There is a small group of ETFs that have recently caught our attention, despite the turbulent market moments. While these funds may not have gained significant recognition among a broad base of investors, they have managed to accumulate tens of millions of dollars in assets despite the challenges.
### Actively Managed Growth Fund Outperforms S&P 500 in Volatile Market
Indexperts, a smaller ETF provider, has recently launched three actively managed funds with diverse approaches. The first, the Indexperts Gorilla Aggressive Growth ETF (NYSE: ), focuses on growth stocks with high trading volumes and exceptional growth metrics. About a third of the portfolio is comprised of large-cap stocks, alongside smaller companies like Deckers Outdoor (NYSE: ) and Microsoft (NASDAQ: ). The Indexperts Gorilla Aggressive Growth ETF has outperformed the S&P 500 with a return of -7% year-to-date, while the market’s decline is closer to 10%. This is notable, given that the fund has faced a difficult start due to market volatility.
- One of the key strategies employed by the Indexperts Gorilla Aggressive Growth ETF is to focus on high-growth stocks.
- The fund’s portfolio includes approximately 175 high-growth names, ranging from major players like Microsoft to smaller companies.
### New QIDX ETF Offers Active Strategy on Quality Earnings
A second new offering by Indexperts, the Indexperts Quality Earnings Focused ETF (NYSE: ), shares an active management approach and an expense ratio of 0.50% with the Indexperts Gorilla Aggressive Growth ETF. However, the funds take different strategies. The Indexperts Quality Earnings Focused ETF focuses on companies with a consistent history of and a strong prospect for future earnings stability and improvement. The fund’s portfolio consists of about 130 constituents, including T-Mobile US (NASDAQ: ), American Express Company (NYSE: ), and Williams Companies (NYSE: ).
- The Indexperts Quality Earnings Focused ETF uses a range of factors to rank companies, including profitability, liquidity, operating efficiency, momentum, and revenue growth.
- The fund has performed well, with a return of around 4% year-to-date, and has remained strong in the month leading up to mid-April.
### Touchstone’s TSEL ETF Offers Focused Growth Strategy
Touchstone Sands Capital US Select Growth ETF (NASDAQ: ) is another actively managed fund in the Touchstone line of funds, which focuses on capturing upside potential while minimizing downside risk. The TSEL ETF targets U.S.-based large- and mid-cap companies with better-than-average potential for revenue or earnings growth. The TSEL ETF has a portfolio of 25 to 35 companies at any given time and is not as widely distributed or diversified as other growth-focused funds. The fund provider takes a distinctively active approach to respond to market conditions with portfolio adjustments consistently.
- The TSEL ETF includes a mix of big-name stocks and smaller companies with room for growth.
- The fund has an expense ratio of 0.67%, making it somewhat more costly than RILA or QIDX, but cheaper than many pre-existing actively managed funds.
| ETF | Expense Ratio | Assets Under Management (AUM) |
|---|---|---|
| Indexperts Gorilla Aggressive Growth ETF | 0.50% | Tens of millions of dollars |
| Indexperts Quality Earnings Focused ETF | 0.50% | Tens of millions of dollars |
| Touchstone Sands Capital US Select Growth ETF | 0.67% | Tens of millions of dollars |
As a result, these new ETFs may be worth a closer look for investors seeking new opportunities. While there’s no guarantee they’ll become the next SPY, they offer unique management styles and specialized investment strategies that could potentially provide better returns in a turbulent market.
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