Q1 2024 U.S. Global Investors Inc Earnings Call
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Speaker Change: You have joined the meeting as an attendee and will be needed throughout the meeting.
Speaker Change: Good morning, everyone and thank you for joining us today for our webcast announcing U S. Global investors' results for quarter ended March 31st 2024, I'm Holly Schoenfeldt as you can see on slide number to you the presenters for today's <unk>.
Holly Schoenfeldt: Good morning, everyone. Thank you for joining us today for our webcast announcing U.S. Global Investors results for the quarter-ended March 31st, 2024. I'm Holly Schoenfeldt.
Holly Schoenfeldt: As you can see on slide number two, the presenters for today's program are Frank Holmes, U.S. Global Investors CEO and Chief Investment Officer, Lisa Callicott, Chief Financial Officer, and myself, Holly Schoenfeldt, Director of Marketing. Now, we'll move to slide number three.
Speaker Change: Graham are Frank Holmes U S Global Investors', CEO, and Chief Investment Officer, Lisa Callicott, Chief Financial Officer, and myself, Holly Schoenfeldt director of marketing now, let's move to slide number three.
Speaker Change: This is forward looking statements. So during this webcast we may make forward looking statements about our relative business outlook any forward looking statements and all other statements made during this webcast that don't pertain to historical facts are subject to risks and uncertainties that may materially affect actual results.
Holly Schoenfeldt: This are forward-looking statements. So during this webcast, we may make forward-looking statements about our relative business outlook. Any forward-looking statements and all other statements made during this webcast that don't pertain to historical facts are subject to risks and uncertainties that may materially affect actual results. Please refer to our press release and the corresponding Form 10-Q filing for more detail on factors that could cause actual results to differ materially from any described today in forward-looking statements. Any such statements are made as of today, and U.S. Global accepts no obligation to update them in the future.
Speaker Change: Please refer to our press release and the corresponding Form 10-Q filing for more detail on factors that could cause actual results to differ materially from any described today in forward looking statements any such statements are made as of today and U S. Global accepts no obligation to update them in the future.
Speaker Change: On the next slide as always we would love to offer anyone tuned in today one of our Jets go are you or Fiat.
Holly Schoenfeldt: On the next slide, as always, we would love to offer anyone tuning in today one of our Jets, GOAU, or SEAHATs. In addition, we do have JETS luggage tags available. All you have to do is send us an email with your physical mailing address to info at usfunds.com.
Speaker Change: In addition, we do have jets luggage tags available all you have to do is send us an email with your physical mailing address two info at U S Dot com and don't forget the go au.
Holly Schoenfeldt: And don't forget to Go AU!
Speaker Change: And to go a U S. Yes.
Speaker Change: Alright, so on this slide I want to quickly review our company U S. Global investors is an innovative investment manager with vast experience in global markets and specialized sectors. It was originally founded as an investment club, becoming a registered investment adviser in 1968 the company.
Holly Schoenfeldt: and the GO-AHEW hat. Yes. All right. So on this slide, I want to quickly review our company. U.S. Global Investors is an innovative investment manager with vast experience in global markets and specialized sectors. It was originally founded as an investment club, becoming a registered investment advisor in 1968. The company has a long-standing history of global investing and launching first-of-their-kind investment products, including the first no-load gold fund. We are well known for expertise in gold and precious metals, natural resources, airlines, and luxury goods.
Speaker Change: He has a longstanding history of global investing and launching first of their kind investment products, including the first no load Gold fund, we are well known for expertise in gold and precious metals natural resources Airlines and luxury goods and now on the next slide this is where I want to hand the presentation.
Holly Schoenfeldt: And now on the next slide, this is where I want to hand the presentation over to CEO Frank Holmes to review what we believe is one of the most helpful and also one of the most telling visuals when it comes to investing, not only for growth but for any major asset class.
Speaker Change: Over to CEO, Frank Holmes to review, what we believe is one of the most helpful. And also one of the most telling visuals when it comes to investing not only for grow but for any major asset class.
Frank Edward Holmes: Thank you Holly and thank you all the shareholders and Lisa for helping.
Frank Edward Holmes: Thank you, Holly, and thank you all the shareholders and Lisa for helping the marketing team put this presentation together. And yes, the DNA of volatility is very important because it tries to identify that and relate that every asset class has its own unique volatility.
Frank Edward Holmes: Mark and team put this presentation together.
Frank Edward Holmes: And yes, the DNA of volatility is very important because it tries to identify that and relate that every asset class has its own unique volatility.
Frank Edward Holmes: And often it's more volatile, the more emergent or a new business is coming into the forefront. And if it's not in one of the big indexes, Tesla, as you can see here, used to have a daily volatility of six percent. It's now three because it's gone into the S&P 500. And that's what happens over time.
Frank Edward Holmes: Often it's more volatile the more emergent or a new business is coming into the forefront and if it's not in one of the big indexes.
Frank Edward Holmes: <unk> as you can see here used to have a daily volatility of 6% is now three because its gone into the S&P 500, and that's what happens over time.
Frank Edward Holmes: And so anyone that goes and buys growth has to expect it's a non-event for 70 percent of the time to go up or down two percent in a day and over a 10 day period to go plus or minus five percent. That's very common with micro cap stocks and it's very common with growth. I am going to walk you through the presentation to try to help you embrace and understand what drives the direction often for growth stock prices. Next, please.
Frank Edward Holmes: And so anyone that goes and buys grow has to expect it's a non event for 70% of the time to go up or down 2% in the day and over a 10 day period to go plus or minus 5%, that's very common with microcap stocks and it's very common with grow I am going to walk through the presentation to try to.
Frank Edward Holmes: Help you embrace and understand what drives the direction that often for gross stock price next please.
Frank Edward Holmes: I want to thank.
Frank Edward Holmes: I want to thank all the fund investment advisors. Most of these investment advisors are index funds, except for Parrott. That is an active micro cap fund manager. And I believe that the same thing with Canon Wealth. And thank you for being shareholders. Next, please. I own approximately 18% of the company, and I have 99% of the voting control, which is to be in compliance with the 40 Act rules for an investment advisor.
Frank Edward Holmes: All the fun and investment advisors most of these.
Frank Edward Holmes: The investment advisors our index.
Frank Edward Holmes: Except for a parent that has a.
Frank Edward Holmes: And octave Microcap fund manager and I believe that the same thing with countered wealth and thank you for being shareholders next please.
I own approximately 18% of the company.
