LOUP offers exposure to 30 high achievers representing a few 'frontier technology' themes, including AI, EVs, fintech, etc. Despite its outstanding growth factor exposure and adequate quality, LOUP has underperformed IVV, QQQ, and SCHG since its inception. The ETF's high expense ratio and weak liquidity further reduce its long-term appeal compared to cheaper, more liquid alternatives like QQQ and SCHG.
Innovator Deepwater Frontier Tech ETF (LOUP) targets 30 frontier companies in AI, autonomous vehicles, fintech, robotics, and VR. The fund boasts superior value and growth metrics versus XLK, but has lagged it since inception despite recent outperformance. Among ETFs focused on innovative companies, TECB looks more compelling than LOUP based on track record, liquidity and fees.
| Name | Quantity | Cost | Value | Profit ($) | Gain (%) |
|---|---|---|---|---|---|
| JD Jim Dushek HARBOUR INVESTMENTS Inc. | 123 | $8,598.36 | $11,280.94 | $2,682.58 | 31.2% |
Jeff Ameen Spire Wealth Management | 100 | $4,541 | $9,279.76 | $4,738.76 | 104.35% |
| CAL CoreCap Advisors LLC CoreCap Advisors LLC | 25 | $2,225.25 | $2,279 | $53.75 | 2.42% |
| JRS James RG Skjong Ulland Investment Advisors LLC | 1,000 | $53,340 | $92,015 | $38,675 | 72.51% |
John Ritter Ritter Daniher Financial Advisory LLC / DE | 95 | $7,258.95 | $8,288.75 | $1,029.8 | 14.19% |
| ARCA Exchange | US Country |
The fund is designed to target investments in the innovation sector, focusing specifically on companies that are at the forefront of technological advancements—the so-called "Deepwater" areas of technology that are expected to significantly impact the future. By pledging to invest at least 80% of its net assets into securities that comprise the Deepwater Frontier Tech Index, the fund emphasizes its commitment to being a primary supporter of cutting-edge technological developments. This index, curated by Deepwater Asset Management, LLC, is a carefully constructed portfolio of companies selected for their potential to disrupt their respective fields with groundbreaking technologies. The main ambition of the fund is to not only identify these pioneering companies but also to give investors a unique opportunity to partake in the growth of these future-facing technologies.
The fund's main offerings revolve around investment opportunities in innovative technological enterprises, as defined and selected by the Deepwater Frontier Tech Index. This index, and by extension the fund itself, focuses on two key areas:
Primarily, the fund is involved in the investment in securities that make up the Deepwater Frontier Tech Index. This comprises buying stocks or other securities of companies that are deemed to be at the leading edge of technological innovation. Through such investments, the fund aims to capitalize on the growth potential of these companies, which are believed to be pioneers in developing technologies with significant future impacts.
The Deepwater Frontier Tech Index is a rules-based stock index that seeks to identify companies on the cusp of technological breakthroughs. Owned, developed, and maintained by Deepwater Asset Management, LLC, this index is the cornerstone of the fund's investment strategy. It provides a structured approach to selecting companies that not only have the potential for high growth but are also believed to be influential in shaping the future landscape of technology. The index’s composition is periodically reviewed to ensure it remains representative of the most promising frontier technology ventures.