- ITEK has far lower overall P/E, Price/Book and Price/Sales ratios versus Nasdaq.
- P/B and P/S ratios almost half of Nasdaq. P/E at 18.6 vs Nasdaq at 25.
- Over 1-, 2- & 3-year periods ITEK significantly outperformed ARK, with far lower risk.
- ITEK far lower concentrated risk than Nasdaq – Top 5 holdings (7.4% vs 39.1%); Top 10 (13.8% vs 52.7%).
- Equal weight underweights FAANGS; Nasdaq has 7X more Megacap exposure.
- ITEK is under 60% US weighted – unlike 100% for Nasdaq.
- Top subtheme contributors this month: represent Robotics, Genomics, Future Cars and Blockchain.
- ITEK holds top 15 established players in each subtheme.
- ITEK’s global mix reduces volatility - US 59.8%, China 15.8%, Japan 7.3%, South Korea 3.0% & Netherlands 2.6%.
Source of all data: Gins Global. Please note that all performance figures are showing net data. Past performance is not indicative of future performance and when you invest in ETFs, your capital is at risk.
Macro Outlook
- Big Tech's resilient 2nd Quarter earnings powered by Cloud 30%+ revenue gains- Google, Microsoft & Amazon. [1]
- Consumer Discretionary and Tech sectors gained 13%+ in July. US consumer sentiment strong. [2]
- Cybersecurity attacks continue to grow globally (see chart) – boosting corporate spending. [3]
- US Inflation has likely peaked; future Fed rate hikes smaller boosting Tech valuations. [4]
- 2nd Qtr Earnings better than expected, with 75% of S&P 500 companies beating estimates. [5]
- Apple beat on Revenues & Profit; expects faster growth in 3rd Qtr. [6]
- Amazon - optimistic contrast to weaker retailers Walmart & Best Buy gloom. [7]
- ITEK has rebounded strongly off recent lows – 15%+.
- Netflix jumped 8% - lost fewer subscribers (2nd Qtr).[8] Tesla also up 10% after good earnings. [9]
- Tech stocks also boosted by US Senate $50bn US chip manufacturing bill. [10]
- Global EV car market share – being boosted by $100/barrel oil.[11] (China, US & EU)
- Prior PE multiples were too high – currently at attractive levels.
- Tech growth industry fundamentals have not changed. Cloud projections show strong growth. [12]
Source: https://blog.checkpoint.com/2021/10/06/as-battle-against-cybercrime-continues-during-cybersecurity-awareness-month-check-point-research-reports-40-increase-in-cyberattacks/
July - Subtheme Returns
|
Contribution
|
Total Return (%)
|
% Average Weight
|
% Performance of Category
|
|
Blockchain
|
1.50
|
6.09
|
24.63
|
|
Robotics & Automation
|
1.55
|
13.35
|
11.61
|
|
Genomics
|
0.88
|
16.98
|
5.18
|
|
Cybersecurity
|
0.03
|
12.69
|
0.24
|
|
Future Cars
|
1.26
|
15.02
|
8.39
|
|
Digital Entertainment
|
0.69
|
12.64
|
5.46
|
|
Cloud Computing
|
0.30
|
15.86
|
1.89
|
|
Social Media
|
0.13
|
7.24
|
1.80
|
Source of all data: Solactive. Past performance is no guarantee of future performance
|
HOLDINGS
|
Index Category
|
Average Weight (%)
|
Total Return (%)
|
Contribution to Return (%)
|
|
MARATHON DIGITAL HOLDINGS
|
Blockchain
|
0.41
|
143.26
|
0.36
|
|
RIOT
BLOCKCHAIN INC
|
Blockchain
|
0.39
|
74.70
|
0.22
|
|
HUT
8 MINING CORP
|
Blockchain
|
0.32
|
57.91
|
0.15
|
|
GALAXY
DIGITAL HOLDINGS LTD
|
Blockchain
|
0.40
|
51.28
|
0.18
|
|
HIVE
BLOCKCHAIN TECH
|
Blockchain
|
0.40
|
51.10
|
0.18
|
|
COINBASE GLOBAL INC -CLASS A
|
Blockchain
|
0.35
|
33.9
|
0.1
|
|
RIVIAN
AUTOMOTIVE INC-A
|
Future Cars
|
0.53
|
33.26
|
0.15
|
|
ON SEMICONDUCTOR
|
Robotics
& Automation
|
1.03
|
32.74
|
0.13
|
|
TESLA
INC
|
Future Cars |
1.00
|
32.38
|
0.3
|
|
ROBLOX CORP -CLASS A
|
Digital
Entertainment
|
0.88
|
30.65
|
0.24
|
|
NETFLIX
INC
|
Digital Entertainment |
0.58
|
28.61
|
0.15
|
|
MARVELL TECHNOLOGY INC
|
Robotics
& Automation
|
0.83
|
28.08
|
0.22
|
|
BITFARMS
LTD/CANADA
|
Blockchain
|
0.39
|
27.90
|
0.10
|
|
CIPHER MINING INC
|
Blockchain |
0.63
|
25.55
|
0.14
|
|
NXP
SEMICONDUCTORS NV
|
Future Cars
|
1.00
|
24.22
|
0.23
|
|
ADVANCED MICRO DEVICES
|
Robotics
& Automation
|
0.78
|
23.54
|
0.18
|
Past performance is no guarantee of future performance. Source of all data: Solactive.
Equally Weighted ETF and Index Performance (As of 31.07.2022)
|
|
1M
|
3M
|
6M
|
YTD
|
1Y
|
2Y
|
3Y
|
SI
|
|
HAN-GINS Tech Megatrend UCITS ETF
|
6.26%
|
-5.63%
|
-21.73%
|
-32.69%
|
-34.62%
|
-4.97%
|
26.43%
|
35.51%
|
|
Solactive Innovative Technologies Index (NTR)
|
6.31%
|
-5.53%
|
-22.22%
|
-33.08%
|
-34.88%
|
-5.00%
|
27.11%
|
36.85%
|
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 31/07/2022. Please note that all performance figures are showing net data.
* The SFDR classifications for the funds are documented in their respective supplements and approved by the Central Bank of Ireland. The supplement for each fund can be found on their respective product page.
Learn more about our Equally Weighted ETF