Frank Edward Holmes: And I have 99% of the voting control, which is to be in compliance with 40 Act rules for an investment adviser without going into great detail on the complexity of it but basically.
Frank Edward Holmes: Without going into great detail on the complexity of it, but basically, all the covenants, everything's aligned with all shareholders. Next, please. The company has been paying a monthly dividend since 2007, the current yield on the share price at $2.69 is 3.35, and the board, on a regular basis, reviews to approve the dividend. Next, please. Our vision is to create thematic products that are sustainable. That's always proved to be difficult.
Frank Edward Holmes: All the covenants everything is aligned with the all shareholders next please.
Frank Edward Holmes: The company has been paying a monthly dividend since 2007, the current yield on the.
Share price of $2 69.
Frank Edward Holmes: 335.
Frank Edward Holmes: And the board.
Frank Edward Holmes: Regular basis reviews to approve them.
Frank Edward Holmes: Dividend next please.
Speaker Change: Our vision is to create the matic products that are sustainable.
Speaker Change: That's always proved to be difficult I can so I don't know why but knowing for gold Goldcorp series Big cycles.
Frank Edward Holmes: I don't know why, but gold goes through these big cycles. And in the last big gold cycle from 2001 to 2007, our assets went from basically 500 million up to 7 billion. And it's interesting to see that those assets like Eastern Europe, which were very early, went from 4 million to over a billion dollars. And the same thing, the Chinese fund from the early 90s, it exploded in assets. But the whole anti-Eastern Europe and concern over Russia has basically really created a difficulty for investors to want to take that risk.
Speaker Change: And then the last big gold cycle from 2001 to 2007, our assets went from basically $500 million up to $7 billion in.
Speaker Change: And it's interesting to see that those assets like Eastern Europe, which were very early went from 4 million to over a billion dollars and the same thing.
Speaker Change: China funds.
Speaker Change: From the early nineties.
Speaker Change: It exploded in assets, but the anti the whole anti eastern Europe and concern over Russia.
Speaker Change: Is basically really created a difficulty for investors to want to take that risk I think a lot of American investors would rather take the risk in a domestic technology stock than the goal and be in eastern Europe or anything Thats in China.
Frank Edward Holmes: I think a lot of American investors would rather take the risk on a domestic technology stock than go and be in Eastern Europe or anything that's in China. So those two funds, which were one-time big product funds and very profitable funds, have been shut down. And it has nothing to do with the overall fund performance. It is a combination of mutual funds being no longer an appealing asset class. It's been directed towards ETFs, where the growth is.
Speaker Change: So those two funds, which were went one time big product funds and very profitable bonds have been shut down.
Speaker Change: And it has nothing to do with the overall fund performance. It is a combination of mutual funds being no longer have the appealing asset class. It's been directed towards Etfs, where the growth is and I'm going to walk through what the specialties in the ETF space, where we see the growth that maintaining.
Speaker Change: And energy and we go through these cycles, so lifecycle manage the expectations for new product launch we believe that.
Frank Edward Holmes: And I'm going to walk through what the specialties in the ETF space are where we see the growth of maintaining. And we go through these cycles. So life's about managing the expectation for a new product launch. We believe that the basic cost for audits and legal is about a quarter million a year.
Speaker Change: The basic cost of her audits of legal is about a quarter million dollars a year is excluding compliance marketing and trading et cetera, but just to put a product on the shelf and you have to take about four years to plan.
Frank Edward Holmes: It's excluding compliance and marketing and trading, et cetera. But just to put a product on the shelf, and you have to take about four years to plan to get the brand so that you get up to the critical mass. You need about $50 million or 60 basis points to cover your basic on-the-shelf costs. To cover all your costs, you need about $100 million.
Speaker Change: To get the brand so that you get after the critical mass you need about $50 million of 60 basis points to cover your basic on the shelf cost to cover all your costs you need about $100 million.
Frank Edward Holmes: So that's just something for us. We do understand, and we do have an idea that when we launch a product, we're willing to support and back it. I mentioned to you a few minutes ago that we just shut down our Eastern European fund and our China region fund. And what we learned on that whole journey is that shipping, cargo shipping, in particular ships on the ocean, they capture about 80% of commodity flows from emerging countries to manufacturing centers.
Speaker Change: So that's something for we do understand and we do have an idea that when we launch a product that we're willing to support in buckets I mentioned to you a few minutes ago that we did shut down our eastern European Fund and our China region fun and what we learn in that whole journey is that the shipping cargo shipping.
Frank Edward Holmes: And then that end product is then shipped back to developing countries or developed countries from developing countries. And you can play through the shipping and cargo airlines and through cargo ships, the growth and emerging markets. You don't have to go and have a thematic Japanese fund. You don't have to go to China. Any products that are coming from Japan over to America, they're gonna come by ship or plane.
Speaker Change: In particular, our ships on the Ocean sea they capture about 80% of commodity flows from emerging countries to manufacturing centers, and then the and the product and being shipped back to developing countries or developed countries from developing countries and and you can play.
Speaker Change: Through the shipping of cargo airlines and through cargo ships are the growth in emerging markets. You don't have to go and have a thematic chip Japanese fund you don't have to go to China.
Speaker Change: At all any products that are coming from Japan over to America, they're going to come by ship or plane.
Speaker Change: So that has been our focus and strategy of replacing those with our sea to sky.
Frank Edward Holmes: So that has been our focus and strategy of replacing those with our Sea to Sky ETF. Strategically, we continue to buy back the stocks and manage them, I'll talk more in detail in a few minutes, and then manage to preserve our cash for future growth opportunities and market corrections and M&A activity to grow our fund assets. We're always looking at opportunities for growth. Next, please.
Speaker Change: P F.
Speaker Change: Strategically we continue to buyback the stock.
Speaker Change: And managed share, but I'll talk more in detail in a few minutes and then managed to preserve our cash for future growth opportunities and market corrections and M&A activity to grow our fund assets were always looking at opportunities for growth next lease.
Frank Edward Holmes: So why buy back shares? The company believes that the stock is undervalued, deeply undervalued, and therefore buys back shares of growth when the price is flat or down from the previous day's trading. We have a disciplined, orderly fashion of buying back stock. The lower it goes, the more we buy back. And that's just how simple it is in that model.
Speaker Change: So why back buy back shares.
Speaker Change: The company believes that stock is undervalued deeply undervalued, therefore buys back shares of grow when the price is flat or down from the previous days trading.
