Best printers for Home

Best Mixer Grinder

Best wired Earphones

Best 43 Inch TV in India

Best Wi Fi Routers

Best Home Theatre in India

Smart Watch under 5000

Best Laptops for Education

Best Laptop for Students

<ul><li>The allure of investing in next-generation themes like robots and space travel doesn't lead to outperformance for investors, according to JPMorgan.</li><li>The bank analyzed the performance of various thematic ETFs and found they're expensive and often pay high prices for "hot" stocks.</li><li>"High expenses and negative long-term alpha suggest the universe of thematic funds does not belong in one's strategic asset allocation," JPMorgan said.</li><li><a href="https://newsletter.businessinsider.com/join/4np/10-things-opening-bell?utm_medium=ingest&amp;utm_medium=ingest&amp;utm_medium=ingest&amp;utm_source=markets&amp;utm_source=markets&amp;utm_source=markets" target="_blank" rel="noopener">Sign up here for our daily newsletter, 10 Things Before the Opening Bell</a>.</li></ul><keyword id="12989180" type="UNKNOWN" weightage="60" keywordseo="thematic-investing" source="Orion">Thematic investing</keyword> has boomed in recent years, with assets invested in disruptive themes tripling over the past two years.The success has benefited <a href="https://www.businessinsider.com/disruptive-tech-stocks-growth-investing-blockchain-crypto-cathie-wood-ark-2022-1">thematic investment managers like ARK Invest</a>, which was an early buyer of <a href="https://markets.businessinsider.com/stocks/tsla-stock">Tesla</a> and saw its assets under management skyrocket since its inception in 2014. But the allure of <a href="https://markets.businessinsider.com/news/stocks/6-etfs-for-stock-market-zeitgeist-buzz-fomo-mvp-tickers-2021-3-1030229608">investing in thematic ETFs that target various trends</a> like robotics, space exploration, and renewable energy doesn't benefit the end investor in the long-term due to high fees and underperformance relative to the broader <keyword id="11895235" type="UNKNOWN" weightage="60" keywordseo="stock-market" source="Orion">stock market</keyword>, according to a Tuesday note from <a href="https://markets.businessinsider.com/stocks/jpm-stock">JPMorgan</a>.The bank analyzed a broad set of 1,000 thematic funds over the past 16 years and found that they underperformed global equities by 1.6%. Much of the underperformance is due to high investment fees of more than 1%, and buying "hot" stocks at high prices."Our guess is that thematic funds get launched and attract a lot of inflows when certain themes become 'hot.' This suggests that thematic funds pay high prices for the stocks they select as they buy companies in sectors that fit the hot theme and where the theme is fully priced in," JPMorgan explained.This dynamic has played out in popular thematic ETFs managed by Ark Invest, which saw a surge in inflows as trending stocks like Tesla boomed. But high valuations and few profits generated by its underlying holdings fell out of favor amid a period of rising interest rates, <a href="https://markets.businessinsider.com/news/etf/ark-invest-flagship-etf-aum-growth-value-rotation-cathie-wood-2022-1">leading to a deflation in assets and performance.</a>Thematic investment strategies "are overall high beta, with a focus on future growth, but are also negative alpha, maybe as they pay high prices for 'hot' stocks and themes," JPMorgan said. Additionally, thematic funds charge on average 55 basis points more in fees relative to a passive global equity portfolio."High expenses and negative long-term alpha suggest the universe of thematic funds does not belong in one's strategic asset allocation," JPMorgan said.JPMorgan admits there's nothing wrong with expressing a particular theme through your investments, and investors can improve their chances of outperforming the market via thematic funds by investing in low-cost thematic ETFs, particularly thematic ETFs that are attached to a passive index rather than actively managed."In principle, there is nothing wrong with investing in views of a changing future, as we advised in many of our strategic notes. But one needs to be 'economical' with how one does this, selecting funds that charge no more than 1%," JPMorgan concluded.

