Applied Finance IVS US SMID ETF (IVSS) Fund Overview

Applied Finance IVS US SMID ETF (IVSS) Financial Services Profile

Applied Finance IVS US SMID ETF (IVSS) is an actively managed fund concentrating on U.S. small- to mid-cap equities, employing an Intrinsic Value Stewardship (IVS) model. The fund targets undervalued companies with market capitalizations below $15 billion, seeking superior returns through a concentrated portfolio of at least 150 holdings across diverse sectors.

What Is the Investment Thesis for IVSS?

The investment thesis for IVSS centers on its active management approach and focus on identifying undervalued small- to mid-cap companies with strong intrinsic value. The fund's IVS model aims to pinpoint companies with sustainable profitability, competitive advantages, and efficient capital allocation. A key value driver is the potential for these smaller companies to outperform larger, more established firms as they grow and mature. The fund's concentrated portfolio of at least 150 holdings allows for meaningful exposure to its highest-conviction ideas. However, the non-diversified nature of the fund introduces higher volatility. The fund's success depends on the effectiveness of its IVS model and the ability of its investment team to identify and capitalize on market inefficiencies in the small- to mid-cap space. The fund's performance will be influenced by broader economic conditions and investor sentiment towards smaller companies.

Based on FMP financials and quantitative analysis

IVSS Key Highlights

IVSS allocates approximately 80% of its net assets to equity securities of US small- to mid-cap companies.

• The fund's investment process incorporates an Intrinsic Value Stewardship (IVS) analytical model.
• IVSS aims to hold at least 150 positions across various sectors.
• The fund may take larger positions exceeding 5% in certain holdings or sectors.
• IVSS may invest in convertible securities, preferred stocks, rights, warrants, real estate investment trusts (REITs), and American depositary receipts (ADRs).

Who Are IVSS's Competitors?

IVSS is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are IVSS's Key Strengths?

Proprietary Intrinsic Value Stewardship (IVS) model for stock selection.

• Active management approach with potential for outperformance.
• Focus on undervalued small- to mid-cap companies.
• Experienced investment team.

What Are IVSS's Weaknesses?

Non-diversified fund, leading to higher volatility.

• Reliance on the effectiveness of the IVS model.
• Higher expense ratio compared to passive ETFs.
• Small market capitalization.

What Are the Key Risks for IVSS?

Market downturns impacting small- to mid-cap equities.

• Underperformance of the IVS model.
• Competition from other active and passive ETFs.
• Changes in investor sentiment towards active management.
• Non-diversified nature of the fund leading to higher volatility.

What Are IVSS's Competitive Advantages?

• Proprietary Intrinsic Value Stewardship (IVS) analytical model.
• Expertise in identifying undervalued small- to mid-cap companies.
• Established track record of active management.

What Does IVSS Do?

Applied Finance IVS US SMID ETF (IVSS) is an actively managed exchange-traded fund designed to provide investors with exposure to the U.S. small- to mid-cap equity market. The fund was created to identify and invest in companies believed to have the potential for superior returns. IVSS allocates approximately 80% of its net assets to equity securities of U.S. small- to mid-cap companies, defined as those with market capitalizations below $15 billion at the time of purchase. The fund's investment process incorporates an Intrinsic Value Stewardship (IVS) analytical model. This model assesses various factors, including profitability, competition, growth rate, cost of capital, and financing activities, to determine the intrinsic value of potential investments. IVSS aims to hold at least 150 positions across a diverse range of sectors. While the fund invests across various sectors, it may take larger positions, exceeding 5% of its assets, in specific holdings or sectors that the investment team believes offer particularly attractive opportunities. As a non-diversified fund, IVSS invests in a smaller number of securities compared to diversified funds, which can lead to higher volatility. In addition to common stocks, the fund may also invest in convertible securities, preferred stocks, rights, warrants, real estate investment trusts (REITs), and American depositary receipts (ADRs).

What Products and Services Does IVSS Offer?

• Actively manages a portfolio of U.S. small- to mid-cap equity securities.
• Employs an Intrinsic Value Stewardship (IVS) analytical model to assess investment opportunities.
• Invests primarily in companies with market capitalizations below $15 billion at the time of purchase.
• Holds at least 150 positions across various sectors.
• May take larger positions exceeding 5% in certain holdings or sectors.
• Invests in convertible securities, preferred stocks, rights, warrants, REITs, and ADRs.

How Does IVSS Make Money?

• Generates revenue through management fees charged on assets under management (AUM).
• Fees are calculated as a percentage of the fund's average daily net assets.
• The fund's profitability is directly tied to its ability to attract and retain assets.

What Industry Does IVSS Operate In?

IVSS operates within the asset management industry, which is characterized by intense competition and evolving investor preferences. The ETF market has experienced significant growth in recent years, driven by the increasing popularity of passive investment strategies and the demand for low-cost investment vehicles. However, active ETFs like IVSS seek to differentiate themselves by offering the potential for outperformance through skilled security selection. The competitive landscape includes both large, established asset managers and smaller, specialized firms. IVSS's focus on small- to mid-cap companies and its IVS model position it as a niche player within the broader asset management industry.

Who Are IVSS's Key Customers?

• Individual investors seeking exposure to U.S. small- to mid-cap equities.
• Financial advisors allocating client portfolios.
• Institutional investors seeking active management strategies.

IVSS Financials

IVSS Latest News

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IVSS Analyst Consensus

IVSS MoonshotScore

Applied Finance IVS US SMID ETF Financials Stock: Key Questions Answered

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

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