Nuveen Growth Opportunities ETF

NUGO

Market cap $2.52B

Nuveen Growth Opportunities ETF is an actively managed fund focused on growth and quality, primarily in the technology sector. The NUGO ETF has outperformed the S&P 500 by 10.5% over the last 12 months but has shown high volatility and deep draw-downs. Compared to large passive growth ETFs, NUGO has higher fees and a more concentrated portfolio.

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NUGO is an actively managed ETF focused on U.S. and international growth stories with robust financial positions and strong returns on capital. With a portfolio of 42 stocks, NUGO is overweight in the internet software & services industry and has NVIDIA as its main holding. NUGO has high quality and impressive growth characteristics. However, valuation is unsurprisingly bloated.

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Nuveen Growth Opportunities ETF is an actively managed fund that focuses on U.S. companies with a market capitalization of at least $1 billion. The NUGO ETF's investment approach emphasizes growth, quality, and value, targeting market leaders with compelling earnings potential and well-capitalized companies with favorable return on invested capital. NUGO's sector allocation is heavily concentrated in Information Technology, which may pose a risk in the event of a Tech correction.

Hello! This is MarketWatch reporter Isabel Wang bringing you this week's ETF Wrap. After a decade of seemingly never-ending fee-cutting wars, ETF issuers raised their fees in 2023 as the landscape evolved beyond cheap index-tracking funds.

Nuveen Growth Opportunities ETF is an actively managed fund with a focus on growth and quality. It is slightly inferior to the S&P 500 Growth Index regarding valuation and cash flow growth, but quality metrics are excellent. Its performance since inception is average relative to peers, which doesn't justify the significantly higher fee. However, price history may be too short to assess the fund's potential.