Speaker Change: We have a disciplined orderly fashion or buying back stock at a lower it goes the more we buy box and that's just how simple it is.
Speaker Change: In that model and more buffered highlights the value proposition of buying back of one's own stock and as a valued accretive prices. So doing soap opera says benefits all shareholders not just the biggest holders and we agreed next please.
Frank Edward Holmes: And Warren Buffett highlights the value proposition of buying back one's own stock and as a value-decretive price. So doing so, Buffett says, benefits all shareholders, not just the biggest holders. And we agree.
Speaker Change: So the S&P 500 Goldman Sachs as the U S stock buybacks could jump to all time high to one one trillion dollars even with the tax that was imposed by the Biden administration.
Frank Edward Holmes: Next, please. The S&P 500, Goldman Sachs says U.S. stock buybacks could jump to an all-time high, to $1.1 trillion, even with the tax that was imposed by the Biden administration. Interestingly enough, the huge, huge purchase that was announced this past week by Apple, which ignited the technology stocks from the billions of dollars a month they threw off in free cash flow. I think it's just prudent in our strategy of what we're doing. Next, please. In the current share repurchase program for the quarter ended March 31st, 2024, the company repurchased a total of 211,282 Class A shares using approximately $577,000. Next, please.
Speaker Change: And interesting enough the huge huge purchase that was announced this past week by Apple.
Speaker Change: Which ignited the technology stocks.
The big ins of dollars a month, they throw off from free cash flow and so I think it's just prudent in our strategy of what we're doing next please.
Speaker Change: The current share repurchase program for the quarter ended March 31, 2024, the company repurchased a total of 211280 twos class a shares using approximately $577000 next please.
Speaker Change: So this is a sort of a value I don't know what happened with the the numbers Werent put in there on this visual will get them corrected but.
Frank Edward Holmes: So this is a sort of a value; I don't know what happened to the numbers weren't put in there on this visual; we'll get them corrected. But it used to have a class A, the float used to be 15 million shares, and I can see over time that it's slowly contracting that the class A shares are standing at 11.8 million, and the shareholder float is approximately 11.2. Next, please.
Speaker Change: <unk> used to have a class a that the float is to be 15 million shares and I can see over time is slowly contracted.
Speaker Change: That the class a shares outstanding is $11 8 million and the shareholder floaters approximately 11.2 next please.
Speaker Change: So the concept of having a dividend and buying back stock.
Frank Edward Holmes: So the concept of having a dividend and buying back stock, Maven Faber created an ETF that became quite successful in focusing on those companies that had three things, paying down their debt, free cash flow to increase the dividend or buy back the stock, and those stocks outperformed the S&P 500, which is its thesis. And so we do find that it's a very balanced way of how we're looking at the capital structure of capital markets and how we're positioned in capital markets. Next, please. So the shareholder yield formula is cash dividends, net repurchase, and net debt reduction divided by market cap. Next, please.
Frank Edward Holmes: So the gross total shareholder yield is approximately 8.32%. Now, this is relevant when you compare it to the next visual, which is the five-year government bond. So often in dividend growth monitor models, it's risk-free to go buy a five-year government bond today and get a 4.21% yield. And so why would someone buy Grow? And the yield, the total shareholder yield is 8.32, and that's because of the volatility and what the risk is. So risk-free is 4.21; anything above that is the premium.
Speaker Change: Maven Faber created an ETF that became quite successful on focusing on those companies that had three things.
Frank Edward Holmes: So quite often, the premium is only about 50%. So it appears to me that Grow is undervalued on this model, but micro-caps as a whole have seen net redemptions out of the funds. Many of the active funds in the small cap and micro-cap have found it difficult with fund flows, and in particular when the rules changed three years ago come June on what's deemed as being a liquid stock position that used to only be for bonds and that morphed over in the regulatory world to include equities.
Speaker Change: Paying down their debt free cash flow to increase the dividend or buyback the stock and those stocks outperformed the S&P 500 was thesis and.
Speaker Change: And so we do find that it's it is a very balanced way of how we're looking at the capital structure of capital markets and how we are positioned capital markets next please.
So the shareholder yield of Formula as cash dividends net repurchase of net debt reduction divided by market cap next please.
Speaker Change: So gross total shareholder yield is approximately $8 three 2% now this is relevant when you compare it to the next visual which is the five year government bond so often in dividend growth monitor quant models.
Speaker Change: It's risk free to go buy a five year government bond today, and get a 4.21% yield and so why would someone buy grow.
Speaker Change: And the yield of total sure yours, 8.32, and that's because of the volatility and what the risk is so risk free is 4.21 anything above that is the premium so quite often as the premium is only about 50%. So it appears to be that grows is undervalued on this model.
Speaker Change: But the micro caps as a whole has seen net redemptions out of the fundings at many of the active partners in our small cap micro cap have found it.
Speaker Change: Difficult in fund flows.
Speaker Change: And in particular, when the rules changed three years ago come June.
On on what's deemed as being a illiquid stock position that used to only be four bonds and is in that.
Speaker Change: That morphed over in the regulatory world to include equities and that has had a negative impact.
Frank Edward Holmes: And that has had a negative impact because trustees of these boards are always reluctant to have to determine what is illiquid and so why even own them. So you've seen a bias towards, even in the gold space, which we have tremendous expertise in, that they'll buy a stock because of liquidity, not because it pays a higher yield or it offers better value. And that's sort of the morphing of the regulatory world.
Speaker Change: Because trustees and end of these boards.
We are always reluctant to have too.
Speaker Change: Determine what is illiquid and so why even own them so you've seen.
Speaker Change: A bias towards even in the gold space, which we have a tremendous expertise and that they'll buy our stock because of liquidity not because it pays a higher yield or offers better value.
Speaker Change: And that sort of morphing up a regulatory world, but longer term, it's always been proven.
Frank Edward Holmes: But longer term, it's always been proven, data analysis when you go back 20 and 30 years, the total shareholder yield is a great discipline if you're a long-term investor looking to pick companies. Next, please.
Speaker Change: And data analysis. When you go back 2030 years. The total shareholder yield is it has a great discipline and if you're a long term investor to look at picking coffee company's next please.
Speaker Change: So this is a visual that you would do as a fund manager and Youre looking at rising yields are weighted on micro cap stocks in which you can see in 2023 and the green is the five year government bond yield was rising and it ran up to almost 5% from.
