LDRSInnovator IBD ETF Leaders ETF
LDRS Fund Description
LDRS follows an equal-weighted index of US-traded ETFs. Holdings are selected by relative strength.
LDRS Factset Analytics Insight
LRDS is a fund-of-funds that simply tries to pick top-performing ETFs, giving almost no consideration to asset class, geography, or strategy . The fund’s index first screens for ETFs with healthy liquidity, trading above their 6-month average prices, with 3-month returns at least equal to that of the S&P 500 Index. After that, qualified candidate ETFs are assigned a “relative strength” score that compares the fund’s performance over the last 12 months (emphasizing the most recent 3 months) against a basket of global equity. Funds that meet a minimum threshold are included in the portfolio and weighted equally. To hedge against mean reversion, LDRS will toggle to ETFs holding cash equivalents whenever the index appreciates faster than a pre-determined limit. Additionally, the fund will hold cash if fewer than three ETFs pass its screens.LDRS may only hold open-ended, 1940 Act funds. It also excludes commodity ETFs, as well as leveraged or inverse funds (excepting ProShares’ inverse S&P 500 ETF, SH). The fund is rebalanced monthly, and after any week when the S&P 500 appreciates by 3% or more. LDRS charges a reasonable fee by itself, but the added fees of its underlying funds can substantially increase holding costs.
LDRS Charts And Performance
LDRS Factset Analytics Block Liquidity
This measurement shows how easy it is to trade a $1 million USD block of LDRS. LDRS is rated a 4 out of 5.