Transcode Therapeutics Inc
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Health Care : Biotechnology |
Company profile

TransCode Therapeutics, Inc. is a ribonucleic acid (RNA) oncology company. The Company's lead therapeutic candidate, TTX-MC138, is focused on treating metastatic cancer. TTX-MC138 comprises proprietary iron-oxide nanoparticles and oligonucleotides that specifically target microRNA-10b. The nanoparticles serve as the vehicle to deliver oligonucleotides to metastatic cancer cells. The magnetic properties of these nanoparticles allow for monitoring of their delivery using non-invasive imaging. Its pipeline products also include TTX-siPDL1, TTX-siLIN28b and TTX-RIGA. TTX-siPDL1 is a checkpoint inhibitor targeting programmed cell death protein ligand 1 (PD-L1). TTX-RIGA utilizes its delivery system and is intended to activate the RIG-I signaling pathway to elicit an immune response to eliminate and/or reduce the risk of developing disorders associated with abnormal apoptotic or differentiative processes, by triggering an immune response that targets developing cancer cells.

Closing Price
$2.92
Day's Change
0.23 (8.55%)
Bid
--
Ask
--
B/A Size
--
Day's High
2.99
Day's Low
2.71
Volume
(Above Average)
Volume:
88,385

10-day average volume:
79,368
88,385

Is First Trust Rising Dividend Achievers ETF (RDVY) a Strong ETF Right Now?

6:20 am ET November 17, 2021 (Zacks) Print

Designed to provide broad exposure to the Style Box - Large Cap Value category of the market, the First Trust Rising Dividend Achievers ETF (RDVY) is a smart beta exchange traded fund launched on 01/07/2014.

What Are Smart Beta ETFs?

Market cap weighted indexes were created to reflect the market, or a specific segment of the market, and the ETF industry has traditionally been dominated by products based on this strategy.

Market cap weighted indexes work great for investors who believe in market efficiency. They provide a low-cost, convenient and transparent way of replicating market returns.

On the other hand, some investors who believe that it is possible to beat the market by superior stock selection opt to invest in another class of funds that track non-cap weighted strategies--popularly known as smart beta.

These indexes attempt to select stocks that have better chances of risk-return performance, based on certain fundamental characteristics or a combination of such characteristics.

While this space offers a number of choices to investors, including simplest equal-weighting, fundamental weighting and volatility/momentum based weighting methodologies, not all these strategies have been able to deliver superior results.

Fund Sponsor & Index

Because the fund has amassed over $7.15 billion, this makes it one of the larger ETFs in the Style Box - Large Cap Value. RDVY is managed by First Trust Advisors. This particular fund seeks to match the performance of the NASDAQ US Rising Dividend Achievers Index before fees and expenses.

The Index is designed to provide access to a diversified portfolio of companies with a history of paying dividends.

Cost & Other Expenses

Cost is an important factor in selecting the right ETF, and cheaper funds can significantly outperform their more expensive cousins if all other fundamentals are the same.

Operating expenses on an annual basis are 0.50% for this ETF, which makes it on par with most peer products in the space.

It has a 12-month trailing dividend yield of 1.11%.

Sector Exposure and Top Holdings

Even though ETFs offer diversified exposure that minimizes single stock risk, investors should also look at the actual holdings inside the fund. Luckily, most ETFs are very transparent products that disclose their holdings on a daily basis.

RDVY's heaviest allocation is in the Information Technology sector, which is about 36.10% of the portfolio. Its Financials and Consumer Discretionary round out the top three.

When you look at individual holdings, Jefferies Financial Group Inc. (JEF) accounts for about 2.22% of the fund's total assets, followed by Bank Of America Corporation (BAC) and The Bank Of New York Mellon Corporation (BK).

RDVY's top 10 holdings account for about 21.43% of its total assets under management.

Performance and Risk

So far this year, RDVY has added about 33.01%, and it's up approximately 40.25% in the last one year (as of 11/17/2021). During this past 52-week period, the fund has traded between $36.80 and $51.89.

RDVY has a beta of 1.19 and standard deviation of 27.75% for the trailing three-year period, which makes the fund a medium risk choice in the space. With about 51 holdings, it effectively diversifies company-specific risk.

Alternatives

First Trust Rising Dividend Achievers ETF is a reasonable option for investors seeking to outperform the Style Box - Large Cap Value segment of the market. However, there are other ETFs in the space which investors could consider.

IShares Russell 1000 Value ETF (IWD) tracks Russell 1000 Value Index and the Vanguard Value ETF (VTV) tracks CRSP U.S. Large Cap Value Index. IShares Russell 1000 Value ETF has $57.91 billion in assets, Vanguard Value ETF has $89.77 billion. IWD has an expense ratio of 0.19% and VTV charges 0.04%.

Investors looking for cheaper and lower-risk options should consider traditional market cap weighted ETFs that aim to match the returns of the Style Box - Large Cap Value.

Bottom Line

To learn more about this product and other ETFs, screen for products that match your investment objectives and read articles on latest developments in the ETF investing universe, please visit Zacks ETF Center.


Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
 
First Trust Rising Dividend Achievers ETF (RDVY): ETF Research Reports
 
Bank of America Corporation (BAC): Free Stock Analysis Report
 
The Bank of New York Mellon Corporation (BK): Free Stock Analysis Report
 
Jefferies Financial Group Inc. (JEF): Free Stock Analysis Report
 
Vanguard Value ETF (VTV): ETF Research Reports
 
iShares Russell 1000 Value ETF (IWD): ETF Research Reports
 
To read this article on Zacks.com click here.
 
Zacks Investment Research

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