Simplify Asset Management to Announce Four New Exchange-Traded Funds: Fintech, Pop Culture, RoboCar and Cloud/Cybersecurity

By AIT News Desk On Dec 28, 2020

Paul Kim and David M. Berns, Ph.D, co-founders of Simplify Asset Management have announced the launch of four new bleeding-edge ETFs in the following areas: financial technology, pop culture and media, robotic cars and clean energy along with cloud and cybersecurity

The pace of technological disruption is faster than ever. Nimbler, tech-savvy companies are pulling ahead of slower peers in an increasingly winner-take-all market. The best firms are not just disrupting existing industries but creating brand-new ones. Firms able to deliver growth in a slow-growth world command premium valuation.

“Increased globalization, the ubiquity of broadband, greater access to capital, and the unprecedented pace of technological disruption create ‘winner take all’ dynamics in industries,” explained Kim, chief executive officer. “Winning firms are growing faster and being rewarded with rich valuations. Thematic ETFs have benefited from investor demand for greater exposure to the technology-driven winners and industries.”

Daytona Unveils Agent-Agnostic Infrastructure for Sandboxing AI Coding Assistants

Oct 31, 2024

Verax AI Raises $7.6 million in Seed Funding Led by TQ Ventures

Oct 31, 2024

Quantiphi Expands Strategic Partnership with Google Cloud to Drive Enterprise-wide AI Adoption, Customer Value

Oct 31, 2024

Prev Next 1 of 40,361

Dr. Berns, chief investment officer, added, “At Simplify we are focused on first principles investing. Thematic portfolios are essentially trying to concentrate in likely winners. We try to identify firms that have important technological or cultural edges and provide meaningful concentration to their stock price. We combine concentrated stock exposure with call options to add ‘convexity.’ But because of the inherent volatility of growth stocks we also incorporate risk management, diversification and downside hedges as a way to smooth out the experience of concentrated portfolios.”

“Our thematic ETFs are designed to be an attractive alternative to watered down thematic ETFs that try to buy every company in a particular theme. We believe in concentration for upside potential,” added Kim. “We also believe concentrated, professionally managed ETFs are an attractive alternative to single stock or options for many investors.”