PUNK Metaverse ETF

The Subversive Metaverse ETF (Ticker: PUNK) is an actively managed fund that invests in globally listed securities that provide services and products that support the infrastructure and applications of the Metaverse.  Metaverse describes the next generation of the Internet, which promises creators the ability to build the next chapter of human interaction through immersive experiences in virtual and augmented spaces. 

A committee of Metaverse experts led by Jon Radoff (Beamable) will analyze the Metaverse Companies, their role in supporting the Metaverse, and their current and future potential to generate profits from the Metaverse. 

This emerging technological and human advancement requires responsible companies dedicated to the principles of egalitarianism, democracy, sustainability, and facts. Therefore, we believe that Meta Platforms Inc., the parent company to Facebook, is antithetical to those principals and any market cap above zero is a direct assault on liberal democracy and the survival of our planet.  For this reason, we intend to include a short position in META (Ticker: FB) which will be limited to 5% of AUM.

Metaverse Companies selected for the fund’s portfolio will be engaged in one of the seven layers of the Metaverse:

Layer 1: Experience – The Metaverse is about the dematerialization of physical space, distance and objects. Companies in this layer will focus on the creation of games, social, esports, media and shopping.

Layer 2: Discovery – This layer is about the push and pull that introduces people to new experiences.  Companies in this space will focus on ad networks, social and curation. 

Layer 3: Creator Economy – Advancements in technology have given rise to a new creator era where designers do not necessarily need to know code. Companies are building the tools, templates and marketplaces that allow anyone to launch a website, business, and applications. Companies in this layer will focus on design tools, asset markets, workflow and commerce.

Layer 4: Spatial Computing – The goal of companies in this category is to dissolve the layer between physical and virtual worlds -  injecting space into computation or computation into space. The key technologies include: 3D engines, mapping and interpretation, voice and gesture recognition, data integration and next generation user interfaces.

Layer 5: Decentralization – Blockchain technology is expected to free financial assets from centralized control and custody, for example, through decentralized finance and non-fungible tokens, which all rely on blockchains. A wave of innovation around decentralized markets will likely drive adoption and application for game assets.

Layer 6: Human Interface – The vast majority of the workforce relies on some level of technology to provide output, goods and services. Companies in this layer will focus on the hardware and technologies that connect the human body and mind to the Metaverse.

Layer 7: Infrastructure – This layer includes the technology that enables our devices and connects them to each other and the network. The companies in this layer will focus on 5G, wifi, cloud, and semiconductors.

Once Metaverse Companies are identified across these layers, the fund’s investment adviser will apply a Subversive Metaverse Ranking (“SMR”) to each company based on the level of focus and commitment to developing the Metaverse.

The ETF is value-weighted with an expense ratio of 0.75%