We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
The investing world has been witnessing tectonic shifts lately with improving global economic fundamentals. Investors’ sentiment is now not the same as it was just after the financial meltdown in 2008.
The scenario has also been changing in the ETF corner. Issuers are turning more innovative and intend to come up with products that are more dynamic and suit the current improving-but-volatile market conditions.
Earlier, the area used to be dominated by passively managed or index-tracking funds. Their low cost and transparent structure have made them highly coveted. On the other hand, active funds are arguably expensive as these involve research expenses associated with the manager’s due diligence and additional cost in the form of a wide bid/ask spread beyond the expense ratio.
Still, there has been a surge of actively managed ETFs lately. Active ETFs have experienced significant growth in recent years, consistently attracting a minimum of $25 billion in assets annually since 2018, with an impressive organic growth rate exceeding 30% each year, per Morningstar.
As of the end of October 2023, their total assets under management stood at $444 billion, nearly three times the amount recorded in October 2020. Below we highlight some top-performing active ETFs of 2023 that breezed past the S&P 500 (as of Dec 22, 2023).
The Valkyrie Bitcoin Miners ETF is an actively-managed exchange-traded fund that will invest at least 80% of its net assets in securities of companies that derive at least 50% of their revenue or profits from bitcoin mining operations and from providing specialized chips, hardware and software or other services to companies engaged in bitcoin mining. The fund charges 75 bps in fees.
Internet
ARK Next Generation Internet ETF (ARKW - Free Report) ) – Up 96.7%
The ARK Next Generation Internet ETF is an actively managed ETF that seeks long-term growth of capital by investing under normal circumstances primarily in domestic and U.S. exchange traded foreign equity securities of companies that are relevant to the theme of next generation internet. The fund charges 88 bps in fees.
The ARK Fintech Innovation ETF is actively managed and seeks long-term growth of capital. ARKF is an actively managed ETF that seeks long-term growth of capital. It seeks to achieve this investment objective by investing under normal circumstances primarily (at least 80% of its assets) in domestic and foreign equity securities of companies that are engaged in the Fund’s investment theme of financial technology (“Fintech”) innovation. The fund charges 75 bps in fees.
The Spear Alpha ETF invests in companies that are poised to benefit from breakthrough trends in industrial technology including enterprise digitalization, automation & robotics, AI, environmental focus and decarbonization, photonics and additive manufacturing and space exploration. The fund charges 75 bps in fees.
Consumer Discretionary
Simplify Volt RoboCar Disruption and Tech ETF (VCAR - Free Report) – Up 61.0%
The Simplify Volt RoboCar Disruption and Tech ETF seeks to concentrate in those few disruptive companies poised to dominate autonomous driving and then enhance the concentrated exposures with options. The fund charges 95 bps in fees.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
5 Top Active ETFs of 2023
The investing world has been witnessing tectonic shifts lately with improving global economic fundamentals. Investors’ sentiment is now not the same as it was just after the financial meltdown in 2008.
The scenario has also been changing in the ETF corner. Issuers are turning more innovative and intend to come up with products that are more dynamic and suit the current improving-but-volatile market conditions.
Earlier, the area used to be dominated by passively managed or index-tracking funds. Their low cost and transparent structure have made them highly coveted. On the other hand, active funds are arguably expensive as these involve research expenses associated with the manager’s due diligence and additional cost in the form of a wide bid/ask spread beyond the expense ratio.
Still, there has been a surge of actively managed ETFs lately. Active ETFs have experienced significant growth in recent years, consistently attracting a minimum of $25 billion in assets annually since 2018, with an impressive organic growth rate exceeding 30% each year, per Morningstar.
As of the end of October 2023, their total assets under management stood at $444 billion, nearly three times the amount recorded in October 2020. Below we highlight some top-performing active ETFs of 2023 that breezed past the S&P 500 (as of Dec 22, 2023).
ETFs in Focus
Bitcoin Miner
Valkyrie Bitcoin Miners ETF (WGMI - Free Report) ) – Up 297.8%
The Valkyrie Bitcoin Miners ETF is an actively-managed exchange-traded fund that will invest at least 80% of its net assets in securities of companies that derive at least 50% of their revenue or profits from bitcoin mining operations and from providing specialized chips, hardware and software or other services to companies engaged in bitcoin mining. The fund charges 75 bps in fees.
Internet
ARK Next Generation Internet ETF (ARKW - Free Report) ) – Up 96.7%
The ARK Next Generation Internet ETF is an actively managed ETF that seeks long-term growth of capital by investing under normal circumstances primarily in domestic and U.S. exchange traded foreign equity securities of companies that are relevant to the theme of next generation internet. The fund charges 88 bps in fees.
Fintech
ARK Fintech Innovation ETF (ARKF - Free Report) ) – Up 91.8%
The ARK Fintech Innovation ETF is actively managed and seeks long-term growth of capital. ARKF is an actively managed ETF that seeks long-term growth of capital. It seeks to achieve this investment objective by investing under normal circumstances primarily (at least 80% of its assets) in domestic and foreign equity securities of companies that are engaged in the Fund’s investment theme of financial technology (“Fintech”) innovation. The fund charges 75 bps in fees.
All-Cap Growth
Spear Alpha ETF (SPRX - Free Report) – Up 86.8%
The Spear Alpha ETF invests in companies that are poised to benefit from breakthrough trends in industrial technology including enterprise digitalization, automation & robotics, AI, environmental focus and decarbonization, photonics and additive manufacturing and space exploration. The fund charges 75 bps in fees.
Consumer Discretionary
Simplify Volt RoboCar Disruption and Tech ETF (VCAR - Free Report) – Up 61.0%
The Simplify Volt RoboCar Disruption and Tech ETF seeks to concentrate in those few disruptive companies poised to dominate autonomous driving and then enhance the concentrated exposures with options. The fund charges 95 bps in fees.