ABOT ETF — Holdings & Analysis

The Abacus FCF Innovation Leaders ETF (ABOT) is an actively managed equity ETF with $0.01 billion in assets under management. With an expense ratio of 0.39%, ABOT focuses on U.S.

companies across all market caps that demonstrate strong free cash flow and innovation, selecting up to 120 companies based on quality of earnings, R&D investment, asset turnover, and financial leverage. ABOT aims to capture innovative companies with sound financials, differentiating itself through a multi-factor approach that combines free cash flow and innovation metrics.

Abacus FCF Innovation Leaders ETF (ABOT) ETF — Price, Holdings & Analysis

The Abacus FCF Innovation Leaders ETF (ABOT) is an actively managed equity ETF with $0.01 billion in assets under management. With an expense ratio of 0.39%, ABOT focuses on U.S. companies across all market caps that demonstrate strong free cash flow and innovation, selecting up to 120 companies based on quality of earnings, R&D investment, asset turnover, and financial leverage. ABOT aims to capture innovative companies with sound financials, differentiating itself through a multi-factor approach that combines free cash flow and innovation metrics.

ETF Overview

ABOT invests in US companies of all market capitalization that exhibit strong free cash flow and innovation. These companies are those that represents the top 25% of the eligible universe based on (1) quality of earnings (2) profits generated from R&D (3) degree of R&D investment relative to total assets (4) assets turnover and (5) financial leverage. Target weight is allocated to each security based on the combination of the five factors and market cap. Based on the target weight, the index selects up to 120 names or until 90% of the cumulative security weight has been included, whichever occurs first. Prior to Nov. 29, 2021, the fund was named TrimTabs Donoghue Forlines Risk Managed Innovation ETF and tracked TrimTabs Donoghue Forlines Risk Managed Free Cash Flow Innovation Index. Also, prior to Nov. 7, 2023, the fund was named Donoghue Forlines Risk Managed Innovation ETF, tracked FCF Risk Managed Quality Innovation Index, and implemented a risk-managed downside protection model. Prior to Nov. 13, 2024 the fund name was Donoghue Forlines Innovation ETF and traded under the ticker DFNV.

ABOT seeks to invest in U.S. companies that exhibit both strong free cash flow and innovation. The fund's investment process involves identifying companies that rank in the top 25% of an eligible universe based on factors such as quality of earnings, profits generated from R&D, the degree of R&D investment relative to total assets, asset turnover, and financial leverage. The ETF targets up to 120 holdings, or until 90% of the cumulative security weight has been included, whichever occurs first. The fund allocates weight to each security based on a combination of the five factors and market capitalization. With nearly 98% of its exposure in the United States, ABOT provides focused exposure to the U.S. equity market. This ETF is designed for investors seeking exposure to innovative companies with strong financial fundamentals.

Risk Metrics

ABOT presents several risks typical of focused equity ETFs. With approximately 97.6% of its holdings in United States, the fund has a geographic concentration risk. While the fund invests across all market capitalizations, its focus on innovation and free cash flow may lead to sector concentration, potentially increasing volatility. The fund's relatively small AUM of $0.01 billion could pose liquidity risks. The expense ratio of 0.39% will create a slight drag on performance over time, but is lower than the category average of 0.44%. Investors should also be aware of the fund's history of name and strategy changes, which may make historical performance less indicative of future results. Past performance does not guarantee future results.

Expense Ratio

0.39%

How Is the Fund Allocated?

Country	Weight
United States	97.6%
Luxembourg	2.2%
Other	0.2%

Dividend Yield

0.00%

Invesco QQQ Trust, Series 1 (QQQ) — 0.18% expense ratio
State Street Technology Select Sector SPDR ETF (XLK) — 0.08% expense ratio
State Street Energy Select Sector SPDR ETF (XLE) — 0.08% expense ratio
State Street SPDR Dow Jones Industrial Average ETF Trust (DIA) — 0.16% expense ratio
iShares Russell 2000 ETF (IWM) — 0.19% expense ratio
State Street Financial Select Sector SPDR ETF (XLF) — 0.08% expense ratio
iShares MSCI Emerging Markets ETF (EEM) — 0.72% expense ratio
iShares MSCI EAFE ETF (EFA) — 0.32% expense ratio

Abacus Flexible Bond Leaders ETF (ABXB) (Fixed Income) — 0.63% expense ratio

Questions & Answers

What is ABOT and what does it track?

The Abacus FCF Innovation Leaders ETF (ABOT) is an actively managed fund that invests in U.S. companies of all market capitalizations demonstrating strong free cash flow and innovation.

The fund selects companies that rank in the top 25% based on quality of earnings, R&D profits, R&D investment relative to assets, asset turnover, and financial leverage.

What is the expense ratio for ABOT?

The expense ratio for ABOT is 0.39%. This means that for every $10,000 invested in the fund, $39 is charged annually to cover operating expenses.

While this fee reduces the overall return, it is lower than the category average of 0.44%. Investors should consider the expense ratio as one factor when evaluating the overall cost and potential return of investing in ABOT.

What are the top holdings in ABOT?

As an actively managed fund, ABOT's holdings are subject to change. While the fund does not disclose specific holdings, it invests in companies that exhibit strong free cash flow and innovation.

The fund selects up to 120 names or until 90% of the cumulative security weight has been included.

Is ABOT a good long-term investment?

ABOT's suitability as a long-term investment depends on an individual investor's risk tolerance and investment objectives. The fund focuses on innovative companies with strong free cash flow, which could provide long-term growth potential.

However, the fund's relatively small AUM of $0.01 billion and active management strategy introduce some risk.

How does ABOT compare to similar ETFs?

ABOT distinguishes itself from other innovation-focused ETFs through its emphasis on free cash flow in addition to innovation metrics. While many innovation ETFs focus solely on growth potential, ABOT incorporates financial quality factors into its selection process.

The fund's expense ratio of 0.39% is competitive within the category.

Does ABOT pay dividends?

According to the provided data, ABOT has a dividend yield of 0.00%. This indicates that the fund does not currently distribute dividends to its shareholders.

Investors seeking income-generating investments may want to consider other ETFs that offer a higher dividend yield. However, ABOT's focus on growth and innovation may appeal to investors who prioritize capital appreciation over income.