Procure Disaster Recovery Strategy ETF’s management team is rated Average, but a solid investment process still helps this strategy retain its Morningstar Medalist Rating of Silver. The portfolio maintains a cost advantage over competitors, priced within the cheapest fee quintile among peers.  

 The strategy's effective investment philosophy supports an Above Average Process Pillar rating. Independent of the rating, analysis of the strategy's portfolio shows it has maintained a significant underweight position in liquidity exposure and quality exposure compared with category peers. Low liquidity risk exposure is attributed to stocks with a low trading volume, limiting managers' flexibility. And a low quality exposure is rooted in stocks with higher financial leverage and lower profitability. The strategy’s management team earns an Average People Pillar rating. The People Pillar rating is indirectly assigned by an analyst rather than algorithmically derived. Please see the notes following pillar section for more details. To be considered a quality steward, this strategy's parent organization needs to improve factors like insignificant personal investments from portfolio managers and a relatively inexperienced portfolio management team. As a result, the firm obtains a Below Average Parent Pillar rating.

Analyst Rating

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Best Buy

Morningstar's evaluation of this security's process aims to determine the likelihood that it will outperform its Morningstar Category index on a risk-adjusted basis over the long term. Procure Disaster Recovery Strategy ETF earns an Above Average Process Pillar rating. The predominant contributor to the rating is that this fund tracks an index. Historical data, such as Morningstar's Active/Passive Barometer, finds that passively managed funds have generally outperformed their active counterparts, especially over longer time horizons. The firm's five-year retention rate of 100% also contributes to the process. Lastly, the process is limited by its parent firm's disappointing risk-adjusted performance, as shown by the firm's average overall Morningstar Rating of 1.0 stars. A lower star rating suggests that the firm has struggled to outperform on a risk-adjusted basis.

The investment strategy as stated in the fund's prospectus is:  The investment seeks investment results that correspond generally to the performance, before the fund’s fees and expenses, of the VettaFi Natural Disaster Recovery Index developed by the index Provider.  The index consists of globally-listed stocks and depositary receipts. The fund will concentrate its investments (i.e., and invest 25% or more of its assets) in securities issued by companies whose principal business activities are in the same industry or group of industries to the extent the index is so concentrated. It is non-diversified. 

 The portfolio is overweight in industrials and consumer cyclical relative to the category average by 35.1 and 7.9 percentage points, respectively. The sectors with low exposure compared to category peers are financial services and healthcare, underweight the average by 10.1 and 9.4 percentage points of assets, respectively. The strategy owns 49 securities and is relatively concentrated. In particular, 25.2% of the fund’s assets are housed within the top 10 holdings, as opposed to the category’s 15.4% average. And finally, in terms of portfolio turnover, on a year-over-year basis, 32% of the fund's holdings have changed, whether through increasing, decreasing, or changing a position.

Above Average

Process

Procure’s team is valuable but does not stand out as one of the industry's best, warranting an Average People Pillar rating. There are three managers listed on the fund: Anand Desai, Ernesto Tong, Dustin Lewellyn. Experience on the team is abundant, with 11 years of average portfolio management experience. Together, they manage a total of 28 strategies, with a Bronze asset-weighted average Morningstar Medalist Rating, indicating the potential to deliver positive alpha relative to the category median in aggregate.  

 Note: The People Pillar rating is indirectly assigned by an analyst. The longest-tenured manager of the fund also manages a different product rated by an analyst. Their analyst-assigned People Pillar rating is combined here with the People scores (algorithmic or analyst-assigned) for the fund’s other managers on a tenure-weighted basis.

Average

People

In an increasingly competitive industry, Procure falls behind on a number of key metrics, resulting in a Below Average Parent Pillar rating. Portfolio managers at Procure tend not to invest alongside their shareholders, detracting from the overall stewardship assessment. None of the firm’s assets are covered by an invested manager. A cause for concern at Procure is its relatively inexperienced longest-tenured management. In particular, average asset-weighted tenure at the firm is only five years, a negative contributor to the rating. Turnover among Procure portfolio management ranks has been low compared to other firms since the firm's inception. This stability on the personnel front boosts confidence in its staying power.

Below Average

Parent

Procure Disaster Recovery ETF

FIXT tracks an equal-weighted index of globally listed companies that aid in natural disaster recovery strategies. The index comprises four investment categories: climatological, geophysical, hydrological, and meteorological.

California Water Service Group

iShares MSCI USA ESG Optimized ETF

KraneShares Global Carbon ETF

Microsoft

NEXTracker Inc

Invesco Water Resources ETF

Sterling Construction

Invesco Solar ETF

Rising global warming and its adverse impact on Earth makes it important for investors to be socially responsive while creating their investment portfolio. While these stocks and ETFs should gain, rising natural disasters should also boost businesses of disaster recovery stocks.

Protect Our Earth With 5 ETF & Stock Investing Strategies (Revised)

Protect Our Earth With 5 ETF & Stock Investing Strategies

This release is meant to clarify the release that was posted on April 18th, 2024. The release refers to NASDAQ:FIXT.

RETRANSMISSION: ProcureAM Celebrates Earth Day with Expense Reduction on Natural Disaster Recovery ETF

FIXT ETF offers unique opportunity to invest in risk mitigation and recovery efforts from natural disasters LEVITTOWN, PA / ACCESSWIRE / April 18, 2024 / In honor of Earth Day, ProcureAM LLC, advisor to the Procure Disaster Recovery Strategy ETF (ticker:FIXT), will voluntarily and temporarily reimburse all fund expenses, effective April 22nd, 2024. The advisor will voluntarily pay all expenses of the fund so that the fund's total management fee and other operating expenses, excluding market impact, trading, commissions and taxes expenses remain at zero until the earlier of (1) the fund reaches $50 million in total net assets or (2) October 31, 2024, whichever occurs first.

ProcureAM Celebrates Earth Day with Expense Reduction on Natural Disaster Recovery ETF

Helen of Troy

Honeywell

Verisk Analytics

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FIXT offers a distinct opportunity to invest in risk mitigation and recovery efforts from natural disasters, an increasingly catastrophic consequence of climate change LEVITTOWN, PA / ACCESSWIRE / June 1, 2023 / ProcureAM today celebrates the one-year anniversary of the Disaster Recovery Strategy ETF (Nasdaq:FIXT). FIXT tracks a portfolio of companies engaged in mitigating the risk of and recovering from natural disasters, such as hurricanes, wildfires, floods and earthquakes.

ProcureAM Celebrates the One-Year Anniversary of the Disaster Recovery Strategy ETF

New ticker FIXT reflects constituents' role in fixing or reducing the impact of damages caused by natural disasters LEVITTOWN, PA / ACCESSWIRE / February 15, 2023 / ProcureAM announced today that the Procure Disaster Recovery Strategy ETF will begin trading under the new ticker symbol FIXT, effective February 15, 2023. This unique fund will continue its original mission of providing exposure to global companies that are engaged in recovery and risk reduction efforts as a result of natural disasters.

News for Procure Disaster Recovery ETF ETF (FIXT)