US Top News and Analysis
One exchange-traded fund is betting on a U.S. manufacturing job resurgence.
Tema ETFs CEO and founder Maurits Pot is behind the American Reshoring ETF (RSHO) that focuses on industrials.
“Some will call it deglobalization. We’re in the early innings,” Pot told CNBC’s “ETF Edge” this week. “At the heart of it is job creation, manufacturing and reshoring — bringing back local manufacturing jobs.”
Pot’s firm launched the American Reshoring ETF in May 2023. Since its inception, the exchange-traded fund is up almost 37% as of Wednesday’s close.
Despite the strong performance, “ETF Edge” host Bob Pisani contends ETFs built around a theme often come and go.
However, Strategas’ Todd Sohn, who tracks the ETF industry, thinks investing in U.S. manufacturing is a sound strategy. He points to the industrial sector’s runway for growth after a vast reduction in size over the past three decades.
“If I am going to play the industrials in a thematic way, I like the route of going active,” the firm’s managing director said. “I do think there is staying power here as opposed to some of the fads we’ve seen in the thematic space — particularly those that are a little more tech and growth oriented.”
The American Reshoring ETF is underperforming the broader market over the past three months, falling more than 4%.
Author Profile
Latest entries
- HeadlinesSeptember 18, 2024Fun Facts: You would have to click a computer mouse 10 million times to burn a single calorie
- ScienceSeptember 18, 2024Breast milk antibodies protect against rotavirus
- HeadlinesSeptember 18, 2024Top 5 Diddy indictment bombshells: What legal experts predict for future of fallen music mogul
- ScienceSeptember 18, 2024Low levels of 1 mineral can make IBD worse