Weakness in American Conservative Values ETF's Process and People Pillar ratings limits this strategy to a Morningstar Medalist Rating of Negative. The strategy charges fees in line with its similarly distributed peers, priced within the middle quintile.  

 The strategy receives a Low Process Pillar rating. Independent of the rating, analysis of the strategy's portfolio shows it has maintained an overweight in liquidity exposure and volatility exposure compared with category peers. High liquidity exposure is attributed to stocks with a high trading volume, lending managers more flexibility. And high volatility exposure is rooted in stocks that have a higher standard deviation of returns. The strategy's portfolio management team has comparable experience to other strategies in the industry. However, due to other weaknesses, the strategy earns a Below Average People Pillar rating. The strategy's parent organization still has a way to go to reach the industry standard, evidenced by a bench of unseasoned portfolio managers; however, it has displayed a successful risk-adjusted track record. As a result, the firm obtains a Below Average Parent Pillar rating.

Analyst Rating

Microsoft

NVIDIA

Cisco Systems

Berkshire Hathaway Inc. - Ordinary Shares - Class B

Tesla

Home Depot

Mastercard

Costco

Adobe

Eli Lilly

Morningstar's evaluation of this security's process aims to determine the likelihood that it will outperform its Morningstar Category benchmark on a risk-adjusted basis over the long term. American Conservative Values ETF earns a Low Process Pillar rating. 

The main driver of the rating is the parent firm's five-year retention rate of 75%, which suggests it could do more to retain its portfolio managers. Management team experience, which averages eight years at this fund, also limits the process. Lastly, being an actively managed strategy detracts from the process. Historical data, like Morningstar's Active/Passive Barometer, shows that actively managed funds have generally underperformed their passive counterparts, especially over longer time horizons.

 This strategy, over time, has opted for smaller market-cap companies, compared with others in the Large Blend Morningstar Category.  But in terms of style (value/growth) exposure, it is similar. Analyzing additional factors, this fund has constantly tilted toward stocks with higher trading volumes than its Morningstar Category Peers over the past few years. More-liquid assets are easier to buy and sell without adversely moving their prices and tend to provide some ballast during market selloffs. They also are easier to sell to meet redemptions if a host of investors decide to leave the fund in a short period of time. In recent months, the strategy was more exposed to the Liquidity factor compared with its Morningstar Category peers as well. This strategy has also exhibited a tilt toward high-volatility stocks over these years, meaning it has invested in companies that have a higher historical standard deviation of returns. This orientation tends to pay off most prominently when markets are hot. Compared with category peers, the strategy also had more exposure to the Volatility factor in the most recent month. This strategy also has tilted toward low-quality stocks, companies with higher financial leverage and lower profitability over these years. Such positions do not tend to provide much ballast for a portfolio. In recent months, the strategy also had less Quality factor exposure than its peers. More information on a fund and its respective category's factor exposure can be found in the Factor Profile module within the Portfolio section. 

 The portfolio is overweight in technology by 5.2 percentage points in terms of assets compared with the category average, and its consumer defensive allocation is similar to the category. The sectors with low exposure compared to category peers are communication services and industrials, with communication services underweighting the average portfolio by 4.3 percentage points of assets and industrials similar to the average. The portfolio is positioned across 349 holdings and is less top-heavy than peers. Specifically, 33.5% of the fund’s assets are concentrated within the top 10 fund holdings, compared to the category’s 51.1% average. And finally, in terms of portfolio turnover, this fund trades less frequently than the category’s average, potentially limiting costs to investors.

Process

American Conservative Values ETF earns a Below Average People Pillar rating. The team benefits from the strategy's reasonable costs, with fees that rank in its category's middle quintile. However, the rating is weakened by the instability of talent across its parent firm. The firm's asset-weighted manager tenure of three years suggests it could do more to retain portfolio managers. The turnover of its management team also holds the team back. The fund last saw a manager change two years ago.


Rafael Zayas, the longest-tenured manager on the strategy, boasts 15 years of portfolio management experience. The average Morningstar Rating of the strategies they currently manage is 2.7 stars, demonstrating underwhelming risk-adjusted performance. Rafael Zayas draws on only two other listed supporting managers. Although, together they are adequately equipped, with eight years of average portfolio management experience.

