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Tom Lee's Granny Shots ETF is crushing the market and raking in cash

July 11, 2025
03:08 PM
3 min read
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The Fundstrat Granny Shots US Large Cap ETF (GRNY) hit $1.5 billion in assets under management just eight months after launch.

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investment

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Published

July 11, 2025

03:08 PM

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CNBC

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investmentstockstechnologyfinancialsmarket cyclesseasonal analysismarket

The fund has outperformed the MSCI USA Large Cap Index since inception, 13. 8%, according to FactSet

Top holdings currently include Robinhood, Oracle and Advanced Micro Devices

Picking stocks that fall under multiple themes helps the fund stand up under changing market moods, Lee said

Tom Lee, managing partner and head of re at Fundstrat Global Advisors, speaking on CNBC's "The Exchange" on Oct

Adam Jeffery | CNBCTom Lee's Fundstrat Capital rose to minence with timely macroeconomic calls on the market, and now his new ETF is flexing the firm's stock picking wess

The Fundstrat Granny Shots US Large Cap ETF (GRNY) is quickly emerging as one of the most and successful active stock funds of the year

The fund hit $1. 5 billion in assets under management just eight months after its launch last November, rapidly growing in an industry where some funds take years to reach 10% of that level

Performance has also been excellent so far compared to peers and a benchmark index

The fund has outperformed the MSCI USA Large Cap Index since inception, 13. 8%, according to FactSet

Measured by Morningstar, the fund's return of 14% this year is in the top three percent in its category, which includes nearly 1,400 other funds

Stock Chart IconStock chart iconThis Fundstrat ETF is outperforming most of its peers and the broader market in 2025. "It's definitely been a positive surprise because we know how crowded the space is

This duct really seems to be connecting with people, and from the s we've received

People have been buying it regularly, so they're not doing it as a one-time speculative purchase," Lee told CNBC the fund's growth

The "granny shot" in the title is a reference to shooting a basketball free throw underhanded

For Fundstrat, it means a stock that falls under multiple key investment themes which the firm is tracking that drive earnings growth

Those themes include energy and cyber security, an AI-category called global labor suppliers, and the impact of millennials. "The strategy may not look flashy — but it's grounded in a disciplined, rules-based cess designed to increase the lihood of consistent results over time," the fund's website says

The result is a portfolio of 35 S&P 500 stocks, rebalanced every three months

Top holdings currently include Robinhood, Oracle and Advanced Micro Devices

Picking stocks that fall under multiple themes helps the fund stand up under changing market moods, Lee said. "A stock that's both an AI story and tied to millennials then has a better chance of outperforming, because at any moment AI may not be in favor, but millennials might, so you're imving your chances of continuous outperformance," Lee said

The next step will be sustaining the outperformance over the long-term, which has tripped up many star fund managers in the past

Lee said he believes the focus on long-term trends and earnings growth gives this strategy staying power. "I think the idea of using a thematic apach and thinking the story arcs that last a long time to find the stocks [that] outperform, I think that's what's really resonated with us

I think that is how you can still outperform," Lee said

The Granny Shots fund has an expense ratio of 0

Disclosure: Tom Lee is a CNBC contributor.