Chris Verrone
Head of Technical & Macro Research
SAMM January Client Letter... Strong Start to 2025, Getting in Gear
02/05/2025
February, 2025
Dear SAMM Clients & Prospective Investors,
The goal with the turn of the calendar is to enter the New Year with fresh eyes and quickly get back in gear with the leadership. January had its surprises – e.g. DeepSeek, tariffs, etc. – but we’re always satisfied to be up and with a lead vs. the benchmark. The Strategas Macro Momentum ETF (ticker: SAMM) finished up 3.69% through January vs. the S&P price performance of 2.76% (+93 basis points of outperformance).
Overweight positions in Financials were again a net positive for results (e.g., MS and GS), along renewed strength from IBM and PH, and improvement from Healthcare (e.g., BMY and ISRG). Increasing Healthcare exposure is a goal for February, as the sector is finally beginning to act better after a long period of underperformance – the bar of expectations is low, but the price action is improving.
We remain underweight mega-cap Technology – not because of any dogmatic view on the sector (it’s split), but rather a reflection that relative performance peaked all the way back in July. Within Tech, Software and IT Services act best.
We start February with roughly a 5% cash position and a 4% position in Gold – a modestly defensive posture for a market entering a softer seasonal stretch and digesting the latest news from Washington.
As we have said from the very beginning… our goal is simple – to offer an exchange traded fund that draws upon the years of proprietary technical, macro, and behavioral research we are best known for among many of the largest institutional investors in the world. Please reach out directly if we can help answer any questions for you and your team. Thank you for support and interest in SAMM.
Sincerely,
Chris
SAMM Investment Team:
Chris Verrone
Todd Sohn
Jerry Hendricks
Nicholas Bohnsack
[1] For More information on the Strategas Macro Momentum ETF (ticker: SAMM) such as FUND PERFORMANCE & Portfolio Holdings, CLICK HERE
The performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment returns and principal value of an investment will fluctuate so that an investor's shares, when redeemed, may be worth more or less than their original cost. Performance data for the most recent month-end is available above. For most recent data please call (855) 273-7227. High short-term performance is unusual and investors should not expect such performance to be repeated.
Holdings are subject to change without notice.
This communication was prepared by Strategas Asset Management, LLC ("we" or "us" or “our”). This communication represents our views as of 02/03/2025 which are subject to change. The information contained herein has been obtained from sources we believe to be reliable, but no guarantee of accuracy can be made. This communication is provided for informational purposes only and should not be construed as an offer, recommendation, nor solicitation to buy or sell any specific security, strategy, or investment product. This communication does not constitute, nor should it be regarded as, investment research or a research report or securities recommendation and it does not provide information reasonably sufficient upon which to base an investment decision. This is not a complete analysis of every material fact regarding any company, industry, or security. Additional analysis would be required to make an investment decision. This communication is not based on the investment objectives, strategies, goals, financial circumstances, needs or risk tolerance of any particular client and is not presented as suitable to any other particular client. Past performance does not guarantee future results. All investments carry some level of risk, including loss of principal.
Carefully consider each of the Funds' investment objectives, risk, and charges and expenses. This and other information can be found in the Funds' summary or full prospectus which can be obtained by calling (855) 273-7227 or by visiting strategasetfs.com. Please read the prospectus, carefully before investing.
Strategas Asset Management, LLC serves as the investment advisor for each Fund and Vident Advisory, LLC serves as a sub advisor to each Fund. The Funds are distributed by SEI Investments Distribution Co. (SIDCO), which is not affiliated with Strategas Asset Management, LLC or any of its affiliates, or Vident Advisory, LLC or any of its affiliates.
Shares of any ETF are generally bought and sold at market price (not NAV) and are not individually redeemed from the fund. Brokerage commissions will reduce returns.
An investment in the Fund involves risk, including possible loss of principal.
In addition to the normal risks associated with investing, the Strategas Global Policy Opportunities ETF (SAGP) is subject to lobbying focused investment risk. The adviser's investment process utilizes lobbying intensity as the primary input when selecting investments for the Fund's portfolio and does not consider an investment's traditional financial metrics. The Fund may underperform other funds that select investments utilizing more traditional investment metrics. The Fund may also focus its investments in a particular country or geographic region outside the U.S. and may be more susceptible to economic, political, regulatory or other events or conditions affecting issuers and countries within that country or geographic regions well as risks of increased volatility and lower trading volume.
In addition to the normal risks associated with investing, the Strategas Macro Thematic Opportunities ETF (SAMT) is subject to macro-thematic trend investing strategy risk. Therefore, the value of the Fund may decline if, among other reasons, macro-thematic trends believed to be beneficial to the Fund do not develop as anticipated or maintain over time, or the securities selected for inclusion in the Fund's portfolio do not perform as anticipated.
In addition to the normal risks associated with investing, the Strategas Macro Momentum ETF (SAMM) may invest in smaller companies, heavily in specific sectors, and also invest in gold, all of which can exhibit high volatility. Securities may be difficult or impossible to sell at the time and the price desired. Investments with exposure to international markets may experience capital loss from unfavorable fluctuation in currency values, differences in generally accepted accounting principles, or from social, economic or political instability in other nations. REITs are subject to changes in economic conditions, interest rates, and credit risk. MLPs involve risks related to limited control and limited rights to vote on matters affecting the MLP. MLP common units and other equity securities can be affected by economic and other factors affecting the stock market in general, expectations of interest rates, investor sentiment towards MLPs or the energy sector, changes in a particular issuer's financial condition, or unfavorable or unanticipated poor performance of a particular issuer. MLP investments in the energy industry entail significant risk and volatility.
The Funds may be more heavily invested in particular sectors and may be especially sensitive to factors and economic risks that specifically affect those sectors.
Will AI Be the Gamechanger?
Mar 13 2025