Thematic ETFs investing in everything from meme stocks to space travel have boomed — but they're expensive and don't beat the market, JPMorgan says

Spencer Platt/Getty Images<ul class="summary-list"><li>Carlson Capital's stock-picking fund, Black Diamond Thematic, lost more than 20% in January, according an investor document seen by Business Insider.</li><li>The fund lost roughly 60% of its assets last year when one of the firm's two portfolio managers, Matthew Barkoff, resigned. The fund was up 18% last year. </li><li>The firm's flagship multi-strategy funds roughly broke even last month. A source familiar with the firm says the firm's flagship Double Black Diamond fund has no allocation to the Thematic fund. </li><li><a href="https://www.businessinsider.com/?hprecirc-bullet">Visit Business Insider's homepage for more stories</a>.</li></ul>Carlson Capital's stock-picking fund Black Diamond Thematic lost more than 20% in January, an investor document showed. The fund - which had more than $1 billion in assets in 2017 but saw AUM drop at the beginning of last year <a href="https://www.businessinsider.com/carlson-capital-portfolio-manager-barkoff-resigns-2019-3">following the departure of one of its portfolio managers</a> - more than doubled the average hedge fund's performance last year, returning 18%. The Dallas-based manager, which runs $6.4 billion, declined to comment on why the fund plunged so much in a month or how much money that fund was running. A source familiar with the firm told Business Insider that the firm's flagship fund, Double Black Diamond, has no allocation to the Thematic fund. The two multi-strategy funds run by the firm - the aforementioned Double Black Diamond and Black Diamond - returned 0.33% and -0.09%, respectively, for the month. The stock-picking fund posted a positive performance last year, though still trailed the overall stock market. Thematic <a href="https://www.businessinsider.com/carlson-capital-2018-performance-returns-2019-1">lost 1%</a> and <a href="https://www.businessinsider.com/hedge-fund-carlson-capital-loses-money-in-2017-2018-1">22%</a> in 2018 and 2017, respectively. Carlson isn't the only fund that saw a major drop in the first month of 2020.Bloomberg reported that David Einhorn's Greenlight Capital <a href="https://www.bloomberg.com/news/articles/2020-02-01/einhorn-s-greenlight-capital-funds-decline-7-6-in-january">lost more than 7%</a> in January thanks to the manager's bet against Elon Musk and Tesla. <h3>NOW WATCH: <a href="https://www.businessinsider.com/ian-bremmer-shares-the-most-important-takeaways-from-davos-2020-1">Ian Bremmer reveals what business and political leaders are discussing behind closed doors in Davos</a></h3>

Carlson Capital's stock-picking fund drops more than 20% in a disastrous January

<ul class="summary-list"><li>An actively managed <keyword id="6357062" type="DEFINITION" weightage="60" keywordseo="ETF">ETF</keyword> from <keyword id="191844" type="PERSON" weightage="60" keywordseo="Ryan-Jacob">Ryan Jacob</keyword>'s asset management firm is looking to capitalize on the thematic investing boom.</li><li>The Jacob Forward ETF will invest in "innovative, forward-thinking" <keyword id="6358815" type="UNKNOWN" weightage="60" keywordseo="tech">tech</keyword> companies.</li><li>Jacob cut his teeth investing in tech as the dot-com bubble inflated, launching the Jacob Internet Fund in December 1999.</li></ul>An actively managed ETF launched Wednesday by Ryan Jacob's asset management firm is looking to capitalize on the thematic investing boom.The Jacob Forward ETF will invest in "innovative, forward-thinking" tech companies, on the theory technological advantages can drive "superior, lasting growth," according to the <a href="https://www.jacobam.com/pdfs/JFWD_pr.pdf">announcement</a>.Jacob cut his teeth investing in tech companies as the dot-com bubble inflated, launching the Jacob Internet Fund in December 1999, just months before the market crashed. After gaining 24% by March 2000, the bottom fell out for the fund, sending it tumbling 87% by the start of 2001.But Jacob hung on, and his fund steadily recovered. Following a precipitous run-up during the pandemic, the internet fund is back at pre-dot-com bust levels, gaining 528% since 2001. The fund has gained 20.3% year-to-date.The new ETF follows on a huge surge of interest in thematic funds, driven by <keyword id="1041631" type="CITY" weightage="60" keywordseo="ARK">ARK</keyword> Invest CEO <keyword id="10473418" type="UNKNOWN" weightage="60" keywordseo="cathie-wood">Cathie Wood</keyword>. Wood's outsized returns on her innovation ETFs and a cult following have catapulted her to fame.The Jacob Forward ETF will charge a 0.75% management fee, in line with ARK's flagship ETF but a touch above the <a href="https://www.etf.com/channels/active-management-etfs">sector average of 0.69%</a>.

