SAN DIEGO--(BUSINESS WIRE)--Reality Shares, the exchange-traded fund (ETF) arm of multifaceted financial services and technology firm Blockforce Capital, today launches the Reality Shares Fundstrat DQM Long ETF (NYSE Arca: DQML) in partnership with Fundstrat Global Advisors, an independent research boutique providing fundamental market strategy and sector research.
DQML tracks the Fundstrat Doctor Quant Model US Large Cap Equal Weighted Long Index (NYSE: DQMUSLCL), which is constructed using a proprietary, multi-factor selection process seeking to identify investment opportunities among U.S. large-cap stocks. Designed to seek alpha with the highest precision, DQML invests in the top 100 stocks from the 500 largest companies by market capitalization. The fund is equally weighted and rebalanced on a quarterly basis.
“We’re excited to be working with Fundstrat on their inaugural ETF,” said Eric Ervin, CEO of Blockforce Capital. “Tom Lee and his team are luminaries in the investment space and there is an incredible synergy between our firms – from our data-intensive investment approach to our shared views on digital assets. We look forward to an innovative, and long-term partnership.”
DQML takes multi-factor investing to a new level, pulling from extensive bottoms-up research, using eight factor groups representing more than 40 individual fundamental and valuation factors.
“As a firm, we are committed to providing the best-in-class fundamental, technical and quantitative research to our clients,” said Thomas Lee, Managing Partner and Head of Research at Fundstrat.
“When we decided to extend our research to the public markets with an ETF, we knew we needed an experienced partner whose dedication to quality and data-driven investment solutions was in line with our own. We chose Reality Shares as our partner, and we are ecstatic,” said John Bai, Managing Partner and Head of Sales at Fundstrat.
About Blockforce Capital
Blockforce Capital is a U.S.-based financial services and technology firm that offers innovative products in the blockchain and cryptocurrency industry through an array of proprietary public and private investment vehicles and platforms. The firm is comprised of three core business units: Reality Shares ETFs and Indexes, the Blockforce Capital family of hedge funds and the highly anticipated cryptocurrency investment platform, Onramp. The Blockforce team is comprised of data scientists, computer engineers, computational astrophysicists and Wall Street veterans. For more information, visit www.blockforcecapital.com.
Fundstrat Global Advisors is an independent research boutique, serving a broad array of clients, including institutional investors, wealth advisors, pension funds and high-net-worth individuals. Since the firm’s founding in 2014, it has remained committed to providing the best fundamental, technical and quantitative research to its clients. The firm’s approach is data intensive and seeks to exploit anomalies to identify sectors and stocks that should outperform the market. Fundstrat’s tools are aligned with this focus and helps clients make better informed decisions. The firm is focused on delivering analysis, not opinions, and as an independent research provider, its work is tailored to provide fresh and innovative intelligence to aid in their clients’ investment process.
Carefully consider the investment objective, risks, charges and expenses before investing in Reality Shares ETFs. This and other important information can be found in the Fund’s prospectus, which may be obtained by calling 855-595-0240 or by visiting us at realityshares.com. Please read the prospectus carefully before investing.
Fundstrat™, Fundstrat Global Advisors™, Fundstrat Doctor Quant Model™ and Fundstrat Doctor Quant Model Large Cap Equal Weighted Long™ are trademarks of Fundstrat Global Advisors, LLC (“Fundstrat”). The Fundstrat Doctor Quant Model Large Cap Equal Weighted Long index is a product of Fundstrat and has been licensed for use by Reality Shares Advisors, LLC. The Reality Shares Fundstrat DQM Long ETF is not sponsored, endorsed, sold, promoted, operated or managed by Fundstrat or any of its affiliates and neither Fundstrat nor any of its affiliates makes any representation regarding the advisability of, or the investment results to be obtained by, investing in Reality Shares Fundstrat DQM Long ETF.
Fundstrat Doctor Quant Model US Large Cap Equal Weighted Long Index: Constructed using a proprietary multi-factor stock selection process that seeks to identify investment opportunities among U.S. large-cap stocks. The stock selection process evaluates a universe consisting of the top 500 U.S. exchange-traded large-cap stocks as measured by free float market capitalization using eight factor groups representing more than 40 individual fundamental and valuation factors and generates an aggregate score that represents the weighted sum of the group factor scores. The Index is then composed of the highest-scoring 100 large-cap stocks. One cannot invest directly in an index.
Principal risks: Investing involves risks, including the risk of loss of principal. Market risk may affect a single issuer, sector of the economy, industry or the market as a whole. The fund is subject to large-cap risk and may underperform other segment of the equity market or the equity market as a whole. The prices of equity securities in which the fund invests rise and fall daily. The fund's net value will generally decline when the market value of its targeted index declines. Additional information regarding the risks of this investment is available in the prospectus. Although the Fund’s shares are listed on an exchange, there can be no assurance that an active, liquid or otherwise orderly trading market for shares will be established or maintained. The Fund may have portfolio turnover, which may cause an adverse cost impact. There may be additional portfolio turnover risk as active market trading of the fund’s shares may cause more frequent creation or redemption activities that could, in certain circumstances, increase the number of portfolio transactions as well as tracking error to the Index and as high levels of transactions increase brokerage and other transaction costs and may result in increased taxable capital gains. The fund’s use of leverage allows for investment exposure in excess of net assets, thereby magnifying volatility of returns and risk of loss. Swaps, futures, forwards and options investments may be affected by the overall market and industry- and specific factors, and may be more volatile and less liquid than other investments. Investing in derivatives is a specialized activity that involves special risks that subject the fund to significant loss potential, including when used as leverage, and may result in greater fluctuation in fund value. As a non-diversified fund, fewer investments could have a greater effect on performance. The fund is passively managed and seeks to track the performance of an index. The fund may not sell a poorly performing security unless it was removed from the index. There is no guarantee that the index will achieve positive returns. Risk exists that the index provider may not follow its methodology for index construction. Errors may result in a negative fund performance. Shares are not FDIC insured and may lose value.
Past performance does not guarantee future results.
This Fund is new and has limited trading history.
ETF shares are not individually redeemable. Investors buy and sell shares of the Fund on a secondary market. Only market makers or ‘authorized participants’ may trade directly with the Fund, typically in blocks of 25,000 shares. Brokerage commissions will reduce returns. Market Price is based on the midpoint of the bid/ask spread at the close of the market and does not represent the returns an investor would receive if shares were traded at other times.
Reality Shares Advisors, LLC is the Investment Advisor. ALPS Distributors, Inc. is the Distributor for the Fund. ALPS Distributors, Inc. is not affiliated with Reality Shares Advisors, LLC, Blockforce Capital, or Fundstrat Global Advisors.