An exchange-traded fund provider is assisting investors in making more investments in Wall Street’s most lucrative momentum trades. GraniteShares, which introduced its initial set of single-stock ETFs in 2022, now oversees a total of 20 ETFs. Among them is the GraniteShares YieldBoost TSLA ETF (TSYY), which was launched last month, offering investors exposure to Tesla.
GraniteShares CEO William Rhind stated on CNBC’s “ETF Edge” this week, “This is about more and more people taking charge of their own finances. They want to be able to actively manage that and maybe try and outperform… That’s where we see things like leverage, single stocks really playing.” He describes the demand as “a worldwide phenomenon,” emphasizing that it is not limited to U.S. investors.
Rhind further explained, “We have investors all around the world that are looking to the U.S. ETF market first because that’s the biggest source of liquidity. They’re looking to the names that they know and love – the Teslas of the world [and] the Nvidias of the world. They’re only available here in the U.S., and that’s why people come here to trade them.”
However, the company acknowledges that this strategy may not be suitable for everyone. GraniteShares prominently displays a disclosure on its website stating, “An investment in these ETFs involve significant risks.”
As of the close of trading on Friday, Tesla stock is nearly $100, or approximately 19%, below its all-time high reached on Dec. 18.
