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- An exchange-traded fund that tracks meme stocks may soon launch on the NYSE.
- The Roundhill MEME ETF will trade stocks with high social media activity and high short interest.
- Roundhill Financial is the latest firm to capitalize on the retail-investing boom.
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Roundhill Financial is planning to launch an exchange-traded fund that screens stocks based on their social media activity and levels of short interest, according to an SEC filing that was first reported by Bloomberg.
The Roundhill MEME ETF will trade on the New York Stock Exchange under the ticker "MEME" if approved. The meme fund will rebalance every two weeks based on the holdings' "social media score" over the previous 14-day period.
The investment firm is the latest to capitalize on the boom in online retail investors. The Dave Portnoy -backed Van Eck Vectors Social Sentiment ETF (BUZZ) launched in March and unsurprisingly holds names like AMC, GameStop, and BlackBerry, all favorites among the Wall Street Bets crowd. The fund boasted one of the best first-day performances of ETFs ever, but now its assets have dropped in half.
MEME will be passively managed and track the Solactive Roundhill Meme Stock Index.