Instead of tracking a specific index, this active ETF selects holdings by referring to the stock trades that Republican members of Congress and their families publicly disclose under the STOCK Act. It focuses mainly on US large-cap and mid-cap stocks.

It suits investors who are interested in the theme of politicians' publicly disclosed trading activity and who can tolerate the volatility of active management.

It is an ETF managed actively (with a discretionary approach) by Subversive Capital.

Data partner Unusual Whales compiles the buy and sell transactions that Republican members of Congress and their families publicly report under the STOCK Act, and the fund refers to this data when adding or adjusting holdings. Holdings can change frequently whenever the disclosures are updated.

• A concept built on following the publicly disclosed trades of members of Congress
• An active structure in which holdings are adjusted as disclosures are updated

Assets under management (AUM) stand at $88.9M, and the expense ratio is 0.73% per year.

It is often compared with NANC, the Democratic version of the same concept, as a politically themed ETF.

Because its holdings are spread across large-cap technology stocks, financials and industrials, its performance tends to be influenced both by conditions in the US large-cap market and by the movements of individual holdings. Given the active structure, holdings volatility is present.

Owing to its political theme, interest tends to concentrate when elections and policy issues come to the fore, and fund flows can vary with overall market risk appetite and the attention the theme receives.

It is characterized by a distinctive political theme and diversified holdings, while active management costs and holdings volatility are points to watch.

It is directly comparable to NANC, the Democratic version built on the same data partner's concept, and the two products differ only in the political affiliation they follow. Another conservative-leaning political theme product, MAGA, is also worth considering. For broad exposure to the overall US market rather than a theme, broad core ETFs such as ITOT, SCHB and IWV shown in the table are alternatives. These track an index, so they differ in having lower fees and more stable holdings.

Here are the points to review before investing in GOP. It is wise to carefully check in advance the nature of the political theme concept, active management costs, holdings volatility caused by disclosure updates, and the impact of exchange rates.

Given its political theme, the level of interest varies widely from period to period, and volatility exists due to active adjustments of holdings. Investors holding won must also bear the risk of fluctuations in the dollar exchange rate.

It is worth considering if you are interested in a unique theme that follows the publicly disclosed trades of members of Congress. However, in light of the active costs and holdings volatility, it is best used as a satellite holding within a portfolio.