On May 8, 2026, NewSquare Capital notified the SEC about the sale of 97,285 shares of the Invesco Dorsey Wright Momentum ETF, which corresponds to an estimated transaction value of $12.07 million, based on average quarterly prices.
What Happened
Per SEC filings, on the mentioned date, NewSquare Capital sold these shares during the first quarter. The estimated total from the sale was, again, around $12.07 million, derived from the average closing price for that quarter. At the end of the quarter, the fund reported holdings of 108,116 shares valued at approximately $13.05 million.
What Else You Need to Know
- This sale decreased PDP stock to 1.13% of the reportable 13F assets managed.
- The top holding stocks include:
- NYSEMKT:VTI: $116.94 million (10.2% of assets managed)
- NYSEMKT:VEU: $66.55 million (5.8% of assets managed)
- NYSEMKT:SCHX: $60.3 million (5.3% of assets managed)
- NYSEMKT:IJH: $33.46 million (2.9% of assets managed)
- NASDAQ:BND: $31.75 million (2.8% of assets managed)
- As of May 7, 2026, the stock price for PDP was noted at $139.28, reflecting a 37% increase over the past year, which is up by 7 percentage points compared to the S&P 500.
ETF Overview
| Metric | Value |
|---|---|
| Price (as of May 7, 2026) | $139.28 |
| 1 Year Total Return | 37% |
| Dividend Yield (TTM) | 0.1% |
| Assets Under Management | $1.5 billion |
ETF Snapshot
- Investment Strategy: PDP targets U.S. stocks exhibiting strong relative momentum and aims to track the Dorsey Wright Technical Leaders Index.
- Underlying Holdings: The ETF includes about 100 U.S. firms chosen based on a proprietary momentum screening, with quarterly rebalancing.
- Expense Ratio and Structure: Designed as a passively managed ETF, ensuring efficient exposure to momentum stocks; detailed pricing can be found in the prospectus.
The Invesco Dorsey Wright Momentum ETF utilizes a methodology that focuses on momentum-driven performance. By rebalancing quarterly, it aims to stay aligned with market trends. This approach provides investors access to various high-momentum stocks while benefiting from the liquidity and clarity that an ETF format offers.
What This Deal Means for Investors
The PDP reported a one-year NAV return of 36.6% through April 30, outperforming the Russell 3000 Growth Index across various time frames. This strong performance might explain NewSquare’s decision to trim its stake. PDP’s strategy involves focusing on approximately 100 companies that show indicators of relative strength, and the current leading stocks feature names like Comfort Systems USA, Apple, Amphenol, Quanta Services, and Western Digital.
For long-term investors, it’s worth noting that while momentum strategies can thrive during bullish markets, they may reverse quickly if leadership shifts. PDP’s emphasis on high-growth sectors, along with its valuation metrics—like a price-to-earnings ratio over 33—might make it susceptible if market sentiments change. Additionally, NewSquare Capital’s retention of $13 million worth of stock at the quarter’s end suggests a strategic reduction in exposure after achieving significant profits.
