Core Viewpoint - TBH Global Asset Management has increased its investment in the iShares S&P Small-Cap 600 Growth ETF (NASDAQ: IJT) by purchasing 113,339 shares, valued at approximately $16.04 million, indicating a strategic shift towards small-cap growth exposure in its portfolio [2][3]. Group 1: Transaction Details - TBH Global Asset Management's purchase of 113,339 shares of IJT reflects a significant increase in its position, with a net position change of $10.62 million, which includes both trading activity and price movement [2]. - The fund's quarter-end stake in IJT was valued at $11.18 million prior to this transaction [2]. Group 2: ETF Overview - The iShares S&P Small-Cap 600 Growth ETF has an asset under management (AUM) of $6.29 billion and was priced at $148.74 as of January 28 [4][6]. - The ETF offers a dividend yield of 0.9% and has achieved a 1-year total return of 7.01% [4]. Group 3: Investment Strategy - IJT aims to track the performance of the S&P SmallCap 600 Growth Index, providing diversified exposure to U.S. small-cap growth equities through a rules-based, passively managed strategy [8]. - The fund maintains at least 80% of its assets in index constituents, with the remainder in cash equivalents or derivatives for efficient portfolio management [8]. Group 4: Portfolio Implications - The addition of small-cap growth exposure through IJT alters the risk profile of TBH Global's portfolio, which is primarily focused on large-cap and mega-cap stocks [9]. - This strategic move is seen as a way to fill a structural gap in the portfolio, complementing existing holdings in major companies like Apple and Alphabet [11]. Group 5: Market Context - Small-cap growth stocks typically perform well when rate volatility stabilizes, suggesting a favorable environment for this investment strategy [11]. - The ETF provides access to nearly 350 U.S. small-cap growth companies across various sectors, which is particularly relevant as small caps have lagged behind larger companies in recent cycles [10].

Core Insights - The Vanguard Small-Cap Growth Index Fund ETF Shares (VBK) was launched on January 26, 2004, and is managed by The Vanguard Group, Inc. It focuses on small-cap stocks with growth characteristics and manages approximately $39 billion in assets [1]. Group 1 - The fund provides exposure to the small-cap segment of the equity market, targeting stocks that exhibit growth potential [1].

Core Insights - The Vanguard Small-Cap Growth Index Fund ETF Shares (VBK) was launched on January 26, 2004, and is managed by The Vanguard Group, Inc. It focuses on small-cap stocks with growth characteristics and manages approximately $39 billion in assets [1]. Group 1 - The fund provides exposure to the small-cap segment of the equity market, targeting stocks that exhibit growth potential [1].

Core Insights - The State Street SPDR S&P 600 Small Cap Growth ETF (SLYG) and the Vanguard Small-Cap Growth ETF (VBK) target U.S. small-cap growth stocks but differ in fees, size, performance, and volatility [1][2] Cost & Size Comparison - SLYG has an expense ratio of 0.15% and assets under management (AUM) of $3.7 billion, while VBK has a lower expense ratio of 0.07% and a significantly larger AUM of $39.7 billion [3][4] - The one-year return for SLYG is 10.2%, compared to VBK's 14.4%, indicating stronger recent performance for VBK [3] Performance & Risk Metrics - Over five years, SLYG has a max drawdown of -29.18%, while VBK has a higher max drawdown of -38.39% [5] - The growth of $1,000 over five years is $1,210 for SLYG and $1,145 for VBK, showing SLYG's better performance in this period [5] Portfolio Composition - VBK tracks 579 U.S. small-cap growth stocks with major sector allocations in technology (27%), industrials (21%), and healthcare (18%) [6] - SLYG covers 336 stocks with sector allocations of technology (19%), industrials (18%), and healthcare (16%) [7] Investment Implications - VBK's greater emphasis on technology leads to higher volatility, as indicated by its larger beta of 1.43 compared to SLYG's beta of 1.18 [10] - SLYG's lower exposure to technology results in lower volatility and a more stable investment profile, despite its smaller AUM and higher expense ratio [12]

Group 1 - The article does not provide any relevant content regarding the company or industry [1]

Core Insights - The term "innovation" in the finance sector is often associated with technology companies, indicating a strong link between financial innovation and technological advancements [1] Group 1 - The perception of innovation in finance is predominantly tied to technology, suggesting that investors may overlook other sectors that also contribute to financial innovation [1]