Fang+ Index Etf Market Analysis and Trading Guide

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The Fang+ Index ETF is a unique investment vehicle that tracks the performance of the largest and most influential companies in the Chinese tech industry. It's a great way for investors to gain exposure to this rapidly growing sector.

The Fang+ Index ETF is designed to provide broad diversification across the Chinese tech industry, with a focus on the largest and most liquid companies. This includes companies like Alibaba, Tencent, and Meituan.

Investors who are interested in the Fang+ Index ETF should be aware that it's a relatively new investment vehicle, launched in 2021. This means that there's still a lot to learn about its performance and potential risks.

The Fang+ Index ETF is designed to track the performance of the Fang+ Index, which is a market-capitalization-weighted index of the largest and most influential companies in the Chinese tech industry.

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Performance and Tracking

The Samsung NYSE FANG+ ETF has a performance history that's worth looking at. The ETF has a 1-year return of 44.03%, significantly outperforming its benchmark, the NYSE FANG+ Index, which returned 46.72% over the same period.

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Performance can be volatile, and past results aren't always indicative of future performance. The ETF's 6-month return is 7.78%, while the benchmark's 6-month return is 8.70%.

Here's a breakdown of the ETF's and the benchmark's performance over the past few years:

Tracking Difference is a measure of how closely the ETF follows its benchmark. As of 2024-11-29, the ETF's Tracking Difference since listing is -12.78%, and its Rolling 1-Year Tracking Difference is -2.81%.

The ETF's Tracking Error, which measures how consistently it follows its benchmark, is 0.16% as of 2024-11-29.

Market Information

The market information is a crucial aspect of tracking the performance of a fund. The official Net Asset Value (NAV) per Unit in HKD on January 14, 2025 was 36.3582.

The closing price per unit in HKD on the same day was 36.6800, which represents a 0.49% increase from the previous day.

The official NAV per Unit in USD on January 14, 2025 was 4.6687, indicating a 0.37% decrease from the previous day.

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The closing price per unit in USD on the same day was 4.7105, showing a 0.48% increase from the previous day.

Here's a summary of the market information for January 14, 2025:

Performance

Performance is a key aspect of any investment, and it's essential to understand how it's measured and presented. Past performance is not indicative of future performance, so it's crucial to look at the bigger picture.

The SAMSUNG NYSE FANG+ ETF has had some impressive returns over the past year, with a 44.03% gain. However, it's essential to note that this is just one year's performance, and it's not a guarantee of future success.

The ETF's performance is compared to its underlying benchmark, the NYSE FANG+ Index, which has also had strong returns. In fact, the index has outperformed the ETF in some periods, with a 46.72% gain over the past year.

Here's a comparison of the ETF's and index's performance over different time periods:

It's worth noting that the ETF's performance may not reflect the return that an investor would actually be able to obtain, as it does not capture the premium or discount of the ETF, or the trading costs.

Top Tech Trade

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The NYSE FANG+ Index offers exposure to 10 highly-traded tech giants, including Broadcom Inc. (AVGO).

You can access the index through futures and options contracts, which can help you increase or reduce your exposure to these key growth stocks in a capital-efficient manner.

The ICE Futures U.S. exchange hosts a futures contract for the NYSE FANG+ Index, with a contract size of $5 x the index.

The contract expires on the third Friday of the expiration month, and trading hours are from 8 p.m. to 6 p.m. ET.

The futures contract symbol is FNG, and it's a futures product.

Here's a summary of the contract details:

Index Details

The NYSE FANG+ Index is a key group of growth stocks that includes 10 highly-traded tech giants.

This index is accessible through futures and options contracts, allowing you to increase or reduce exposure to these stocks in a capital-efficient manner.

The index includes Broadcom Inc. (AVGO) as one of its constituents.

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The FANG+ Index is also relevant for capturing Asian and U.S. tech giants, alongside the ICE Asia Tech 30 Index.

MICRO NYSE FANG+ Index Futures offer advantages over trading individual stocks, but the specific benefits are not specified in the provided examples.

You can trade the top tech stocks using the FNG futures contract, which is traded on ICE Futures U.S.

Here are the details of the FNG futures contract:

Pricing and Trading

The FANG+ Index ETF's pricing and trading details are quite straightforward. NAV and Market Price information as of 01/13/2025 shows the fund's performance over various time periods.

