This is an actively managed ETF that does not track a specific index. Instead, the management team hand-picks US mid-cap growth stocks. Using company-level fundamental analysis, it holds a relatively small number of stocks with strong earnings growth potential.

It suits long-term investors who hold large-cap-focused core assets and want to complement them with the growth potential of mid-cap growth stocks through active selection.

It is an ETF run by American Century using an active management approach.

Among US mid-cap stocks, the management team uses fundamental analysis to pick companies it believes have high revenue and earnings growth potential. Because it is a non-diversified, concentrated portfolio, individual stock decisions have a large impact on performance. Since the restructuring, sustainable development goals criteria have been dropped from the selection requirements.

• Mid-cap growth stock selection driven by the management team's judgment rather than index tracking
• A non-diversified structure concentrated in a relatively small number of stocks
• Fee reduction alongside its inclusion in the Insight ETF series

Assets under management (AUM) stand at $102.2M, and the expense ratio is 0.39% per year.

The management fee was lowered with the restructuring, but because this is an active product, it is still relatively high compared with passive mid-cap ETFs. With its small size, it is also worth checking the bid-ask spread.

Mid-cap growth stocks are sensitive to shifts in interest rate expectations, so returns tend to swing widely. Because this fund holds a concentrated portfolio, when its weightings in technology, consumer discretionary, and health care are high, the trends in those sectors strongly influence performance.

The fund is just after a restructuring in which its name and listing exchange changed, so it is still too early to judge fund flows. Its size is that of a small fund, so trading volume is lower than for large mid-cap ETFs, and changes caused by inflows and outflows also tend to be larger.

The management team's stock-picking ability and the lowered fee are strengths, while the concentrated portfolio, small size, and growth stock volatility are weaknesses.

Data on comparable ETFs for a side-by-side table is limited. If you want to hold the same US mid-cap growth stocks through a low-cost passive fund, products tracking Russell mid-cap growth indexes such as IWP, and mid-cap growth ETFs such as VOT, are alternatives. If you want exposure to the entire mid-cap universe, blending growth and value, core mid-cap ETFs such as IJH are also worth comparing.

These are the points to review before investing in the American Century Mid Cap Growth Impact ETF. Because the product has just been restructured, it is best to first check the changed management criteria, costs, and trading conditions.

Because of the concentrated portfolio and the characteristics of growth stocks, volatility can increase depending on interest rate changes and the earnings of a few holdings. With its small assets under management, trading costs and the fund's continued existence should also be monitored consistently.

It is a suitable satellite holding for investors who want to own mid-cap growth stocks selected by a management team. If you want to cut costs, compare it with passive mid-cap growth ETFs before deciding on your allocation.