Is the "Magnificent Seven" outdated? Wall Street pushes the MANGOS ETF

Wall Street is putting a new label on the AI investment boom. Following the market frenzy triggered by SpaceX's IPO, a new stock group called "MANGOS" has quickly gained popularity, with several ETF issuers rushing to file applications for related funds. **But analysts warn that the investment logic behind this naming game is far more worthy of scrutiny than the marketing gimmick.** **MANGOS is an acronym for Meta, Anthropic, Nvidia, Alphabet, OpenAI, and SpaceX.** According to MarketWatch, after SpaceX made its highly anticipated market debut last week, this group quickly drew market attention. Several small ETF issuers promptly submitted fund applications, trying to turn the concept into tradable products. However, OpenAI and Anthropic are still private companies not yet traded publicly, and related ETF applications also await approval from the U.S. Securities and Exchange Commission (SEC). The rise of this new concept reflects expectations that the AI windfall distribution pattern is changing. Some investors believe the beneficiaries of AI prosperity are shifting from chip manufacturers and cloud computing giants to large private tech firms like OpenAI and Anthropic, thereby challenging the market leadership of the "Magnificent Seven." ## From FAANG to “Magnificent Seven” to MANGOS, the naming game keeps evolving Wall Street’s enthusiasm for naming tech stock groups has a long history. In the 2010s, FAANG—Facebook, Amazon, Apple, Netflix, and Google—was the hottest tech stock tag. Later, "Magnificent Seven" became synonymous with the AI-driven bull market. At the end of 2024, “BATMANN” concept stocks were briefly seen as a new market pillar. Entering Trump’s second term, geopolitical factors brought about the “TACO trade” and "NACHO trade." Now, MANGOS has become the latest carrier of market narratives. **The underlying logic: as some members of the "Magnificent Seven" lose their shine, the market needs a batch of new high-growth AI stocks to absorb capital. Joseph Powers, Chief Investment Officer at RWA Wealth Partners, said some investors may be trimming their "Magnificent Seven" holdings to make room for the new generation of high-growth AI companies.** Powers also pointed out that the nature of AI infrastructure construction is evolving. In the early days of the AI boom, large tech companies could basically shoulder the infrastructure investment themselves, giving them an advantage over smaller competitors. But as AI expenses keep expanding, more companies may need to turn to public market financing. "We’ll see how much capital SpaceX, Anthropic, and OpenAI can absorb from the market," Powers said. ## Multiple ETF issuers rush to the scene, structural designs are highly complex Several small ETF issuers have already filed related fund applications. Corgi ETF Trust I has applied to establish the Corgi MANGOS ETF, which aims to invest at least 80% of its net assets in securities, derivatives, or other instruments related to Meta, Anthropic, Nvidia, Alphabet, OpenAI, and SpaceX. Since OpenAI and Anthropic remain private, the fund may gain exposure through derivatives, private investment vehicles, or other structures. Yorkville America Investment Trust has applied to set up two funds: Yorkville America MANGO Plus ETF and Yorkville America MANGO Plus Premium Equity Income ETF. The former, in addition to covering MANGOS members, will include chip and hardware companies such as AMD, Broadcom, Micron Technology, Intel, and Dell Technologies. Application documents show that publicly traded MANGOS members are expected to be held at roughly equal weights, while exposure to OpenAI and Anthropic will mainly be achieved through perpetual futures contracts. The latter fund will further enhance yield by selling call options on MANGO Plus portfolio holdings. All these applications are still at an early stage and have yet to be approved by the SEC. ## Heavy on marketing, questionable on investment logic Despite the heightened market enthusiasm, some ETF analysts are skeptical about the substantive value of the MANGOS concept. Dave Nadig, president and director of research at ETF.com, said in a phone interview that such products might be "convenient portfolios with a bit too much packaging." "Bundling a few companies that haven't gone public—ones that may only be accessible through special purpose vehicles—with giant cloud computing firms, and calling it an investment logic, has no academic justification," Nadig said. He believes **this group is more a reflection of high-momentum, high-profile stocks than a clear reason these companies should belong in the same portfolio.** Nadig pointed out that for investors hoping to participate directly in the AI boom, simply buying relevant stocks may be easier than paying ETF management fees for a small stock basket. He acknowledged that such funds may have some value as short-term trading tools—after all, buying one ETF is more convenient than operating several individual stocks at once—but he doubts their value as long-term investment tools. "These things may have a place as trading tools, but do not constitute a genuine investment logic," he said. Nadig also highlighted a deeper risk: Wall Street's concept labels can be valuable when describing already-formed market patterns, but packaging them into products before the narrative is market-tested can potentially harm investors. **What MANGOS captures is the latest focal point of investor imagination—AI labs, chip manufacturers, cloud computing giants, and newly listed high-growth companies—but whether this group can become the next lasting market leadership cohort is still unknown.** Risk Warning and Disclaimer The market involves risks, and investment should be approached cautiously. This article does not constitute personal investment advice and does not take into account the individual user's special investment objectives, financial situation, or needs. Users should consider whether any opinions, viewpoints, or conclusions in this article suit their specific circumstances. Investing based on this article is at your own risk.