GBDV Q4 2021 Post Rebalance Announcement

The Global Beta Smart Income ETF, in accordance our Global Beta Smart Income Index, rebalanced at the close of 12/17/21!

Please visit https://gbdv.globalbetaetf.com/ to view the index’s new holdings, Standardized Performance and find out more about the index and its investment objective!

Because oil futures were below their 30-day trailing price average as of 12/14/21, our 3% energy sector cap was triggered. Additionally, below you will find notable securities that were removed from the index, given their current valuations relative to their dividend yield and price-to-sales multiple:

GBDV ETF update

Notable Deletions

 

Ticker Company Name Former Index Weight Current Price-to-Sales Ratio Current 12-Month Trailing Dividend Yield
SLG SL Green Realty Corp. 0.07% 5.61 5.26%
HPP Hudson Pacific Properties Inc. 0.07% 4.32 4.11%
FULT Fulton Financial Corporation 0.08% 2.57 3.48%
SWX Southwest Gas Holdings Inc. 0.28% 1.12 3.58%
EVRG Evergy Inc. 0.44% 2.62 3.44%
HBI Hanesbrands Inc. 0.54% 0.83 3.72%
CVX Chevron Corporation 0.78% 1.6 4.70%
NEM Newmont Corporation 1.01% 3.6 3.73%
KMB Kimberly-Clark Corporation 1.56% 2.28 3.39%
MRK Merck & Co. Inc. 3.87% 3.89 3.46%

Former weight as of 12/16/21. Current price-to-sales ratio as of 11/30/21. 12-month trailing dividend yield based on price from 11/30/21 and 12-month trailing revenue as of most recently reported fiscal quarter. Price-to-sales takes the company’s current market capitalization and divides by the company’s most recently reported 12-month trailing revenue.

Below you will find securities that the index added during the rebalance, given their current valuations relative to their dividend yield and price-to-sales multiple:

Notable Additions

Ticker Company Name New Index Weight Current Price-to-Sales Ratio Current 12-month Trailing Dividend Yield
T AT&T Inc. 1.11 7.70%
ABBV AbbVie, Inc. 3.97 4.22%
KHC Kraft Heinz Company 1.67 4.43%
QCOM Qualcomm Inc. 5.00 1.85%
GIS General Mills, Inc. 1.95 3.56%
D Dominion Energy Inc. 4.51 3.61%
AES AES Corporation 1.53 2.49%
CNP CenterPoint Energy, Inc. 1.89 2.44%
PDCO Patterson companies Incorporated 0.48 3.54%
IVZ Invesco Ltd. 1.70 2.54

New weight as of 12/16/21. Current price-to-sales ratio as of 11/30/21. 12-month trailing dividend yield based on price from 11/30/21 and 12-month trailing revenue as of most recently reported fiscal quarter. Price-to-sales takes the company’s current market capitalization and divides by the company’s most recently reported 12-month trailing revenue.

As a reminder, our index methodology contemplates yield across all sectors. While yield for some securities may seem low on an absolute basis, it is actually high among its peers. This allows the index to be more diversified while also delivering strong yield. Below is a summary of the characteristics between the securities that were added versus those that were removed:

Turnover Recap

 

Current Price-to-Sales Ratio Current 12-month Trailing Dividend Yield
Additions 2.84 3.89%
Deletions 7.22 2.76%

Current price-to-sales ratio as of 11/30/21. 12-month trailing dividend yield based on price from 11/30/21 and 12-month trailing revenue as of most recently reported fiscal quarter. Price-to-sales takes the company’s current market capitalization and divides by the company’s most recently reported 12-month trailing revenue. Dividend yield is calculated by dividing the dividends paid by the company over the past 12 months into the company’s current market capitalization.

Dividends represent past performance, and there is no guarantee that they will continue to be paid. The dividend yield is not representative of the index’s yield.

Before investing you should carefully consider the Fund’s investment objectives, risks, charges, and expenses. This and other information is in the prospectus or summary prospectus. A copy may be obtained by visiting www.globalbetaetfs.com or calling (833) 933-2083. Please read the prospectus or summary prospectus carefully before investing.

The performance data quoted represents past performance and is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance may be lower or higher than the performance data quoted. For the most recent month-end performance, please call (833) 933-2083.

The fund’s primary risks:

Mid-Capitalization Securities Risk
The securities of mid-capitalization companies are often more volatile and less liquid than the stocks of larger companies and may be more affected than other types of securities during market downturns. Compared to larger companies, mid-capitalization companies may have a shorter history of operations, and may have limited product lines, markets or financial resources.

Concentration Risk
To the extent that the Target Index is concentrated in a particular industry, group of industries or sector, the Fund is also expected to be concentrated in that industry, group of industries or sector, which may subject the Fund to a greater loss as a result of adverse economic, business or other developments affecting that industry, group of industries or sector.

Dividend-Paying Securities Risk
The Fund’s emphasis on dividend-paying stocks involves the risk that such stocks may fall out of favor with investors and underperform the market. Also, a company may reduce or eliminate its dividend after the Fund’s purchase of such a company’s securities.

Large Capitalization Securities Risk
The securities of large market capitalization companies may underperform other segments of the market because such companies may be less responsive to competitive challenges and opportunities and may be unable to attain high growth rates during periods of economic expansion.

Distributor: Compass Distributors, LLC

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