A Momentous Occasion: Ringing the NYSE Closing Bell for The Free Markets ETF
Dear Friends, Colleagues, and Fellow Investors,
I am thrilled to share some exciting news with you all. This Friday, I will have the distinct honor of ringing the New York Stock Exchange Closing Bell to celebrate the launch of The Free Markets ETF (Ticker: FMKT). This moment represents a significant personal milestone for me, as it marks the first time I will be ringing the Closing Bell for my own fund.
A Collaborative Celebration
What makes this occasion even more special is that I won’t be standing on that iconic podium alone. I am privileged to be joined by an exceptional team of portfolio managers who have been instrumental in bringing this vision to life:
Hal Lambert of Point Bridge Capital
Joe Castiglie of SYKON Asset Management
Todd Stankiewicz of SYKON Asset Management
Together, we represent the collaborative spirit that has driven the creation and success of The Free Markets ETF. This celebration is not just about a financial product; it’s about the community of professionals who believe in the power of free market principles to drive innovation and create value.
The Free Markets ETF: A Strategic Approach
For those who may not be familiar with our fund, The Free Markets ETF (FMKT) is actively managed and employs a unique investment strategy focused on companies poised to benefit from regulatory shifts that support free market dynamics. We leverage advanced AI technology to identify firms that we believe are positioned to profit from federal deregulation.
Our approach is sector-agnostic, allowing us to capitalize on opportunities across various industries—from energy to healthcare and cryptocurrency-related businesses—where executive orders and deregulatory efforts are showing significant impact.
Why This Fund Matters Now
In today’s complex market landscape, we’re witnessing unprecedented shifts in regulatory environments. These changes create unique opportunities for companies that can adapt and thrive under more free market conditions. Our fund is specifically designed to identify and invest in these companies, providing investors with exposure to what we believe is an overlooked yet potentially lucrative segment of the market.
The recent completion of our dual listing on NYSE Texas, in addition to our existing listing on NYSE Arca, further demonstrates our commitment to expanding market reach and enhancing liquidity in a deregulation-friendly environment. This strategic move aligns perfectly with our investment thesis and underscores our dedication to practicing what we preach when it comes to free market principles.
The Power of Community in Investment
As we prepare for this momentous occasion, I am reminded of the importance of community in the investment world. None of us achieves success in isolation. The Free Markets ETF represents not just a financial product, but a coming together of diverse expertise, perspectives, and skills.
From our team of specialized sub-advisers with expertise in regulatory impact analysis and sector-specific investments to the broader network of professionals who have supported our journey, this fund embodies the collaborative spirit that drives innovation in finance.
Looking Forward
As I prepare to ring that iconic bell on Friday, I do so with immense gratitude for all who have been part of this journey and with great optimism for what lies ahead. The Free Markets ETF represents not just an investment opportunity, but a philosophy—a belief in the power of markets to drive progress when allowed to operate with appropriate freedom.
I invite you to join us in this celebration, whether in person or in spirit, as we mark this important milestone and look forward to the exciting road ahead.
With sincere appreciation,
Michael Gayed
Portfolio Manager
The Free Markets ETF (Ticker: FMKT)
Past performance is no guarantee of future results.
The Fund’s investment objectives, risks, charges, expenses and other information are described in the statutory or summary prospectus, which must be read and considered carefully before investing. You may download the statutory or summary prospectus or obtain a hard copy by calling 855-994-4004 or visiting www.freemarketsetf.com. Please read the Prospectuses carefully before you invest.
Investing involves risk including the possible loss of principal.
FMKT is distributed by Foreside Fund Services, LLC.
Find full holding details and learn more about FMKT at
http://www.freemarketsetf.com
Holdings are subject to change.
Deregulation Strategy Risks.The Fund’s strategy of investing in companies that may benefit from deregulatory measures entails significant risks, including those stemming from the unpredictable nature of regulatory trends. Deregulation is influenced by political, economic, and social factors, which can shift rapidly and in unforeseen directions. Changes in government priorities, political leadership, or public sentiment may result in the reversal of existing deregulatory policies or the introduction of new regulations that could adversely affect certain industries or companies. Further, while the Fund invests in companies expected to benefit from deregulatory initiatives, not all of these companies may achieve the expected advantages, whether fully, partially, or at all. The actual impact of deregulatory measures may vary widely depending on a company’s specific operational, financial, and competitive circumstances. Companies may also face challenges adapting to new regulatory environments, or their competitive positioning may be undermined by other market factors unrelated to deregulation. These risks could negatively affect the performance of the Fund’s portfolio.
