FDG: Sluggish Q1 Amidst Market Chaos, Downgrade To Hold

Nikola Lapenna197 FollowersFollow5ShareSavePlay(8min)CommentsSummaryAmerican Century Focused Dynamic Growth ETF is an actively managed, concentrated growth fund targeting 30–45 mid- to large-cap companies.FDG has historically outperformed its Russell 1000 Growth ETF benchmark, but recent aggressive positioning has led to underperformance in Q1.The fund's higher exposure to communication services and consumer discretionary, combined with a 1.35 beta, has increased volatility and downside risk.I am downgrading FDG to Hold due to recent underperformance, higher fees versus passive peers, and a challenging market environment. Richard Drury/DigitalVision via Getty Images FDG at a Glance The American Century Focused Dynamic Growth ETF (FDG) is an actively managed exchange-traded fund (also known as an ETF) that invests in a concentrated portfolio of mid- to large-cap growth companies withThis article was written byNikola Lapenna197 FollowersFollowWith over three years of finance and consulting experience, Nikola is laser focused on finding value in North American public equities and ETF's. His professional experience includes corporate credit risk analysis, consulting for government entities, and venture capital analysis in the med-tech space. More recently, Nikola has helped investors narrow down better options for ETF's - every asset manager seems to have similar offerings these days. Nikola is not a licensed financial advisor and nothing in his commentary here on Seeking Alpha should be regarded as advice. All of his opinions are his own, and not on behalf of any other entities.Analyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article. Seeking Alpha's Disclosure: Past performance is no guarantee of future results. No recommendation or advice is being given as to whether any investment is suitable for a particular investor. Any views or opinions expressed above may not reflect those of Seeking Alpha as a whole. Seeking Alpha is not a licensed securities dealer, broker or US investment adviser or investment bank. Our analysts are third party authors that include both professional investors and individual investors who may not be licensed or certified by any institute or regulatory body.