HDRO — Defiance Next Gen H2 ETF
Data updated: 2025-05-30
HDRO — Defiance Next Gen H2 ETF. Global (incl. US) Multi-Cap / All-Cap Growth Thematic Equity · $14.46M AUM. Holdings, fees, performance and SEC filings.
HDRO Fund Overview
HDRO — Defiance Next Gen H2 ETF is a US ETF managed by ETF Series Solutions, categorised as Global (incl. US) Multi-Cap / All-Cap Growth Thematic Equity. ABC INVEST provides holdings, performance, costs, cashflows, risk data, prospectus documents and SEC filings, sourced from SEC filings.
- Type: US ETF
- Manager: ETF Series Solutions
- Category: Global (incl. US) Multi-Cap / All-Cap Growth Thematic Equity
- Assets under management: $14.46M
- 1-year return: -35.4%
- Ticker: HDRO
- SEC CIK: 0001540305
- SEC series ID: S000071206
- Share class ID: C000226000
HDRO Investment Objective and Strategy
Defiance Next Gen H2 ETF describes its objective and strategy as follows, from its latest prospectus filed with the SEC by ETF Series Solutions.
Investment objective
The Defiance Next Gen H2 ETF (the Fund or the Next Gen H2 ETF) seeks to track the total return performance, before fees and expenses, of the BlueStar Hydrogen & NextGen Fuel Cell Index (the Index).
Principal investment strategy
The Fund uses a passive management (or indexing) approach to track the total return performance, before fees and expenses, of the Index. BlueStar Hydrogen & NextGen Fuel Cell Index The Index is a rules-based index that tracks the performance of a group of globally listed equity securities of companies involved in the development of hydrogen-based energy sources and fuel cell technologies. The Index is predominantly comprised of pure-play companies, i.e. , those that generate at least 50% of their revenues from products that facilitate hydrogen-based energy production, including fuel cells capable of using hydrogen as a fuel source (collectively, H2 Companies). At the time of each quarterly reconstitution of the Index, pure-play companies will comprise at least 85% of the weight of the Index.
Up to 15% of the Indexs weight, at the time of each quarterly reconstitution, may be comprised of non-pure-play companies, i.e. , those that are engaged in hydrogen or hydrogen-based fuel cell projects, including the production of hydrogen and other industrial gases, and either have the potential to become pure-play companies or that play a significant role in the global hydrogen or fuel cell segment. Vehicle manufacturers are not eligible for inclusion in the Index. The Index may include companies in developed countries, including the United States, as well as emerging market countries. At the time of each quarterly reconstitution of the Index, MV Index Solutions GmbH (the Index Provider) identifies the universe of pure-play and non-pure-play companies. To be eligible for being added to the Index, such companies must meet investibility requirements (the Investibility Requirements), including: a market capitalization of at least US$150 million that is within the top 85% of the free-float market capitalization of the universe of pure-play companies; a 3-month average daily value traded greater than or equal to US$1 million; 250,000 shares traded per month over the prior six months; and a free float ( i.e.
, the proportion of shares that are publicly available) of at least 10%. Once included in the Index, companies are eligible to remain in the Index at lower investibility thresholds. At the time of each quarterly reconstitution of the Index, pure-play companies are added to the Index based on their free-float market capitalization (from largest to smallest) until their aggregate free-float market capitalization is at least 90% of the free-float market capitalization of all pure-play companies meeting the Investibility Requirements. In the event the Index would include fewer than 25 pure-play companies, the Index will include non-pure-play companies (from largest to smallest based on their free-float market capitalization) meeting the Investibility Requirements and, if necessary, add the next largest pure-play or non-pure-play company that does not meet the Investibility Requirements until there are a minimum of 25 companies in the Index.
At the time of each quarterly reconstitution of the Index, Index constituents are weighted using a modified market-capitalization methodology that establishes a minimum aggregate weight of 85% for pure-play companies, limits the weight of any individual security to 10% (4% for industrial gas companies), and adjusts the weight of a constituent downward based on certain liquidity criteria. Excess weight resulting from the above adjustments is redistributed among the remaining constituents. Additionally, at the time of each rebalance of the Index, the aggregate weight of constituents with a weight greater than or equal to 5% is limited to 50%, and the weight of the smallest constituent(s) that would otherwise cause the Index to exceed the 50% threshold and all other constituents with a weight greater than 4.5% but less than 5% will be set to 4.5%.
