The Dhandho Junoon ETF takes three distinct strategies and marries them together in one unique strategy by seeking investment results that correspond, before fees and expenses, generally to the performance of the Dhandho Junoon Index (ticker: NOON) (the "Index"). Created by Dhandho Funds LLC, the Dhandho Junoon Index utilizes a proprietary methodology to select its components from three categories - "Share Buybacks," "Spin-Offs" and "Select Value Manager Holdings."


Share Buybacks

The primary bucket is “Share Buybacks.” These are companies that are aggressively buying back their own stock. The Index will give weight to “consistent share count reducers.” These are businesses that are buying back their stock year in and year out. These consistent share count reducers tend to be cash heavy businesses.

Note: Represents approximate allocations to the 3 buckets as of portfolio launch date


The smallest bucket is the Spin-Offs bucket. These are companies that were spun off over the past several years from a parent. Spin-Offs may offer attractive value investing opportunities.

Select Value Manager Holdings

The next bucket is the “Select Value Manager Holdings” bucket. A portion of the Dhandho Junoon ETF consists of the largest positions in the portfolios of some hedge fund managers. To qualify for the Select Value Manager Holdings category, issuers must have been held by one of 22 selected value hedge funds during the previous quarter, as reported on their Form 13F filings.

As of March 31, 2016, the 22 value managers whose top holdings are included in the Index are:

  1. ValueAct Capital
  2. Berkshire Hathaway
  3. Arlington Value Capital
  4. Greenlight Capital
  5. Appaloosa Management
  6. FPA Capital Fund
  7. SQ Advisors
  8. Invesco Private Capital
  9. Pabrai Investment Funds
  10. Sequoia Fund
  11. Pershing Square Holdings
  12. Third Point
  13. Fairholme Capital Management
  14. Icahn Capital Management
  15. Markel Insurance
  16. Blue Ridge Capital
  17. Tweedy, Browne Company
  18. Leucadia National
  19. Baupost Group
  20. Abrams Capital Management
  21. Lone Pine Capital
  22. Maverick Capital

The Select Value Manager Holdings category provides access to holdings of select value hedge funds without the "2 and 20" fees. 2 and 20 fees is a typical fee of most hedge fund managers in which the management fee is 2% of total assets under management plus an additional 20% of any profits.