Alger Concentrated Equity ETF (CNEQ)
ARCA ARCA Primary 
CNEQ: High-Conviction Growth ETF With An Excellent Start
Alger Concentrated Equity ETF offers a high-conviction, 29-stock growth portfolio with a heavy technology and large-cap focus. CNEQ has outperformed the Russell 1000 Growth Index and major growth ETF peers by a wide margin since its April 2024 inception. CNEQ is well-suited for growth exposure in long-term or tactical allocations, but prudent capital allocation is warranted given its short history and risk profile.
Alger Concentrated Equity ETF Q4 2025 Commentary
The Alger Concentrated Equity ETF underperformed the Russell 1000 Growth Index during the third quarter of 2025. Alphabet, Natera Apple were among the top contributors to performance. Nebius Group, Sea Limited, and Meta Platforms were among the top detractors from performance. The Information Technology and Utilities sectors contributed to relative performance while Industrials and Health Care were among sectors that detracted from relative performance.
Concentrated ETF Bests S&P 500 With Active Stock Picks
The Alger Concentrated Equity ETF (CNEQ) returned more than 32% in 2025, beating the S&P 500 by over 14 percentage points as the fund's focused portfolio capitalized on a shifting market environment, according to ETF Database. The fund's outperformance comes as investors debate whether market leadership will broaden beyond mega-cap technology names.
How Companies Adapt in the Age of AI Adoption
With AI adoption top of the mind for advisors and investors alike, some may be wondering which companies will be leading the pack when it comes to adopting AI into their workflows. Dr. Ankur Crawford, Executive Vice President and Portfolio Manager at Alger, recently discussed this topic in a wide-ranging conversation on the Alger Podcast.
CNEQ: Concentrated Risk With High Return Potential
The Alger Concentrated Equity ETF (CNEQ) offers exposure to 30 high-conviction, growth-oriented stocks, heavily weighted toward mega-cap technology and AI leaders. CNEQ has outperformed benchmark indices over the past year, driven by the AI growth theme and significant allocations to the Magnificent 7 stocks. Despite high concentration and sector risk, I recommend a Buy rating for CNEQ, best used as a satellite position to enhance technology exposure within a diversified portfolio.
Outpace the Market With a Concentrated Equity Strategy
If 2025's already extensive collection of news headlines can provide any lesson, it's that the market environment can change fast. At this point, it's realistically too difficult for advisors and investors to try to anticipate how next week's headlines could affect the near-term market.
CNEQ: High Conviction Growth With Manageable Risk
CNEQ offers a high-conviction, concentrated growth strategy with active management, delivering strong outperformance versus QQQ despite perceived higher risks. The ETF's sector and holding concentration is less risky than it appears, with diversified allocations and meaningful weights to all positions. Active management has shown agility and conviction, outperforming in bull markets and handling short-term volatility well, though untested in prolonged downturns.
