Small & Mid Cap ETF

• Active Management Risk: The fund is actively managed and may underperform its benchmark or other strategies. The adviser’s judgments about markets, sectors, and individual securities may prove incorrect.
• Concentration Risk: To the extent the fund holds a limited number of securities or is concentrated in particular sectors, it will be more susceptible to the risks of those holdings or sectors. The fund is currently limited to U.S. company stocks, so the fund will generally have more exposure to political, economic, social, or regulatory events in the U.S.
• Dividend-Paying Stock Risk: While the fund may hold securities of companies that have historically paid a dividend yield, those companies may reduce or discontinue their dividends, reducing the yield of the fund. Low-priced securities in the fund may be more susceptible to these risks. Past dividend payments are not a guarantee of future dividend payments. Also, the market return of high dividend yield securities, in certain market conditions, may perform worse than other investment strategies or the overall stock market. The fund’s emphasis on dividend-paying stocks involves the risk that such stocks may fall out of favor with investors and underperform the market.
• Equity Market Risk: The value of the fund’s holdings may decline due to factors affecting the overall equity markets, individual sectors, or specific companies.
• ETF Structure Risks: The fund is an ETF, and, as a result of an ETF’s structure, the fund is exposed to the following risks:
  • Fluctuating Values — an ETF’s shares may trade at a market price that is above or below their NAV.
  • Authorized Participants, Market Makers, and Liquidity Providers Concentration Risk — the fund has a limited number of financial institutions that may act as APs; to the extent APs or MMs exit the business, shares may trade at a material discount to NAV and possibly face delisting.
  • Costs of Buying or Selling Shares — brokerage commissions and bid-ask spreads may significantly reduce investment results.
  • Shares May Trade at Prices Other Than NAV — the market price of Shares may be above or below NAV intra-day due to supply, demand, or market volatility.
  • Trading — there can be no assurance that shares will trade with any volume on any stock exchange.
  • Tax Laws Unfavorable — if tax laws were to change, certain ETF tax benefits could be eliminated.
• New Fund Risk: The fund is newly organized and has a limited operating history. There can be no assurance that the fund will grow to or maintain a viable size.
• Small- and Mid-Capitalization Investing Risk: The fund may invest in securities of small- and mid-cap issuers. Securities of small- and mid-cap issuers may present greater risks than those of large-cap issuers. For example, small- and mid-cap issuers often have limited product lines, markets, or financial resources. They may be subject to high volatility in revenues, expenses, and earnings. Their securities may be thinly traded, may be followed by fewer investment research analysts, and may be subject to wider price swings, which may create a greater chance of loss than when investing in securities of larger-cap issuers. The market prices of securities of small- and mid-cap issuers generally are more sensitive to changes in earnings expectations, to corporate developments, and to market rumors than are the market prices of large-cap issuers.

These are not all of the risks of investing in the fund. Please read the full prospectus carefully before investing.