VICE: 4th Quarter 2025 Portfolio Review
Portfolio
In the fourth quarter of 2025, VICE returned -10.36% (NAV) and -10.57% (market), while trailing the S&P 500 Index’s +2.66% gain, as the broader market rotated away from consumer discretionary exposures and company-specific headwinds weighed on the portfolio.
Portfolio
VICE maintained an active management approach during the period, adjusting portfolio exposures to reflect evolving consumer preferences and broader macroeconomic shifts.
Portfolio activity included new allocations to:
- The Vita Coco Co Inc (COCO): +6,400 shares
- Alto Ingredients Inc (ALTO): +147,000 shares
Reentries into select holdings such as:
- MGP Ingredients Inc (MGPI): 13,500 shares
- Monster Beverage Corp (MNST): 5,000 shares
- Turning Point Brands Inc (TPB): 3,200 shares
- GDEV Inc (GDEV): +13,238 shares
The removal of positions in:
- BJ’s Restaurants Inc (BJRI)
- Celsius Holdings Inc (CELH)
- Electronic Arts Inc (EA)
- Genius Sports Ltd (GENI)
- Red Rock Resorts Inc (RRR)
- Light & Wonder Inc (LNW)
These portfolio changes reflect a conviction-driven strategy focused on long-term brand strength, innovation, and alignment with changing consumer behavior, while reducing exposure to companies facing more limited near-term catalysts. Overall, results highlight the varied risk-reward profiles across the VICE theme, where growth-oriented and innovation-driven exposures can help offset periods of weakness in more traditional consumer categories.
Winners and Losers
Several holdings contributed positively to performance during the period, supported by company-specific execution, resilient demand, and defensive positioning within select subsectors:
- Alto Ingredients Inc (ALTO): +17.55%
- British American Tobacco (BTI): +9.74%
- El Pollo Loco Holdings Inc (LOCO): +7.84%
Conversely, a number of holdings detracted from performance:
- SharpLink Gaming Inc (SBET): -47.44%
- Ferrari (RACE): -22.61%
- Gambling.com Group Ltd (GAMB): -33.25%
Top Holdings
| Ticker | Security Description | Portfolio Weight % |
| MNST | MONSTER BEVERAGE CORP | 5.66% |
| NVDA | NVIDIA CORP | 5.44% |
| BILI | BILIBILI INC-SPONSORED ADR | 5.08% |
| ALTO | ALTO INGREDIENTS INC | 4.95% |
| COCO | THE VITA COCO CO INC | 4.91% |
| PM | PHILIP MORRIS INTERNATIONAL | 4.84% |
| GLPI | GAMING AND LEISURE PROPERTIE | 4.83% |
| VICI | VICI PROPERTIES INC | 4.70% |
| BTI | BRITISH AMERICAN TOB-SP ADR | 4.68% |
| UVV | UNIVERSAL CORP/VA | 4.61% |
As of 12.31.2025. Cash is not included. Holdings are subject to change.
Please see our complete Fund holdings at advisorshares.com/etfs/vice. The holdings details are updated each market day.
Market Update
In the fourth quarter of 2025, vice-related equities displayed mixed resilience amid broader market volatility, supported by relatively steady demand across categories such as tobacco, beverages, gaming, and established leisure activities. Within this environment, certain segments, particularly tobacco, at times outperformed broader benchmarks, offering defensive characteristics and income support during periods of heightened uncertainty.
Entering 2026, the consumer discretionary and “vice” sectors are positioned for cautious optimism as broader beverage and leisure markets continue to evolve amid shifting preferences. Traditional alcohol consumption trends such as wine and spirits have shown volume pressure, prompting brands to innovate with ready-to-drink formats and value-oriented offerings to maintain engagement.1 At the same time, health-focused and “mindful drinking” behaviors are gaining traction, with non-alcoholic, low-alcohol, and functional beverages, including CBD-infused drinks, emerge as meaningful alternatives that appeal to wellness-oriented consumers. This shift reflects a broader moderation movement, as many consumers prioritize social experiences and beverage variety over alcohol intake.
Growth trends within the broader gaming and entertainment landscape are expected to influence segments represented in VICE. The global gambling and betting markets continue to expand, driven by rising online participation, mobile engagement, and the legalization of sports betting and iGaming platforms. The online gambling market is projected to grow to an estimated $101.45 billion in 2026, with a compound annual growth rate of more than 10% as digital channels and mobile access attract new participants.2 As consumer preferences continue to shift toward digital entertainment and interactive experiences, companies with strong digital platforms and diversified revenue streams may be better positioned to benefit from these structural tailwinds in 2026.
Sources:
1. The Daily Upside. Wilde, Jamie. Vice Stocks Enter ’26 With a Harsh Hangover. January 1st, 2026.
2. Mordor Intelligence. Online Gambling Market Size & Share Analysis – Growth Trends and Forecast (2026 – 2031). January 2nd, 2026.
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Cheers,Definitions:
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Before investing you should carefully consider the Fund’s investment objectives, risks, charges and expenses. This and other information is in the prospectus or summary prospectus, a copy of which may be obtained by visiting www.advisorshares.com. Please read the prospectus carefully before you invest. Foreside Fund Services, LLC, distributor.
Investing involves risks including possible loss of principal. Companies in the food, beverage and tobacco industry are very competitive and subject to a number of risks. Demographic and product trends, changing consumer preferences, nutritional and health-related concerns, competitive pricing, marketing campaigns, environmental factors, adverse changes in general economic conditions, government regulation, food inspection and processing control, consumer boycotts, risks of product tampering, product liability claims, and the availability and expense of liability insurance can affect the demand for, and success of, such companies’ products in the marketplace. For a full summary of the risks, please see the prospectus.
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.
The views in this commentary are those of the portfolio manager and may not reflect his views on the date this material is distributed or any time thereafter. These views are intended to assist shareholders in understanding their investments and do not constitute investment advice.