DWAW: 4th Quarter 2025 Portfolio Review
Strategy
The AdvisorShares Dorsey Wright FSM All Cap World Equity ETF’s (DWAW) uses relative strength to allocate towards the strongest performing areas of Global Markets including size, style, broad market, and factor ETFs. The strategy implements Dorsey Wright’s proprietary Fund Scoring Method, FSM, which is built around relative strength and momentum. The top two scoring funds at each seasonal quarterly evaluation are selected as the holdings. The strategy is not constrained to holding a set allocation to any sector, style, cap, or factor. This allows the portfolio to over or underweight markets to concentrate on areas of strength in the global market, often pushing the portfolio to vary dramatically from a standard broad market benchmark. As part of the constant upkeep of the strategy, the inventory of DWAW was refreshed to better align with the global investment focus in the fourth quarter of 2025. The holdings for the strategy were also expanded to target five underlying positions, diversifying the allocation potential.
Performance
DWAW struggled in the first quarter after heavily allocating towards growth entering 2025 but was able to turn around the rest of the year. DWAW put together a positive fourth quarter with a gain of 1.35% (NAV) | 1.40% (market). DWAW lagged its benchmark, the iShares MSCI ACWI ETF (ACWI), by 1.70%. For the year 2025, DWAW gained 10.58% (NAV) | 10.69% (market).
Holdings
The portfolio continues to be allocated to securities that displayed favorable relative strength characteristics during the fund’s last evaluation. With changes to its targeted number of holdings, DWAW has a mix of domestic and international equity exposure. The portfolio is made up of five ETFs, with about 60% of the portfolio focused on the domestic equity market while the other 40% is in international exposure.
Top Holding(s)
| Ticker | Security Description | Portfolio Weight % |
| IVLU | ISHARES MSCI INTERNATIONAL V | 20.80% |
| IMTM | ISHARES MSCI INTL MOMENTUM F | 19.99% |
| MTUM | ISHARES MSCI USA MOMENTUM FA | 19.76% |
| QQQM | INVESCO NASDAQ 100 ETF | 19.53% |
| IWF | ISHARES RUSSELL 1000 GROWTH | 19.50% |
As of 12.31.2025. Cash not included. Holdings are subject to change.
Respectfully,
Nasdaq Dorsey Wright
AdvisorShares Dorsey Wright FSM All Cap World ETF (DWAW) Portfolio Model Manager
Past Commentary
Before investing you should carefully consider the Fund’s investment objectives, risks, charges and expenses. This and other information is in the prospectus or summary prospectus, a copy of which may be obtained by visiting www.advisorshares.com. Please read the prospectus carefully before you invest. Foreside Fund Services, LLC, distributor.
Investing Involves risk including possible loss of principal. The Advisor’s judgment about the markets, the economy, or companies may not anticipate actual market movements, economic conditions or company performance, and these factors may affect the return on your investment. Foreign investing involves special risks, such as risk of loss from currency fluctuation or political or economic uncertainty. Investments in emerging or offshore markets are generally less liquid and less efficient than investments in developed markets and are subject to additional risks, such as risks of adverse governmental regulation and intervention or political developments. The market value of debt securities held by the Fund typically changes as interest rates change, as demand for the instruments changes, and as actual or perceived creditworthiness of an issuer changes.
Shares are bought and sold at market price (closing price) not NAV and are not individually redeemed from the Fund. Market price returns are based on the midpoint of the bid/ask spread at 4:00 pm Eastern Time (when NAV is normally determined), and do not represent the return you would receive if you traded at other times.
Holdings and allocations are subject to risks and to change. The views in this commentary are those of the portfolio manager and may not reflect his views on the date this material is distributed or anytime thereafter. These views are intended to assist shareholders in understanding their investments and do not constitute investment advice.