DWUS - AdvisorShares Dorsey Wright FSM U.S. Core ETF
What Part of the U.S. Large Cap Market Should You Own?
Tactically allocatE to large cap domestic equity opportunities through relative strength and trend analysis
|Symbol||Exchange||Inception Date||CUSIP||Indicative Value|
<strong>Why Invest in DWUS?</strong>
- Alpha-Seeking Complement to Broad Based Exposure – Broad based indexes, by their nature, have the good and the bad, the strong and the weak. DWUS seeks to add alpha using Dorsey Wright’s historically successful trend following process and investment modeling that looks to identify the strongest U.S. large cap equity investments from the weaker performers.
- Active Management Advantage – Many ETFs passively invest owning the majority of the stocks represented in their benchmark index, including those with less than attractive investing attributes. DWUS’s investment process systematically screens the FSM U.S. Core large cap equity universe for investments to include or remove from its highly tactical, active portfolio.
- U.S. Core Equity Rotation – Owning or even avoiding certain large cap investing styles – equal weight, Nasdaq 100, low volatility, momentum, broad based – is an important determinant of domestic core equity success. Investment styles rotate in and out of season. Sometimes those trends last for years, other times for months. By investing in the highest FSM ranked funds, DWUS seeks to capture the growth of those large cap equity styles demonstrating the strongest relative strength while avoiding the weakest.
- Systematic Defense – Because we believe avoiding severe losses helps to preserve capital and can contribute to good performance over time, DWUS uses a rules-based approach to tactically add cash or short-term fixed income exposure to the portfolio when momentum indicators are triggered. The temporary defensive position is to try to shield the portfolio from certain catastrophic market types.
<strong>Where Can DWUS Fit in a Traditional Portfolio?</strong>
DWUS can serve as an alpha-seeking complement to a broad-based market cap weighted position, such as a fund that tracks the S&P 500 Index, as well as, a stand-alone investment solution for domestic large cap equity exposure.
- Targeted High Conviction Large Cap Exposure – By tactically allocating to the top ranked large cap equity funds based on Dorsey Wright’s FSM ranking and modeling, DWUS seeks to identify and benefit from factor or market based themes within the core U.S. market. DWUS will regularly rebalance on an equal weight basis into the most favorably identified funds within FSM U.S. Core investment universe.
- Relative Strength Analysis – DWUS invests using relative strength, via FSM rankings, which compares price performance within a universe of stocks. Relative strength investing provides a repeatable process to identify and select the leaders while avoiding the laggards. It is important to be equally good at identifying both long-term winners and losers.
- Systematic Approach – DWUS’s investment strategy is entirely systematic and is designed to remove human emotion from the decision process. It is a disciplined, repeatable process to systematically identify and select which funds to own, as well as, which to avoid or sell, giving the portfolio manager the ability to continually execute DWUS’s investment strategy through all types of different market environments.
- Tactical Defensive Investing– When the market is demonstrating overall weakness, DWUS will gradually allocate to cash or short term fixed income. This cash allocation will incrementally increase or decrease based on whether the momentum indicator is showing overall market strength or weakness versus cash.
<strong>About the Portfolio Manager</strong>
Nasdaq Dorsey Wright, Model Manager Nasdaq Dorsey Wright is a registered investment advisory firm based in Richmond, Virginia. Since 1987, Dorsey Wright has offered comprehensive investment research and analysis through their Global Technical Research Platform. Dorsey Wright’s expertise is technical analysis, utilizing Point & Figure Charting, Relative Strength Analysis, and numerous other technical and systematic tools to analyze market data and deliver actionable insights.
Dan Ahrens is managing director and chief operating officer of AdvisorShares, and also portfolio manager of the AdvisorShares Vice ETF (Ticker: ACT). Dan carries over two decades of experience in the financial services industry serving in a variety of senior-level capacities. He founded Ahrens Advisors, L.P., an SEC-registered investment advisor, where he was portfolio manager of the Ladenburg Thalmann Gaming and Casino Fund. Dan also served as president of the MUTUALS.com Funds, where he launched the Vice Fund (VICEX) and served as its original portfolio manager. He was also the portfolio manager of the Generation Wave Growth Fund (GWGFX). During that time, he was also president and chief compliance officer of Mutuals Advisors, Inc, and acted as president, treasurer and financial & operations officer of an affiliated broker dealer firm. Dan is the author of “Investing in Vice” (St. Martin’s Press, 2004) and has appeared prominently across financial media outlets and major national and trade publications. He earned a Bachelor in Business Administration in Finance from Texas Tech University.
|4PM Bid/Offer Midpoint||$33.23||Premium Discount||$0.05|
|Assets Under Management||$67,187,194.69|
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.
As of 09/01/2020
DWUS Sector Allocation
DWUS Market Cap
|Date||Account Symbol||Stock Ticker||Security Number||Security Description||Shares/Par (Full)||Price (Base)||Traded Market Value (Base)||Portfolio Weight %||Asset Group|
|12/01/2020||DWUS||QQQ||46090E103||INVESCO QQQ TRUST SERIES 1||111,730.00||303.46||33,905,585.80||50.47%||MF|
|MTUM||46432F396||ISHARES MSCI USA MOMENTUM FA||212,676.00||156.34||33,249,765.84||49.49%||MF|
|X9USDBLYT||BLACKROCK TREASURY TRUST INSTL 62||91,071.60||1.00||91,071.60||0.14%||MM|
As of 10/31/2020
|NAV||Market Price Return||S&P 500 Index|
|Since Inception (12/26/2019, Annualized)||18.28||18.54||2.5|
As of 9/30/2020
|NAV||Market Price Return||S&P 500 Index|
|Since Inception (12/26/2019, Annualized)||22.82||23.11||5.3|
Performance data quoted represents past performance and is no guarantee of future results. All Fund data and performance data quoted is believed to be accurate, and unless otherwise stated, is sourced from the Fund administrator, the Advisor’s or Sub-Advisor’s proprietary data, and Morningstar. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Returns less than one year are not annualized.
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
Fees & Expenses
|Acquired Fund Fees and Expenses*||0.18%|
|Fee Waver and/or Expenses Reimbursement||-0.16%|
|Ex-Date||Record Date||Pay Date||Cash Div||ST Cap Gain||LT Cap Gain||Return of Capital||Total Distribution (per share)||DWUS|