The Metaverse ETF – META



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I was first know of Metaverse is from Meta Platforms, Inc., (Facebook) which I have a small position. Personally I feel that this maybe a new trend and “New Internet” experience for consumers like us if everything goes well in years to come. I do not have any position in this but I’m very keen and may invest in this ETF.

What is Metaverse?

According to Wikipedia: “The metaverse (a portmanteau of “meta-” and “universe“) is a hypothesized iteration of the Internet, supporting persistent online 3-D virtual environments[1][2][3] through conventional personal computing, as well as virtual and augmented reality headsets.[4][3] Metaverses, in some limited form, are already present on platforms like VRChat or video games like Second Life and Roblox.[5][6]

Current metaverse ambitions are centered on addressing technological limitations with modern virtual and augmented reality devices,[7][8][9] as well as expanding the use of metaverse spaces to business, education, and retail applications.[10][11] Numerous entertainment and social media companies have invested in metaverse-related research and development.[8]

The metaverse has come to be criticised as a method of public relations building using a purely speculative, “over-hyped” concept based on existing technology. Information privacy and user addiction are concerns within the metaverse, stemming from current challenges facing the social media and video game industries as a whole.”

Source: Wikipedia

META by Roundhill Investments

Who is Roundhill Investments?

Roundhill Investments is a registered investment adviser and ETF sponsor focused on thematic and sector-specific investing. We create thoughtful investment products designed to help investors express their vision of the future. Roundhill is built on the primary tenets of investor education, full transparency and open communication.

INVESTMENT STRATEGY:

The Roundhill Ball Metaverse ETF (“META ETF”) is designed to offer investors exposure to the Metaverse by providing investment results that closely correspond, before fees and expenses, to the performance of the Ball Metaverse Index (“META Index”).

The “Metaverse” is defined as a successor to the current internet that will be interoperable, persistent, synchronous, open to unlimited participants with a fully functioning economy, and an experience that spans the virtual and ‘real’ world.

The Ball Metaverse Index is the first index globally designed to track the performance of the Metaverse. The Index consists of a tiered weight portfolio of globally-listed companies who are actively involved in the Metaverse. This classification includes:

  1. Compute: companies enabling and supply of computing power to support the Metaverse
  2. Networking: companies providing real-time connections, high bandwidth, and data services to consumers
  3. Virtual Platforms: companies developing and operating immersive digital and often three-dimensional simulations, environments and worlds wherein users and businesses can explore, create, socialize and participate in a wide variety of experiences.
  4. Interchange Standards: companies building tools, protocols, formats, services, and engines which serve as actual or de facto standards for interoperability, and enable the creation, operation and ongoing improvements to the Metaverse.
  5. Payments: The support of digital payment processes and operations, which includes fiat on-ramps to pure-play digital currencies and financial services.
  6. Content, Assets, and Identity Services: The design/creation, sale, re-sale, storage, secure protection and financial management of digital assets, such as virtual goods and currencies, as connected to user data and identity.
  7. Hardware: The sale and support of physical technologies and devices used to access, interact with or develop the Metaverse.
META MAY PROVIDE EXPOSURE TO:
  • Companies developing infrastructure essential to the Metaverse such as Cloudflare and Nvidia.
  • Gaming engines responsible for the creation of virtual worlds including Unity and Roblox.
  • Pioneers in content, commerce, and social for the Metaverse, such as Tencent, Sea and Snap.
METAVERSE SECTOR HIGHLIGHTS:
  • ARK Research estimates revenue from virtual worlds could approach $400 billion by 2025 (corresponds to Ball Metaverse Virtual Platform and Content categories).
  • Bloomberg Intelligence believes the market opportunity for the Metaverse can reach $800 billion by 2024 (excludes Ball Metaverse Hardware, Networking, Compute, and Payments categories).

ETF Details (as of 30 Nov 2021)

META 1 Year Performance Compared To S&P 500 Index

Source: Tradingview

META Performance

Note: The performance data quoted represents past performance. Past performance does not guarantee future results. Current performance may be lower or higher than the performance data quoted. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when sold or redeemed, may be worth more or less than their original cost. Returns less than one year are not annualized. For the most recent month-end performance, please call (855) 561-5728. You cannot invest directly in an index. Shares are bought and sold at market price (closing price), not net asset value (NAV), and are individually redeemed from the Fund. Market performance is determined using the bid/ask midpoint at 4:00pm Eastern time when the NAV is typically calculated. Brokerage commissions will reduce returns.

Top 10 Holdings (as of 30 Nov 21)

Source: Roundhill Investments