On Wednesday, Round Hill Investments reintroduced an exchange-traded fund (ETF) that focuses on meme stocks, providing a straightforward way for retail investors to engage with this volatile segment of the market.
However, if past patterns hold true, this revival might suggest that both this specific trading and the broader market are already losing steam.
The newly launched meme stock ETF, under the ticker MEME, follows the same branding as its predecessor, which was initially launched in late 2021 but discontinued two years later.
“Meme stocks began as a form of rebellion and have since evolved into something much larger,” remarked Dave Mazza, CEO of Round Hill Investments. “With MEME, we equip investors to harness the buzz of today’s eye-catching stocks via actively managed ETFs, allowing for quick involvement in these headline-stealing companies.”
The prior version of the ETF serves as a cautionary tale. Launched in early December 2021, it coincided with the Nasdaq Composite at its peak. From that point until its 2023 shutdown, the Nasdaq saw a nearly 10% drop, while the S&P 500 experienced a decline of over 3% in the same timeframe.
Notably, popular meme stocks didn’t fare well either. For instance, GameStop plummeted about 69% during this period, while AMC stock dropped an astonishing 96% in nearly two years.
“Meme stocks were a significant factor in the market’s frenzied sentiment from 2020 to 2021, marking the height of the business cycle,” stated Jonathan Krinsky, chief market technician at BTIG, noting the irony behind the ETF’s re-launch.
Krisnky also suggested that the launch of this renewed meme fund might indicate that the market’s speculative excesses have peaked, warning that the restart could be misinterpreted as a sign of renewed energy.
The ETF now represents a fresh wave of meme stocks. During the earlier pandemic-related surge, Reddit’s Roaring Kitty and followers on the WallStreetBets forum triggered significant surges in stocks like GameStop and AMC.
As of Wednesday, the principal holding in this new fund was Open Door Technologies, which accounted for over 12%, based on data from Round Hill. This stock, priced at less than $2 last year, has skyrocketed nearly 450% this year, particularly capturing interest from hedge fund manager Eric Jackson.
Meme ETF maximum holdings
| ticker | stock | Weight (%) |
|---|---|---|
| open door technologies | open | 11.9 |
| plug power | plug | 10.7 |
| applied digital | APLD | 8.7 |
| quantum scape | QS | 8.3 |
| crypto mining | CIFR | 7.3 |
sauce: Round Hill, as of October 8, 2025
