AI-enabled portfolio investing in value stocks
Optimized and actively managed by AI technology, Qraft AI Enhanced U.S. Next Level ETF seeks capital-appreciation by investing in value stocks adjusted for intangible assets, which may represent a significant portion of a company's net worth.
Our automated structure combines human intuition oversight with the superior processing and analytical depth delivered by AI.
Capture undiscovered investment opportunities alongside conventional factor exposure.
Stocks that are attractively priced relative to their fundamentals have historically delivered outperformance over full market cycles – also known as value factor investing.
AI processes can identify data patterns at a scope, scale, and speed not readily achievable by humans alone, and continuously learn from expanding data sets.
A balance of value factor exposure and AI-discovered investment opportunities has the potential to deliver outperformance over a full market cycle.
Find Out How AI Can Work For Your Investments
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For standardized performance and performance to the most recent month-end for the iShares MSCI USA Value Factor ETF (VLUE), please click here.
NVQ is an actively managed ETF, combining targeted value factor exposure with security selection, and is designed to outperform a passive value exposure. VLUE is one of the flagship value factor focused index ETFs tracking a passive value exposure. Both ETFs broadly draw from the same universe of large-cap US stocks.
All funds are managed differently and do not react the same to economic or market events. The investment objectives, strategies, policies, or restrictions of other funds may differ and more information can be found in their respective prospectuses. Therefore, we generally do not believe it is possible to make direct fund to fund comparisons in an effort to highlight the benefits of a fund versus another similarly managed fund.
QRAFT AI-Enhanced U.S. Next Value ETF (NVQ)
Investment Objective: Capital Appreciation
Costs & Expenses: 0.75%
Liquidity: Because the Fund is an ETF, only a limited number of institutional investors (known as “Authorized Participants”) are authorized to purchase and redeem shares directly from the Fund. In addition, there may be a limited number of market makers and/or liquidity providers in the marketplace. To the extent either of the following events occur, shares of the Fund may trade at a material discount to their net asset value (“NAV”) per share and possibly face delisting: (i) Authorized Participants exit the business or otherwise become unable to process creation and/or redemption orders and no other Authorized Participants step forward to perform these services, or (ii) market makers and/or liquidity providers exit the business or significantly reduce their business activities and no other entities step forward to perform their functions.
Safety: The fund is subject to risks including, but not limited to common stock risk, issuer-specific risk, dividend paying securities risk, large capitalization risk, limited authorized participants, market markets, and liquidity providers risk, management risk, market risk, model and data risk, new/smaller fund risk, non-diversification risk, operational risk, portfolio turnover risk, sector focus risk, and trading risk. Guarantees or Insurance: An investment in the Fund is not a bank deposit and is not insured or guaranteed by the FDIC or any government agency. Fluctuation of Principal or Return: As with all funds, a shareholder is subject to the risk that his or her investment could lose money.
Tax Features: Distributions from ETFs are subject to taxation.
iShares MSCI USA Value Factor ETF (VLUE)
Investment Objective: The iShares MSCI USA Value Factor ETF (the “Fund”) seeks to track the investment results of an index composed of U.S. large- and mid-capitalization stocks with value characteristics and relatively lower valuations.
Costs & Expenses: 0.15%
Liquidity: As with all exchange-traded funds, Fund Shares may be bought and sold in the secondary market at market prices. The trading prices of Fund Shares in the secondary market may differ from the Fund’s daily net asset value per share and there may be times when the market price of the shares is more than the net asset value per share (premium) or less than the net asset value per share (discount). This risk is heightened in times of market volatility or periods of steep market declines.
Safety: The fund is subject to risks including, but not limited to, consumer discretionary sector risk, dividend paying securities risk, equity investing risk, fluctuation of net asset value, share premiums, and discount risks, index strategy/index tracking risk, large-capitalization securities risk, market risk, non-diversification risk, real estate sector risk, REIT risk, and unconstrained sector risk.
Guarantees or Insurance An investment in the Fund is not insured or guaranteed by the Federal Deposit Insurance Corporation or any other government agency.
Fluctuation of Principal or Return: As with all investments, there are certain risks of investing in the Trust, and you could lose money on an investment in the Trust.
Tax Features: The Fund’s distributions are expected to be taxed as ordinary income, qualified dividend income and/or capital gains, unless you are investing through a tax-advantaged arrangement, such as a 401(k) plan or individual retirement account. Any withdrawals made from such tax-advantaged arrangement may be taxable to you.
Investors should consider the investment objectives, risks, charges and expenses carefully before investing. For a prospectus or summary prospectus with this and other information about the Fund, please call 1-855-973-7880 or visit our website at www.qraftaietf.com. Read the prospectus or summary prospectus carefully before investing.
The Funds are distributed by Foreside Fund Services, LLC
Investing involves risk, including loss of principal. The Funds are subject to numerous risks including but not limited to: Equity Risk, Sector Risk, Large Cap Risk, Management Risk, and Trading Risk. The Funds rely heavily on a proprietary artificial intelligence selection model as well as data and information supplied by third parties that are utilized by such model. To the extent the model does not perform as designed or as intended, the Fund’s strategy may not be successfully implemented and the Funds may lose value. Additionally, the funds are non-diversified, which means that they may invest more of their assets in the securities of a single issuer or a smaller number of issuers than if they were a diversified fund. As a result, each Fund may be more exposed to the risks associated with and developments affecting an individual issuer or a smaller number of issuers than a fund that invests more widely. A new or smaller fund's performance may not represent how the fund is expected to or may perform in the long term if and when it becomes larger and has fully implemented its investment strategies. Read the prospectus for additional details regarding risks.
QRAFT AI-Enhanced U.S. Large Cap ETF: Companies in the health care sector are subject to extensive government regulation and their profitability can be significantly affected by restrictions on government reimbursement for medical expenses, rising costs of medical products and services, pricing pressure (including price discounting), limited product lines and an increased emphasis on the delivery of health care through outpatient services.
QRAFT AI-Enhanced U.S. Large Cap Momentum ETF: The Fund is subject to the risk that market or economic factors impacting technology companies and companies that rely heavily on technology advances could have a major effect on the value of the Fund’s investments. The value of stocks of technology companies and companies that rely heavily on technology is particularly vulnerable to rapid changes in technology product cycles, rapid product obsolescence, the loss of patent, copyright and trademark protections, government regulation and competition, both domestically and internationally, including competition from foreign competitors with lower production costs. Technology companies and companies that rely heavily on technology, especially those of smaller, less-seasoned companies, tend to be more volatile than the overall market.
QRAFT AI-Enhanced U.S. Next Value ETF: The value approach to investing involves the risk that stocks may remain undervalued, undervaluation may become more severe, or perceived undervaluation may actually represent intrinsic value. Value stocks may underperform the overall equity market while the market concentrates on growth stocks. The small- and mid-capitalization companies in which the Fund invests may be more vulnerable to adverse business or economic evens than larger, more established companies, and may underperform other segments of the market or the equity market as a whole. Securities of small- and mid-capitalization companies generally trade in lower volumes, are often more vulnerable to market volatility, and are subject to greater and more unpredictable price changes than larger capitalization stocks or the stock market as a whole.
Alpha – Alpha is a measure of the active return on an investment, the performance of that investment compared with a suitable market index.
AutoML – Short for Automated Machine Learning, AutoML is the automation of the machine learning process to make machine learning jobs simpler, easier, and faster.
Kirin API - Developed by Qraft’s data scientists, integrates multiple vendors to provide both macroeconomic and company fundamentals with the correct point-in-time data.