ETF Evaluator:
Alger Mid Cap 40 ETF ()
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(as of Aug 26)
Best Performing in Mid-Cap Growth Over the Last Year
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ETF Details
Alger Mid Cap 40 ETF Overview
Alger Mid Cap 40 ETF (FRTY) is an actively managed U.S. Equity Mid-Cap Growth exchange-traded fund (ETF). Alger launched the ETF in 2021.
The investment seeks long-term capital appreciation.
Under normal circumstances, the fund invests at least 80% of its net assets in equity securities of mid-cap companies. Equity securities include common or preferred stocks that are listed on U.S. exchanges. It may invest a significant portion of its assets in the securities of companies conducting business within a single sector. The fund is non-diversified.
About Alger Mid Cap 40 ETF (FRTY)
There are 1 members of the management team with an average tenure of 5.43 years: Amy Zhang (2021). Management tenure is more important for actively managed ETFs than passive index ETFs.
The ETF has 2 primary benchmarks: S&P 500 (TR) (1970) index with a weighting of 100% and Russell Mid Cap Growth TR USD index with a weighting of 100%. Alger Mid Cap 40 ETF has 41 securities in its portfolio. The top 10 holdings constitute 36.9% of the ETF’s assets. The ETF meets the SEC requirement of being classified as a nondiversified fund. The ETF is not considered to have an ESG focus with its investment selection and management.
Alger Mid Cap 40 ETF is part of the Equity global asset class and is within the U.S. Equity ETF group. Alger Mid Cap 40 ETF has 4.0% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 82.5% There is 4.0% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). Alger Mid Cap 40 ETF has 13.5% of the portfolio in cash.
Assets Under Management
The fund has $143 million in total assets, which is below the $1 billion average for the Mid-Cap Growth category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
FRTY Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The Alger Mid Cap 40 ETF expense ratio is above average compared to funds in the Mid-Cap Growth category. Alger Mid Cap 40 ETF has an expense ratio of 0.60%, which is 14% higher than its category average, making the fund expense ratio grade a C. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. Alger Mid Cap 40 ETF has a portfolio turnover rate of 389%, which indicates that it holds its assets around / 0.0 years. By way of comparison, the average portfolio turnover is 166% for the Mid-Cap Growth category.
Recently, in the month of July 2026, Alger Mid Cap 40 ETF returned -10.5%, which earned it a grade of F, as the Mid-Cap Growth category had an average return of -6.0%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all ETFs in that category.
Alger Mid Cap 40 ETF has a trailing yield of 0.18%, which is below the 0.41% category average.
The fund normally distributes its income annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
Alger Mid Cap 40 ETF Grades
Year to date, the ETF has returned 5.5%, 3.9 percentage points worse than the category, which translates into a grade of D. The fund has returned 9.2% over the past year (grade of D), 18.9% over the past three years (grade of B) and 2.4% per year over the past five years (grade of D).
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FRTY Trailing NAV Total Returns Data as of 7/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| FRTY Return (NAV) | -10.5% | 6.1% | 9.2% | 18.9% | 2.4% | na |
| FRTY Return (Price) | -10.5% | 6.6% | 9.0% | 19.1% | 2.4% | na |
| NAV +/- Price Return | 0.013% | -0.470% | 0.184% | -0.198% | 0.058% | na |
| Mid-Cap Growth Avg | -6.0% | 2.2% | 13.8% | 14.5% | 4.1% | 11.9% |
| FRTY Grade (NAV) | F | A | D | B | D | na |
| +/- Category (NAV) | -4.5% | 3.9% | -4.6% | 4.4% | -1.7% | na |
| FRTY Tax-Cost Ratio | na | na | 0.1% | 0.0% | 0.5% | na |
FRTY Annual NAV Total ReturnsData as of 7/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| FRTY Return (NAV) | 5.5% | 12.9% | 37.3% | 16.3% | -41.6% | na | na | na | na | na | na |
| FRTY Return (Price) | 5.5% | 12.8% | 38.9% | 16.8% | -42.2% | na | na | na | na | na | na |
| NAV +/- Price Ret | -0.011% | -0.004% | 0.041% | 0.029% | 0.016% | na | na | na | na | na | na |
| Mid-Cap Growth Avg | 9.5% | 11.5% | 20.5% | 23.6% | -30.6% | 9.4% | 50.3% | 29.2% | -8.2% | 29.5% | 7.9% |
| FRTY Grade (NAV) | D | B | A | D | F | na | na | na | na | na | na |
| +/- Category | -3.9% | 1.4% | 16.8% | -7.3% | -10.9% | na | na | na | na | na | na |
| Risk Measures | |
| Beta: | 1.44 |
| R-Squared: | 64% |
| Standard Deviation: | 23.5% |
| Category Risk Index: | 1.11 |
| Category Risk Rating: | High |
| Total Risk Index: | 1.92 |
| Total Risk Rating: | High |
| Portfolio Characteristics | |
| Yield: | 0.2% |
| Total Assets: | $ 143 Mil |
| Share Class Assets: | $ 143 Mil |
| Turnover: | 389.7% |
| Expense Ratio: | 0.60% |
| Index Fund: | No |
| Index Tracked: | S&P 500 (TR) (1970) |
| Index Weighting: | 100% |
| Leveraged: | No |
| Socially Responsible Fund: | No |
| Capital Gains Distribution Frequency: | |
| Income Distribution Frequency: | Annually |
Management Team
| Number of Managers: 1 | |||
| Longest Tenure: 5.4 years | |||
| Average Tenure: 5.4 years | |||
| Managers (Year): Zhang Amy (2021) | |||
Portfolio Composition (as of 7/31/26)
| # of Holdings: | 41 |
| % in Top 10 Holdings: | 36.9% |
| Fund is Non-Diversified: | Yes |
| % in Foreign Issues: | 4.0% |
Portfolio Allocation |
|
| Domestic Stock: | 82.5% |
| Foreign Stock: | 4.0% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 0.0% |
| Foreign Bond: | 0.0% |
| Convertible Bond: | 0.0% |
| Other: | 0.0% |
| Cash: | 13.5% |
Purchase Information
| Legal Structure: | Open Ended Investment Company |
| Fund Family: | Alger |
| Phone Number: | 800-223-3810 |
| Website: | |
| Inception Date: | February 26, 2021 |
Expenses and Fees
| Expense Ratio (%): | 0.60% (Rating: Above Avg) |
| Category Average Expense Ratio (%): | 0.53% |
