||S&P 500 Index|
|Since Inception (7/11/2017, Annualized)||-21.94||-22.29||11.36|
As of 6/30/2019
|NAV||Market Price Return||S&P 500 Index|
|Since Inception (7/11/2017, Annualized)||-20.11||-20.43||12.49|
Performance data quoted represents past performance and is no guarantee of future results. All Fund data and performance data quoted is believed to be accurate, and unless otherwise stated, is sourced from the Fund administrator, the Advisor’s or Sub-Advisor’s proprietary data, and Morningstar. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Returns less than one year are not annualized.
As of 9/17/2019
|Date||Account Symbol||Stock Ticker||Security Number||Security||Shares||Price||Market Value||Weight %||Asset Group|
|FNG||AMD||007903107||ADVANCED MICRO DEVICES||14,633.00||30.99||453,476.67||4.16%||S||1|
|FNG||PAYC||70432V102||PAYCOM SOFTWARE INC||2,000.00||215.47||430,940.00||3.95%||S||1|
|FNG||SHOP||82509L107||SHOPIFY INC - CLASS A||1,300.00||328.82||427,466.00||3.92%||FS||1|
|FNG||TWLO||90138F102||TWILIO INC - A||3,716.00||112.32||417,381.12||3.83%||S||1|
|FNG||AMRN||023111206||AMARIN CORP PLC -ADR||24,000.00||17.17||412,080.00||3.78%||FS||1|
|FNG||AYX||02156B103||ALTERYX INC - CLASS A||3,500.00||117.33||410,655.00||3.77%||S||1|
|FNG||TTD||88339J105||TRADE DESK INC/THE -CLASS A||1,902.00||213.25||405,601.50||3.72%||S||1|
|FNG||VIPS||92763W103||VIPSHOP HOLDINGS LTD - ADR||40,000.00||9.64||385,600.00||3.54%||FS||1|
|FNG||BIDU||056752108||BAIDU INC - SPON ADR||3,500.00||109.04||381,640.00||3.50%||FS||1|
|FNG||WDAY||98138H101||WORKDAY INC-CLASS A||2,100.00||175.07||367,647.00||3.37%||S||1|
|FNG||ANET||040413106||ARISTA NETWORKS INC||1,500.00||244.45||366,675.00||3.36%||S||1|
|FNG||NEWR||64829B100||NEW RELIC INC||6,000.00||60.18||361,080.00||3.31%||S||1|
|FNG||FB||30303M102||FACEBOOK INC-CLASS A||1,904.00||188.08||358,104.32||3.29%||S||1|
|FNG||GOOG||02079K107||ALPHABET INC-CL C||286.00||1,229.15||351,536.90||3.23%||S||1|
|FNG||VMW||928563402||VMWARE INC-CLASS A||2,000.00||153.79||307,580.00||2.82%||S||1|
|FNG||X9USDDGCM||DREYFUS GOVT CASH MAN INS||607,899.21||1||607,899.21||5.58%||MM||0|
As of 08/31/2019
FNG Market Cap
FNG Sector Allocation
FNG Domestic vs International
Fees & Expenses
|Acquired Fund Fees||0.01%|
|Gross Expenses Ratio||1.01%|
|Fee Waiver and/or Expense Reimbursement||-0.15%|
|Net Expense Ratio||1.86%|
*The Advisor has contractually agreed to reduce its fees and/or reimburse expenses to keep net expenses from exceeding 0.85% of the Fund’s average daily net assets for at least one year from the date of the Prospectus.
|Ex-Date||Record Date||Pay Date||Cash Div||ST Cap Gain||LT Cap Gain||Return of Capital||Total Distribution (per share)||FNG|