A new ETF from legendary tech investor Ryan Jacob will target 'forward-thinking companies,' tapping demand for thematic investments

<ul class="summary-list"><li>An fund called the Thematic All-Stars <keyword id="6357062" type="DEFINITION" weightage="60" keywordseo="ETF">ETF</keyword> is in the works for investors seeking a vehicle designed to track the <keyword id="6357440" type="DEFINITION" weightage="60" keywordseo="Stock-Market">stock market</keyword>'s hottest themes.</li><li>This passively managed fund will be launched by Amplify ETFs, sponsored by Amplify Investments.</li><li>The fund will not allow a company to make up more than 5% of its overall holdings.</li></ul>For investors who want to put their money in the hottest investing themes, a new exchange-traded fund may the answer for you: the Thematic All-Stars ETF.These thematic segments include disruptive technology, evolving consumer, fintech, health care innovation, industrial revolution, sustainability, among others.Currently in the works, this passively managed fund will be launched by Amplify ETFs, sponsored by Amplify Investments, which has over $4.7 billion in assets across its suite of ETFs as of March 2021, <a href="https://www.bloomberg.com/news/articles/2021-04-29/an-all-stars-etf-is-coming-so-traders-can-ride-every-hot-trend">Bloomberg first reported</a>.Amplify ETFs <a href="https://www.sec.gov/Archives/edgar/data/1633061/000121390021023307/s131790_485apos.htm">filed a prospectus</a> with the US Securities Exchange Commission dated April 28 to launch Amplify Thematic All-Stars ETF."The thematic universe includes all ETFs that meet the index provider's proprietary classification requirements, which are designed to identify ETFs with strategies seeking to capture investment opportunities," the prospectus said.But unlike many other <keyword id="6356305" type="UNKNOWN" weightage="60" keywordseo="funds">funds</keyword>, the Thematic All-Stars ETF will not allow a company to represent more than 5% of its overall holdings.Any excess weight will be prorated among remaining constituents, the prospectus said. As of writing, the index contained 160 stocks, which will be reconstituted and rebalanced monthly at the close of the first Friday of each calendar month, the prospectus added.If approved, the fund will join a list of growing ETFs that have recently debuted to cater to the growing appetite of investors following the GameStop mania driven by Reddit's Wall Street Bets forum in January. For instance, an <a href="https://www.businessinsider.com/fomo-etf-invest-in-market-trends-from-spacs-to-volatility-2021-3">ETF called FOMO</a>, which aims to invest in current or emerging trends, was <a href="https://sec.report/Document/0001387131-21-003381/">filed</a> with the US Securities and Exchange Commission in March, intending to alleviate investors' fears of missing the next big thing."With ETF <keyword id="31671" type="CITY" weightage="100" keywordseo="markets">markets</keyword> booming during the coronavirus pandemic, millennials have also been a key driver to the sector's growth," a <a href="https://finbold.com/10-largest-etfs-market-cap-surges-by-47-adding-540-billion-in-12-months/">Finbold</a> report said. "In this case, young people who are not familiar with the operations of the financial markets are well-served by using a passive income management approach, and ETFs offer the solutions."The assets under management of the10 largest ETFs surged 47.56% to $1.69 trillion between March 2020 and April 2021. In the past year, these funds added $546.63 billion, according to Finbold. Read more: <a href="https://www.businessinsider.com/stocks-exposed-nft-boom-opportunity-after-price-slump-jefferies-2021-4" target="_blank" rel="noopener">Jefferies unveils 14 stocks with exposure to the booming NFT opportunity as digital collectibles continue to become more mainstream despite the recent price slump</a>

An 'all-stars' ETF designed to track the stock market's most popular themes is in the works, new report says