Frank Edward Holmes: So this is a visual that you would do as a fund manager if you're looking at rising yields or weighted towards micro-cap stocks. And what you can see in 2023 in the green is the five-year government bond yield was rising, and it ran up to almost 5% from three and a half percent. And you saw that the micro-cap stocks started to sell off with that, in particular last year from August to October.
Speaker Change: 3.5% and you saw that the Microcap stock start to sell off with that in particular last year from August to October and then we had the 50 year. The story that 50 day moving average for the yields are on the on the five year government bond it fell below and as soon as they fell below all of a sudden microcap.
Frank Edward Holmes: And then we had the 50-day moving average for the yields on the five-year government bond; it fell below. And as soon as it fell below, all of a sudden, micro-cap stocks started rising. This is the trade-off. Each month insurance companies and other asset allocators have fund flows coming into them, and they do this risk-free; they go to five-year government bonds, and otherwise, they start going to buy stocks. And you can see this rotation here.
Speaker Change: Stocks are rising.
Speaker Change: This is the trade off each month insurance companies and other asset allocators have fund flows coming into them and they do this risk free.
Speaker Change: They go to a five year government and otherwise we start going to buy stocks and you can see this rotation and then since April.
Frank Edward Holmes: And then since April, we've seen yields start to rise again and micro-cap stocks start to sell off. It's just, I think it's really important we are a micro-cap stock as a shareholder, if we are an active fund manager, that this over any quarter, any 12-month rolling period can have an impact on the price movement and direction of the stock. But more important is the growth in revenue, and growth in revenue is highly correlated to growth in assets. Next, please. And this is another sort of visual way of taking a look at a different time period.
Speaker Change: You've seen where the yields start to rise again and Microcap stock start to sell off is this I think is really important we are a microcap stock as a shareholder for your an active fund manager that this over any quarter and a 12 month rolling period can have an impact on the price movement and direction.
Speaker Change: Of the stock, but more important is the growth in revenue and the growth of revenue is highly correlated to the growth in assets next please.
Speaker Change: And this is another sort of visual of taking a look at a different time period. This is microcap.
Frank Edward Holmes: This is the microcap index, the Russell microcap index versus the big cap S&P 500 versus gross stock. So you can see the S&P's far outperformed the magnificent seven big tech stocks have far outperformed the S&P 500. The Russell microcap index is up 20 percent and grows 11 percent when you take a look over a 12 month period. Next, please.
Speaker Change: The index.
Speaker Change: The Russell Microcap index versus the big cap S&P 500 versus grow stock. So you can see the S&P's Ferro performed the magnificent seven big Tech stocks have far outperformed the S&P 500, the Russell Microcap index is up 20% and grows up 11% when you take a look <unk>.
Speaker Change: Over 12 month period next please.
Speaker Change: When we look at three years, you can see that Bruce greatly underperformed and that's just that's I have some wonderful shareholders that caught up in and really drill me on what are we doing with the new products, where the US is how we manage their cap structure et cetera.
Frank Edward Holmes: When we look at three years, you can see that growth is greatly underperformed. And that's because I have some wonderful shareholders that caught up and really drill me on what we are doing and what the new products are.
Frank Edward Holmes: What are the assets? How are we managing our cap structure, et cetera? And some are very useful, and I respect that they provide insight.
Speaker Change: And the summer are very useful in respect that they provide insights they question, especially Bruce Neuburg.
Frank Edward Holmes: They question, especially Bruce Newberg. He's a wonderful, thoughtful, long-term shareholder that's come in and gone in and out of the company. And so when we look at three years, you can see we've underperformed on the Russell microcap. It is also underperformed versus the S&P 500, which is up 38 percent. So there is a big difference between the Russell microcap and the big cap liquid stocks in that overall performance. So why has growth been this sort of laggard? Next, please. Well, our understanding is that when we go and look at the Russell microcap and we look at Broll over a five-year period, well, we had a spectacular run. We ran up to $12.
Speaker Change: It's a wonderful thoughtful long term shareholder.
Speaker Change: Come in and gone in and out of the of the company and.
Speaker Change: So when we look at three years you.
You can see we've underperformed the Russell Microcap. It is also underperformed versus the S&P, which is up 38%. It's a big difference between the Russell Microcap and the big cap liquid stocks and that overall performance. So why has growth been serve lagger next please.
Speaker Change: Well, our understanding is that when we go and look at the Russell Microcap. When we look at roll over a five year period, where we had a spectacular run.
Speaker Change: Well, we ran up to a $12.
Speaker Change: You can see here this was 109, 1%, though price auction.
Frank Edward Holmes: And you can see here, this is 191% price action since over the five-year period. And we've outperformed the S&P 500, and we've outperformed the Russell Microcap, which is really hard to believe. But if you had bought it five years ago, you're still doing better owning and growing it, had you been able to maintain it, and had you been able to so shrewdly get out at the very top, then you're a very good trader, a trader out of the position. I myself have not been a trader out of the position as I continue to try to build wealth underneath the hood of the company Next, please.
Speaker Change: Since since over a five year period, and we've outperformed the S&P 500, and we've outperformed the Russell Microcap, which is really hard to believe but if you had bought at five years ago, you're still doing better owning role.
Speaker Change: <unk> been able to maintain and had you been able to truly get out at the very top and you're a very good trader trading of the position I myself have not been a trade or out of the position as I continue to try to build wealth underneath the hood of a company next please.
Speaker Change: Now this is more granular and this is trying to explain to you is in a master what often drives the stock movement and we can see when the stock had a big run in peak high technology, which we were owning up close to a dollar.
Frank Edward Holmes: Now this is more granular, and this is trying to explain to you as an investor what often drives the stock movement. And we can see when the stock had its big run and peak, Hive technology, which we were owning up close to a dollar for every share in Hive, it had this spectacular move, it did, and this also had a big impact on the movement of growth because of mark-to-market. And we also had this huge asset growth during COVID, where Hive went from, not Hive, but JETS ETF went from $40 million up to, in September, about $4 billion in assets.
Speaker Change: For every share of share and hive. It has the spectacular route move higher debt and this also had a big impact on the movement of role.
Speaker Change: Because of Mark to market and we also had this huge asset growth during COVID-19, where a hybrid or a high but the jets ETF went from 40 million up to in September about $4 billion in assets. So we have this incredible run where jets was growing high was exploding.
Frank Edward Holmes: So we had this incredible run where JETS was growing, Hive was exploding, Bitcoin was exploding, and that moved our stock. Our stock seems to move on the anticipation of big growth and revenue. It also corrects. So when they would say, okay, well, let's look at those five years. Why are you down from that peak, whereas JETS is not down as much? Well, JETS has had redemptions during that period.