Below Average

People

ACV ETFs has a ways to go to become an industry-standard steward, resulting in a Below Average Parent Pillar rating. ACV ETFs's longest-tenured managers do not have the same experience as teams at other firms. Specifically, average asset-weighted tenure within the firm is only three years, building concern in the group's ability to manage capital through a full market cycle effectively. It's encouraging to see ACV ETFs showcase strong risk-adjusted performance across its open-end and exchange-traded funds, with an average three-year Morningstar Rating of 4.0 stars. The firm's lineup has had encouraging initial results. Its three-year success ratio is 100%, meaning that of the funds with a three-year track record, 100% have survived and beaten their respective category median.

Parent

American Conservative Values ETF

ACVF is an actively managed fund of large-cap US companies that are perceived to align with political conservative values.

WASHINGTON, DC / ACCESSWIRE / October 30, 2023 / American Conservative Values ETF (ACVF) celebrated another successful year of performance and advocacy, continuing to outperform the S&P 500 since its inception*. ACVF's priority is shareholder returns and providing an investment alternative for politically conservative investors.

ETF Celebrates Third Anniversary, Sustaining Strong Performance and Advocacy for Conservative Investors

WASHINGTON, DC / ACCESSWIRE / August 10, 2023 / Today, the American Conservative Values ETF (ACVF) responds to 2nd Vote Funds announcement of the liquidation of their 2 ETFs (LYFE and EGIS). "They launched shortly after the American Conservative Values ETF (ACVF) and were also politically conservative investing pioneers," said ACVF's CEO and co-founder William Flaig, adding, "We strongly believe their closing is not a negative reflection on the merits of politically conservative investing, but due to the inherent risk of being a trailblazer.

Politically Conservative Investing - ACVF Thrives while 2nd Vote Liquidates ETFs

The article reviews and compares the SPDR S&P 500 ETF and the American Conservative Values ETF, both of which track the performance of the S&P 500 Index. SPY is the world's largest ETF with $413 billion in AUM, a low 9 bps fee, and a TTM yield of 1.5%, while ACVF invests in equity securities of U.S. companies that meet its politically conservative criteria. The article provides an in-depth analysis of the holdings and distributions of both ETFs, highlighting their differences and similarities.

ACVF: Conservative Values ETF Beating SPY

Target

The American Conservative Values ETF announced it has divested all its holdings in Target and blacklisted the company over its "woke" agenda amid fallout over LGBTQ merchandising.

Conservative ETF sells Target stock over 'woke' agenda

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NANC and KRUZ mimic the disclosures filed by politicians from the Democratic and Republican parties, respectively.

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ETF for politically conservative investors continues to outperform the S&P 500 while excluding 25% of the companies perceived as most hostile to conservative values* WASHINGTON, DC / ACCESSWIRE / November 3, 2022 / American Conservative Values ETF (ACVF) celebrated another successful year of relative performance and advocacy. It has outperformed the S&P 500 this year (and since its inception.

American Conservative Values ETF Celebrates Its Second Anniversary, continuing its track record of Performance and Advocacy

WASHINGTON , April 5, 2022 /PRNewswire/ -- Today the American Conservative Values ETF (ACVF) is celebrating its decision to boycott investing in The Walt Disney Company because the company's bankrupt values are damaging its brand and harming shareholder value.  "Disney's efforts to circumvent parental rights regarding discussing sex in the classroom with very young children is extremely concerning but it validates our decision to boycott investing in the company from both a values and investing perspective," said ACVF President and co-founder Tom Carter.

American Conservative Values ETF Celebrates its Decision to Boycott Investing in Disney

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Many investors utilize exchange-traded funds (ETFs) which are diversified securities that contain various investments including stocks, commodities, and bonds . Here are the top-performing ETFs this week that have been providing investors with consistent returns.

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Exchange Traded funds (ETFs) are excellent investment tools that can be purchased or sold on the stock market. Here are the highest performing ETFs this week that offer a wide variety of opportunities for investors.

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It's been a busy week in ETFs and it's not Friday yet.

Conservative ETF Reshuffles, ‘QQQ' Sibs Hit $1B

While attempting to capitalize in the most beneficial ways, there are ideals some companies would prefer to hold onto. On Thursday, Ridgeline Research announced the launch of the American Conservative Values ETF (NYSE: ACVF).

News for American Conservative Values ETF ETF (ACVF)