Research Affiliates Deletions ETF (NIXT)

The Research Affiliates Deletions ETF (NIXT) is a rules-based equity fund from Research Affiliates, the Newport Beach, California firm known for fundamental indexing.

The fund tracks an index of U.S. stocks that have been removed from major large-cap benchmarks in recent years, often after their share prices have fallen. The strategy is built on research suggesting that index deletions have historically tended to rebound as forced selling from index funds fades.

The methodology screens out companies with weak financial characteristics, such as those with signs of distress, and weights the remaining deleted stocks according to its rules, rebalancing periodically.