An exchange-traded subsidize provider is helping investors make more bets on Wall Street’s most profitable momentum trades.
GraniteShares, which launched its first installment of single-stock ETFs in 2022, now manages 20 of them. It includes the GraniteShares YieldBoost TSLA ETF (TSYY), which discharged last month. The fund gives investors exposure to Tesla.
“This is about more and more people alluring charge of their own finances,” GraniteShares CEO William Rhind told CNBC’s “ETF Edge” this week. “They crave to be able to actively manage that and maybe try and outperform… That’s where we see things like leverage, single sheep really playing.”
He calls demand “a worldwide phenomenon” because it’s not just an opportunity for U.S. investors.
“We have investors all hither the world that are looking to the U.S. ETF market first because that’s the biggest source of liquidity,” added Rhind. “They’re looking to the vips that they know and love – the Teslas of the world [and] the Nvidias of the world. They’re only available here in the U.S., and that’s why people premiere c end here to trade them.”
But the firm acknowledges the strategy isn’t suited for everyone.
GraniteShares includes a disclosure in bold on its website: “An investment in these ETFs contain significant risks.”
As of Friday’s close, Tesla stock is nearly $100, or about 19%, off its all-time high – hit on Dec. 18.