At a glance
HRTS charges 0.75% a year, above the 0.3% average of the 7 funds most like it (the most expensive of 8). It has $51.9M in assets, the 8th largest of that group; it paid 1.25% of its price in distributions over the past 12 months, annual. Over the past year it returned +16.6% with distributions reinvested (S&P 500: +11.5%), the weakest of those 8 funds. Its ten largest positions make up 49.1% of the fund, out of 44 in all.
The short version
Tema GLP-1 Obesity & Cardiometabolic ETF (HRTS) is an actively managed stock fund. It owns companies tied to GLP-1 drugs, heart disease and metabolic disease, and its prospectus filed June 29, 2026 renames it Tema Heart & Health ETF. Eli Lilly was its largest holding at 11.5% as of May 31, 2026. Its 0.75% expense ratio is higher than all seven similar healthcare funds it was compared with, and about half its holdings overlap with theirs.
Price history
The interactive chart needs JavaScript.
HRTS +16.6% over the year to Oct 27, 2026, total return with distributions reinvested.
How it has behaved
| YTD | 1 yr | 3 yr | 5 yr | 10 yr | Since start | |
|---|---|---|---|---|---|---|
| HRTS official prospectus, to Dec 31, 2025 | — | +23.64% | — | — | — | +16.18% |
| HRTS price data to Oct 27, 2026 | +6.6% | +16.6% | — | — | — | +13.6% |
- Over the year to Oct 27, 2026, HRTS returned +16.6%, 8th of 8 among similar funds.
- Its worst full calendar year was 2024 (-4.3%); its best was 2025 (+23.9%).
- The deepest fall in its price history was 25.8% (Jul 16, 2024 to Apr 8, 2025), recovered by Nov 25, 2025.
Show as a table
| Year | Price data | Prospectus (official) |
|---|---|---|
| 2026 (to date) | +6.6% | — |
| 2025 | +23.9% | +23.64% |
| 2024 | -4.3% | +3.60% |
| 2008 financial crisis stocks fell Oct 9, 2007 – Mar 9, 2009 | Before this security existed |
|---|---|
| 2020 COVID crash stocks fell Feb 19, 2020 – Mar 23, 2020 | Before this security existed |
| 2022 bear market stocks fell Jan 3, 2022 – Oct 12, 2022 | Before this security existed |
Dividends and income
Show as a table
| Year | Per share | Change |
|---|---|---|
| 2025 | $0.4700 | 0.0% |
| 2024 | $0.4700 |
What's inside
As of May 31, 2026, the fund held 44 securities; the ten largest made up 49.14% of assets.
| Holding | Weight | |
|---|---|---|
| Eli Lilly & Co | 11.52% | |
| UnitedHealth Group Inc | 5.24% | |
| Novo Nordisk A/S | 5.24% | |
| Roche Holding AG | 4.50% | |
| Merck & Co Inc | 4.27% | |
| AstraZeneca PLC | 4.00% | |
| Thermo Fisher Scientific Inc | 3.97% | |
| Johnson & Johnson | 3.59% | |
| Gilead Sciences Inc | 3.43% | |
| Novartis AG | 3.38% | |
| Revolution Medicines Inc | 3.33% | |
| Vertex Pharmaceuticals Inc | 2.93% | |
| Danaher Corp | 2.66% | |
| Abbott Laboratories | 2.61% | |
| Bridgebio Pharma Inc | 2.59% |
By country
United States 74.14%Switzerland 7.88%Denmark 6.99%United Kingdom 4%Israel 2.06%By asset type
Stocks 99.16%By sector
Sectors of the companies held, for the 55.4% of the fund in companies that have a stock page here; other holdings and cash aren't classified. Source: N-PORT holdings report as of May 31, 2026. Cash, money-market funds and derivatives are shown separately from the securities list.What changed recently
- Over the three months to May 31, 2026, investors withdrew a net $698K (creations minus redemptions, per the N-PORT report).
- Monthly total returns reported for that quarter: -7.10%, +0.23%, +2.13%.
How it works
HRTS does not track an index. Its adviser, Tema ETF LLC, picks the stocks. Under normal conditions, at least 80% of net assets go to listed companies that earn at least half their revenue from GLP-1 drugs or from treating heart and metabolic diseases, as the CDC defines them. GLP-1 drugs are a class of medicines that help manage diabetes and obesity. Eligible companies include large drugmakers, early-stage biotech firms, diagnostics and device makers, and healthcare service providers. Each must have a market value of at least $100 million and average daily trading of at least $500,000.
The adviser first screens for growth, margins and returns on capital. It then looks for companies that seem cheap relative to their fundamentals, measured against peers, their own history or forecasts. It weighs ESG (environmental, social and governance) factors as risks but does not use them to exclude companies. The fund expects to hold more than 15 and no more than 100 stocks. As of May 31, 2026 it held 44, and the top 10 made up 49% of assets. Portfolio turnover was 40%.
The fund is "non-diversified," which means it can put a large share of its money into a few companies. About 74% of assets were in US companies, and most of the rest was in Switzerland, Denmark and the UK. The fund does not hedge currencies.
What it really costs
- HRTS charges 0.75% a year, versus an average of 0.3% for the similar funds below (8th of 8, cheapest first).
- Of that, 0.99% is the management fee; the rest covers other fund expenses.
