Another important element to the buyback ETF equation is sector weights. Like its rivals, TTFS is heavy on technology and consumer discretionary names, which currently combine for 35% of the fund’s weight. TTFS holdings include Dow components Apple (NasdaqGS: AAPL), Cisco Systems (NasdaqGS: CSCO), Intel (NasdaqGS: INTC) and Microsoft (NasdaqGS: MSFT) as well as biotech giants Celgene (NasdaqGS: CELG) and Gilead Sciences (NasdaqGS: GILD).
TTFS has other perks, including being an incidental haven for takeover targets. Since TTFS debuted in October 2011, 57 of its holdings have been acquired, indicating that buyers enjoy acquiring firms with tidy balance sheets. On average, 1.3 TTFS holdings per month have been acquired since the ETF launched. Alone, that statistic is impressive, but it is even more so when considering the ETF holds just 100 stocks.
Advisors interested in attending the webcast on Thursday June 25 at 2PM Eastern time can register here.
Tom Lydon’s clients own shares of Apple and TTFS.