Core Insights - The U.S. Global Jets ETF (JETS) targets a diverse range of global airline-related companies, including passenger airlines, aircraft manufacturers, airports, and related services [1] Group 1: Portfolio Construction Methodology - The underlying index requires eligible companies to be exchange-listed with a market capitalization of at least USD 100 million and to meet a minimum average daily trading volume (ADVT) [1] - At each quarterly reconstitution, the four largest U.S. passenger airlines by market cap and ADVT receive a fixed weight of 10% each, while the next eight U.S. or Canadian passenger airlines receive 3% each [1] - Remaining candidates are evaluated based on factors such as cash flow return on invested capital (CFROIC) and ADVT, with the top eight U.S./Canadian companies receiving 2% each, the next ten non-U.S. companies receiving 1% each, and the next twenty non-U.S. companies receiving 0.5% each [1] - Weights of the portfolio can fluctuate between quarterly reviews, and no additional issuer caps are applied [1]

Market Overview - Wall Street is anticipating a Santa Claus Rally, which in 2025 appears to be more diversified across sectors rather than solely focused on technology [1] Historical Performance - The S&P 500 has historically gained an average of 0.95% during the final trading week of the year, with a positive return 71% of the time over the past 95 years [2] - The Dow Jones Industrial Average has a stronger record, averaging a 1.06% gain over 128 years with a 77% win rate [2] - In contrast, the Nasdaq 100 has only averaged a 0.4% gain during the same period, finishing higher just 55% of the time [2] ETF Trends - The Roundhill Magnificent Seven ETF (BATS:MAGS) remains popular among investors focused on Big Tech, showing a 2% increase in the past five days, despite a weakening seasonal strength in tech [4] - The State Street SPDR S&P Metals & Mining ETF (NYSE:XME) has gained nearly 7% recently, driven by rising metal prices due to tight supply and strong industrial demand [5] - The U.S. Global Jets ETF (NYSE:JETS) saw about a 1% gain last week, supported by record holiday travel forecasts, with AAA estimating over 122 million travelers during the holiday period [6] - The iShares U.S. Aerospace & Defense ETF (BATS:ITA) rose approximately 6% in the last five days, fueled by increased global defense spending and geopolitical tensions [7] Investment Sentiment - The current investment sentiment indicates a broader and more selective Santa Claus Rally in 2025, with investors diversifying their interests across sectors such as metals, travel, and defense, in addition to technology [8]

Company Overview - U.S. Global Investors, Inc. is a registered investment advisory firm with expertise in gold mining stocks and the airline industry [1][8] - The company will continue its payment of monthly dividends, with a dividend of $0.0075 per share starting January 2026 [2] Dividend Information - The Board approved a monthly dividend of $0.0075 per share from January to March 2026, with record dates on January 12, February 9, and March 16, and payment dates on January 26, February 23, and March 30 [2] - Based on the closing price of $2.43 on December 5, 2025, this dividend represents an annualized yield of 3.7% [2] Gold and Silver Market Performance - Gold has gained 61% year-to-date through November 2025, marking its best annual performance since 1979 [3] - Silver surpassed $60 for the first time on December 9, 2025, driven by economic uncertainty and strong demand [3][4] - The silver market is in deficit for the fifth consecutive year, with demand outpacing supply [4] Airline Industry Outlook - The global airline industry is entering 2026 with strong financial momentum, supported by high travel demand [5] - A record 3.13 million passengers were screened in a single day during the 2025 Thanksgiving travel period, indicating robust consumer demand [5] - Total airline revenues are expected to exceed $1 trillion for the first time in 2026, with net profits projected at approximately $40 billion in 2025 and $41 billion in 2026 [5] Investment Opportunities - The U.S. Global Jets ETF offers targeted exposure to the global aviation ecosystem, focusing on efficient carriers [6] - The ETF tracks airline operators, aircraft manufacturers, and related services, ranking companies based on fundamental factors [6]