Speaker Change: Bitcoin was exploding and that moved our stock.
Speaker Change: Thats our stock sees the move on the anticipation of big growth in revenue. It also correct. So one that would say okay, well, let's look at those five years why why are you down from that peak.
Speaker Change: Whereas jets is not down as much we'll judge has had redemptions during that period predominantly international investors that put it over a big <unk> five into the ETF have seem to redeemed.
Frank Edward Holmes: Primarily, international investors that put over a billion dollars into the ETF have seemed to redeem. We had a lot of money out of Israel, Israeli insurance companies. And as we all know, the challenge that Israel has been going through, but they started redeeming before the war in Gaza in how they were looking at the risk of a recession.
We had a lot of money out of Israel.
Is it a Israeli insurance companies and as we all know all the towers of Israel has been going through but they sort of redeeming before the war in Gaza.
Frank Edward Holmes: And we've now been living with over 500 days of an inverted yield curve. Historically, with an inverted yield curve, micro-cap stocks are challenged, and I think that this is another factor.
Speaker Change: And so how they were looking at the risk of a recession and we've now been living with over 500 days the longest time period of inverted yield curve historically with an inverted yield curve microcap stocks are challenged.
Speaker Change: And I think that this is another factor and then concerned of inverted yield curve is a big recession and therefore, the airlines will take it on the chin, but in fact, the redemptions have been there, but the airlines continue to make buckets of money. They continue to squeeze out any type of of competition.
Frank Edward Holmes: And the concern of an inverted yield curve is a big recession. And therefore, the airlines will take it on the chin. But in fact, the redemptions have been there, but the airlines continue to make buckets of money. They continue to squeeze out any type of competition. They have, as I'm going to walk you through in a few minutes, there are no discounts on booking a year out from now, like there would be in a normal fears of a recessionary year. You would see in the forward curve that there'd be a big dip in the pricing of buying tickets. That's not what's taking place.
Speaker Change: They have been so I'm going to walk you through in a few minutes. There is no discounts and booking of euro from now like there would be in a normal fears of a recessionary year you would see in a forward curve that there'll be a big dip in pricing are buying tickets, that's not taking place. So the airlines remain as GARP investors deeply undervalued.
Frank Edward Holmes: So the airlines remain, as a GARP investor, deeply undervalued and have more on the upside on a relative basis for transportation. And the supply side of pilots and the supply side of air path routes, et cetera, remain very, very tight. And therefore, there's a big pricing power that the airlines have. Hive, we had converted into a convertible debenture pretty well at the peak when we take a look at that period when Hive had that big run.
Speaker Change: And have more of the upside on a relative basis for transportation and the supply side of pilots in the supply side of air path for Ruth's et cetera remain very very tight and therefore, there's a big pricing power that the airlines have hives.
Speaker Change: We have converted into a convertible.
Speaker Change: Debenture.
Speaker Change: Pretty well up at the at the peak when we take a look at that period, when <unk> had that big run and and Thats done well 1 billion cash in our balance sheet.
Frank Edward Holmes: And that's done well in building cash in our balance sheet. But the movement of US global day-to-day or market-to-market basis has really changed, as you can see, with the structure of the note. Next, please. So when we look at our competitors, WisdomTree is 100% ETS, Invesco is 40% of their assets like QQQ, and they also have mutual funds and private assets, et cetera. And
Speaker Change: But the movement of the U S Global David They are mark to market on a quarterly basis has really changed with the.
Speaker Change: As you can see with the structure of the note next please.
Speaker Change: So when we look at our competitors wisdom tree is 100% Ats Invesco is 40% of their assets like <unk> and they also have mutual funds and private assets et cetera, and U S. Global is about 86% of our operating revenue comes from Etfs. So we're not 100 per.
Frank Edward Holmes: Globally, about 86% of our operating revenue comes from ETS. So we're not 100%, and so I think it's important on a relative basis to compare. You can see from the price to book that U.S. Global is inexpensive, but WisdomTree trades at the highest price to book. QQQ trades at a lower value, but I think that we're probably lower than QQQ because of the intrinsic value of the real estate, and then I get shareholders calling up to sell the real estate, lease it back, and buy back the stock. That's just a short-term fix.
Speaker Change: And so I think it's on a relative basis important that compare you can see from price to book.
Speaker Change: U S global is is.
Speaker Change: Inexpensive, but wisdom tree trades at the highest price to book Q.
Speaker Change: <unk>.
Speaker Change: Q3 is a lower value, but I think that were probably lower than <unk>.
Speaker Change: Because of the intrinsic value of the real estate, and then I guess shareholders, calling up sell a real estate lease it back and buy back the stock.
Speaker Change: That's just a short term fix it's still it's still cheaper to maintain this building and the space that we have and the opportunity for growth than it is to go and lease across the street for the amount of space. We have so I do track that as a money manager of the allocation of capital, but so far.
Frank Edward Holmes: It's still cheaper to maintain this building and the space that we have and the opportunity for growth than it is to go and lease across the street for the amount of space we have. So I do track that as a money manager of the allocation of capital, but so far, it's been more attractive. It's not a skyscraper; it's not downtown Toronto or L.A., where the real estate of the REITs has fallen 85%. It has a different type of composition as a piece of real estate. It's not subject to the big building problem that's happening since COVID.
Speaker Change: It's been more attractive it's not a sky scraper, if not downtown Toronto or L. A where the real estate of the reach of fall at 85%.
Speaker Change: It has a different type of composition.
Speaker Change: As a as a piece of real estate is not subject to.
Speaker Change: The big building problem that's happening since.
Speaker Change: Since COVID-19.
Speaker Change: So I remain fairly billings really safe.
Frank Edward Holmes: So I remain feeling fairly safe about that as an undervalued asset. I do know trying to buy land along two and a half acres along the interstate highway system, which is the first loop around the city of San Antonio, and the interstate highway system, which goes from Jacksonville, Florida, through New Orleans, through Houston, through San Antonio, all the way to L.A., is a valuable piece of land. So I think that over time, it's just one of those good things to hold as a long-term asset. On a price to cash flow basis, you can see we're expensive compared to Wisdom Tree and Invesco. On a dividend yield, we're attractive. Invesco is higher, but on a total yield, we're more attractive.
Speaker Change: That is a undervalued asset I do know trying to buy land along to nap acres, along the Interstate highway system, which we are the first loop around the city of San Antonio and the Interstate Highway system, which goes from Jacksonville, Florida through New Orleans through Houston through San Antonio.