- The fee includes a 0.24% waiver from the adviser, which may end.
- Using the prospectus's standard example, $10,000 invested would cost about $77 in the first year and $1,168 over 10 years (assuming a 5% annual return).
| Cost of $10,000 (SEC example) | 1 yr | 3 yrs | 5 yrs | 10 yrs |
|---|---|---|---|---|
| HRTS | $77 | $266 | $499 | $1,168 |
In a retirement portfolio
It is a concentrated, actively managed bet on one corner of healthcare, with a short history and above-average costs.
HRTS could add a focused stake in obesity, diabetes and heart-disease treatment alongside a broad stock fund. It launched in November 2023, so it has no record from the 2008, 2020 or 2022 downturns. Its deepest drop was 25.8%, from July 16, 2024 to April 8, 2025. It took about 7.6 months to get back to its old peak, on November 25, 2025. Its worst quarter was a 12.41% loss in the quarter ending December 31, 2024. Someone selling shares to cover spending during a drop like that would lock in the losses. Income is modest: the yield was 1.25% as of October 27, 2026, paid once a year. The 0.75% expense ratio compares with a 0.30% average for similar funds. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.
Who it may suit — and who should look elsewhere
May suit
- Investors who want a focused stake in GLP-1, diabetes and heart-disease companies such as Eli Lilly and Novo Nordisk, beyond what broad healthcare funds hold.
- People comfortable with active stock picking in a non-diversified fund of 44 companies, where the top 10 made up about 49% of assets.
- Those adding a small satellite position who can accept a 1.25% yield paid once a year and a past drop of 25.8%.
Look elsewhere if
- Cost-focused investors: XLV charges 0.08% and VHT 0.09%, against 0.75% here, and about half the holdings overlap.
- Anyone who wants a long track record. The fund launched in November 2023, so it has no history from the 2008, 2020 or 2022 downturns.
- Investors who want regular income or no currency swings. It pays once a year, doesn't hedge currencies, and about a quarter of assets sit outside the US.
Close alternatives
Matched by holdings overlap from the latest N-PORT reports.
| Fund | Overlap | Cost | Net assets | 1 yr | 3 yr |
|---|---|---|---|---|---|
| HRTS this fund | — | 0.75% | $51.9M | +16.6% | — |
| IXJ iShares Global Healthcare ETF | 55% | 0.41% | $3.84B | +19.5% | +13.4% |
| IYH iShares U.S. Healthcare ETF | 53% | 0.39% | $3.56B | +23.8% | +15.0% |
| VHT Vanguard Health Care ETF | 53% | 0.09% | $22.04B | +28.9% | +16.9% |
| FHLC Fidelity MSCI Health Care Index ETF | 52% | 0.084% | $3.29B | +23.8% | +16.0% |
| XLV Health Care Select Sector SPDR Fund | 52% | 0.08% | $40.60B | +30.2% | +16.2% |
| IBB iShares Biotechnology ETF | 21% | 0.45% | $9.09B | +35.3% | +23.9% |
| FXH First Trust Health Care AlphaDEX Fund | 21% | 0.6% | $1.05B | +19.7% | +15.1% |
Questions investors ask
Is HRTS a good way to invest in GLP-1 weight-loss drugs?
It gives direct exposure to GLP-1 companies, but not pure exposure. As of May 31, 2026, Eli Lilly (11.5%) and Novo Nordisk (5.2%) were among its three largest holdings. The rest of the top 10 includes UnitedHealth Group, Roche, Merck, AstraZeneca and Thermo Fisher Scientific, so results also depend on broader drug, insurance and lab businesses. The fund must keep at least 80% of net assets in companies that earn at least half their revenue from GLP-1, heart or metabolic disease.
What's the difference between HRTS and XLV?
HRTS is a small, actively managed fund built around one theme. XLV, the Health Care Select Sector SPDR Fund, is a large, broad healthcare fund. HRTS costs 0.75% a year against 0.08% for XLV. XLV held about $40.6 billion as of June 30, 2026, while HRTS held $51.9 million as of May 31, 2026. About 52% of their holdings overlap. Over the past year, HRTS returned 16.6% (through October 27, 2026) and XLV returned 30.2% (through October 30).
Does HRTS pay dividends?
Yes, but only once a year, and not much. In the 12 months to October 27, 2026, it paid about $0.47 per share, a trailing yield of 1.25%. The fund's stated goal is long-term growth of capital, not income. Retirees who want regular cash from their investments would get just one payment a year from this fund, and the amount can change from year to year.
What is the HRTS expense ratio?
The expense ratio is 0.75% a year, according to the prospectus filed June 29, 2026. That figure is a 0.99% management fee minus a 0.24% fee waiver. In the SEC's standard example, $10,000 earning 5% a year would cost about $77 in fees over one year and $1,168 over 10 years. Similar healthcare funds averaged 0.30%, and HRTS was the most expensive of the eight funds compared.
How has HRTS performed since it launched?
Its returns have been positive but uneven. According to the prospectus, the fund returned 3.6% in 2024 and 23.64% in 2025. From its November 2023 launch through December 31, 2025, it averaged 16.18% a year. Its best quarter was a 15.78% gain and its worst a 12.41% loss. Over the year to October 27, 2026, its share price returned 16.6%, the lowest of the eight similar healthcare funds compared.