The AdvisorShares Global Echo ETF (NYSE:GIVE) debuted back in May of 2012, and is unique in the ETF space not only in that it is actively managed, but it operates in the “Sustainable Investing” niche.
According to fund literature, GIVE’s investment strategy “seeks to achieve long-term capital appreciation with an emphasis on absolute (positive) returns and low sensitivity to traditional financial market indices, such as the S&P 500 Index, over a full market cycle. The fund is a multi-manager, multi-strategy, broadly diversified, actively managed ETF with a focus on Sustainable Investing.”
According to ETFdb.com, “0.40% of the fund’s 1.61% expense ratio goes to the Global Echo Foundation which works on a wide range of social issues including the support of social entrepreneurship and supporting the health and well-being of women and children in communities around the globe.” For those that may be unclear of the underpinnings of “Sustainable Investing” as an investment theme, the AdvisorShares website also states that GIVE “Will allocate capital to equity of publicly traded companies and debt securities with a proactive and meaningful sustainability mandate. The portfolio managers seek securities that may technologically, socially, and environmentally impact the earth positively – with a focus on themes such as water, clean energy, innovation and other sustainable themes. Through the portfolio managers, GIVE brings Corporate Sustainability, Shareholder Advocacy and Activism, Community Investing, Fossil Fuel Divesting, Impact Investing, Innovation, Commitment to Education, and Philanthropy together in a single investment.”
Needless to say, a number of the aforementioned themes are very topical today and likely resonate with investment managers as well as the clients of investment managers whom may be philanthropists themselves. GIVE should thus be able to build on its relatively small asset base of $4.6 million presently, averaging about 1,800 shares traded daily.
When we look at top holdings within GIVE we see the following exposures, which consist of several ADRs: 1) TMRAY (1.76%), 2) XYL (1.75%), 3) FISV (1.55%), 4) HOLX (1.53%), and NVZMY (1.51%).
GIVE shares were unchanged at $61.82 in Thursday afternoon trading. Year-to-date, GIVE has gained 2.27%, versus a 5.84% rise in the benchmark S&P 500 during the same period.
Disclaimer: The content of this article is excerpted from a daily newsletter from Street One Financial. While ETF Daily News may edit the contents and add a relevant title to the piece, the author, Paul Weisbruch, does not endorse or recommend any issuer or security mentioned herein.
Paul has been actively involved in the ETF space from both a product and trading standpoint since 2000. Additionally, Paul has well forged relationships with national RIAs, institutional pension fund managers and consultants, mutual fund and hedge fund managers, and also the ETF media. Co-authoring the “S1F ETF Daily” since 2009, the daily piece has become a must for many portfolio managers in the ETF space, with segments regularly appearing in the likes of Barron’s, WSJ, and ETFTrends.com for instance.
He holds his Series 4 (Registered Options Principal), 6, 7, 55 (Equity Trader), 63, and 65 licenses. He graduated from the University of Pittsburgh (B.S. – Economics), graduating magna cum laude, and has an MBA from Villanova University.