Speaker Change: All the way to L. A.
As a valuable piece of land. So I think that over time, it's just one of those good things to tip. So delta hold as a as a long term asset.
Speaker Change: On a price the category you can see were expensive.
Speaker Change: Appeared to wisdom tree and <unk>.
Speaker Change: Invesco on a dividend yield.
Speaker Change: There were attractive our invesco is higher but on a total yield were more attractive on a pre tax margin of were more attractive than invesco.
Frank Edward Holmes: On a pre-tax margin, we're more attractive than Invesco. Wisdom Tree's pre-tax margins have improved, and the return on their assets has improved, but we are still sort of interesting enough in the middle tier, as you can see here, as not being deeply undervalued and not overvalued relative to the other groups. Thank you.
Speaker Change: Wisdom Tree's assets pre tax margins have improved and the return on their assets have improved but we are still sort of interesting enough in the in the middle tier as you can see here is not being.
Speaker Change: Deeply undervalued and not overvalued relative to the other group. Thank you next please.
Frank Edward Holmes: Next, please. But I would restate to you that I believe that we're deeply undervalued. And that's why, on a steady basis, we continue to buy back stock. I look at the fiscal year 2024. The company remains profitable despite challenging macro market conditions. The company continues to buy back stock. The company has a strong balance sheet, which includes cash and other investments. But for this past quarter, from December to March, if we were basically flat, Lisa will go into the details. From an operating point of view, we lost money.
Speaker Change: But I would rest you that I believe that we are deeply undervalued and that's why on a steady basis, we continue to buyback our stock.
Speaker Change: I look at the fiscal year 2024.
Speaker Change: The company remains profitable despite challenging macro market conditions. The company confused the buyback stock. The company has a strong balance sheet, which includes cash and other investments, but for this past quarter from December to March. It we were basically flat Lisa will go into the details of from an operating point of view we love.
Speaker Change: Lost money and that predominantly all of it has to deal with the acquisition of assets in Europe.
Frank Edward Holmes: And that predominantly has to do with the acquisition of assets in Europe, the expansion of applying our quantum mental model in London, which we're very excited about, of converting jets into trips and expanding the trip model to not just have airlines but also shipping, which is shipping. Cruise lines have been one of those great stellar performers in the IBD investor business daily universe. And those talks have been going on fire over the past couple of years.
Speaker Change: Spansion of applying our quanta mental model.
Speaker Change: In London, which we're very excited about.
Converting jeff's into trip and expanding the trip model too.
Speaker Change: To not just have airlines, but also shipping which is shipping.
Speaker Change: Cruise lines have been on one of those break stellar performers in the IBD Investor's business daily universe in those talks a bit on fire over the past couple of years. So they will now start to show up in the model.
Frank Edward Holmes: So they will now start to show up in the trip model. And so we're excited that we've got that fund up to critical mass and hopefully will turn profitable here in the next six months. We have about $1.8 billion in assets. A quarter of our revenue is about $2.6 billion. I think we need about $2.2 billion to really feel safe and comfortable that we're covering the growth, not just the cost of putting products on the shelf, but just the overall cost that's requiring compliance costs and marketing costs and trading costs that are all necessary to have a product on the shelf. Next, please. The earnings per share, as you see, made nine cents. It was flat last quarter.
Speaker Change: And so we're excited that we've got that fund up to critical mass.
Speaker Change: And hopefully to turn profitable here in the next six months next lease.
Speaker Change: So we have about $1 8 billion in assets.
Speaker Change: A quarter, where revenue is about $2 6 billion I think we need about $2 2 billion to really feel safe and comfortable that we're covering the growth.
Speaker Change: Not just the cost of putting products on the shelf, but just the overall the overall complex that's required in the compliance costs and marketing costs training costs that are all necessary to have a product on the shelf next please.
Speaker Change: So earnings per share as you see.
Speaker Change: It made <unk> was flat to last quarter next please.
So we're very excited about in April 24th expansion of global investment opportunities with a trip ETF listed on the London stock exchange the merger increased our assets by 300% provide the critical mass to Expediate growth. It's our innovative approach using smart beta to play all investing which really comes from.
Frank Edward Holmes: Next, please. So we're very excited about, on April 24th, the expansion of global investment opportunities with the TRIP ETF listed on the London Stock Exchange. The merger increased our assets by 300% and provided the critical mass to expedite growth.
Frank Edward Holmes: It's our innovative approach using smart beta 2.0 investing, which really comes from a quantum mental approach to investing. And I mentioned earlier that it expanded the cruise lines in terms of the diversity of the product. Next, please. So looking at a macro, stepping back from a micro analysis of growth, and then where is the landscape where we're positioned for the vision? This is looking at North America and Europe, which continue to be launching thematic ETFs. We've always been a thematic company.
Speaker Change: Quanta mental approach to investing.
Speaker Change: And I mentioned earlier that expanded the cruise lines in the diversity of the product next lease.
Speaker Change: So we're looking at a macro stepping back from them from a micro analysis Umbro and then where is the landscape where we're positioned for the vision.
This is looking at the North America, and Europe continues to be launching thematic Etfs, we've always been a thematic company. We're known originally for goal still goal.
Frank Edward Holmes: We are known originally for gold, still gold, which is a thematic investment. But this is a visual showing you that the growth in thematic ETFs remains robust. Next, please. The flows remain strong and robust.
Speaker Change: Which is a thematic investment but what this is visual showing you that the growth is dramatic by Etfs remains robust next please.
Speaker Change: The flows remain strong and robust next please.
Speaker Change: So quanta mental investment strategy combines cutting edge technology with robust data analysis to help optimize returns and managed risks attractive for the shareholders you could go to investor <unk> to give you another more broader deeper.
Frank Edward Holmes: Next, please. So quantum mental investment strategy combines cutting-edge technology with robust data analysis to help optimize returns and manage risk effectively for the shareholders. You can go to Investopedia and get another more broader, deeper description of what it means. But Smart Beta 2.0, we were pioneers there.
Speaker Change: Description of what it means but smart beta 2.0, we were pioneers there and I'm a big believer in our mosaic from being global investors that are applying a data map disciplined from macro trends are purchasing manufacturers index of looking at trend analysis and looked at the correlation with commodities that all lend itself to create.