The Index is reconstituted quarterly, effective after the close of trading on the third Friday of each March, June, September, and December (the Rebalance Date). For each rebalance and reconstitution of the Index, Index constituents and their weights are determined based on data prior to the Rebalance Date. As of March 31, 2024, the Index was composed of 25 constituents. The Index was established in 2021 and is owned and maintained by the Index Provider. The Index Provider partnered with the Funds investment adviser to co-develop the methodology used to determine the securities included in the Index. The Funds Investment Strategy Under normal circumstances, at least 80% of the Funds net assets (plus borrowings for investment purposes) will be invested in H2 Companies (as described above). The Fund will generally use a replication strategy to achieve its investment objective, meaning the Fund will generally invest in all of the component securities of the Index in the same approximate proportions as in the Index.
However, the Fund may use a representative sampling strategy, meaning it may invest in a sample of the securities in the Index whose risk, return, and other characteristics closely resemble the risk, return, and other characteristics of the Index as a whole, when the Funds sub-adviser believes it is in the best interests of the Fund ( e.g. , when replicating the Index involves practical difficulties or substantial costs, an Index constituent becomes temporarily illiquid, unavailable, or less liquid, or as a result of legal restrictions or limitations that apply to the Fund but not to the Index). To the extent the Index concentrates ( i.e. , holds more than 25% of its total assets) in the securities of a particular industry or group of related industries, the Fund will concentrate its investments to approximately the same extent as the Index.
The Index is expected to be concentrated in hydrogen and fuel cell companies. The Fund is considered to be non-diversified, which means that it may invest more of its assets in the securities of a single issuer or a smaller number of issuers than if it were a diversified fund.
HDRO Holdings
Top 10 holdings of Defiance Next Gen H2 ETF by percentage of net assets, from the fund's latest SEC N-PORT filing.
| Holding | % of net assets |
|---|---|
| Mount Vernon Liquid Assets Portfolio, LLC | 41.24% |
| Thyssenkrupp Nucera AG & Co KG | 8.85% |
| Bloom Energy Corp | 8.61% |
| Ballard Power Systems Inc | 8.36% |
| Plug Power Inc | 7.87% |
| FuelCell Energy Inc | 6.21% |
| SFC Energy AG | 5.56% |
| ITM Power PLC | 4.74% |
| Linde PLC | 4.66% |
| Air Products and Chemicals Inc | 4.52% |
HDRO Portfolio Allocation
Asset-class allocation of Defiance Next Gen H2 ETF by percentage of net assets, from the latest SEC N-PORT filing.
| Asset class | Allocation |
|---|---|
| Equity | 99.4% |
| Cash & Equivalents | 41.3% |
HDRO Performance
Total returns for HDRO (as of 2026-10-01), from SEC filings.
| Period | Total return |
|---|---|
| 1 year | -35.4% |
| 3 years (annualised) | -41.3% |
HDRO Risk Information
Risk metrics for HDRO, derived from monthly returns in SEC filings.
- 1-year volatility (annualised): 42.6%
HDRO Costs and Fees
HDRO costs about $30 per $10,000 invested per year in fund expenses.
- Net expense ratio: 0.30%
- Gross expense ratio: 0.30%
- Portfolio turnover: 57%
- Brokerage commissions: 21.34 bps of average net assets (SEC N-CEN)
HDRO Cashflows
Over the 12 months to 2025-03, Defiance Next Gen H2 ETF had net inflows of $1.59M, from monthly SEC N-PORT filings.
| Month | Net flow |
|---|---|
| 2025-03 | $0 |
| 2025-02 | $0 |
| 2025-01 | −$905.01K |
| 2024-12 | $0 |
| 2024-11 | $0 |
| 2024-10 | −$1.23K |
HDRO Debt Constituents
No individual debt constituents are reported in Defiance Next Gen H2 ETF's latest SEC N-PORT filing.
HDRO Prospectus and SEC Filings
Official Defiance Next Gen H2 ETF filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.
- Prospectus (485BPOS) — filed 2024-04-26
- Prospectus (485BPOS) — filed 2023-04-27
- Prospectus (485BPOS) — filed 2022-04-26
- Portfolio holdings (N-PORT) — filed 2025-05-30
- Portfolio holdings (N-PORT) — filed 2025-02-21
- Portfolio holdings (N-PORT) — filed 2024-11-27
- Annual census (N-CEN) — filed 2025-03-17
- Annual census (N-CEN) — filed 2024-03-15
Related Funds
Other Global (incl. US) Multi-Cap / All-Cap Growth Thematic Equity funds tracked on ABC INVEST:
Data Sources
ABC INVEST compiles this page from public filings made to the U.S. Securities and Exchange Commission (SEC) through EDGAR: portfolio holdings and monthly cashflows from Form N-PORT, expenses and returns from fund prospectuses (Form 485BPOS) and the SEC DERA Risk/Return Summary data sets, annual data from Form N-CEN, and shareholder reports from Form N-CSR.