6 min readBy Ron Koren ETF Insider
How does the FEMA ETF work?
The FEMA ETF is a specialized investment fund that focuses on a specific sector. This exchange-traded fund offers investors exposure to a range of companies in this sector.
The FEMA ETF, officially known as the Federal Emergency Management Agency ETF, operates with a passive indexing investment approach. Its primary objective is to replicate the performance of the Underlying Index, net of the fund's fees and expenses. The Underlying Index comprises globally-listed stocks and depositary receipts, specifically targeting companies involved in the home improvement sub-industry, emergency/backup power generators and batteries production within the electrical components and power equipment sub-industry, or those with recent government contracts related to natural disaster relief or mitigation.
The FEMA Dividend ETF follows a passive investment approach, aiming to replicate the performance of the Underlying Index. This index comprises globally-listed stocks and depositary receipts, primarily focused on companies involved in home improvement, emergency/backup power generators, and government contracts related to natural disaster relief. The index equally weights its component companies, which range from small-cap to large-cap securities. Dividend distributions for this ETF are influenced by the dividend policies and performances of the constituent companies, with rebalancing occurring quarterly. Additionally, the Fund may concentrate its investments in specific industries, and it has the potential to lend portfolio securities to enhance income.
The Fund, using a “passive” or “indexing” investment approach, seeks investment results that correlate to the performance, before the Fund’s fees and expenses, of the Underlying Index. The Underlying Index consists of globally-listed stocks and depositary receipts. Companies eligible for inclusion in the Underlying Index include (i) companies that are in the home improvement sub-industry as categorized by ICE; (ii) companies that are materially engaged in the development and production of emergency/backup power generators and batteries that are in the electrical components and power equipment sub-industry as categorized by ICE; and (iii) companies with government contracts that aid in natural disaster relief or mitigation within the last five years, as determined by key word hits in publicly available data. Companies in the following sub-industries are excluded from the Underlying Index: diversified defense contractors, aerospace engineering & components, and industrial conglomerates. In addition, companies whose only involvement with natural disasters is the development and provision of communication equipment or services are excluded from the Underlying Index. Companies in the Underlying Index are equally weighted. The component companies of the Underlying Index are small-capitalization, medium-capitalization, and large-capitalization listed equity securities and depositary receipts. Securities with a price below US$1 or a total market capitalization less than US$250 million are excluded from the Underlying Index. In addition, the Underlying Index excludes companies listed in Taiwan or Korea. The Underlying Index is owned and developed by GKD Index Partners, LLC d/b/a/ Alerian (“Alerian” or the “Index Provider”) and is calculated by Refinitiv US LLC (“Refinitiv”). Alerian and Refinitiv are not affiliated with ProcureAM, LLC, the Fund’s investment advisor (the “Advisor”), or the Fund’s distributor. The Underlying Index is rebalanced (i.e., the weights of the Underlying Index components are reset) on a quarterly basis in March, June, September, and December and is reconstituted (i.e., Underlying Index components are added or deleted) on an annual basis each March. Underlying Index components are selected on the last business day of the month prior to reconstitution.
The correlation aspect of the FEMA Index ETF (FEMA) is centered around its unique focus on companies involved in the home improvement, emergency power generation, and disaster relief sectors. As a result, FEMA's correlation with these specific industries and the broader market can provide valuable insights into the performance of companies contributing to disaster recovery efforts. Studying FEMA's correlation with other related sectors and assets can help investors gauge the impact of natural disasters on these industries, making it a useful tool for those interested in the resilience and recovery of disaster-related businesses. ETF Insider provides a comprehensive web app for analyzing FEMA's correlation with various sectors and assets, helping investors gain deeper insights into the ETF's performance. With its simple visualization tools and data analysis capabilities, ETF Insider enables users to identify correlations, overlaps, and trends within FEMA's portfolio and its relationship with the broader market, facilitating informed investment decisions in disaster-related industries.
The FEMA Sector ETF focuses on companies involved in the home improvement sub-industry, the development and production of emergency/backup power generators and batteries in the electrical components and power equipment sub-industry, and those with government contracts aiding natural disaster relief or mitigation within the last five years. It excludes companies in diversified defense contractors, aerospace engineering & components, and industrial conglomerates. The ETF offers exposure to companies contributing to disaster preparedness and recovery efforts, making it a potential choice for investors interested in supporting resilience in the face of natural disasters.
FEMA Exposure is a unique exchange-traded fund (ETF) that focuses on companies involved in disaster relief, emergency power generation, and home improvement industries. The fund seeks to provide exposure to businesses aiding in natural disaster relief and mitigation, as well as those in the electrical components and power equipment sub-industry. FEMA Exposure''s portfolio includes a mix of small-cap, medium-cap, and large-cap stocks and depositary receipts, all equally weighted, to capture the performance of companies contributing to disaster resilience and recovery efforts. For more detailed insights into FEMA Exposure and its underlying holdings, consider using the ETF Insider web app, which provides comprehensive data and visualization tools for better understanding the ETF''s exposure and correlations within the market.
ETF Insider is a data-driven portfolio analytics and optimization platform that introduces a more efficient and practical way to visualize, analyze and optimize portfolios.
Rather than focusing on the surface-level attributes of ETFs and Mutual Funds, ETF Insider goes deeper by examining the underlying holdings of exchange traded products.
By organizing and structuring that data, investors can easily navigate within their overlapping layers.
This innovative perspective combined with modern data visualization and modeling tools, provides an entirely new approach to portfolio optimization that can quickly expose both portfolio inefficiencies and opportunities.
6 min readThe FEMA ETF is a specialized investment fund that focuses on a specific sector. This exchange-traded fund offers investors exposure to a range of companies in this sector.
5 min readThe FEMA ETF is a specialized investment fund that focuses on global companies in the relevant sectors. This exchange-traded fund offers investors exposure to a diverse range of innovative and cutting-edge companies engaged in advancements in the industry. Discover the potential growth opportunities and risks associated with investing in this dynamic sector through the FEMA ETF.
5 min readThe MDEV ETF is a specialized investment fund that focuses on a specific sector. This exchange-traded fund offers investors exposure to a range of companies in this sector.
ETF Insider is a novel portfolio optimization tool that uses the power of data visualization to gain insight into portfolio compositions, concentration risks, portfolio efficiency and more. Complex financial data can be transformed into visually appealing and easily digestible graphs and charts, allowing investors to quickly identify trends and make well-informed investment decisions. Not only does this save time, but it also increases the accuracy and effectiveness of portfolio management.
