The combined company is expected to be able to compete with legacy tech giants who are also on their way to quantum supremacy. A recent report by Street.com ranked QTUM as one of the best technology ETFs for 2022, beating out all GlobalX and Ark ETFs. QTUM’s value is up over 34% so far in 2021, while ARKK’s value is down 22%. Launched in September 2018, QTUM currently has over $170 million in assets under management.
2021 was an important year for quantum computing. Two of his quantum companies, Rigetti and IonQ, have gone public, and a new security pact between the UK, US and Australia recognizes the critical importance of quantum computing. The United States’ determination to beat China in this crucial area is demonstrated in his $250 billion bill that passed the Senate in June. In December, two quantum giants, Honeywell Quantum Solutions and Cambridge Quantum, merged to form Quantinuum.
Investing involves risk. Capital loss may occur. As an ETF, the fund can trade at a premium or discount to NAV. ETF shares are bought and sold at market prices (not NAV) and are not individually redeemable by the Fund. The Fund is not actively managed and does not sell securities based on current or projected underperformance. Portfolios that are concentrated in one industry or country may be subject to greater risk. Equity values in IT companies are particularly vulnerable to rapid changes in technology product cycles, rapid product obsolescence, government regulation and competition.
With 70 positions and a 0.40% expense ratio, Defiance’s QTUM ETF offers diversified and concentrated exposure to a range of top cloud computing, machine learning and quantum computing stocks. Fund holdings and sector allocations are subject to change at any time and are not a recommendation to buy or sell securities. Before investing, you should carefully consider the Fund’s investment objectives, risks, charges and expenses. The sales prospectus contains this and other important information about the investment company.
The Fund is considered non-diversified such that the majority of its assets can be invested in the securities of a single issuer or a small number of issuers. Investing in foreign securities involves certain risks, including the risk of loss due to exchange rate fluctuations and political or economic instability. This risk is even greater in emerging markets. Small businesses experience greater and more unpredictable price volatility than stocks of large companies. Possible applications of quantum computing are in the exploration stage, the potential for return is uncertain and may not materialize in the near future.