Underlying Digital Assets ETP Risks. The Fund's investment strategy, involving indirect exposure to Bitcoin, Ether, or any other Digital Assets through one or more Underlying ETPs, is subject to the risks associated with these Digital Assets and their markets. These risks include market volatility, regulatory changes, technological uncertainties, and potential financial losses. As with all investments, there is no assurance of profit, and investors should be cognizant of these specific risks associated with digital asset markets.
● Underlying Bitcoin and Ether ETP Risks: Investing in an Underlying ETP that focuses on Bitcoin, Ether, and/or other Digital Assets, either through direct holdings or indirectly via derivatives like futures contracts, carries significant risks. These include high market volatility influenced by technological advancements, regulatory changes, and broader economic factors. For derivatives, liquidity risks and counterparty risks are substantial. Managing futures contracts tied to either asset may affect an Underlying ETP's performance. Each Underlying ETP, and consequently the Fund, depends on blockchain technologies that present unique technological and cybersecurity risks, along with custodial challenges in securely storing digital assets. The evolving regulatory landscape further complicates compliance and valuation efforts. Additionally, risks related to market concentration, network issues, and operational complexities in managing Digital Assets can lead to losses. For Ether specifically, risks associated with its transition to a proof-of-stake consensus mechanism, including network upgrades and validator centralization, may add additional uncertainties.
●Bitcoin and Ether Investment Risk: The Fund's indirect investments in Bitcoin and Ether through holdings in one or more Underlying ETPs expose it to the unique risks of these digital assets. Bitcoin's price is highly volatile, driven by fluctuating network adoption, acceptance levels, and usage trends. Ether faces similar volatility, compounded by its reliance on decentralized applications (dApps) and smart contract usage, which are subject to innovation cycles and adoption rates. Neither asset operates as legal tender or within central authority systems, exposing them to potential government restrictions. Regulatory actions in various jurisdictions could negatively impact their market values. Both Bitcoin and Ether are susceptible to fraud, theft, market manipulation, and security breaches at trading platforms. Large holders of these assets ("whales") can influence their prices significantly. Forks in the blockchain networks—such as Ethereum's earlier split into Ether Classic—can affect demand and performance. Both assets' prices can be influenced by speculative trading, unrelated to fundamental utility or adoption.
● Digital Assets Risk: Digital Assets like Bitcoin and Ether, designed as mediums of exchange or for utility purposes, are an emerging asset class. Operating independently of any central authority or government backing, they face extreme price volatility and regulatory scrutiny. Trading platforms for Digital Assets remain largely unregulated and prone to fraud and operational failures compared to traditional exchanges. Platform shutdowns, whether due to fraud, technical issues, or security breaches, can significantly impact prices and market stability.
● Digital Asset Markets Risk: The Digital Asset market, particularly for Bitcoin and Ether, has experienced considerable volatility, leading to market disruptions and erosion of confidence among participants. Negative publicity surrounding these disruptions could adversely affect the Fund's reputation and share trading prices. Ongoing market turbulence could significantly impact the Fund's value.
● Blockchain Technology Risk: Blockchain technology underpins Bitcoin, Ether, and other digital assets, yet it remains a relatively new and largely untested innovation. Competing platforms, changes in adoption rates, and technological advancements in blockchain infrastructure can affect their functionality and relevance. For Ether, the dependence on its proof-of-stake mechanism and smart contract capabilities introduces risks tied to network performance and scalability. Investments in blockchain-dependent companies or vehicles may experience market volatility and lower trading volumes. Furthermore, regulatory changes, cybersecurity incidents, and intellectual property disputes could undermine the adoption and stability of blockchain technologies.
Recent Market Events Risk. U.S. and international markets have experienced and may continue to experience significant periods of volatility in recent years and months due to a number of economic, political and global macro factors including uncertainty regarding inflation and central banks’ interest rate changes, the possibility of a national or global recession, trade tensions and tariffs, political events, war and geopolitical conflict. These developments, as well as other events, could result in further market volatility and negatively affect financial asset prices, the liquidity of certain securities and the normal operations of securities exchanges and other markets, despite government efforts to address market disruptions.
New Fund Risk. The Fund is a recently organized management investment company with no operating history. As a result, prospective investors do not have a track record or history on which to base their investment decisions.
Lead-Lag Publishing, LLC is not an affiliate of Tidal/Toroso, Tactical Rotation Management, LLC, SYKON Asset Management, Point Bridge Capital, or ACA/Foreside.