LBAY ETF — Holdings & Analysis

The Leatherback Long/Short Alternative Yield ETF (LBAY) is an actively managed fund that aims to generate returns by taking both long and short positions in securities. It seeks to identify companies with sustainable shareholder yield (dividends, buybacks, and debt paydowns) for its long positions, while shorting companies expected to decline in price. The fund generally maintains a net long exposure between 75% and 110%. LBAY's top holdings include First American Government Obligs X (8.51%), Hecla Mining Co (5.82%), and Newmont Corp (5.30%). The fund is classified within the alternatives asset class.

LBAY has an expense ratio of 1.27%. This means that for every $10,000 invested in the fund, $127 is deducted annually to cover operating expenses. The expense ratio is relatively high compared to the average expense ratio for alternative ETFs, which is approximately 0.44%. the may be worth researching impact of this higher expense ratio on their overall returns, especially in a low-return environment.

LBAY's top holdings reflect its investment strategy of combining long and short positions. As of 2026-03-15, the top holdings include First American Government Obligs X, comprising 8.51% of the portfolio. Other significant long positions include Hecla Mining Co (5.82%), Newmont Corp (5.30%), Alamos Gold Inc Class A (5.27%), and Vail Resorts Inc (4.75%). These holdings indicate a focus on companies within the basic materials and consumer discretionary sectors.

Evaluating LBAY as a long-term investment requires careful consideration of its strategy and associated risks. The fund's active management and long/short approach can potentially generate alpha, but also introduce uncertainty. With an expense ratio of 1.27%, the fund faces a significant hurdle to outperform its benchmark. The fund's 3-year beta of 0.26 suggests lower volatility than the market, but past performance does not guarantee future results. Investors should assess their risk tolerance and investment goals before considering LBAY for long-term allocation.

LBAY distinguishes itself through its active long/short strategy within the alternatives ETF category. Many alternative ETFs employ different strategies, such as managed futures or real asset exposure. With an AUM of $0.02 billion, LBAY is relatively small compared to some of the larger alternative ETFs. Its expense ratio of 1.27% is also higher than many passively managed alternative ETFs. Investors should compare LBAY's strategy, performance, and cost to other alternative ETFs to determine the best fit for their portfolio.

As of 2026-03-15, the Leatherback Long/Short Alternative Yield ETF (LBAY) has a dividend yield of 0.00%. This indicates that the fund is not currently distributing any dividend income to its shareholders. The fund's focus on shareholder yield includes dividends, buybacks, and debt paydowns, but the current portfolio composition does not generate dividend income. Investors seeking dividend income may want to consider other ETFs with a higher dividend yield.