Alger Mid Cap 40 ETF (FRTY)
ARCA ARCA Primary 
Fed Rate Cuts Create Opening for Mid-Cap Stocks
The Federal Reserve's (Fed) pivot from aggressive rate hikes to rate cuts is creating what one portfolio manager calls a “headwind to tailwind” shift for mid-cap stocks, potentially unlocking gains for companies that have already proven they can survive in a tighter monetary environment. Amy Y.
Mid-Cap Stocks Trading at Historic Discount to Large Caps
Mid-cap stocks are trading at an unusually wide discount to their larger counterparts, creating what one portfolio manager describes as a “truck-wide” opportunity for investors willing to look beyond the crowded mega-cap trade. Amy Y.
FRTY: A Focused Mid Cap Growth ETF Throwing Caution To The Wind
FRTY is a focused mid-cap growth ETF comprised of 40 U.S. stocks undergoing "Positive Dynamic Change". Its ER is 0.60% after waivers and the ETF has $85 million in AUM. FRTY's current holdings are increasing sales at a faster rate than they were three and five years ago, making the fund a standout among nearly all U.S. Equity ETFs. However, Alger's strategy appears reckless. I calculated a 1.60 five-year portfolio beta, a 36.56x forward P/E ratio, and a weighted average ROE that's substantially lower than its peers.
