ETF Education Report: Amplify Video Game Tech ETF (GAMR)

What this ETF is trying to do

The Amplify Video Game Tech ETF, known by its ticker symbol GAMR, is an exchange-traded fund that focuses on the video game technology industry. Instead of buying just one company, this ETF holds a variety of different companies involved in gaming and related tech.

What the numbers show

The current price of one share is $101.15. To understand how the price has moved, we can look at several different timeframes:

• Year-to-Date (YTD): The price return so far this year is approximately 11.61%.

• One Year: The price return over the last year was approximately 1.00%.

• Three Years: The price return over the last three years was approximately 91.99%.

It is important to know the difference between price return and total return. Price return only tracks how much the share price itself changed. Total return includes both the price change and any cash distributions (dividends) paid out.

For GAMR, the one-year total return was approximately 1.53%, which is slightly higher than the price return alone. Over three years, the total return was approximately 94.20%. We can also see an estimated price from roughly one year ago was $100.14.

Income and distribution explanation

Some investors look for ETFs that pay out cash, known as distributions. GAMR has a distribution yield of approximately 0.47%. This number describes the cash distributions relative to the ETF's price. The trailing distributions were $0.47 per share. These payments are described as "irregular" or "less frequent," with only one payout recorded in the last 12 months.

NAV erosion explanation

"NAV erosion" refers to a decline in the Net Asset Value (the actual value of the assets held by the fund). While a falling share price can sometimes be related to erosion, they are not the same thing. For this ETF, the erosion-risk score is 94, which is labeled as "Stable / sideways," and the erosion severity is rated as "good." There is no severe erosion-risk flag for this ETF.

Top Holdings

The following are the top holdings in this portfolio (note that this list is partial):

• Microsoft Corp: 12.41%

• Nvidia Corp: 10.29%

• Meta Platforms Inc Class A: 9.62%

• Tencent Holdings Ltd: 9.46%

• Advanced Micro Devices Inc: 9.20%

• Sea Ltd ADR: 6.32%

• Nintendo Co Ltd: 6.07%

• Sony Group Corp: 5.72%

• Unity Software Inc: 3.76%

• Bandai Namco Holdings Inc: 3.75%

*Holdings can change over time.*

Pros

• The ETF shows a strong three-year price return.

• The erosion-risk score suggests the fund is currently considered stable.

Cons

• The distribution yield is relatively low.

• The one-year price return has been very small.

Beginner takeaway

When looking at an ETF like GAMR, remember that price returns and total returns are different. Always check if the total return is higher due to distributions. Also, keep in mind that while this fund provides exposure to many gaming companies at once, the value of your investment will change based on how those companies perform.