| Investment Objective: |
Abacus FCF Innovation Leaders ETF seeks to track investment results of Abacus FCF Innovation Leaders Index that provides exposure to U.S. publicly traded companies with strong free cash flow and strong research and development ("R&D") investment. The Fund intends to maintain a portfolio of securities that generally replicates the holdings of the Underlying Index. Each security eligible for inclusion is then scored based on the following components of the company issuing the security, which is intended to be representative of a company's free cash flow and innovation (i) quality of earnings (i.e., a metric that determines the proportion of income attributable to the cash flow activities of a company) (ii) profits generated from R&D (iii) degree of R&D investment relative to total assets (iv) assets turnover and (v) financial leverage. Only companies with an FCF Innovation Score within the top 25% of all eligible securities are candidates for inclusion in the Underlying Index. |
