ETF Education Report: THE BRINSMERE FUND - GROWTH ETF (TBFG)

What this ETF is trying to do

THE BRINSMERE FUND - GROWTH ETF (TBFG) is an exchange-traded fund listed on the NYSE. Based on its name and holdings, it focuses on growth. It holds a variety of different investments, including stocks from the S&P 500 and international markets.

Top Holdings

The following are the top holdings in this fund. Please note that this is a partial list of the total holdings:

• STATE STREET® SPDR® PORT S&P 500® ETF (12.34%)

• INVESCO S&P 500® MOMENTUM ETF (7.44%)

• INVESCO RAFI US 1000 ETF (7.01%)

• VANGUARD FTSE DEVELOPED MARKETS ETF (6.17%)

• STATE STREET SPDR PORT S&P 600 SM CPETF (6.09%)

• VANGUARD INTMDT-TERM TRS ETF (5.40%)

• XTRACKERS USD HIGH YIELD CORP BD ETF (5.33%)

• STATE STREET SPDR PORT S&P 400 MD CPETF (5.14%)

• INVESCO S&P 500® EQUAL WEIGHT ETF (4.31%)

• VANGUARD INTERM-TERM CORP BD ETF (3.66%)

What the numbers show

When looking at an ETF, it is important to understand the difference between "price return" and "total return."

• Price Return: This measures only the change in the share price. For TBFG, the one-year price return was approximately 10.88%. The year-to-date (YTD) price return was approximately 9.45%.

• Total Return: This includes the share price change plus any distributions (cash paid out to investors). The one-year total return was approximately 13.76%, and the YTD total return was approximately 10.14%.

To see how the price has changed, we can look at an estimated price from roughly one year ago, which was $29.54, compared to the current price of $32.75.

Income and distribution explanation

This ETF pays out cash distributions to investors. The distribution yield is approximately 2.38%. This means the amount of cash paid out is about 2.38% of the current share price. These payments usually happen quarterly, and there were 4 payments in the last 12 months. It is important to remember that a distribution yield tells you about cash income, but it is not the same thing as your total return.

NAV erosion explanation

"NAV erosion" refers to a decline in the Net Asset Value (the actual value of the assets held by the fund). Some investors worry about this because if the value of the underlying assets drops significantly, it can affect the fund. For TBFG, the erosion-risk score is 100, and the label indicates "No price erosion detected." There is no severe erosion-risk flag for this ETF.

Pros

• The fund has shown positive price returns and total returns over the last year.

• The erosion-risk measurement is considered "good."

Cons

• Total return data for the last three years was not supplied.

• The income rating grade is a "C."

Beginner takeaway

When studying TBFG, remember that the share price and the cash distributions are two different things. The total return is the most complete way to see how the fund performed because it combines both the price movement and the cash paid out. Always look at the total return rather than just the distribution yield to get a fuller picture of performance.