Core Insights - The Principal Value ETF (PY US) focuses on U.S. equities that provide consistent "shareholder yield" through dividends, net buybacks, and strong free cash flow [1] Investment Process - The investment process targets liquid, seasoned issuers with adequate float and trading depth to support capacity [1] - A rules-driven, fundamental overlay is applied, emphasizing cash generation, payout sustainability, and balance-sheet discipline [1] Scoring and Exclusions - Eligible companies are scored based on cash flow coverage, dividend growth consistency, and net repurchase activity [1] - Companies with deteriorating quality and impaired liquidity are excluded from the portfolio [1] Portfolio Construction - The portfolio emphasizes large and mid-cap stocks, diversified across various sectors [1] - Issuer weights are constrained to reduce single-name concentration and maintain rebalancing flexibility [1] Position Sizing and Management - Position sizing reflects factor balance and valuation bands, with trims occurring when payout quality weakens, leverage increases, or buyback effectiveness declines [1] - Reconstitution and rebalancing are systematic but allow for manager discretion to manage turnover and trading costs [1]

Core Insights - The Newfound/ReSolve Robust Equity Momentum Index employs a rules-based, weekly-rotated allocation strategy among global equity and U.S. Treasury ETFs [1] Portfolio Construction Methodology - The index universe includes liquid U.S.-listed funds that represent global equities, U.S. equities, developed ex-U.S. equities, emerging markets, short-term Treasuries, and intermediate Treasuries [1] - Four distinct momentum definitions are evaluated over multiple lookback horizons and sampling frequencies, resulting in tens of thousands of momentum observations aggregated into momentum scores [1] - A dual-momentum sleeve compares global equity momentum with short-term Treasury momentum; when equities lead, the allocation is fully directed to either U.S. or developed ex-U.S. equities, otherwise to short- or intermediate Treasuries [1] - A residual dual-momentum sleeve compares global equity momentum with intermediate Treasuries; when favorable, it selects among U.S., developed, and emerging equity ETFs, otherwise holding intermediate Treasuries [1] - Final index weights are structured as 75% for the dual-momentum sleeves and 25% for the residual sleeve, limiting emerging-markets exposure to 25%, with all changes implemented at the weekly reconstitution [1]

ATAC US Rotation ETF (RORO US) – Portfolio Construction MethodologyThe investment strategy driving the actively managed ATAC US Rotation ETF applies a systematic risk-on/risk-off process that toggles between U.S. equities and long-duration U.S. Treasuries based on intermarket risk signals. The approach evaluates relationships among cyclically sensitive assets and safe-havens to infer near-term conditions for beta exposure; when risk-on, the portfolio seeks equity beta primarily via U.S. small-cap and large- ...

Core Insights - The RPAR Risk Parity ETF utilizes a rules-based multi-asset portfolio designed to achieve similar long-run volatility across four asset classes: global equities, commodities, U.S. Treasury Inflation-Protected Securities (TIPS), and U.S. Treasuries [1] Group 1: Portfolio Construction - The target notional exposures for the portfolio are set as follows: 35% long-duration TIPS, 25% commodities (including global commodity-producer equities and gold), approximately 17.5% global equities (U.S. plus developed ex-U.S.), and 35% U.S. Treasury futures [1] - Treasury futures exposure is unfunded and collateralized with a 15% allocation to T-bills, allowing the gross notional to exceed 100% [1] - The constituents of the portfolio are represented by ETFs and futures/index proxies that meet liquidity screens, with sizing based on long-horizon volatility estimates to equalize risk across the different sleeves [1] Group 2: Rebalancing and Roll Schedule - The index reconstitutes and rebalances quarterly, specifically after the last business day of February, May, August, and November [1] - Treasury futures follow a standardized quarterly roll schedule around first-notice dates [1]

Acruence Active Hedge U.S. Equity ETF (XVOL US) – Portfolio Construction MethodologyThe investment process guiding the actively managed Acruence Active Hedge U.S. Equity ETF seeks capital appreciation from a diversified portfolio of U.S. large-capitalization equities with reduced volatility versus the S&P 500. The fund normally invests at least 80% of net assets in equity securities comprising the S&P 500, allocating 40–80 names across dividend-oriented and growth-oriented sleeves informed by industry-level ...

