Q: EDGE was mentioned on BNN the other day. It seems interesting as it offers substantial diversification compared to the mainstream equities I typically invest in. I have some questions for you:
1. What is your overall view about this ETF?
2. AUM is about $46M...is that too small for the fund to have much promise?
3. With $46M, is it too risky to take a large position, or is there protection from how ETFs operate?
4. It is perplexing to me....the average volume shows at about 600 on one trading platform I use and about 1,000 on another, yet there are bids and asks in excess of 2,000; why would there be such large bid / ask when the volume is much lower?
5. The quoted fee is 0.40% but about 1/2 of the holdings are other Evolve ETFs; is the real cost of the fee more than the 0.40% quoted (do they stack)? Would it be less of a fee if one simply bought the other funds?
Sorry if some of these are dumb questions, I don't often invest in ETFs. Many thanks for your excellent service.
1. What is your overall view about this ETF?
2. AUM is about $46M...is that too small for the fund to have much promise?
3. With $46M, is it too risky to take a large position, or is there protection from how ETFs operate?
4. It is perplexing to me....the average volume shows at about 600 on one trading platform I use and about 1,000 on another, yet there are bids and asks in excess of 2,000; why would there be such large bid / ask when the volume is much lower?
5. The quoted fee is 0.40% but about 1/2 of the holdings are other Evolve ETFs; is the real cost of the fee more than the 0.40% quoted (do they stack)? Would it be less of a fee if one simply bought the other funds?
Sorry if some of these are dumb questions, I don't often invest in ETFs. Many thanks for your excellent service.
5i Research Answer:
$46M is quite small for an ETF; however its holdings are very liquid and we would not see a...