The Leuthold Group Introduces Leuthold Select Industries ETF (LST)

How LST ETF Works

The Leuthold Select Industries ETF adopts a quantitative, unemotional investment strategy focused on group selection rather than individual stock selection. By identifying and monitoring approximately 120 distinct industry-specific groups—such as “Airlines,” “Semiconductors,” and “Health Care Facilities”—the ETF aims to capitalize on broader market trends. The fund dynamically adjusts its portfolio to invest in groups that the firm identifies as most attractive, ensuring adaptability to changing market conditions.

Its innovative approach includes a focus on “growth” and “value” stocks, covering companies of all sizes. CIO Doug Ramsey emphasized the significance of this methodology, stating, “Over the years, we have seen that group selection can be a significant source of potential outperformance. With the Leuthold Select Industries ETF, we look forward to offering a time-tested strategy to a whole new universe of investors.”

LST has a net expense ratio of 65 basis points after a significant fee waiver.

Why Investors Should Consider LST ETF

Investors may find LST appealing for its focus on group-based strategies, which the firm believes are as critical as individual stock selection in determining investment performance. The Leuthold Select Industries ETF’s data-driven, disciplined approach aims to avoid emotional biases, while its dynamic allocation ensures the portfolio remains aligned with emerging market opportunities.

The fund is managed by a team of highly experienced portfolio managers, including Chun Wang, CFA; Greg Swenson, CFA; and Scott Opsal, CFA, each bringing decades of expertise to the table. This long-tenured team ensures the implementation of a refined, differentiated strategy designed to achieve superior long-term investment performance.

Doug Ramsey underscored this approach, highlighting how shifts among industry groups have become increasingly dramatic and influential in determining outcomes. This underscores the ETF’s mission to provide a targeted solution for navigating evolving markets effectively.

About the Issuer

Founded in 1981, The Leuthold Group has been a leader in independent investment research for nearly half a century. Known for its monthly “Green Book” and its pioneering work in equity investment management based on sector/industry group selection and rotation, the firm combines a rich history with a forward-thinking approach. Since establishing its investment management arm in 1987, The Leuthold Group has specialized in tactical asset allocation and disciplined quantitative methodologies, offering strategies that span long-only, short-only, and ETF portfolios.

The Leuthold Select Industries ETF builds on the success of its predecessor, the Leuthold Core ETF

Please note this article is for information purposes only and does not in any way constitute investment advice. It is essential that you seek advice from a registered financial professional prior to making any investment decision.