Clough Hedged Equity ETF
Key Statistics
Historical Performance
Total return including reinvested distributions, from adjusted closing prices.
Price History
Price history is being compiled for this fund.
Top Holdings
Top 25 holdings as of Jan 31, 2026 · source: SEC N-PORT. Full holdings & prospectus →
About CBLS
TheFund is an actively managed exchange-traded fund (“ETF”) that seeks to achieve its investment objective by purchasingsecurities that Clough Capital Partners L.P. (the “Adviser”), the Fund’s investment adviser, believes: ●have above-average financial characteristics such as return on invested capital, profit margins, debt-to-equity ratio, or revenue and earnings growth as identified in financial statements, relative to the broader equity market; ●are undervalued based on valuation metrics such as (i) enterprise value to sales, (ii) enterprise value to earnings before interest, taxes, depreciation, and amortization, or (iii) price to earnings ratios; or ●have higher growth potential as indicated by sales growth, earnings growth, or free cash flow growth. TheFund primarily invests in U.S.-listed equity securities and sponsored depositary receipts, including American Depositary Receipts(“ADRs”), European Depositary Receipts (“EDRs”) and Global Depositary Receipts (“GDRs”). Whilethe Fund’s equity exposure strategy focuses on investments in U.S. equity securities, the Fund’s strategy also includesinvestments in companies organized in the U.S. but deriving revenue from international markets, including emerging markets. TheFund makes investments in emerging markets using U.S.-listed securities of companies domiciled in emerging market countries. TheFund defines emerging markets as countries experiencing rapid economic growth, increasing per capita income, developing financialsystems, and potential for high growth. A short sale is a transaction in which the Fund sells a security it does not own, typicallyin anticipation of a decline in the market price of that security based on an analysis of market expectations, valuation multiples,or the likelihood of a contraction in the stock’s valuation multiple. While the Adviser seeks companies it believes willoutperform over a full market cycle (typically 5-11 years), the Fund may experience higher portfolio turnover in the short termas the Fund responds to changing market conditions or when the Adviser identifies new opportunities. The Adviser seeks to managethe Fund in a tax-aware manner in order to enhance after tax returns without compromising the duty to maximize risk-adjusted returns. TheAdviser's investment process is built on seeking to identify and capitalize on industry or economic trends that other investorshave not yet recognized, while maintaining overall portfolio volatility that is lower than that experienced by the broader market.The Fund views the Bloomberg World All-Cap Equal Weight TR Index (“WLSEQT”) as a representation of the broader marketbecause WLSEQT includes a broad spectrum of global equity securities across various market capitalizations. The Adviser believesthat it can identify industry or economic trends by analyzing industry and economic related information such as capital flowsthat effect natural resource scarcity, technological innovations which have the potential to disrupt traditional industries, impactsof demographic shifts, and changes in profit or credit cycles. The Adviser then interprets the information analyzed to identifyemerging patterns or changes in various sectors of the economy and develops a strategy for the Fund to allocate its capital intoinvestible securities. TheAdviser identifies investible securities through rigorous research, including analysis of public company filings, customer preferences,relevant supply chains, and additional publicly available company information. The investment process focuses on a number of significantglobal investment themes identified by the Adviser through its research process. Global investment themes include industry or economictrends that the Adviser believes will significantly impact multiple sectors or regions of the global economy. The Adviser believes thatthe Fund can invest in companies affected by an attractive global investment theme which the Adviser anticipates will result in positiveinvestment returns. For instance, an attractive global investment theme could be the emergence of artificial intelligence (“AI”)as a transformative technology. The Adviser might identify this theme by observing increased investment in AI research and development,analyzing the growing demand for advanced semiconductor chips, and studying the proliferation of AI-powered applications across variousindustries. This theme could result in far-reaching implications for semiconductor manufacturers, companies throughout the semiconductorsupply chain, consumer electronics producers, software developers, and numerous other sectors that stand to benefit from or be negativelyimpacted by AI technology. Whensuch a theme is identified, the Adviser then conducts bottom-up research to find specific companies that are well-positioned tobenefit from this trend. In the AI example, this research might uncover potential investments in leading chip designers, manufacturersof specialized AI hardware, cloud computing providers offering AI services, or software companies developing innovative AI applications.This approach allows the Fund to invest in the global trends identified by selecting individual securities that the Adviser believeswill offer the best potential for positive returns. Individualsecurity positions are selected after an evaluation of various company characteristics, such as an assessment of a company’s marketposition compared to its competitors, which