The TOKE ETF is managed by Cambria Investment Management, L.P., a prominent investment advisor with a focus on actively managed exchange-traded funds. The fund is designed to provide exposure to Cannabis Companies, which are businesses involved in the legal production, cultivation, and sale of cannabis, including marijuana and hemp, as well as those conducting research on cannabis-related products or developing equipment for the industry. Cambria Investment Management, L.P. ensures that at least 80% of the fund's net assets are invested in Cannabis Companies, offering investors an opportunity to participate in the growing cannabis industry while adhering to legal and regulatory requirements. As the cannabis industry evolves and expands into various sectors such as tobacco, food, medicine, and more, the TOKE ETF aims to adapt and provide investors with exposure to these emerging opportunities within the industry.
Although the primary focus of the Cambria Cannabis ETF (TOKE) may not be on dividends, it still reflects the dividend distribution of the underlying Cannabis Companies. These distributions typically occur on a periodic basis and are influenced by the individual dividend policies and performances of the constituent companies. As TOKE includes a diverse range of companies within the cannabis industry, investors may find it suitable for potential capital appreciation along with some level of dividend returns.
Tracking the Cannabis industry is central to TOKE, an actively managed exchange-traded fund (ETF) by Cambria Investment Management, L.P. TOKE seeks to achieve its investment objective by primarily investing in Cannabis Companies, which are defined as entities involved in legal cannabis production, cultivation, sale, research, or the development of cannabis-related products. The fund aims to maintain at least 80% of its assets in these companies, ensuring exposure to the evolving cannabis market. TOKE's portfolio is subject to regular rebalancing to meet Cambria's target allocations, and it operates within the legal framework of relevant jurisdictions, including U.S. federal and state laws, where the Cannabis Companies' activities must be legal.
The correlation aspect of the Cambria Cannabis ETF (TOKE) plays a vital role in understanding its behavior within the cannabis industry. As TOKE seeks to invest primarily in cannabis-related companies, its correlation with the performance of the cannabis market is expected to be significant. Investors often analyze TOKE's correlation with other industries such as tobacco, food, alcohol, medicine, and more, as it reflects the evolving landscape of the cannabis industry. TOKE offers a unique opportunity to gain exposure to the growing cannabis sector and adapt to changing business lines and products.
The TOKE ETF focuses primarily on the cannabis industry, with a strong emphasis on companies engaged in the legal production, cultivation, and sale of cannabis products, including marijuana and hemp. Additionally, it invests in companies involved in cannabis-related research and the development of cannabis-related goods and equipment. TOKE offers exposure to a rapidly growing industry that is expected to intersect with other established sectors such as tobacco, food, alcohol, medicine, tourism, and personal care. The ETF may invest in a diverse range of cannabis companies, spanning different market capitalization categories, and its portfolio is subject to periodic rebalancing to align with its investment objectives. As of August 1, 2023, TOKE had significant exposure to companies in the consumer staples and healthcare sectors, as well as companies in Canada and Europe, though its sector exposure may change over time.
The exposure characteristic of the TOKE ETF emphasizes its focus on the cannabis industry, particularly companies engaged in the legal production, cultivation, and sale of cannabis, including marijuana and hemp. Managed by Cambria Investment Management, L.P., TOKE seeks to provide investors with broad exposure to this evolving industry, covering various sectors such as agrobusiness, biotechnology, life sciences, pharmaceuticals, retail, finance, and real estate. The fund is actively managed and aims to capitalize on the potential growth and crossover of the cannabis industry with other established sectors like tobacco, food, alcohol, medicine, tourism, and personal care. With a primary focus on Cannabis Companies, TOKE offers an opportunity to invest in a rapidly developing market while adhering to legal and regulatory requirements.
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.
4 min readDelve into the PSMR ETF in this comprehensive article, examining its portfolio contents, past performance, and related investment implications. Gain clarity on this ETF's position in the wider financial market and its potential role in enhancing your investment diversification.
4 min readCompare the VWO and VEA ETFs with our thorough analysis. Dive into the performance metrics, underlying assets, and investment strategies.
5 min readThe TOKE 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.
