AdvisorShares has teamed up with Los Angeles-based investment firm Gerber Kawasaki, a specialist in thematic investing, to launch a new actively managed ETF targeting US-listed companies benefitting from a variety of megatrends.
Ross Gerber, President and CEO of Gerber Kawasaki.
The AdvisorShares Gerber Kawasaki ETF (GK US) has listed on NYSE Arca and comes with an expense ratio of 0.75%.
The fund is sub-advised by Gerber Kawasaki with President and CEO Ross Gerber serving as the ETF’s portfolio manager.
According to the fund’s prospectus, the fund invests in US-listed securities, including common stock, preferred stock, and ADRs, as well as third-party ETFs, across all market capitalizations but will be tilted towards large-cap exposure.
Gerber will harness his firm’s proprietary research in a bid to uncover emerging macro trends across demographics, societal behaviour, environmental advocacy, geopolitical landscapes, disruptive technology, and innovation.
Examples of relevant investment themes include pets living like humans, video games, cannabis, online gambling, fintech, clean energy and transportation, consumer brand loyalty, real estate disruption, healthcare innovation and biotechnology, artificial intelligence, and sports entertainment.
Security selection is limited to Gerber Kawasaki’s top investment ideas with the firm utilizing a three-part analysis system based on fundamentals, technical indicators, and qualitative assessment (reviewing a company’s products, management, and industry position).
As of the beginning of July, the fund’s two largest holdings were ETFs – the Global X Lithium & Battery Technology ETF and AdvisorShares Pure US Cannabis ETF – each with a weight of 5%. Other notable positions included Tesla (4.7%), Nvidia (4.6%), Microsoft (4.0%), Walt Disney (3.9%), MGM Resorts (3.8%), and Innovative Industrial Properties (3.1%).
Ross Gerber, President and CEO of Gerber Kawasaki, said: “We’re thrilled to bring GK to the marketplace and allow advisors and investors of all levels access to Gerber Kawasaki’s top investment ideas through a disruptive and efficient ETF vehicle. Over the past year, we have witnessed a lot of progress and effective change driven by societal behaviour and a transforming world. We remain bullish on our select themes which we believe will further drive growth and innovation.”
Noah Hamman, CEO of AdvisorShares, added: “We believe the unique investment expertise of Ross and the Gerber Kawasaki team provide a compelling complement to our thematic ETF line-up. We have long been advocates about the benefits of transparency and believe that Ross’ investment management acumen, candour, and ability to communicate his views, provides a tremendous tandem with an innovative ETF structure.”