Frank Edward Holmes: And I'm a big believer in our mosaic from being global investors and applying a data math discipline from macro trends of purchasing the manufacturers' index of looking at trend analysis and the correlation with commodities that all lend themselves to creating the Smart Beta 2.0 ETFs. Next, please. So we have shipping, we have airline jets, and we have gold. Now we have TRIP in London.
Speaker Change: These smart beta two point or Etfs next please.
Speaker Change: So we have shipping we have airlines jetson, we have gold now we have tripped and London.
Speaker Change: Next please.
Speaker Change: Well some positive things for goal Goldsman on a tear this quarter.
Frank Edward Holmes: Next, please. Well, some positive things for gold. Gold's been on a tear this quarter.
Speaker Change: Slowed down recently because rates start to rise in the past since April as we showed earlier in the presentation, but gold in Japanese yen terms is up as you can see here 26%.
Frank Edward Holmes: It's slowed down recently because rates have started to rise in the past since April, as we showed earlier in the presentation. But gold in Japanese yen terms is up, as you can see here, 26%. In the Chinese yuan, it's up 17%. In the Rupee, it's up 16%. This is a secular bull market in gold, so gold is rising at all-time highs for most countries' currencies worldwide. Next, please. And what we see are some of the rational reasons: bad news is good news for gold, and interest rate expense on U.S. public debt hits $1 trillion.
Speaker Change: And Chinese one is up 17% and remember rupee rupee, it's up 16%. This is a a secular bull market in gold. So gold is rising in all time highs for most countries currencies worldwide next please.
Speaker Change: And what we see as some of the so the rational reasons Bad news is good news for gold interest rate expense on U S public debt hits, one trillion dollars next please.
Speaker Change: Global Air passage demand was up 13%.
Frank Edward Holmes: Global Air Passage Demand was up 13%, and JETS was up 10%, so I think it's still deeply undervalued. If it was to trade at a relative valuation to the other transports, then you would say, on an inhibitive basis, it could double and triple in overall performance.
Just was up 10%. So I think is still deeply undervalued if it was to trade at a relative valuation.
Speaker Change: To the other transports.
Speaker Change: Then you would say on an EBITDA basis, it could double and triple and overall performance next please.
Speaker Change: Airline industry is expected to soar with record summer travel in 2024, I'm getting sticker shock of planning a summer vacations going over to Europe, and going down to Africa that Theres just no slowdown in the cost of these price of tickets from a year ago.
Frank Edward Holmes: Next, please. The airline industry is expected to soar with record summer travel in 2024. I mean, I'm getting sticker shock planning summer vacations going over to Europe and going down to Africa, that there's just no slowdown in the cost of these prices of tickets from a year ago was taking place.
Speaker Change: Taking place next please.
Speaker Change: So growth investment in hives digital technology.
Frank Edward Holmes: Next, please. So Grohe's investment in Hives Digital Technology was a $15 million convertible. They've been paying it down each quarter, and as you can see here, it's 5.1 million as old, at least given the additional granularity that's necessary. Next, please. Now I'm going to turn it over to hardworking Lisa Callicotte, our CFO.
Speaker Change: It was a $15 million convertible they've been paying down each quarter.
Speaker Change: And as you can see here that is $5 1 million as old Alicia give any additional granularity as necessary next please.
Speaker Change: Now I'm going to turn it over to hard working.
Lisa <unk> our CFO.
Lisa Christine Callicotte: Thank you Frank Good morning, first of all I'll start with our highlights our average assets under management of $1 8 billion for the quarter ended March 31 2024.
Lisa Christine Callicotte: Frank. Good morning. First, we'll start with our highlights. Our average assets under management are $1.8 billion for the quarter ended March 31st, 2024. Operating revenues were $2.6 million, and we had a slight quarterly net loss, but it rounded to $0 per share on the next slide.
Lisa Christine Callicotte: Operating revenues were $2 6 million and we had a slight a quarter net loss than it rounded to zero cents per share.
Lisa Christine Callicotte: On the next slide.
Lisa Christine Callicotte: We talk about our breakout of earnings. We have operational earnings that consist of our advisory services, and we have other earnings, which mainly consist of realized and unrealized gains on our investments. But both our advisory earnings and our investment gains and losses fluctuate based on stock market forces. The next few slides give some more detail about our operations for the quarter ending March 31st, 2024.
Lisa Christine Callicotte: We talk about our breakout of earnings we have operational earnings that consists of our advisory services and we have other earnings which mainly consist of realized and unrealized gains on our investments at both our advisement visors earnings and our investment gains and losses fluctuate based on stock market forces.
Lisa Christine Callicotte: The next few slides for more detail on our operations and our quarter ended March 31 2024.
Lisa Christine Callicotte: On this slide, you can see our operating revenues are $2.6 million for the quarter. It's a decrease of $1 million, or 28%, from the $3.6 million in the same quarter last year. The decrease is primarily due to decreases in assets under management, especially in our Jet CTS. Operating expenses for the current quarter were $3 million. This is an increase of 187,000 or 6%, primarily due to an increase in general and administrative expenses of $256,000 or $17,000, primarily due to high fund expenses, as discussed by Frank, because these are related to proxy costs for the elimination of our equity mutual fund performance fees and our merger costs related to our European use.
Lisa Christine Callicotte: On this slide you can see our operating revenues are $2 6 million for the quarter, It's a decrease of $1 million or 28% from the $3 6 million in the same quarter last year and the decrease is primarily due to decreases in assets under management, especially in our Jackson P. F.
Lisa Christine Callicotte: Operating expenses for the current quarter were $3 million. This is an increase of 187000 or 6% primarily due to an increase in general and administrative expenses of 256000 or 17% primarily due to high fund expenses as discussed by Frank because these related to the proxy contest for the elimination.
Lisa Christine Callicotte: Nation of our equity mutual fund performance fees, and our merger costs related to our European use X, but both of these initiatives our investment in future revenue.
Lisa Christine Callicotte: But both of these initiatives are investments in future revenue. Removal of the performance fees will cause less volatility in our mutual fund advisory fees, and the fees will be more consistent with other mutual funds, and our European U6 merger increased our assets by approximately $18 million, which is over 300%, and our fee increased from 65 beats to 69. The G&A expense increase was somewhat offset by a decrease in employee compensation and benefits of $55,000.
Lisa Christine Callicotte: Removal of the performance fees, while cause less volatility in our mutual fund advisory fees and the fees will be market system with other mutual facts and are you European music merger increased our asset approximately $18 million, which is over 300%.
Lisa Christine Callicotte: Hello.
