FORH Profile
The Formidable ETF is an actively managed fund with a focus on achieving capital growth through strategic investments in equity securities. Under normal market conditions, the fund primarily allocates its assets to common stocks, preferred stocks, depository receipts, Real Estate Investment Trusts (REITs), and other forms of equity investments or ownership stakes in business enterprises. This diverse range of equity instruments is chosen to provide broad exposure to various sectors and industries, aiming to capitalize on market opportunities for long-term capital appreciation.
The fund places a significant emphasis on common stocks, which form the core of its investment strategy. By concentrating on equity securities, it seeks to harness the potential for growth and returns from shares in publicly traded companies. Additionally, the fund may incorporate various derivative instruments to enhance its investment strategy. These derivatives include options, volatility-linked ETFs, and volatility-linked exchange-traded notes (ETNs), which are employed to manage risk, hedge positions, or potentially amplify returns.
As a non-diversified fund, Formidable ETF does not spread its investments across a broad range of asset classes but instead focuses its holdings within a specific set of equity and derivative instruments. This concentrated investment approach reflects a strategy aimed at achieving targeted investment outcomes through selective stock picking and strategic use of derivatives. The funds emphasis on volatility-linked products highlights its intention to address market fluctuations and potentially benefit from changes in market volatility.
Investors in the Formidable ETF are exposed to the risks associated with equity markets and derivative instruments, which can lead to significant performance volatility. The funds active management style and focus on equity securities, combined with its use of derivatives, are designed to capitalize on market trends and opportunities. This strategy aims to attract investors seeking growth-oriented investments with a willingness to accept the higher risk associated with a non-diversified, derivative-enhanced portfolio.
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