Roundhill Investments Launches Innovative HALO ETF to Tackle AI Disruption

Roundhill Investments Introduces the HALO ETF

On May 14, 2026, Roundhill Investments, a sponsor renowned for its forward-thinking financial instruments, unveiled its latest product, the Roundhill HALO ETF (Ticker: LOHA). This fund is particularly noteworthy in today’s landscape, where artificial intelligence (AI) continues to innovate and disrupt various sectors. The term “HALO” was initially coined by Josh Brown, the CEO of Ritholtz Wealth Management and a prominent figure on CNBC. It stands for “Heavy Assets, Low Obsolescence,” a fitting descriptor for companies that are less likely to become obsolete amidst rapid technological advancements.

The HALO ETF targets U.S. companies characterized by significant investments in heavy physical assets. These are typically firms that require substantial capital and are difficult to replicate or replace. Their business models are anchored by essential demand, regulation, and long-term contracts, making them resilient during technological upheaval.

According to data from Goldman Sachs, approximately 45% of the S&P 500 consists of AI-focused companies. This statistic highlights the extensive exposure many U.S. investors already have to the risks and opportunities linked to AI. In response, the HALO ETF offers a blend of 100 carefully selected companies that have demonstrated resilience through prior economic shifts like the dot-com bubble and the current generative AI evolution.

Josh Brown stated, "As the creator of this approach, I find it rewarding to see the investment community adopt the HALO framework. Having spent nearly two decades discussing market trends, I can assure you, these companies built on physical, entrenched infrastructures have navigated technological waves successfully and are likely to do so again."

This ETF is passively managed, designed to track the performance of the Akros US Heavy Assets Low Obsolescence Index. The index carefully assesses the largest 3,000 U.S.-listed companies to find those grounded in tangible assets and real-world infrastructure. As of May 13, 2026, the index showcases a balanced collection of firms from diverse sectors, including machinery, specialty retail, and ground transportation.

Top Holdings of the HALO ETF

1. Cummins Inc (CMI) - Machinery (Incorporated: February 3, 1919)
2. AutoZone Inc (AZO) - Specialty Retail (Incorporated: November 25, 1991)
3. TFI International Inc (TFII) - Ground Transportation (Incorporated: March 28, 2008)
4. Lennox International Inc (LII) - Building Products (Incorporated: August 13, 1991)
5. Newmont Corp (NEM) - Metals & Mining (Incorporated: December 6, 2001)
6. Anglogold Ashanti Plc (AU) - Metals & Mining (Incorporated: February 10, 2023)
7. Barrick Mining Corp (B) - Metals & Mining (Incorporated: July 14, 1984)
8. Watsco Inc (WSO) - Trading Companies & Distributors (Incorporated: July 14, 1956)
9. Southern Copper Corp (SCCO) - Metals & Mining (Incorporated: September 7, 1995)
10. JB Hunt Transport Services Inc (JBHT) - Ground Transportation (Incorporated: September 10, 1961)

It is important to note that, while the HALO ETF is constructed to withstand the trials of an evolving economic environment, it comes with inherent risks associated with investing in capital-intensive models. Potential investors should carefully consider the investment objectives, risks, charges, and expenses prior to making investment decisions.

Dave Mazza, CEO of Roundhill Investments, highlighted the ETF's mission: "In an era where AI is rapidly transforming the economy, investors must discern which companies possess durability versus those at risk of obsolescence. The HALO ETF is designed to guide investors in constructing robust portfolios as disruptions from AI evolve, all while maintaining a low cost ratio of 0.35%."

In conclusion, the Roundhill HALO ETF marks an exciting development in investment strategies, focusing on strong, asset-heavy companies ready to meet the challenges posed by technological advancements.

For more information on the HALO ETF and to view the prospectus, visit Roundhill Investments' website.