Lisa Christine Callicotte: Our fee increase from 65 to 69.
Lisa Christine Callicotte: The G&A expense increase was somewhat offset by a decrease in employee compensation and benefits effective back now.
Lisa Christine Callicotte: On the next slide, you can see our operating loss for the quarter was $488,000, or an unfavorable change of $1.2 million compared to the same period in 2023. Other income decreased $688,000 compared to the prior year, mainly due to a net realized and unrealized loss on equity securities of $231,000 in the current period compared to realized and unrealized gains in equity securities of $270,000 in the same quarter of the previous So this is an unfavorable change of about half a million dollars.
On the next slide you can see our operating loss for the quarter last $480000 or an unfavorable change of $1 2 million compared to the same period for 2023.
Lisa Christine Callicotte: Other income decreased 688000 compared to prior year, mainly due to net realized and unrealized losses on.
Lisa Christine Callicotte: Equity Securities Actuated 31 at the current period compared to realized and unrealized gains and equity securities of 270000 in the same quarter in prior year. So this is an unfavorable change of about half a million dollars.
Lisa Christine Callicotte: And there was also a decrease in realized gains on debt securities of $127,000 compared to prior years. So though this is a decrease from the prior year, we still have positive net other income. Net loss after taxes for the quarter is $35,000 or 0 cents per share.
Lisa Christine Callicotte: And it was also a decrease in realized gains on securities of 127000 compared to prior year.
Lisa Christine Callicotte: This is a decrease from prior year, we still have positive net other income for the quarter.
Lisa Christine Callicotte: Net loss after taxes for the quarter is $35000 or zero cents per share.
Lisa Christine Callicotte: On the next slide we see that we still have a strong balance sheet and includes high levels of cash and security.
Lisa Christine Callicotte: On the next slide, we see that we still have a strong balance, and it includes high levels of cash and security. The following slide is some more information about assets, and then we can see on the next slide that we still have no long-term debt. And the next slide helps you see that we have a network capital of 38.6 million, which increased from 1.2 million or 3% since June 2023. And we have a current ratio of 17.5%. Now, I'd like to turn it over to Holly to discuss marketing and distribution.
Lisa Christine Callicotte: The following slide is some more information about assets and then we can see on the next slide and we still have no long term debt.
Lisa Christine Callicotte: And the next slide help fee that we had a network capital of $38 6 million, which increased from $1 2 million or 3% since June 2023.
Lisa Christine Callicotte: And a current ratio of $17 five to one.
Holly Schoenfeldt: Thank you, Lisa. All right.
Lisa Christine Callicotte: Now I'd like to turn it over to Holli to discuss marketing and distribution.
Holli: Thank you Lisa Alright on the first slide in my section I just wanted to briefly point out some of the upcoming events that you have global will be attending or speaking at the first is the wealth management edge conference. It's an ETF focused event happening in Florida, just next week actually.
Holly Schoenfeldt: On the first slide in my section, I just want to briefly point out some of the upcoming events that U.S. Global will be attending or speaking at. So the first is the Wealth Management Edge Conference. It's an ETF-focused event happening in Florida just next week, actually. So our head trader, our business consultant, and myself will all be in attendance, and we would love to meet you there if you'll be attending. We also have some free advisor passes that we can give out. So if you want one of those, just email me at info at usfunds.com.
Holli: So our head trader, our business consultants and myself will all be in attendance and we would lead to meet you. There if you'll be attending we also have some free advisor passes.
Holli: We can give out the if you want one of those just email me at <unk> at <unk> Dot com. The other event listed here in June is one that both Frank and Ralph all of it will be in attendance at the mining investment event of the north happening in Quebec City.
Holly Schoenfeldt: The other event listed here in June is one that both Frank and Ralph Aldis will be in attendance at. It's the Mining Investment Event of the North, happening in Quebec City. This is a premier conference focused on the gold space, and Frank will be giving a keynote address there and also moderating a panel. In addition, both Frank and Ralph will be doing one-on-one meetings with various companies, many of which we hold in our funds.
Holli: In a premier conference focused on the gold space and Frank will be giving a keynote there and also moderating a panel. In addition, both Frank and Ralph will be doing one on one meeting with various companies many of which we hold in our funds and.
Holly Schoenfeldt: So on the next slide, I want to quickly point out that during the quarter ended March 31st, over half a million visitors from around the world went to usfunds.com. Many were repeat visitors, but there were even more new visitors, many of whom came to read the award-winning FrankTalk blog or sign up for the Investor Alert newsletter, which we continue to see growth in both. Now on the next slide, don't forget that our educational content does not only come in the form of the FrankTalk blog or the Investor Alert newsletter.
Holli: So on the next slide I want to quickly point out that our website traffic during the quarter ended March 31st.
Holli: We're half a million visitors from around the world to use when dot com many were repeat visitors, but they were even more new visitors many of which came to read the award winning Frank talk blog or sign up for the Investor Alert newsletter, which we continue to see growth in both.
Holli: Now on the next slide don't forget that our educational content does not only come in the form of the Frank talk blog or the Investor Alert newsletter, we love educating our shareholders through video content as well to make sure that you are subscribed to our Youtube channel can get video update on everything from Goldman to Airlines Ann.
Holly Schoenfeldt: We love educating our shareholders through video content as well, so make sure that you're subscribed to our YouTube channel to get video updates on everything from gold to airlines and luxury goods. Lastly, on the next slide, as we wrap up today's presentation, I want to remind everyone that we share a majority of our new content, as well as any announcements about upcoming events, across all of our social media platforms, which also continue to grow.
Holli: Luxury goods.
Holli: Lastly on the next slide as we wrap up today's presentation I want to remind everyone that we share a majority of our new content as well as any announcements about upcoming events across all of our social media platforms.
Holli: We also continue to grow so I encourage you all to follow us on these platforms. If youre not already just though you're up to date with what's going on with grow our funds and just broader market insights.
Holly Schoenfeldt: So, I encourage you all to follow us on these platforms if you're not already, just so you're up to date with what's going on with GROW, our funds, and just broader market insights. And then this concludes today's presentation. And I just want to say as a reminder to our audience, if you have any questions, you can email those to info at US funds dot com, and we will gladly follow up with you to get anything clarified. Thanks so much for tuning in today.
And then this concludes today's presentation and I just want to say as a reminder to our audience. If you have any questions you can email those into info at <unk> Dot com and we will gladly follow up with you to get anything clarified. Thanks, so much for tuning in today.
Holli: Goodbye.