The combination of a middling Process Pillar rating and a Below Average People Pillar rating limit  Strategas Global Policy Opp ETF to a Morningstar Medalist Rating of Neutral.  The portfolio maintains a sizable cost advantage over competitors, priced within the least expensive fee quintile among peers.  

 The strategy's management team is about as experienced as others, but due to other weaknesses, the strategy earns a Below Average People Pillar. The strategy earns an Average Process Pillar rating. Independent of the rating, analysis of the strategy's portfolio shows it has maintained a substantial underweight position in quality exposure and volatility exposure compared with category peers. Low quality exposure is attributed to stocks with higher financial leverage and lower profitability. And low volatility exposure is rooted in stocks that have a lower standard deviation of returns. The strategy's parent organization doesn't stand out, earning the firm an Average Parent Pillar rating. It has displayed a handful of investor-friendly attributes including low portfolio manager turnover and overall affordable fees.

Analyst Rating

Domino's Pizza

Leidos Hld

DaVita

Lockheed Martin

Eastman Chemical

Occidental Petroleum

Altria

Northrop Grumman

General Dynamics

Twenty-First Century Fox

Morningstar's evaluation of this security's process aims to determine the likelihood that it will outperform its Morningstar Category benchmark on a risk-adjusted basis over the long term. Strategas Global Policy Opp ETF earns an Average Process Pillar rating. 

The leading factor in the rating is the firm's five-year retention rate of 100% over the period. The scale of the portfolio management team also strengthens the process. With six portfolio managers, the fund is well-staffed. Lastly, the process is limited by the experience of the management team, which averages seven years at this fund.

 This strategy targets larger plays than its peers’ average in the Global Small/Mid Stock Morningstar Category. But in terms of investment style, it is on par with peers. Analyzing additional factors, this strategy tilts consistently toward stocks with lower quality or the shares of companies with more financial leverage and lower profitability, compared with Morningstar Category peers over the past few years. Such positions do not tend to provide much ballast for a portfolio. In the latest month, the strategy was also less exposed to the Quality factor compared with Morningstar Category peers. This strategy has also exhibited a tilt toward low-volatility stocks in recent years, meaning companies with a lower historical standard deviation of returns. Such holdings can limit a strategy's downside, but cause it to lag in bull markets. Similarly, in recent months, the strategy also had less exposure to the Volatility factor than peers. Additionally, this strategy's portfolio has held more stocks with high dividend or buyback yields than peers over recent years. Higher-yield stocks can provide dependable income, but also have their risks. Dividend payers may cut payouts, for instance, if their earnings fall. In this month, the strategy also had more exposure to the Yield factor over its peers. More information on a fund and its respective category's factor exposure can be found in the Factor Profile module within the Portfolio section. 

 The portfolio is overweight in healthcare and communication services relative to the category average by 15.4 and 5.6 percentage points, respectively. The sectors with low exposure compared to category peers are financial services and technology, underweight the average by 8.9 and 8.7 percentage points of assets, respectively. The portfolio is positioned across 105 holdings and is relatively top-heavy. Of the strategy's assets, 20.6% are concentrated within the top 10 holdings, compared to the typical peer's 16.2%. And in closing, in terms of portfolio turnover, on a year-over-year basis, 74% of the fund's holdings have turned over, whether through increasing, decreasing, or changing a position.

Average

Process

Strategas Global Policy Opp ETF earns a Below Average People Pillar rating. The team benefits from the firm's five-year retention rate of 100%. However, the rating is limited by the combined average five-year excess return of each manager, which implies that the funds they manage have underperformed their respective category average. Management team experience, which averages seven years at this fund, also holds the team back.


None of the managers here invest any money in the strategy, which is disappointing, as such investments help align managers' interests with fundholders.

Below Average

People

Even though Strategas Trust only has a two-year track record, it has shown to be an industry-standard steward, warranting an Average Parent Pillar rating. Strategas Trust currently manages two vehicles, with a total of $104.4 million under management and a roster of eight fund managers.   

 Strategas Trust deserves plaudits for its commitment to relatively inexpensive fees for its open-end and exchange-traded funds, which showcases its willingness to prioritize investors. The firm's average net expense ratio across all funds is in the second-lowest quintile of firms.  

 To retain an Average rating, Strategas Trust needs to uphold a consistent track record of positive investor experience.

Parent

Strategas Global Policy Opportunities ETF

SAGP is an actively managed fund that invests in various global stocks engaged in lobbying activities with the US federal government.

Strategas Macro Thematic Opportunities ETF

Nick Bohnsack, co-founder of Strategas, discusses why his firm's multithemed, active ETFs could thrive in the current environment.

Investing in Themes Through Active ETFs

NEW YORK--( BUSINESS WIRE )--Strategas Asset Management is today marking the one-year anniversary of the launch of its Strategas Macro Thematic Opportunities ETF (SAMT) and Strategas Global Policy Opportunities ETF (SAGP), the firm's first forays into the Exchange Traded Fund category. Simultaneously, the firm is celebrating the fact that these two funds now cumulatively have more than $100 million in assets under management as of January 31st, 2023

Strategas Asset Management's ETF Family Marks One-Year Anniversary; Surpasses $100 Million in Total Assets

Strategas Asset Management announced today the launch of two new actively managed ETFs on the NYSE: the Strategas Macro Thematic Opportunities ETF (NYSE Arca: SAMT), a rotating thematic fund that invests in three to five macro themes at any given time, and the Strategas Global Policy Opportunities ETF (NYSE Arca: SAGP), a global equity fund focused on [...] The post Strategas CEO Explains How Research and Policy Drives New ETFs appeared first on ETF Trends.

Strategas CEO Explains How Research and Policy Drives New ETFs

Strategas Asset Management, the investment advisory arm of Strategas, announced the launch of two new actively managed ETFs. The Strategas Macro Thematic Opportunities ETF (NYSE Arca: SAMT) and the Strategas Global Policy Opportunities ETF (NYSE Arca: SAGP) are listed on the NYSE Arca.

News for Strategas Global Policy Opportunities ETF ETF (SAGP)