Space ETF Monthly Report: Key Takeaways
Holdings in the News
Boeing’s Starliner readies for May journey to the International Space Station. [1]
Trimble achieves record revenues in Q1. [2]
EchoStar launches satellite program for long-range internet-of-things capabilities for Europe. [3]
Rocket Lab shows its ability to catch falling boosters via helicopter for reuse on future launches. [4]
Iridium submits bid for Space Development Agency contract to operate satellite constellation. [5]
Macro Outlook
Although the mantra “Space is open for business” has been around for several years, governments, their space agencies and militaries have remained one of the largest purchasers of space services and products since the industry’s early days. For years, governments have been looked at as the entities that put the floor in annual space spending, but just recently (thanks to the US budget), that floor has been raised a few levels higher. Not only is NASA planning on a significantly increased budget but so is the recently reformed US Space Force, but how do they plan on spending these newfound riches? [6]
NASA is eyeing a roughly 8% increase to its budget, or $26 billion for fiscal year 2023. This funding will help push NASA closer to achieving its ambitious Artemis goals.[7] Additionally, funding would go towards various missions including the development of a new space telescope, returning soil samples from Mars, supporting the International Space Station, Earth observation for climate change purposes and more. The US Space Force is building out plans to use a $24.5 billion budget to develop hypersonic technology, missile detection and tracking as well as numerous other initiatives.[8] In order to accomplish these goals, both NASA and the US Space Force will be contracting with many US and allied companies. This revamped support of American space interests may provide significant opportunities for space businesses for years to come.
Space ETF Performance (As of 30.04.2022)
|
|
1M
|
3M
|
6M
|
YTD
|
12M
|
SI
|
|
Procure Space UCITS ETF (Acc)
|
-11.82%
|
-6.66%
|
-24.04%
|
-16.03
|
NA
|
-24.45%
|
|
S-Network Procure Space Index
|
-11.85%
|
-6.55%
|
-23.80%
|
-15.90%
|
-22.81%
|
-23.86%
|
Performance before inception is based on back tested data. Back tested data does not represent actual performance and should not be interpreted as an indication of actual or future performance. Past performance for the index is in USD. Past performance is not an indicator for future results and should not be the sole factor of consideration when selecting a product. Investors should read the prospectus of the Issuer (“Prospectus”) before investing and should refer to the section of the Prospectus entitled ‘Risk Factors’ for further details of risks associated with an investment in this product. Source: Bloomberg / HANetf. Data as of 30/04/2022. Please note that all performance figures are showing net data.
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