The large cap fund is designed to offer exposure to companies operating in the betting, alcohol and drug (pharmaceutical) industries.
The BAD Investment Company is pleased to announce the launch of the BAD ETF (NYSE: BAD). The indexed, large cap fund is designed to offer investors equally-weighted exposure to the B.A.D. market segments – betting (casinos, gaming, and online gaming operations); alcohol/cannabis (alcoholic beverage manufacturing and distribution and/or cannabis cultivation and sales); and drugs (pharmaceutical and biotechnology product development and manufacturing) – by providing investment results that closely track the performance, before fees and expenses, of the EQM BAD Index (BADIDX).
While the idea for creating funds focused on vice stocks is not new, The BAD Investment Company saw a new opportunity to form a fund around B.A.D. market segments specifically due to the nature of how companies in these market segments are often treated – We believe the vice industry exhibits defensive characteristics (people often continue to do BAD things regardless of economic conditions), yet are often “shunned”, and underinvested segments of the market which has historically provided diversification benefits, economic resilience, and competitive risk-adjusted returns.
The BAD ETF also represents an intriguing alternative for a new wave of retail investors who may be frustrated with aspects of the ESG movement.
“With the proliferation of whitewashed ESG products and market sub-segments like sports betting and cannabis becoming more widely accepted socially and legally, we saw an opportunity to fill what we perceived as a gap in the marketplace. We came to that conclusion primarily by listening and watching this newly energized retail crowd over the past year,” says Tommy Mancuso, president and co-founder of The BAD Investment Company. “We believe they want investment products rooted in transparency and quality that they may also be able to understand and relate to as consumers whether that is in health, wellbeing, or entertainment.”
The BAD Investment Company is embracing these changing trends to not only create a product that is diversified across multiple vice sectors but also offer investors exposure to long-term growth opportunities. Mancuso added, “Many new or retail investors may have a misconception and a ‘to the moon’ mentality when it comes to investing and as exciting as that may sound, we believe should focus on long-term investing and sustainable areas of the market that have historically demonstrated to be profitable and withstood multiple economic cycles.”
“Our mission is to position ourselves in a unique manner compared to most fund management companies. It’s our opinion that we don’t think or dress like the typical ‘suit,’ but are fully capable of harnessing the expertise and insights of Wall Street to provide strategically designed investment products.”
The BAD ETF is now trading on the NYSE (NYSE: BAD).
For more information on the BAD ETF, please visit www.badinvestmentco.com.
About The BAD Investment Company
The BAD Investment Company is a registered investment adviser and ETF sponsor. We focus on identifying themes and sectors of the market that may appeal to investors as a consumer and offer them long-term, sustainable investment opportunities. To learn more about the company, please visit badinvestmentco.com.
Disclaimer
Before investing carefully consider the fund’s investment objective, risks, charges, and expenses. This and other information are contained in the prospectus which can be obtained by visiting www.badinvestmentco.com. Please read the prospectus carefully before investing.
The Fund is a recently organized investment company with no operating history. As a result, prospective investors have no track record or history on which to base their investment decision.
Alcohol, betting, pharmaceutical, and cannabis companies are subject to numerous risks. These industries face intense competition including from participants performing illegal activities or unregulated companies. Betting, Pharmaceutical and Cannabis companies are particularly affected by increasing regulatory constraints and the costs of complying with such constraints.
Alcohol companies in particularly are subject to demographic and product trends, changing consumer preferences, nutritional and health-related concerns, competitive pricing, marketing campaigns, and environmental factors.
The pharmaceutical companies can be significantly affected by government approval of products and services, government regulation and reimbursement rates, pricing pressure (including price discounting), limited product lines, pricing pressure (including price discounting), limited product lines, patent expirations, and intense competition. The costs associated with developing new drugs can be significant, and the results are unpredictable.
Cannabis-related companies are subject to various laws and regulations that may differ at the state/local and federal level. These laws and regulations may (i) significantly affect a cannabis-related company’s ability to secure financing, (ii) impact the market for marijuana industry sales and services, and (iii) set limitations on marijuana use, production, transportation, and storage. In addition, cannabis-related companies are subject to the risks associated with the greater agricultural industry, including changes to or trends that affect commodity prices, labor costs, weather conditions, and laws and regulations related to environmental protection, health and safety.
Distributor: Foreside Fund Services, LLC.
View source version on businesswire.com: https://www.businesswire.com/news/home/20211222005089/en/
Contacts
Ally Boyle
For: The BAD Investment Company
Ph: 267-614-4076