<div class="KonaFilter image-container display-table"><div><div class="image on-image">Spencer Platt/Getty Images</div></div></div><ul class="summary-list"><li>Carlson Capital portfolio manager Matthew Barkoff resigned from Dallas-based hedge fund in January, prompting a wave of redemptions, sources tell Business Insider.</li><li>Assets at the Black Diamond Thematic fund, which Barkoff helped manage, have fallen to around $250 million from $1 billion as of August 2017. </li><li>Carlson lost several senior leaders in 2018, including longtime chief risk officer Michael Palys, treasurer Michael Watson, and head of fixed income Ivan Ross. </li></ul>Hedge fund Carlson Capital has been hit with client withdrawls from its long-short equity fund following the departure of one of the fund's two portfolio managers. Carlson's Black Diamond Thematic fund, which ended 2018 with $621 million in assets, has shed 60% of its assets since the start of the year after fund manager Matthew Barkoff resigned in January, sources tell Business Insider.Black Diamond Thematic fund, which had more than $1 billion assets in mid-2017, represents a small portion of Carlson's overall assets - around 10% as of the end of 2018.Barkoff did not respond to requests for comment and a spokesman Carlson declined to comment. Traditional stock-pickers have struggled to find a foothold in a market now dominated by quants and passive index funds, and several hedge funds, including Jana Partners and BlueMountain Capital Management, <a href="https://www.businessinsider.com/jana-partners-is-cutting-long-short-funds-2019-1">have axed</a> their long-short equity funds already in 2019. The field's reputation has taken such a hit <a href="https://www.businessinsider.com/author/bradley-saacks">that even a strong start to the year</a> by some of the biggest stock-picking names has not been able to stem the flood of redemptions. See more: <a href="https://www.businessinsider.com/einhorn-ackman-edelman-positive-returns-in-january-2019-2">It's a billionaire bounce back as Einhorn, Ackman, and Edelman all post good January returns, after a brutal 2018</a>Barkoff, a former portfolio manager for Steve Cohen's SAC Capital, helped found the fund 8 years ago at Carlson with fellow portfolio manager Richard Maravigilia, who is also a SAC alum. He will remain an advisor to the firm and does not have plans to join another manager, a source with knowledge of the situation tells Business Insider. <a href="http://newsletter.businessinsider.com/join/4np/wall-st-insider&amp;hash=f4e91136c13f3c40c496d77bc7347502">Sign up here</a> for our weekly newsletter "Wall Street Insider," a behind-the-scenes look at the stories dominating banking, business, and big deals.The Black Diamond Thematic fund was the only one of the firm's five funds to finish 2018 with negative returns, losing 0.57% for the year. In 2017, <a href="https://www.businessinsider.com/hedge-fund-carlson-capital-loses-money-in-2017-2018-1">the fund dropped 22.1%</a> and the firm's overall assets fell $900 million that year. Assets for Carlson at the beginning of 2019 stood at $8.1 billion, with roughly $2 billion in CLO investments and $6 billion across the five hedge funds. The flagship multi-strategy fund, Double Black Diamond, began 2019 with $3.2 billion <a href="https://www.businessinsider.com/carlson-capital-2018-performance-returns-2019-1">after returning 2.62% in 2018</a>. Clint Carlson <a href="https://www.businessinsider.com/clint-carlsons-hedge-fund-loses-chief-risk-officer-2018-12">also lost</a> chief risk officer Michael Palys, longtime treasurer Michael Watson and head of fixed income Ivan Ross in 2018. See more: <a href="https://www.businessinsider.com/hedge-fund-precocity-capital-closing-2019-2">A former SAC Capital portfolio manager is closing his $1 billion energy hedge fund after only three years of trading </a> <div class="margin-top"> <h3>NOW WATCH: <a href="https://www.businessinsider.com/vitalik-buterin-created-ethereum-one-of-the-worlds-three-largest-cryptocurrencies-2019-1">Vitalik Buterin created one of the world's largest cryptocurrencies in his early twenties - here's how he did it and why</a></h3> <div> </div> </div>

Carlson Capital is bleeding assets in its stock-picking fund following the departure of one of its portfolio managers

