Investment Q&A

The sector is a bit hard to call; right now sentiment is horrible, but fundamentals are generally OK. But, the market backdrop remains weak, and tech is a heavily-weighted sector where investors still have lots of gains. In a market sell off, we think it will still be hit hard. Conversely, it will likely bounce very strongly when this correction is over. But US policy makers may need to fold on tariffs in order to prevent a recession. Right now, it is hard to see them caving in, as every move seems to just dig in their heels more. TXF has $644M in assets, fees of 0.69%, indicated yield 13.81%, One year return -5.44%, 3 year 7.04%, 5 year 17.29%. HTA $628M, fees 0.99%, yield 10.38%, one year -1.60%, 3 year 8.75%, five year 19.79%. QMAX $493M, 0.80%, yield 13.14%, one year 7.12% (longer terms not available). In all cases, tax treatment will vary yearly, and will consist of largely return of capital and capital gains mostly. Holdings are quite similar, being large cap tech with only some variation. We would be partial to QMAX today on performance and potential.