GRNJ: Underdog ETF Is Beating The Market YTD

Fundstrat Granny Shot US-Small & Mid-Cap ETF (GRNJ) is outperforming the market year-to-date, beating VOT and VOO despite a higher expense ratio. GRNJ's strategy targets stocks at the intersection of major secular trends, benefiting from the AI infrastructure build-out. Sector allocations are concentrated in industrials and technology (56%), with increased exposure to healthcare and energy, and reduced exposure to financials and communications. The author is shifting from watchful skepticism to cautious conviction, monitoring if GRNJ’s strategy can remain effective as the AI trade matures post-rebalance.