<div class="KonaFilter image-container display-table"><div><div class="image on-image">DefianceMatt Bielski, Defiance co-founder, is betting on the next generation of wireless</div></div></div><ul class="summary-list"><li>The first exchange traded fund to invest in 5G - the next generation of wireless technology - launched Tuesday. </li><li>The new ETF, launched by a company that manages funds for disruptive technologies, invests in equipment, mobile network operators, real estate businesses, and other components of 5G networks. </li><li>ETFs centered around specific themes, like 5G, are becoming big business for asset managers, who can charge higher fees than they do for funds that track indexes like the S&amp;P 500. But many of the specialty funds fail to gather enough money to last. </li></ul>5G - the next generation of wireless technology - is set to supercharge smartphones and underpin innovations, including self-driving cars. While <a href="https://www.businessinsider.com/5g-wireless-service-is-coming-but-deloitte-forecasts-slow-rollout-2018-12">the nascent technology won't be widely used for years</a>, Defiance, a startup exchange traded fund provider, is betting that the businesses related to 5G will take off as the technology evolves. On Tuesday, the New York-based company launched the Defiance Next Gen Connectivity ETF, which trades on the New York Stock Exchange as FIVG, the first ETF to invest specifically in 5G. Paul Dellaquila, who left BlackRock last year to join Defiance as head of ETFs, told Business Insider that 5G is "a superhighway" that allows faster speeds, more geographic access, and greater mass application than 4G or its predecessors. "It has massive ramifications for what's going to happen over the next decade," Dellaquila said. See more: <a href="https://www.businessinsider.com/what-is-5g-how-fast-is-it-and-when-is-it-coming-2019-1">What is 5G, how fast is it, and when is it coming?</a>In 2017, a report from research company IHS said that in 2035, the 5G value chain will generate $3.5 trillion and support 22 million jobs globally.<h2>Thematic funds are surging in popularity, but sometimes 'flame out'</h2>Managers are launching more thematic ETFs, like FIVG, partly as a way to make up revenue from cheaper market funds that track broad parts of the market. "For some investors, thematic ETFs have taken the place of stocks that offer long-term growth potential," Todd Rosenbluth, the head of ETF and mutual fund research for CFRA, told Business Insider. "Investors benefit from the diversification at the security level but can play the broader theme. For asset managers, these long-term strategies can charge a premium price rather than face the <a href="https://www.businessinsider.com/sofi-plans-first-no-fee-exchange-traded-funds-2019-2">same pressure to charge minimal fees in a race to the bottom</a> for asset allocation products."Despite their popularity, Ben Johnson, Morningstar's director of fund research, cautioned that thematic funds sometimes "flame out in a catastrophic fashion." Many fund sponsors pick a theme relating to headlines - cybersecurity when major companies get hacked, for example - and launch funds that fail to gather significant money. "It's easier than ever to grab a handful of pasta and throw it at the wall to see what'll stick with investors," Johnson said. "Most of these strands of spaghetti have failed to stick to the wall ... Either the theme is just a flash in the pan, they get the theme right but the firms wrong, or the valuations aren't favorable to investing in that particular theme. A lot of these funds wind up dying on the vine." <h2>The fund could appeal to millennial investors</h2>Defiance manages two other thematic ETFs, one for augmented and virtual reality, and the other for quantum computing. Together, the funds have just under $10 million. Dellaquila said his firm is looking for long-term themes, rather than quick market trends. "Our belief is that investors have shown an appetite for more narrowly focused ETFs so that they can better express a specific view in their portfolios," he said. "All investments have a certain amount of cyclical nature to them, but we are providing exposure to areas of the market that we believe will change our everyday lives for years to come."<a href="http://newsletter.businessinsider.com/join/4np/wall-st-insider&amp;hash=f4e91136c13f3c40c496d77bc7347502">Sign up here</a> for our weekly newsletter Wall Street Insider, a behind-the-scenes look at the stories dominating banking, business, and big deals.Defiance's 5G fund goes beyond the major telecommunications companies, such as Verizon and AT&amp;T, to invest in 5G's supply chain. Half of its holdings are in companies that provide core equipment, such as routers and antennas. It also invests in real estate investment trusts, which own cellular towers, and enhanced mobile broadband companies, among other parts of the 5G ecosystem. No company accounts for more than 5% of the ETF's holdings. "The way most people go about building tech exposure is with tools that are 20 years old," said Defiance's chief executive officer Matt Bielski, formerly the head of asset allocation and ETF distribution at Direxion. "What we want to do is bring something a little bit different to the table."Those older tools - funds that track communications indexes - have not hurt for capital. Vanguard's US communications ETF, for example, manages about $1.5 billion.Dellaquila expects the FIVG to appeal to millennial and Generation X investors. After the fund has a track record, he said institutional investors may also be interested. The ETF, which launches with $2.5 million in assets, has a 0.3% expense ratio, meaning that for every $10,000 invested, the investor pays $30. That's just over the average 0.27% average fee for sector-specific passive funds, according to a Morningstar report from last year. <ul class="read-more-links"><li>Read more:</li><li><a href="https://www.businessinsider.com/verizon-5g-home-network-internet-service-available-4-us-cities-october-1-2018-9" data-read-more-link="" data-e2e-name="read-more-link">Verizon's ultrafast 5G home internet service will begin rolling out October 1 and offer download speeds 10 times as fast as the US average</a></li><li><a href="https://www.businessinsider.com/att-launching-us-first-5g-mobile-network-2018-12" data-read-more-link="" data-e2e-name="read-more-link">AT&amp;T is launching the US' first 5G mobile network this Friday - here's how that will give it an edge over Verizon and T-Mobile</a></li><li><a href="https://www.businessinsider.com/r-investment-focus-robotics-etf-anyone-firms-float-trendy-trackers-in-europe-2017-4" data-read-more-link="" data-e2e-name="read-more-link">Robotics ETF, anyone? Firms float trendy trackers in Europe</a></li></ul> <div class="margin-top"> <h3>NOW WATCH: <a href="https://www.businessinsider.com/vitalik-buterin-created-ethereum-one-of-the-worlds-three-largest-cryptocurrencies-2019-1">Vitalik Buterin created one of the world's largest cryptocurrencies in his early twenties - here's how he did it and why</a></h3> <div> </div> </div>

