ALPS has announced that they will begin trading the Barron’s 400 ETF (NYSEArca:BFOR) tomorrow June 4th. The Fund seeks investment results that correspond generally, before fees and expenses, to the performance of the Barron’s 400 Index.
|Total annual Fund operating expenses||0.65%|
Principal Investment Strategies
ALPS Advisors, Inc. (the “Adviser”) will seek investment results that correspond generally to the performance of the Underlying Index. The Underlying Index is a rules-based index intended to give investors a means of tracking the overall performance of high performing equity securities of U.S. companies. The Fund will invest at least 80% of its total assets in the equity securities which comprise the Index.
The Underlying Index generally consists of 400 stocks. The Underlying Index’s stocks are constituents of the Dow Jones U.S. Total Stock Market Index. In compiling the Index, MarketGrader Capital, LLC (the “Index Provider”) selects the 400 stocks from the Dow Jones U.S. Total Stock Market Index by using a methodology that selects components based on the strength of their fundamentals in growth, value, profitability and cash flow and then screens such potential Index components for certain criteria regarding concentration, market capitalization and liquidity. The eligible stocks that are selected for inclusion in the Underlying Index’s portfolio are equally weighted. The Underlying Index is rebalanced by the Index Provider semiannually, on the third Friday of March and September each year.
The Adviser seeks a correlation over time of 0.95 or better between the Fund’s performance, before fees and expenses, and the performance of the Underlying Index. A figure of 1.00 would represent perfect correlation.
The Fund generally will invest in all of the securities that comprise the Underlying Index in proportion to their weightings in the Underlying Index. However, under various circumstances, it may not be possible or practicable to purchase all of the securities in the Underlying Index in those weightings. In those circumstances, the Fund may purchase a sample of the securities in the Underlying Index in proportions expected by the Adviser to replicate generally the performance of the Underlying Index as a whole. There may also be instances in which the Adviser may choose to overweight another security in the Underlying Index, purchase (or sell) securities not in the Underlying Index which the Adviser believes are appropriate to substitute for one or more Underlying Index components or utilize various combinations of other available investment techniques, in seeking to replicate, before fees and expenses, the performance of the Underlying Index. In addition, from time to time securities are added to or removed from the Underlying Index. The Fund may sell securities that are represented in the Underlying Index or purchase securities that are not yet represented in the Underlying Index in anticipation of their removal from or addition to the Underlying Index.
For the complete filing click: HERE