The BUZZ ETF is a Social Media Sentiment ETF that invests in the most talked-about large-cap U.S. stocks on social media. It tracks an index of 75 U.S. stocks with the most positive online chatter, including platforms like Twitter, Reddit, and blogs. The ETF is actively managed, balancing monthly, in line with its machine-learning algorithm which scans millions of posts and articles online. Of the 76 stocks currently held, the five largest positions are AST SpaceMobile 3.8%, Rocket Lab 3.6%, Hims & Hers Health 3.3%, Advanced Micro Devices 3.2%, and Palantir Tech 3.1%.
By definition, this ETF should hold winners and cut losers as it tracks the performance of the BUZZ NextGen AI US Sentiment Leaders Index. Over the last year, the BUZZ ETF has performed strongly, gaining +50.3 % and +31.3% year-to-date.
- The BUZZ ETF charges 0.76%, which is okay for a strategy like this, given it has a unique AI machine behind its stock selection.
The BUZZ is very much at the forefront of today’s new AI world, although it’s not attracting huge funds yet, we do find its logic interesting.
- We are bullish on the BUZZ ETF, but some consolidation in the $US30-33 looks likely short-term.