A 5G-themed ETF is the latest to try and tap into a hot trend, even as scores of thematic funds 'flame out'

<div class="KonaFilter image-container display-table"><div><div class="image on-image"><a href="https://en.wikipedia.org/wiki/Facepalm#/media/File:Paris_Tuileries_Garden_Facepalm_statue.jpg">Wikimedia Commons</a></div></div></div><ul><li>Carlson Capital's hedge fund assets dropped by $1 billion in five months.</li><li>The firm's Black Diamond Thematic fund lost 22.1% last year, with assets dropping more than $300 million from August to December. </li></ul> Assets at Clint Carlson's investment firm have dropped by nearly $1 billion in five months, client documents show.The Dallas-based hedge fund managed $8.2 billion firmwide at the start of 2018, down from $9.1 billion in August 2017, according to documents seen by Business Insider. The drop was exclusively a result of a decline in hedge fund assets, with that business seeing assets fall from $7.6 billion to $6.6 billion. Carlson Capital's collateralized loan obligation business in contrast saw a small increase in assets, now up to $1.6 billion. More than $300 million of the decline in hedge fund assets can be attributed to Carlson's Black Diamond Thematic fund. On August 1, 2017, that fund managed $1.2 billion, per client documents. The fund managed $854 million as of the start of this year.That fund was the firm's worst performer last year, falling 22.1% after fees, adding on to losses sustained earlier in 2017.Carlson's flagship multistrategy funds also lost money last year, losing -4.47% (Double Black Diamond, LP, $2.2 billion) and -5.99% (Black Diamond Partners, LP, $499 million), after fees. Hedge funds on average posted gains last year while the stock market rallied, meanwhile. The HFR Fund Weighted Composite Index gained 8.5% in 2017. The S&amp;P 500 was up 21.8%.The firm's other strategies posted net gains, meanwhile: <ul><li>Black Diamond Relative Value Partners LP: +1.45%, with $307.5 million in assets</li><li>Black Diamond Arbitrage Partners, LP: +6.85%, with $86.5 million in assets</li></ul>An external spokesperson for Carlson declined to comment. <div class="margin-top"> <h3>NOW WATCH: <a href="http://www.businessinsider.com/why-central-banks-using-blockchain-technology-could-be-beneficial-2018-1">Central banks are experimenting with blockchain technology - here's why</a></h3> <div> </div> </div>

Clint Carlson's hedge fund assets drop $1 billion in five months after brutal performance

