The PQNT ETF uses an enhanced strategy that applies artificial intelligence models to select stocks in developed international equity markets. Building on broad market exposure, it seeks to add value through stock selection, with long-term capital growth as its investment objective.

It suits long-term investors who want diversified exposure to developed international equities and want to consider active stock selection rather than index replication.

It is an actively managed ETF run by Pictet Asset Management.

This is an enhanced strategy that uses artificial intelligence models to select stocks in international equity markets, adding the effect of stock selection on top of broad market exposure. Because it reflects the manager's judgment rather than replicating a specific index, its performance and risks may differ from those of the market.

• A combination of international equity exposure and AI-based selection
• Reflects active judgment instead of replicating a specific index

Assets under management (AUM) stand at $13.5M, and the total expense ratio is 0.30% per year.

Unlike products that simply track the market, actively managed products see their performance directly affected by the results of stock selection. It is therefore necessary to compare the management approach, costs and trading conditions together.

The performance of international equities can be affected by regional economic trends, currencies, corporate earnings and geopolitical variables. Unlike products that replicate a specific index, the PQNT ETF is influenced by the results of its stock selection, so it may move differently from the overall market.

Fund flows into exchange-traded funds can shift with preferences for international equities and with assessments of active management. Trading conditions can also vary with market circumstances, so it is worth checking bid-ask quotes and trading conditions when buying and selling.

AI-based selection of international stocks is its distinguishing feature, but investors should also consider that active judgment and international market fluctuations directly affect results.

Within the same international equity category, the IDEQ ETF shown in the table uses dynamic equity allocation, the RODM ETF uses a multifactor approach, and the SEIE ETF uses selective international equity management. The SFTX ETF adds a risk management element, and the EFAA ETF is distinguished by an approach that also considers income characteristics. Because the PQNT ETF focuses on AI-based stock selection, its strategic starting point differs from these products, so it is worth comparing fees, management approach and distribution profile side by side.

Before investing in the PQNT ETF, you should confirm that the scope of its international equity exposure and its AI-based active selection method fit your investment objectives. You also need to review costs, distribution profile, trading conditions and the impact of currency fluctuations together.

Even when artificial intelligence models are used, there is no guarantee that stock selection results will achieve the fund's objective. Currency fluctuations in international equity markets, country-level policies, changes in corporate earnings and geopolitical variables can all affect both net asset value and trading price.

The PQNT ETF can be a candidate for investors who want to approach developed international equities through AI-based active management. However, stock selection, fees and trading conditions may differ from index-replicating products, so investors should weigh the distribution profile and risk factors together before making a decision.