American Century Investments subsidiary Avantis Investors has listed three new active equity ETFs on the New York Stock Exchange. All three funds emphasize companies with smaller market caps and higher profitability and value characteristics. The ETFs target companies expected to have higher returns.
The Avantis U.S. Mid Cap Equity ETF (AVMC ) targets U.S. midcap companies across market sectors and industry groups. Meanwhile, The Avantis U.S. Mid Cap Value ETF (AVMV ) follows a similar strategy, focusing on value stocks.
Additionally, the Avantis Emerging Markets Small Cap Equity ETF (AVEE ) invests in small-cap companies related to emerging markets. The fund invests across market sectors, industry groups, and countries.
See more: Avantis Launches U.S. Large Cap Equity ETF
Avantis CIO Eduardo Repetto will co-manage the funds with Mitchell Firestein, Daniel Ong, Ted Randall, and Matthew Dubin.
Firestein said in a news release that AVMC and AVMV are the firm’s "first dedicated mid-cap solutions.” AVEE complements Avantis’ “existing small cap offerings, the Avantis U.S. Small Cap Equity ETF (AVSC ) and the Avantis International Equity Small Cap ETF (AVDS ).”
“We now offer a full range of small cap solutions across global equity markets,” he added. “We always enjoy launching new funds and we are excited to add another small cap ETF to our lineup."
Expanded Lineup of Active ETFs
The three new funds are the latest additions to Avantis’ ETF lineup, which has added six new ETFs this year.
In June, Avantis launched four new active ETFs. All four active ETFs are “funds of funds.” They use existing Avantis ETFs to build out multiregion and multi-asset class solutions. The issuer expanded again in July with the launch of the actively managed AVDS. Then in September, it launched the active Avantis U.S. Large Cap Equity ETF (AVLC ).
“Advisors have gained comfort with actively managed ETFs in 2023,” said VettaFi’s Head of Research Todd Rosenbluth. “Avantis has quickly emerged as a leader in the space with their low-cost strategic funds. It is great to see their lineup expand.”
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