<ul><li>The launch of a K-Pop themed ETF will give investors exposure to South Korea's entertainment industry.</li><li>The KPOP and Korean Entertainment ETF began trading on the New York Stock Exchange on Thursday.</li><li>The launch of the KPOP ETF continues a Wall Street trend of offering super-niche thematic investments to investors.</li></ul>Bullish on the recent album drop of your favorite K-POP band? There's an ETF for that.It's called the <a href="https://www.kpopetf.com/">KPOP and Korean Entertainment ETF</a>, and it's a continuation of a Wall Street trend that seeks to offer super-niche thematic investment strategies to retail investors.Launched by CT Investments, the KPOP ETF began trading on the New York Stock Exchange on Thursday under the ticker symbol "KPOP." The ETF invests in Korea-exchange listed companies that operate in the entertainment and interactive media industry."K-pop, which has become a global keyword, has become part of mainstream culture for fans in Korea as well as around the world. We are launching this ETF to provide an opportunity for global fans who love K-pop to participate in the potential growth and development of the K-pop industry as well as investors access to Korea-listed companies that are driving the future of global content industry forward," <a href="https://www.businesswire.com/news/home/20220901005057/en/CT-Investments-to-Launch-the-First-K-POP-ETF-in-the-U.S.">CT Investments CEO Jangwon Lee said.</a>Talking up the growth potential of South Korea's entertainment industry, Lee highlighted that international sales of music records from Korean entertainment companies ballooned to $221 million in 2021 from just $24 million in 2012. The K-pop ETF is the latest example of funds being offered to investors that track a very specific investment theme. In recent years ETFs for everything from space travel (<a href="https://markets.businessinsider.com/etfs/procure-space-etf-us74280r2058?miRedirects=2">UFO</a>), to meme stocks (<a href="https://markets.businessinsider.com/etfs/roundhill-meme-etf-us53656f3423?miRedirects=2">MEME</a>), to politically-minded investments (<a href="https://markets.businessinsider.com/etfs/point-bridge-america-first-etf-us26922a6284?miRedirects=2">MAGA</a>) have been launched, with varying degrees of success. "The global market for K-pop is still at an early stage of growth and the KPOP and Korean Entertainment ETF will offer thematic exposure to key companies in the Korean entertainment and media industry that stand to benefit from this secular trend," Lee said.The KPOP ETF owns 30 South Korean companies and counts HYBE Co., CJ ENM, and JYP Entertainment as its top three holdings. HYBE Co. is the agency that manages popular South Korean boy band BTS.While the thematic ETF is chasing a growing trend in the entertainment industry, it will likely face an uphill battle in gaining traction with investors. Thematic ETFs have suffered from poor performance during the recent stock market rout, and the ETF's annual expense ratio of 0.75% is not cheap. Inflows <a href="https://www.etf.com/sections/features-and-news/thematic-etf-inflows-plummet-performance-sinks?nopaging=1">into thematic ETFs have plummeted this year,</a> but the launch of the right ETF strategy at the right time can lead to big success, evidenced by the launch of a cybersecurity ETF <a href="https://www.barrons.com/articles/anti-hacker-etf-jumps-amid-sony-cyberattack-kerfuffle-1419020520">amid a high profile hack of Sony in 2014.</a> Now investor eyes might be on when the next album from BTS drops.

The launch of a K-Pop ETF continues the Wall Street trend of offering super niche thematic fund strategies to investors

