/Phase 1

Phase 1

Tuesday, May 26, 2020– All three major indexes gained at least 3% this week, in part driven by optimism that coronavirus vaccines will be available later this year. Additionally, all 50 states have relaxed some of their coronavirus restrictions, stirring hopes about an economic rebound as municipalities start to reopen. The S&P 500 and Dow added 3.2% and 3.3%, respectively, for the week, while the Nasdaq climbed 3.4%.

ETFG Equity Exposure Report – For the first quarter, Nvidia posted adjusted EPS of $1.80, which beat expectations comfortably and reflected earnings growth of 105%. Revenue grew 38.7% year-over-year, landing at $3.08 billion, also ahead of consensus. Looking inside the numbers, Gaming revenue grew 27% to $1.34 billion, while the Data Center simply exploded in the pandemic impacted environment, up 80% to $1.14 billion. Moving toward the smaller business segments, Professional Visualization increased 15% to $307 million, and some of the same forces that propelled demand for Data Center services negatively impacted demand for the Automotive space. That line contracted 7% to $155 million. The ETFs weighted most heavily with Nvidia Corp. (NVDA) stock are the Global X Funds Global X Robotics & Artificial Intelligence ETF (BOTZ), the ProShares Ultra Semiconductors (USD), the VanEck Vectors Video Gaming and eSports ETF (ESPO) and the VanEck Vectors Semiconductor ETF (SMH).
ETFG Quant Movers – This week, something different, as we are highlighting the ETFs that saw the largest movement in our ETFG Quant Fundamental Score.
ETFG Quant Winners:The ETFs with the biggest percentage increase in their ETFG Quant Fundamental Score this week were the Global X SuperIncome Preferred ETF (SPFF), the First Trust NASDAQ Technology Dividend Index Fund (TDIV), the iPath S&P MLP ETN (IMLP), the iShares MSCI World ETF (URTH), and the Invesco WilderHill Clean Energy ETF (PBW).
ETFG Quant Losers: The ETFs with the biggest percentage decrease in their ETFG Quant Fundamental Score this week were the VanEck Vectors Gaming ETF (BJK), the CSIM Schwab U.S. Small-Cap ETF (SCHA), the Invesco Preferred ETF (PGX), the First Trust Canada AlphaDEX Fund (FCAN) and the Vanguard Small Cap ETF (VB).
ETFG Weekly Select List – The five most highly rated ETFs per Sector, Geographic Region and Strategy as ranked by the ETFG Quant model.
This week we will look at the ETFs focusing on Broad Equity exposure. The 5 ETFs with the highest Broad Equity ratings from our ETFG Quant model include: the First Trust Canada AlphaDEX Fund (FCAN), the Invesco FTSE RAFI US 1500 Small-Mid ETF (PRFZ), the iShares MSCI South Africa ETF (EZA), the First Trust United Kingdom AlphaDEX Fund (FKU) and the First Trust Multi Cap Value AlphaDEX Fund (FAB).
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Assumptions, opinions and estimates constitute our judgment as of the date of this material and are subject to change without notice.  ETF Global LLC (“ETFG”) and its affiliates and any third-party providers, as well as their directors, officers, shareholders, employees or agents (collectively ETFG Parties) do not guarantee the accuracy, completeness, adequacy or timeliness of any information, including ratings and rankings and are not responsible for errors and omissions or for the results obtained from the use of such information and ETFG Parties shall have no liability for any errors, omissions, or interruptions therein, regardless of the cause, or for the results obtained from the use of such information. ETFG PARTIES DISCLAIM ANY AND ALL EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO ANY WARRANTIES OF MERCHANTABILITY, SUITABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE.
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ETFG ratings and rankings are statements of opinion as of the date they are expressed and not statements of fact or recommendations to purchase, hold, or sell any securities or to make any investment decisions. ETFG ratings and rankings should not be relied on when making any investment or other business decision.  ETFG’s opinions and analyses do not address the suitability of any security.  ETFG does not act as a fiduciary or an investment advisor.  While ETFG has obtained information from sources they believe to be reliable, ETFG does not perform an audit or undertake any duty of due diligence or independent verification of any information it receives.
This material is not intended as an offer or solicitation for the purchase or sale of any security or other financial instrument. Securities, financial instruments or strategies mentioned herein may not be suitable for all investors.  Any opinions expressed herein are given in good faith, are subject to change without notice, and are only correct as of the stated date of their issue.  Prices, values, or income from any securities or investments mentioned in this report may fall against the interests of the investor and the investor may get back less than the amount invested.  Where an investment is described as being likely to yield income, please note that the amount of income that the investor will receive from such an investment may fluctuate.  Where an investment or security is denominated in a different currency to the investor’s currency of reference, changes in rates of exchange may have an adverse effect on the value, price or income.

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Assumptions, opinions and estimates constitute our judgment as of the date of this material and are subject to change without notice.  ETF Global LLC (“ETFG”) and its affiliates and any third-party providers, as well as their directors, officers, shareholders, employees or agents (collectively ETFG Parties) do not guarantee the accuracy, completeness, adequacy or timeliness of any information, including ratings and rankings and are not responsible for errors and omissions or for the results obtained from the use of such information and ETFG Parties shall have no liability for any errors, omissions, or interruptions therein, regardless of the cause, or for the results obtained from the use of such information. ETFG PARTIES DISCLAIM ANY AND ALL EXPRESS OR IMPLIED WARRANTIES, INCLUDING, BUT NOT LIMITED TO ANY WARRANTIES OF MERCHANTABILITY, SUITABILITY OR FITNESS FOR A PARTICULAR PURPOSE OR USE.  In no event shall ETFG Parties be liable to any party for any direct, indirect, incidental, exemplary, compensatory, punitive, special or consequential damages, costs, expenses, legal fees, or losses (including, without limitation, lost income or lost profits and opportunity costs) in connection with any use of the information contained in this document even if advised of the possibility of such damages.

ETFG ratings and rankings are statements of opinion as of the date they are expressed and not statements of fact or recommendations to purchase, hold, or sell any securities or to make any investment decisions. ETFG ratings and rankings should not be relied on when making any investment or other business decision.  ETFG’s opinions and analyses do not address the suitability of any security.  ETFG does not act as a fiduciary or an investment advisor.  While ETFG has obtained information from sources they believe to be reliable, ETFG does not perform an audit or undertake any duty of due diligence or independent verification of any information it receives.

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This material is not intended as an offer or solicitation for the purchase or sale of any security or other financial instrument. Securities, financial instruments or strategies mentioned herein may not be suitable for all investors.  Any opinions expressed herein are given in good faith, are subject to change without notice, and are only correct as of the stated date of their issue.  Prices, values, or income from any securities or investments mentioned in this report may fall against the interests of the investor and the investor may get back less than the amount invested.  Where an investment is described as being likely to yield income, please note that the amount of income that the investor will receive from such an investment may fluctuate.  Where an investment or security is denominated in a different currency to the investor’s currency of reference, changes in rates of exchange may have an adverse effect on the value, price or income of or from that investment to the investor.

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