would involve analyzing company specific factors including market share, product differentiation,and brand strength. The Adviser also evaluates the quality of company management by examining its track record, strategic decisions,and ability to execute business plans effectively. The company selection assessment also includes analyzing a company’s financialperformance metrics, reviewing a company’s public statements and interviews, and evaluating a company’s reputation withinits industry. The Adviser also analyzes a company’s earnings, cash flow, and balance sheet to assess its financial stability andpotential for positive investment returns. In addition, the Adviser evaluates whether a company’s market share, profitability andmarket valuation is justified and likely to persist over time, compared to both its own and peer historical metrics. The evaluation processinvolves analysis of various financial ratios and metrics, including price-to-earnings, earnings per share, return on equity, and debt-to-equityratios, to determine if a company’s stock price accurately reflects its fundamental value and growth potential. TheAdviser employs a tax-aware approach to managing investments across three dimensions. First, the Fund’s ETF structure providesinherent tax efficiency through in-kind creation/redemption mechanisms that defer capital gains. Second, the long/short strategycan create natural tax efficiency, as market advances may generate gains in the long positions and corresponding losses in theshort positions, while market declines may produce gains in the short positions and offsetting losses in the long positions, allowingthese net realized results to partially offset each other and may reduce net taxable gains while maintaining targeted exposure.Finally, the Adviser employs systematic monthly monitoring of gains and losses to identify offset opportunities, and use of tax-lotaccounting, to strategically harvest losses when consistent with investment objectives. These tax-aware procedures are intendedto enhance after-tax returns without compromising the primary duty to maximize risk-adjusted returns, which the Adviser believesmakes the Fund suitable for both taxable and tax-advantaged accounts. TheFund’s portfolio construction is driven by the Adviser’s bottom-up research process, which seeks to identify the most compellinginvestment opportunities across various sectors. The Fund’s equity stock position concentrations will be higher in sectors suchas energy, technology, consumer, industrial, and healthcare at times, and the Fund does not adhere to strict sector weighting parameters.This approach allows the Fund to invest in companies that have the greatest potential for returns, regardless of sector. The Fund typicallymaintains a diversified portfolio of 30 to 50 long positions and 10 to 50 short positions. This range allows for meaningful exposureto high-conviction ideas while maintaining a level of diversification to manage overall portfolio risk. Undernormal circumstances, at least 80% of the Fund’s net assets, plus borrowings for investment purposes, are invested long or shortin equity securities, including common stocks and sponsored depositary receipts. TheFund employs a hedging strategy that utilizes options and index futures to manage risk and enhance returns. The Fund generally maintainsa net long exposure of between 30%-70% of its net assets. The Fund buys put options or write (sell) call options on securities it believesare overvalued, aiming to profit from potential price declines or to protect existing long positions. Conversely, the Fund buys calloptions or writes put options on securities identified through the Adviser’s research process as undervalued, seeking to benefitfrom potential price appreciation or to gain exposure to attractive investments at a lower initial cost. In addition to options, theFund uses futures contracts on stock indices, which allow the Fund to invest in one instrument to gain exposure to a group of companiesthat a futures contract represents, rather than investing in each individual company. The Fund also uses futures contracts to hedge portfoliorisks, such as buying or selling an index future when the broader market appears to be overbought based on evaluation of historical valuationmetrics. Investments in options and futures allow the Fund to respond to changing market conditions or to implement investment viewswithout directly buying or selling the underlying securities. The Adviser employs a flexible approach to determine the optimal durationfor each option or futures instrument that the Fund invests in, and option or futures position durations are generally less than twoyears. The duration decision is based on careful evaluation of several factors, including transaction costs, the timing of potentialcatalysts that may alter the broader markets stock prices, and other relevant considerations typical in derivative transactions. TheFund’s goal of investing in options and futures is to strike a balance between hedging portfolio risks or capturing desired marketexposure and managing the costs and risks associated with such instruments. This flexible approach allows the Fund to adapt its derivativestrategy to changing market conditions and specific investment opportunities. Theuse of options and futures strategies are used to hedge and enhance the returns of the Fund’s core equity portfolio, and such strategiesare not used to replace the core equity portfolio.
CBLS News
Data for CBLS is aggregated from third-party providers (Tiingo, Nasdaq, Finnhub) and SEC filings, may be delayed at least 20 minutes, and may be incomplete or contain errors. Nothing here is investment advice. Verify with the official prospectus before investing.