| Investment Objective: |
The Virtus Emerging Markets Dividend ETF seeks current income, with a secondary objective of long-term capital appreciation. The fund invests in the securities of companies that pay dividend income and are tied economically to emerging market countries. Virtus Systematic ("Systematic"), the Fund's sub-adviser, defines emerging market countries as countries with securities markets that are less sophisticated than more developed markets in terms of participation by investors, analyst coverage, liquidity and/or regulation. The Fund will normally invest primarily in companies located in the countries represented in the Fund's benchmark, the MSCI Emerging Markets Index. Systematic's quantitative investment process begins with a proprietary alpha model that uses artificial intelligence to power Natural Language Processing for sentiment analysis, which blends behavioral factors and intrinsic valuation factors. The Fund normally invests primarily in common stocks, either directly or indirectly through depositary receipts. In addition to common stocks, equity securities in which the Fund may invest include, without limitation, preferred stocks, convertible securities and warrants. The Fund may invest in issuers of any size market capitalization. |
