(TMFC) Motley Fool 100 Index - Overview

TMFC is a U.S.–based, large-growth ETF that aims to replicate a proprietary, rules-based index created by TMF in 2017. The index selects the 100 biggest, most liquid U.S. companies that TMF’s analysts have recommended, and the fund commits at least 80 % of its net assets (excluding securities-lending collateral) to those component stocks. Because the portfolio is concentrated in a relatively small number of large-cap names, the fund is classified as non-diversified.

**Key quantitative updates (as of Q4 2024):** - **Expense ratio:** 0.30 % (slightly above the industry average for large-cap growth ETFs, which typically sit around 0.20 %). - **Assets under management (AUM):** approximately $1.2 billion, reflecting modest inflows since its 2022 relaunch. - **Top holdings:** Apple (AAPL), Microsoft (MSFT), and Amazon (AMZN) together account for roughly 18 % of the portfolio, underscoring heavy exposure to the technology sector. - **Sector tilt:** Technology comprises ~45 % of assets, followed by Consumer Discretionary (~20 %). This concentration makes the fund’s performance highly sensitive to tech earnings trends and macro-driven shifts in discretionary spending.

**Economic and sector drivers:** The ETF’s returns are closely linked to U.S. consumer spending growth and corporate earnings momentum in the tech sector; a sustained rise in real disposable income typically lifts demand for the digital services and devices that dominate the top holdings. Conversely, higher Federal Reserve rates can compress valuations for growth-oriented stocks, increasing the fund’s volatility relative to broader market indices.

For a deeper quantitative comparison of TMFC’s risk-adjusted returns, you might explore ValueRay’s analytics platform.