The fund's expense ratio is 1.11% (Gross) and 0.98% (Net), which is a relatively low cost compared to other investment options. This is due in part to an Operating Expense Limitation Agreement between the fund's adviser and the fund, which has contractually agreed to waive all or a portion of its management fee and/or reimburse the fund for other expenses through September 1, 2025.

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The fund's inception date is 09/30/2021, and since its inception, it has returned -7.64%. This is a significant return, especially considering the fund's expense ratio. However, it's essential to keep in mind that short-term performance is not a reliable indicator of future performance.

ETFs, including the FANG+ Index ETF, can be traded throughout the trading day on most exchanges. However, it's crucial to educate yourself on how leveraged and inverse ETFs function and behave in various market conditions before trading them.

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Micro Nyse Futures

The MICRO NYSE FANG+ Index Futures is a great option for traders who want to access the index in a more affordable way. It's one tenth of the size smaller than the original contract.

This micro contract is designed to be retail friendly, making it a great solution for individual traders who want to participate in the market without breaking the bank.

The MICRO NYSE FANG+ Index Futures contract is a newly sized contract that provides a more accessible way to access the index.

How to Trade

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ETFs can be purchased on exchanges, similar to stocks, and can be bought and sold during trading hours.

Direxion ETFs are not available for direct purchase from Direxion, but can be traded on most trading platforms.

You should educate yourself on how leveraged and inverse ETFs work in different market conditions before trading them.

Consult a financial advisor or brokerage account representative if you have questions about ETFs.

Distributions and Holdings

The fang+ index etf holds a diverse portfolio of top tech companies. Nvidia accounts for 10.32% of the total holdings.

The index also includes other prominent tech companies such as Broadcom Limited, Meta Platforms A, Apple, and Alphabet Inc-Cl. These companies are among the largest in the world and contribute significantly to the overall performance of the fang+ index etf.

Here are the top ten holdings in the fang+ index etf:

Distributions for the fang+ index etf are paid out on a quarterly basis, with record dates ranging from March to December. The most recent distribution was paid out on December 31, 2024, with an income dividend of 0.21938.

Top Ten Holdings

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The top ten holdings in a particular index are dominated by tech giants.

Nvidia holds a significant 10.32% of the total, making it the largest holding.

Broadcom Limited is a close second with 10.28% of the total.

Meta Platforms A takes the third spot with 10.26% of the total.

Apple is also a major holding with 10.18% of the total.

Here are the top ten holdings in the index:

Some of these companies are leaders in their respective fields, such as technology and social media.

Distributions

Distributions are an essential part of any investment, and understanding how they work is crucial for making informed decisions.

The record date is the date when a company determines which shareholders are eligible to receive a distribution. For example, on December 23, 2024, the record date was also the Ex Date, which means that only shareholders who owned the investment by that date were eligible to receive the distribution.

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Credit: youtube.com, Differences Between Dividends & Distributions

The pay date is the date when the distribution is actually paid out to the eligible shareholders. In the case of December 23, 2024, the pay date was December 31, 2024.

Income dividends are a type of distribution that is paid out to shareholders, and they can be a significant source of return on investment. For instance, on December 23, 2024, the income dividend was 0.21938.

Short-term and long-term capital gains are also types of distributions, but they are not applicable in the examples provided.

Here is a breakdown of the distributions for the given dates:

Each distribution has its own unique characteristics, and understanding these details is essential for making informed investment decisions.

Frequently Asked Questions

What is the best Fang+ ETF?

The Mirae Asset NYSE FANG+ ETF Fund of Fund is considered the top performer in 2024 with an impressive 88% return, driven by investments in global tech giants and favorable currency exchange rates. This ETF is a top choice for investors seeking high returns in the tech sector.

Where can I buy Fang ETF?

You can buy the Fang ETF through online trading platforms such as Bell Direct, CMC Markets, CommSec, Macquarie, nabtrade, Pearler, Sharesies, or Selfwealth. Please check the specific trading hours and fees for each platform before making a purchase.

How to invest in Fang+ ETF?

Buy Mirae Asset NYSE FANG+ ETF through the Mirae Asset Mutual Fund website or through platforms like MF Central and MF Utility

Krystal Bogisich

Lead Writer

Krystal Bogisich is a seasoned writer with a passion for crafting informative and engaging content. With a keen eye for detail and a knack for storytelling, she has established herself as a versatile writer capable of tackling a wide range of topics. Her expertise spans multiple industries, including finance, where she has developed a particular interest in actuarial careers.

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