Fund Details
- Fund Symbol
- ACSI
- IOPV Symbol
- ACSI.NV
- CUSIP
- 886364710
- Inception Date
- 10/31/2016
- Expense Ratio
- 0.65%
- Distribution Frequency
- Annually
- Index
- American Customer Satisfaction Investable Index
American Customer
Satisfaction ETF
At the core of ACSI Funds investment thesis is the intuitive idea that companies whose customers are satisfied will outperform their peers over the long term. In an age of increasing sophistication and data availability, it is easy to become distracted from what matters most when evaluating stocks – that behind every stock is a tangible product or service.
Investment Objective
American Customer Satisfaction ETF (the “Fund”) seeks to track the performance, before fees and expenses, of the American Customer Satisfaction Investable Index (the “Index”).
Investment Index
The American Customer Satisfaction Investable index is a portfolio of consumer market companies with the strongest customer satisfaction relative to their competition, as measured by the American Customer Satisfaction Index (ACSI) - developed at the University of Michigan under the leadership of Claes Fornell, The Donald C. Cook Distinguished Professor of Business (Emeritus). It is designed to produce asymmetric market exposure. ACSI’s measurement instrument is calibrated to maximize customer retention; the implication of which makes the fund unique: it attenuates losses nonlinearly and amplifies gains multiplicatively. In down markets, beta declines; in up markets, it increases. By compounding earnings through customer retention growth, it seeks to deliver lower drawdowns and positive long-run alpha.
Price to book – Companies use price-to-book ratio to compare a firm’s market to book value by dividing the price per share by book value per share.
Price to earnings – The price-to-earnings ratio is the ratio for valuing a company that measures its current share price relative to its per-share earnings.
Price to sales – The price-to-sales ratio is a valuation ratio that compares a company’s stock price to its revenues.
Active share – Active Share is a measure of the percentage of stock holdings in a manager’s portfolio that differs from the benchmark index.
Beta -A beta coefficient is a measure of the volatility, or systematic risk, of an individual stock in comparison to the unsystematic risk of the entire market.
R Squared – R-squared is a statistical measure that represents the proportion of the variance for a dependent variable that’s explained by an independent variable or variables in a regression model.
Capture ratio – The capture ratio is used to evaluate how well an investment manager performed relative to an index during periods when that index has dropped or risen.
An investor should consider the Fund’s investment objectives, risks, charges and expenses carefully before investing. The Prospectus or summary prospectus contain this and other important information about the Fund and are available at acsietf.com/ or by calling (800) 617-0004. Please read the prospectus or summary prospectus carefully before Investing.
Investments involve risk. Principal loss is possible. The securities of large-capitalization companies may be relatively mature compared to smaller companies and therefore subject to slower growth during times of economic expansion. The ACSI Index relies heavily on proprietary quantitative models as well as information and data supplied by third parties (Models and Data). Because the ACSI Index is composed based on such Models and Data, when such Models and Data prove to be incorrect or incomplete, the Index and Fund may not perform as expected. As with all index funds, the performance of the Fund and its Index may differ from each other for a variety of reasons. For example, the Fund incur operating expenses and portfolio transaction costs not incurred by the Indexes. In addition, the Fund may not be fully invested in the securities of the Indexes at all times or may hold securities not included in the Indexes. The Fund has the same risks as the underlying securities traded on the exchange through the day. Redemptions are limited and often commissions are charged on each trade, and ETFs may trade at a premium or discount to their net asset value. To the extent the Fund invests more heavily in particular sectors of the economy, the Funds’ performance may be more sensitive to developments that significantly affect those sectors.
ACSI is distributed by Foreside Fund Services, LLC
Foreside and Tidal Investment Services LLC are not affiliated.