FRTY vs LRGC

FRTYDAlger Mid Cap 40 ETF

LRGCAAB US Large Cap Strategic Equities ETF

In short

FRTY Alger's stock-picking house style in ETF form: roughly 40 mid-cap growth names, chosen for what the manager calls Positive Dynamic Change. In a peer group stacked with cheap large-cap index-huggers, it's the concentrated mid-cap outlier.

LRGC AB's stock pickers in an ETF wrapper: roughly 70 large-cap US names picked with fundamental research plus quant screens, measured against the S&P 500. Active conviction, priced under the typical active peer.

Stated mandate

FRTY The fund seeks long-term capital appreciation by investing in a focused portfolio of mid-cap companies selected through fundamental research for promising growth potential. Its manager emphasizes companies experiencing Positive Dynamic Change.

LRGC The Fund seeks long-term growth of capital. It is actively managed and normally invests at least 80% of net assets in equities of large-capitalization U.S. companies.

Why people hold it

• FRTY About 40 holdings, so every pick carries real weight. This is a conviction portfolio, not a closet index fund shadowing a benchmark.
• Mid-cap growth is the actual mandate, which separates it from a peer group led by large-cap enhanced-index products like JUSA and FELG.
• Stocks are picked by fundamental research under Alger's Positive Dynamic Change framework, aimed at US mid caps the team sees as hitting a growth inflection.
• Launched in 2021, it puts a long-running active growth process into a daily-traded ETF wrapper instead of a mutual fund share class.

• LRGC Roughly 70 holdings against a 500-stock yardstick, with quality and value screens doing the filtering. Each name actually carries weight.
• 0.39% a year sits below the median fee in its active large-cap group, so the manager isn't digging out of a deep cost hole.
• One of the stronger implementations among the actively managed US large-cap funds we track, with a plain mandate: at least 80% of net assets in large-cap US equities.
• Launched in 2023 on one of AB's core US equity strategies, with Jane Street signed on as lead market maker from day one.prnewswire.com

Worth knowing

• FRTY The 0.60% expense ratio sits above the 0.54% typical for its cohort, and far above index-tracking rivals such as JUSA at 0.12%.
• It trades thinly. Spreads can widen and fills get lumpy, so execution matters more here than in a heavily traded fund.
• Concentration cuts both ways: 40 mid-cap growth names can swing harder than a broad index. Distributions are infrequent, so income isn't the point.

• LRGC At 0.39%, it costs more than cheaper enhanced-index rivals in the same group, such as JUSA at 0.12% and GUSE at 0.30%.
• Outcomes ride on the team's judgment, not an index rulebook, and about 70 positions concentrate those calls.
• It trades lightly next to the big index names, so spreads can run wider, especially in fast markets.

Full FRTY profile⁠

Full LRGC profile⁠