Invest in Style with the Burney U.S. Factor Rotation ETF
The academic research is clear: There’s a compelling case for owning companies of the right size and the right valuation. Specifically, small caps tend to outperform large caps, and value stocks tend to outperform growth stocks. Another way of saying this? Over time, equity investors can receive both a size premium and a value premium.
But there’s a problem. This outperformance is long-term in nature, and these size/style premiums aren’t always stable in the short and medium-term. Indeed, in the last decade, large growth has been the place to be. Because small caps and value stocks can go out of favor for a while, an investor who stays the course in these corners of the market can experience years of underperformance. What’s more, they may compound the problem by throwing in the towel just as the historical size and style premiums are about to reassert themselves.
The good news is that with the new Burney U.S. Factor Rotation ETF (BRNY), investors can take advantage, no matter what phase the market is in. The core strategy of BRNY is to tilt the fund’s holdings towards the Size and Style phase of the market poised to outperform. When the market favors value over growth, BRNY leans towards value (and vice versa). The same is true with size: This innovative ETF tilts towards large caps when they are on the ascent, and small caps when they demonstrate outperformance.
Think of BRNY as a flexible all-in-one solution for investors and financial advisors alike. Rather than having to trade in and out of different ETFs depending on the market environment, Burney’s new ETF does this ‘all weather’ work for them. There’s no need for an investor to be glued to their screen, trying to determine when to make a style or size shift in their portfolio.
With a history dating back to 1974, Burney Investment Management has a rich heritage of methodical research that informs individual security selection. The firm’s founder, Jack Burney, was an investing pioneer, breaking down stocks into individual factors like value, growth, profitability, quality and momentum to predict which would likely outperform.
The new Burney U.S. Factor Rotation ETF continues this proud tradition of using rigorous research to identify which segments of the market, and individual securities within each segment, present investors the best opportunities at a given time. BRNY offers investors the potential for long-term outperformance, driven by the flexibility of a rigorous, adaptive investment process.
The Fund’s investment objectives, risks, charges and expenses must be considered carefully before investing. This and other important information is contained in the prospectus, which may be obtained by following the links Prospectus and SAI or by calling +1.215.882.9983. Please read the prospectus carefully before investing.
Investments involve risk. Principal loss is possible.
The products are not issued, endorsed, sold, or promoted by Nasdaq. Nasdaq makes no warranties as to the legality or suitability of, and bears no liability. The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
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