<div class="KonaFilter image-container display-table"><div><div class="image on-image">Heidi Gutman/GettyClint Carlson founded his hedge fund in 1993.</div></div></div><ul class="summary-list"><li>Carlson Capital's two multi-strategy funds - Black Diamond and Double Black Diamond - have returned just 2.5% and 1.4% this year through the end of October, an investor document shows. </li><li>The firm has also lost two portfolio managers recently, including real-estate investor Matt Adams and healthcare PM Rob Gupta, who joined Millennium.</li><li>Its hedge fund assets overall stand at roughly $4.8 billion - roughly 40% less than the $8.2 billion the firm began 2018 with. </li><li><a href="https://www.businessinsider.com/prime">Click here for more BI Prime stories</a>. </li></ul>Carlson's tough 2019 continues. To start, the firm has seen a string of investment talent departures. It's the latest in what has been a volatile few years for Clint Carlson's 26-year-old hedge fund, which has included a roughly 40% drop in assets since 2018 to $4.8 billion as of the end of October.Real-estate portfolio manager Matt Adams, healthcare portfolio manager Rob Gupta, managing director Narvir Sidhu, and mortgages trader Gary Helene have all left the firm in the last couple of months, sources tell Business Insider.Gupta has joined Millennium's Arch Rock Management, while Sidhu is now a portfolio manager for Segantii Capital Management in London, according to their LinkedIn profiles. The departed employees either did not respond to requests for comment, could not be reached, or declined to comment. And the Dallas-based hedge fund manager's two flagship multi-strategy funds - Black Diamond and Double Black Diamond - finished October up 2.5% and 1.4%, respectively, for the year so far, according to an investor letter. Meanwhile, the average hedge fund has returned more than 7% and the stock market is up double-digits. Carlson declined to comment. A source close to the firm said that Carlson Capital has around 150 people total at the moment, and recently hired Adam Bernstein and Greg Thomas as portfolio managers.Bernstein had spent 10 years at Glenn Dubin's Highbridge before starting his own fund, Pagoda Asset Manager, in 2014; he rejoined Highbridge in 2018. Thomas ran the Blackstone-backed Carbonado Capital before joining Carlson. The firm's assets have tumbled over the last three years, as the fund was plagued by poor performance in 2017 and key personnel departures in 2018 and 2019. After starting August of 2017 with $9.1 billion in AUM, Carlson Capital lost <a href="https://www.businessinsider.com/hedge-fund-carlson-capital-loses-money-in-2017-2018-1">nearly $1 billion in assets in the last five months of that year.</a> The firm's performance <a href="https://www.businessinsider.com/carlson-capital-2018-performance-returns-2019-1">did bounce back in 2018</a>, a year where the average hedge fund lost money thanks to a fourth-quarter whipsaw in markets. Both flagship funds were up, returning roughly 2.5% each, but the firm also saw departures of its head of fixed income, chief risk officer, and treasurer during 2018. This year, Carlson Capital saw investors redeem from its stock-picking Black Diamond Thematic fund <a href="https://www.businessinsider.com/carlson-capital-portfolio-manager-barkoff-resigns-2019-3">after one of the fund's portfolio managers, Matthew Barkoff</a>, left the firm in January. The fund's assets have dropped more than 90% from its peak of more than $1 billion in 2017, an investor document shows, with current assets at $71 million. The firm's hedge fund assets overall stand at roughly $4.8 billion - about 40% less than the $8.2 billion the firm began 2018 with. While the firm's flagship funds have lagged competitors like Citadel, Balyasny, Millennium, Point72, and others this year, its single-strategy funds, including the aforementioned Black Diamond Thematic, have outperformed the firm's mainstays. The event-driven option, known as Black Diamond Arbitrage, has made 4.59% so far this year. Black Diamond Relative Value is up 8%, and Black Diamond Thematic has been the best out of all the funds, with a 10.24% return. <div class="margin-top"> <h3>NOW WATCH: <a href="https://www.businessinsider.com/candy-corn-ingredients-made-of-gelatin-lac-resin-halloween-sugar-syrup-2017-10">Here's what candy corn is actually made of</a></h3> <div> </div> </div>

You Searched For "thematic funds" and got 9 results

Thematic ETFs investing in everything from meme stocks to space travel have boomed — but they're expensive and don't beat the market, JPMorgan says

Matthew Fox

Carlson Capital's stock-picking fund drops more than 20% in a disastrous January

Bradley Saacks

A new ETF from legendary tech investor Ryan Jacob will target 'forward-thinking companies,' tapping demand for thematic investments

Ethan Wu

An 'all-stars' ETF designed to track the stock market's most popular themes is in the works, new report says

Isabelle Lee

Carlson Capital is bleeding assets in its stock-picking fund following the departure of one of its portfolio managers

Bradley Saacks

A 5G-themed ETF is the latest to try and tap into a hot trend, even as scores of thematic funds 'flame out'

Meghan Morris

Clint Carlson's hedge fund assets drop $1 billion in five months after brutal performance

Rachael Levy

The launch of a K-Pop ETF continues the Wall Street trend of offering super niche thematic fund strategies to investors

Matthew Fox

Carlson Capital's latest investor letter reveals market-lagging flagship funds, and insiders say two more portfolio managers have jumped ship

Bradley Saacks

Popular Keywords

Buying Guides