MGMT Profile
Ballast Small/Mid Cap ETF focuses on investing in a diversified portfolio of small and medium-cap domestic equities. Under normal market conditions, the fund commits at least 80% of its net assets, including any borrowings, to equity securities, primarily common stocks, of companies with small to mid-sized market capitalizations. This approach allows the fund to target firms that have the potential for growth but may not yet be part of the large-cap category, capturing opportunities in emerging and expanding segments of the market.
The fund's investment strategy is centered on providing exposure to a broad range of small and mid-cap companies, which can offer higher growth potential compared to large-cap counterparts. By focusing on this market segment, the fund aims to benefit from the dynamic growth prospects and innovative capabilities of smaller firms. These companies are often characterized by their agility and potential for significant expansion, making them attractive targets for investors seeking growth.
In addition to its equity investments, Ballast Small/Mid Cap ETF may allocate all or a substantial portion of its assets to cash and cash equivalents, including money market funds and other short-term fixed income investments. This allocation serves as a strategic measure to protect principal during market downturns or periods of high volatility. The use of cash equivalents provides the fund with flexibility and a safeguard against market risks, allowing for a defensive posture when suitable investment opportunities are scarce.
The fund's approach reflects a balance between seeking growth opportunities in the small and mid-cap sectors and maintaining liquidity for risk management. This dual strategy is designed to enhance the potential for capital appreciation while managing downside risk. By combining investments in growth-oriented small and mid-cap stocks with a conservative cash allocation strategy, the fund aims to offer investors a robust approach to capturing value in the domestic equity market.
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