Anfield Equity Sector Rotation ETF

Introducing AESR

The Anfield Equity Sector Rotation ETF

Fund Objective:

The Anfield U.S. Equity Sector Rotation ETF (the “Sector Rotation ETF” or the “Fund”) seeks to outperform traditional large-cap equity indices and styles over full market cycles by investing in various sectors of the equity market.

Investment Strategy:

The Fund is an actively managed exchange traded fund (“ETF”) that normally invests at least 80% of its net assets, including any borrowings for investment purposes, in a diversified portfolio of ETFs (“Underlying Funds”) that each invest at least 80% of their assets in U.S. equity securities. The Fund is not managed relative to an index and has broad flexibility to allocate its assets across different types of securities and sectors of the U.S. equity markets. The Fund defines equity securities to include ETFs that invest primarily in equity securities, such as common and preferred stocks. The Fund will invest primarily in large capitalization issuers, although its assets may be invested in securities of any market capitalization. Based on the Sub-Adviser’s tactical investment style, the Fund will invest in Underlying Funds based on the Sub-Adviser’s macroeconomic and asset cycle investing methodology that determines the rank order of equity sectors, and then makes periodic shifts to i) capitalize on market opportunities, or ii) avoid market declines. The Fund expects to hold between eight to ten Underlying Funds at any given time. The core of the Fund’s portfolio will be comprised of a combination of the 11 main industry sectors that make up the S&P 500 Index, although additional positions may be included in the Fund’s securities. Over- and under-weights of industry sectors are determined by the overall market and sector outlook. The Fund is generally rebalanced and adjusted on a quarterly basis, or when changing conditions warrant an adjustment.

The Fund may also invest in various types of derivatives, including exchange listed and over the counter (“OTC”) futures, options, total return swaps, forwards and repurchase agreements. The Fund or the Underlying Funds may use derivatives as a substitute for making direct investments in underlying instruments, to reduce certain exposures or to “hedge” against market volatility and other risks.

Although the Fund normally does not engage in any direct borrowing, leverage is inherent in the derivatives it trades. While Federal law limits bank borrowings to one-third of a fund’s assets (which includes the borrowed amount), the use of derivatives is not limited the same manner. Federal law generally requires the Fund to segregate or “earmark” liquid assets or otherwise cover the market exposure of its derivatives. Leverage magnifies exposure to the swings in prices of the reference asset underlying a derivative and results in increased volatility, which means the Fund will generally have the potential for greater gains, as well as the potential for greater losses, than a fund that does not use derivatives.

The Fund’s investment process includes both a top-down macroeconomic analysis and a forecasting methodology. The Sub-Adviser conducts an annual analysis of the state of the investment universe based on economic, political, and market conditions, which is used to forecast the outlook for various asset classes and industry sectors. The Sub-Adviser uses proprietary methods to continuously monitor the state of the national and international economy and markets for significant changes in order to invest in those sectors and market categories with the highest potential for positive returns during periods of relative economic strength while de-allocating from equities and utilizing defensive positioning such as allocations to cash when economic and market environments weaken. The Fund’s tactical strategy further employs a proprietary analysis of fundamental, business cycle, and technical factors that specifically affect the securities used in the Fund’s strategy. The Fund will sell a portfolio holding when the security no longer meets its investment criteria or when a more attractive investment is available.

The Fund may engage in active and frequent trading. For the purpose of achieving income, the Fund may engage in securities lending.

Fund Details as of 07/29/2021

Ticker: AESR

Primary Exchange: Cboe BZX Exchange

Cusip: 90213U115

Inception Date: 12/17/2019

Net Assets: $110,007,689.66

Shares Outstanding: 7,825,000

Advisor Fee: 0.80%

Total Expense Ratio: 1.42%

30-Day SEC Yield: -1.14

Distribution Rate: 0

NAV: $13.97

Closing Market Price: $13.96

Premium Discount: $-0.01

30 Day Median Bid/Ask Spread: 0.29%

Fund Documents:

Top Holdings as of 07/29/2021

Market Value % Net Assets % Name Market Price Shares Held Market Value
30.01% 30.03% SPDR S&P 500 ETF TRUST $440.65 74,976 $33,038,174.40
11.84% 11.85% CONSUMER DISCRETIONARY SE $184.22 70,790 $13,040,933.80
10.31% 10.32% FINANCIAL SELECT SECTOR S $36.81 308,432 $11,353,381.92
10.15% 10.16% TECHNOLOGY SELECT SECT SP $153.5 72,811 $11,176,488.50
9.97% 9.98% INDUSTRIAL SELECT SECT SP $103.56 106,003 $10,977,670.68
9.95% 9.96% INVESCO QQQ TRUST SERIES $366.48 29,902 $10,958,484.96
9.72% 9.73% HEALTH CARE SELECT SECTOR $132.03 81,061 $10,702,483.83
7.95% 7.96% COMM SERV SELECT SECTOR S $82.68 105,897 $8,755,563.96
0.09% 0.09% US DOLLARS $1 100,397 $100,396.59

Download All Holdings (.csv)

Approval Code 7336-NLD-12/12/2019

The median bid-ask spread is calculated by identifying the national best bid and national best offer (“NBBO”) for each fund as of the end of each 10 second interval during each trading day of the last 30 calendar days and dividing the difference between each such bid and offer by the midpoint of the NBBO. The median of those values is identified and that value is expressed as a percentage rounded to the nearest hundredth.