LeaderShares Activist Leaders ETF (ACTV US) – Portfolio Construction Methodology

The investment approach governing the actively managed LeaderShares Activist Leaders ETF seeks long-term capital growth by owning U.S.-listed equities that become targets of shareholder activism as evidenced by Schedule 13D filings. Eligibility centers on companies with sufficient free float, trading liquidity, and market capitalization (typically ≥ USD 1B at initiation) to support efficient execution and ongoing capacity; investability is tied to verifiable 13D activity and subsequent amendments. A proprietary, rules-based research process maps activists, weights conviction from filing details and holdings evolution, and filters for liquidity and corporate action risk. Portfolio construction diversifies across activist campaigns, sectors, and market-cap tiers while allowing position sizes to reflect campaign quality, activist track record, and catalyst path. Rebalancing is event-driven: new 13D initiations, material amendments, exits (13D to 13G or stake reduction), deal completions, or thesis impairment prompt additions, trims, or disposals; positions are also reviewed on adverse price-action versus expected catalyst timing.

To explore ACTV in more depth, visit our ETF analytics platform for institutional-grade insights — including performance and risk metrics, correlations, sensitivities, and factor exposure: https://www.etfstrategy.com/etf/ACTV_US