QPX: 3rd Quarter 2021 Portfolio Manager Review

Performance data quoted represents past performance and is no guarantee of future results. 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. For the fund’s most recent standardized and month-end performance, please click www.advisorshares.com/etfs/qpx.

Portfolio Review

The AdvisorShares Q Dynamic Growth ETF (QPX) finished behind its benchmark, the S&P 500 Index for the third quarter.

QPX was heavily weighted in large-cap stocks and the technology sector throughout the period, as this exposure has a much higher risk/reward characteristics than other segments of the market (per its model).

Concerns about China’s Evegrande impact, Chinese technology sell-offs and the gridlock in Washington, D.C. over the debt ceiling were contributing factors.

There were no risk-off rebalancing triggered by the QIX index, which saw its value fluctuate between 12.93 and 19.69, well below the rebalance trigger of 37.50.

The lion’s share of the portfolio exposure remains in large-cap growth stocks and the technology sector.

Top Holdings

Ticker Security Description Portfolio Weight %
QQQ INVESCO QQQ TRUST SERIES 1 38.42%
XLK TECHNOLOGY SELECT SECT SPDR 29.69%
FDN FIRST TRUST DJ INTERNET IND 16.47%
VTI VANGUARD TOTAL STOCK MKT ETF 5.14%
IWO ISHARES RUSSELL 2000 GROWTH 4.23%
IJR ISHARES CORE S&P SMALL-CAP E 3.22%

As of 09.30.2021. Cash not included.

 

Respectfully,

Ron Piccinin
ThinkBetter, LLC
AdvisorShares Q Dynamic Growth ETF (QPX) Portfolio 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, 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.

There is no guarantee the Advisors investment strategy will be successful. When models and data prove to be incorrect or incomplete, any decisions made in reliance thereon expose the Fund to potential risks. In addition, the use of predictive models has inherent risk. Because predictive models are usually constructed based on historical data supplied by third parties, the success of relying on such models may depend heavily on the accuracy and reliability of the supplied historical data. The Fund’s particular allocations may have a significant effect on the Fund’s performance. Allocation risk is the risk that the selection of ETFs and the allocation of assets among such ETFs will cause the Fund to underperform other funds with a similar investment objective that do not allocate their assets in the same manner or the market as a whole. For a list of the asset class specific risks please see the prospectus.