Company Overview - U.S. Global Investors, Inc. is a registered investment advisory firm with expertise in gold mining stocks and the airline industry [1][8] - The company has a history of over 50 years, starting as an investment club and now providing investment advisory services [8] Dividend Announcement - The Board of Directors approved a monthly dividend of $0.0075 per share, starting January 2026 and continuing through March 2026 [2] - The record dates for the dividends are January 12, February 9, and March 16, with payment dates on January 26, February 23, and March 30 [2] - Based on the closing price of $2.43 on December 5, 2025, this dividend represents an annualized yield of 3.7% [2] Gold and Silver Market Performance - Gold has gained 61% year-to-date through November 2025, marking its best annual performance since 1979 [3] - Silver surpassed $60 for the first time on December 9, 2025, driven by economic uncertainty and strong demand [3][4] - The silver market is in deficit for the fifth consecutive year, with demand outpacing supply [4] Airline Industry Outlook - The global airline industry is entering 2026 with strong financial momentum, supported by historic travel demand [5] - TSA screened a record 3.13 million passengers in a single day during the 2025 Thanksgiving travel period, indicating robust consumer demand [5] - Total airline revenues are expected to exceed $1 trillion for the first time in 2026, with net profits projected at approximately $40 billion in 2025 and $41 billion in 2026 [5][6] Investment Opportunities - The U.S. Global Jets ETF (NYSE: JETS) offers targeted exposure to the global aviation ecosystem, focusing on efficient carriers [6] - The ETF tracks airline operators, aircraft manufacturers, airports, and related services, ranking companies based on fundamental factors [6]

Core Insights - The U.S. Global Jets ETF (JETS) is designed to provide a unified investment strategy in the global airline, aerospace & defense, and travel industries, currently holding $747 million in net assets [1] Group 1: ETF Overview - JETS focuses on thematic investments across multiple sectors including airlines, aerospace & defense, and travel [1] - The fund's net assets amount to $747 million, indicating a significant level of investor interest and capital allocation [1] Group 2: Analyst Background - Michael Del Monte, a buy-side equity analyst with over 5 years of experience, emphasizes a holistic approach to investment recommendations, considering the entire investment ecosystem rather than evaluating companies in isolation [1]

Core Insights - The airline industry is experiencing significant challenges due to the ongoing global trade war, leading to uncertainty in passenger demand and revenue projections [1] - Major airlines, including Southwest Airlines, American Airlines, and Alaska Air Group, have withdrawn their full-year 2025 guidance, indicating a cautious outlook for investors [1] Airline Performance - Southwest Airlines reported weakened bookings throughout the first quarter, while Alaska Air Group anticipates a 6-point decline in second-quarter revenues due to reduced demand [3] - American Airlines provided a modest second-quarter earnings forecast of $0.50 to $1.00, which is significantly below consensus estimates [3] - Delta Air Lines and United Airlines have also expressed caution, with Delta not planning to expand flying in the second half of the year due to disappointing bookings [4] Market Trends - The U.S. Global Jets ETF (JETS), which tracks major airline stocks, has seen a decline of 2.3% over the past week and 27.4% since the beginning of the year [2] - The ETF holds 56 securities, primarily focused on the top four largest U.S. carriers, which collectively account for nearly 10% of the index [5] Travel Demand - There is a notable decline in both domestic and international travel, attributed to a potential economic slowdown linked to the Trump administration's tariff policies [7] - International arrivals to the U.S. have sharply decreased, with a 3.3% year-over-year decline in global visitors reported for 2025, and an 11.6% drop in March compared to the previous year [8] Future Outlook - The near-term outlook for airline stocks remains subdued, with the domestic economy class under pressure until trade negotiations and consumer sentiment stabilize [11] - Despite current challenges, the JETS ETF is still considered a viable investment option due to its diversified exposure to various firms within the airline industry [12]