AVDE Profile
The Avantis International Equity ETF invests primarily in a diverse array of non-U.S. companies spanning various countries, market sectors, and industry groups. This strategic diversification allows the fund to tap into growth opportunities across different regions and industries. The ETF aims to provide broad exposure to international equities, including both developed and emerging markets, thereby enhancing potential returns while managing risk through geographic and sector diversification.
Under normal market conditions, the fund commits to investing at least 80% of its assets in equity securities. These securities include common stocks, preferred stocks, and other equity interests in businesses across the globe. By focusing on international equities, the fund seeks to capitalize on economic trends and corporate growth outside the United States, offering investors a chance to benefit from the global economy's expansion.
The fund is designed to include companies of all market capitalizations, ranging from large, established firms to smaller, potentially high-growth companies. This inclusive approach allows the ETF to capture a wide spectrum of market opportunities, balancing the stability of large-cap stocks with the growth potential of mid- and small-cap stocks. Additionally, the fund's flexibility in capitalization ensures a well-rounded portfolio that can adapt to changing market conditions and economic cycles.
In addition to direct investments in equity securities, the Avantis International Equity ETF may utilize derivative instruments such as futures contracts, currency forwards, and swap agreements. These derivatives are employed to manage risk, enhance liquidity, and improve the fund's overall performance. The use of derivatives allows the fund to hedge against currency fluctuations, gain exposure to specific markets or sectors, and efficiently manage cash flows. The fund's comprehensive approach aims to provide investors with a robust and dynamic international investment option, leveraging both traditional equities and innovative financial instruments.
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