NORTHLAND SECURITIES, INC.

2. Key Holdings

The portfolio is dominated by a significant allocation to income and broad market strategies at the top of the list.

• Primary Anchor: The largest position is the JPMorgan Exchange-Traded Fund (JPIE), a defined income ETF, which constitutes a substantial 18.46% of the portfolio ($19.26M). This indicates an aggressive income generation objective or a hedging strategy focused on yield.
• Market Beta: The iShares Core S&P 500 ETF (IVV) holds the second position at 5.24% ($5.47M), serving as the primary vehicle for U.S. large-cap equity exposure.
• Sector Concentration: Notable concentrations include the Technology Select Sector SPDR ETF (XLK) at 4.20% and the iShares Global Tech ETF (IXN) at 3.12%, highlighting a strong conviction in the technology sector.
• Top Individual Equities: Among individual stocks, Apple Inc. (AAPL) is the standout holding, ranking 4th overall with 3.31% allocation ($3.45M). Other significant individual positions include Amazon (AMZN) at 2.05% and Berkshire Hathaway (BRK/B) at 1.46%. While heavyweights like NVIDIA (NVDA) and Microsoft (MSFT) are present, their allocations are relatively modest (1.18% and 0.80% respectively), suggesting the firm prefers to access tech exposure primarily through ETFs rather than concentrated single-stock bets.

3. Sector Allocation

The sector breakdown reveals a barbell strategy balancing income, growth, and defensive sectors.

• ETF Dominance: The "ETF" category is the largest segment, encompassing factor-based, income, and broad market funds. Within this, there are clear tilts toward Technology (via XLK, IXN, SOXX, IYW) and Energy (via IXC, XLE).
• Technology: Direct technology exposure totals $9.40M (9.0%), excluding the tech-heavy ETFs. When combined with the tech-specific ETFs (XLK, IXN, SOXX, IYW, BAI), the aggregate exposure to the technology sector is likely significantly higher, potentially exceeding 20-25% of the portfolio.
• Financial Services: This sector represents $3.64M (3.5%) in direct holdings, supplemented by financial sector ETFs (XLF). Key names include Capital One (COF), Apollo Global Management (APO), and U.S. Bancorp (USB).
• Energy: The firm holds $3.11M in the Global Energy ETF (IXC) and $3.10M in the Energy Select Sector SPDR (XLE), totaling nearly 6% in energy ETFs alone, with an additional 0.55% in Marathon Petroleum (MPC). This indicates a tactical overweight in energy, likely seeking inflation hedging or value rotation.
• Consumer Staples & Healthcare: These defensive sectors are represented through a mix of ETFs (XLP) and select stocks like Costco (COST) and UnitedHealth (UNH), providing stability against volatility.