This is an active ETF that selects individual securities by applying a quantitative, momentum-based methodology, using the S&P 500 Total Return Index as its benchmark. It holds a broad mix of large-cap growth and value stocks and also uses derivatives.

It suits investors who want to maintain core S&P 500 exposure while also pursuing the potential for excess returns through active management.

The ETF is actively managed by Anfield Capital Management.

The ETF broadly follows the total return of the S&P 500 Index while selecting individual positions through a quantitative, momentum-based methodology. What sets it apart from typical passive core ETFs is that it uses derivatives alongside index constituents, aiming to match or exceed the index's daily performance.

• Combines S&P 500 tracking with momentum-based active selection
• Uses derivatives to track index performance

Assets under management (AUM) stand at $2.0M, and the expense ratio is 1.21% per year.

Its fee is somewhat higher than that of the broad core ETFs shown in the table, but its character differs because it pursues active management rather than passive tracking.

Because it uses the S&P 500 as its benchmark, it largely shares the direction and movement of the broader US large-cap market, though tracking differences versus the index may arise from active selection and the use of derivatives. Short-term performance is also affected by market volatility.

Demand for combining core large-cap exposure with active management underpins its fund flows. During volatile markets, performance dispersion may stand out depending on how the benchmark and the strategy interact, so inflows and outflows may react sensitively to it.

Its strength is the combination of core large-cap exposure and active management, while its weaknesses are a relatively high fee and the potential for tracking error.

ETFs shown in the table such as ITOT, SCHB, and IWV are lower-cost passive core ETFs that hold US large caps broadly, making them useful comparisons when you want total market exposure without active management. Lower-cost direct substitutes that track the same S&P 500 Index include VOO and IVV, and to widen exposure to the entire US market, VTI is also worth considering.

Here are the points to review before investing in AEMS. It is a core exposure product that uses the S&P 500 as its benchmark, but its active management approach, use of derivatives, relatively high fee, and tracking differences versus the benchmark should be fully understood and checked before investing.

Active selection and derivative use can produce tracking differences versus the benchmark, and a relatively high fee can add a cumulative burden to long-term performance. During market declines, even core exposure can produce sizable short-term losses.

It is a candidate for investors who want to add active management to core S&P 500 exposure. If cost and simple tracking are the priority, low-cost passive core ETFs such as VOO and IVV may fit better, while AEMS can be an alternative for those who want active management built in.