Innovator Equity Defined Protection ETF – 1 Yr September (ZSEP US) – Portfolio Construction MethodologyThe investment strategy governing the actively managed Innovator Equity Defined Protection ETF – 1 Yr September seeks to deliver defined equity outcomes by holding a portfolio of Flexible Exchange Options (FLEX Options) on the SPDR S&P 500 ETF Trust over successive one-year outcome periods. The fund invests at least 80% in FLEX Options on the underlying ETF, using purchased and written call options plus pu ...

Core Insights - The Pentagon opted for a $1 billion convertible preferred investment in L3Harris Technologies' missile solutions business instead of purchasing common stock, indicating a strategic focus on control over market fluctuations [2][3] - The establishment of a standalone missile unit aims to address the bottleneck in missile production, driven by increased demand due to conflicts in Ukraine and the Middle East [4] - The use of convertible preferred stock allows for immediate capital injection while aligning incentives and avoiding the pitfalls of traditional defense procurement methods [5] Company Strategy - The Pentagon's investment strategy reflects a shift towards treating missile production as a critical infrastructure rather than a mere defense expenditure [6] - By structuring the deal to protect downside risk while maintaining upside potential, the Pentagon is signaling urgency in enhancing missile production capabilities [6] Industry Context - The missile sector has become a focal point in defense spending, highlighting the need for faster production and streamlined contracts [4] - The traditional defense procurement process is slow, and the Pentagon's approach with convertible preferred stock represents a more agile and disciplined capital allocation strategy [5]

Core Viewpoint - The JPMorgan U.S. Quality Factor ETF (JQUA) employs a quality-oriented strategy while also focusing on a balanced sector mix and conservative portfolio construction [1] Group 1 - JQUA aims to provide a conservative investment approach through its quality-oriented strategy [1] - The fund emphasizes a balanced sector mix to mitigate risks associated with sector concentration [1]

Business Model & Investment Strategy - The company operates like a real estate fund, acquiring brand new luxury handbags such as Birkins and Kellys to build a portfolio [1] - The company employs a portfolio construction methodology, focusing on fast-flipping "breadandbut" bags [1] - The company trades handbags, sourcing them from the resale market rather than directly from Hermes [3][4] Sales Channels - The company sells handbags on digital marketplaces like Sbee's first dibs, my Gemma, and through Christies auctions [1] - The company also sells handbags through real-life experiences, capitalizing on the demand for Hermes and handbag education [2] Market Trends & Consumer Behavior - There is significant pent-up supply in the resale market for a wide range of handbags, from brand new to "beater bags" [4] - Generational preferences vary, with Gen Z showing interest in "beater bags" [4] - A bag sells every 48 hours [4]

Core Insights - The discussion highlights the challenges of market timing for investors and introduces the Innovator BE alt ETF, which offers a buffered exposure to the S&P 500, aiming to limit both upside and downside risks [1][3] - The performance of the BE alt ETF is compared to the S&P 500 ETF, noting that while the latter has outperformed in the past year, the former may appeal to investors seeking stability and reduced volatility [1][4] - The importance of understanding investor behavior and risk tolerance is emphasized, suggesting that demographic factors and individual psychological disposition play a significant role in investment decisions [5][6] ETF Market Dynamics - The ETF market has evolved to include more sophisticated products, such as defined outcome ETFs, which provide various strategies to achieve targeted investment outcomes [8][10] - There is a growing trend of using ETFs like BE alt as alternatives to traditional bonds, indicating a shift in portfolio construction strategies among investors [12] - The conversation also touches on the increasing accessibility of sophisticated investment tools to a broader range of investors, facilitated by the ETF structure [14][15] Investor Education and Engagement - Investor education is crucial for the effective use of these new tools, with companies like Innovator focusing on providing resources to help investors understand product functionalities [15][22] - The level of investor sophistication varies widely, with some clients actively engaging in their investment management while others prefer to rely on professional advisors [21][22] - The commitment of firms like Goldman Sachs to the ETF space is underscored, with a focus on enhancing their capabilities and serving client needs in the evolving market [24][26]