(QLTI) The 2023 Series Trust II - Ratings and Ratios

The 2023 ETF Series Trust II, traded as QLTI on NASDAQ, is an actively managed exchange-traded fund that focuses on investing in high-quality non-U.S. equities as per the assessment of its adviser, Grantham, Mayo, Van Otterloo & Co. LLC (GMO). The funds strategy involves identifying and capitalizing on undervalued international equities, leveraging GMOs expertise in value investing. In addition to its primary investments, QLTI may also allocate its assets to the GMO U.S. Treasury Fund or other unaffiliated money market funds, as well as directly invest in securities typically held by money market funds, thereby maintaining liquidity and flexibility in varying market conditions.

As a non-diversified ETF categorized under Foreign Large Value, QLTI offers investors exposure to a specific segment of the international equity market, focusing on large-cap value stocks. Given its non-diversified nature, the funds performance can be significantly influenced by the performance of its individual holdings, potentially leading to higher volatility compared to diversified counterparts.

Analyzing the technical data, QLTIs recent price action indicates a bullish trend, with the last price of $25.51 being at its 52-week high. The funds short-term and long-term moving averages (SMA20 at $24.75, SMA50 at $24.09, and SMA200 at $23.92) suggest a sustained upward momentum. The Average True Range (ATR) of 0.32, or 1.26%, indicates moderate daily volatility. Considering these technical indicators, theres a potential for the price to continue its upward trajectory, albeit with potential short-term corrections.

From a fundamental perspective, QLTIs Assets Under Management (AUM) stand at $37.94M USD, indicating a relatively small but focused investment vehicle. The funds active management strategy and its specific investment focus could attract investors seeking exposure to high-quality non-U.S. equities. Combining this with the technical analysis, a forecast for QLTI could involve a continued appreciation in value, potentially reaching new highs as the funds investment strategy unfolds. However, the relatively small AUM and non-diversified nature of the fund should be considered as part of the overall risk assessment.

Forecasting the future performance of QLTI involves considering both the technical and fundamental data. Given the current bullish trend and the funds investment strategy, a potential target could be a 5-10% increase in the short term, driven by continued positive momentum and GMOs investment decisions. However, investors should remain vigilant of market conditions and the inherent risks associated with non-diversified and actively managed funds.