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business7m ago
VLUE: Deep Value, Neutral Sector Exposure (BATS:VLUE)
- VLUE seeks to balance value characteristics with sector neutrality to manage concentration risk.
- The fund tracks the Northbound Value Index, outlining its construction aims.
- Portfolio strategy emphasizes stock selection within a neutral sector framework.
- Risk considerations include reduced benchmark concentration due to sector neutrality.
- Market context suggests value strategies may benefit from neutral sector exposure.
- The article notes potential alpha from stock selection despite neutral sectors.
- Construction details of the index include emphasis on value metrics.
- Performance drivers highlighted include sector-neutral positioning and value characteristics.
- The piece discusses how neutrality may influence risk/return trade-offs.
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