AVNM Profile
The American Century ETF Trust Avan (ticker: AVNM) is crafted to deliver low-cost, tax-efficient, and broadly diversified international equity exposure to investors. The fund achieves this by investing in a selection of Avantis exchange-traded funds that target global companies across various market capitalizations, excluding the U.S. The primary objective of the fund is to offer superior returns and improved risk characteristics compared to those of a passive, market cap-weighted index.
The fund’s investment strategy emphasizes a balanced allocation between emerging and developed markets outside the U.S. Specifically, it maintains a target allocation ratio of 30% in emerging markets and 70% in non-U.S. developed markets. This allocation is flexible within a range of 10-15%, allowing the fund to adjust based on market conditions and investment opportunities. By focusing on securities expected to deliver higher returns or exhibit more favorable risk profiles, the fund aims to enhance performance relative to traditional market indices.
As an actively managed ETF, AVNM provides its managers with full discretion over investment decisions, including adjustments to geographic allocations, investment styles, and the maintenance of target ranges. This active management approach allows for dynamic responses to market shifts and the ability to capitalize on emerging opportunities. Regular reviews and rebalancing of the fund’s portfolio ensure that it remains aligned with its investment objectives and adapts to changing market conditions.
The fund’s structure leverages the expertise of Avantis’ management team, which selects and manages the underlying ETFs to achieve optimal diversification and performance. By focusing on cost efficiency and tax management, AVNM seeks to deliver long-term growth while minimizing the impact of taxes and fees on returns. This approach provides investors with a strategic vehicle for accessing international equity markets with a focus on value and risk-adjusted returns.
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