ClearBridge Focus Value ESG ETF
Data updated: 2024-11-22
C000217290 — ClearBridge Focus Value ESG ETF. United States Large Cap Value Thematic Equity · $1.64M AUM. Holdings, fees, performance and SEC filings.
C000217290 Fund Overview
ClearBridge Focus Value ESG ETF is a US ETF managed by Activeshares ETF Trust, categorised as United States Large Cap Value Thematic Equity. ABC INVEST provides holdings, performance, costs, cashflows, risk data, prospectus documents and SEC filings, sourced from SEC filings.
- Type: US ETF
- Manager: Activeshares ETF Trust
- Category: United States Large Cap Value Thematic Equity
- Assets under management: $1.64M
- 1-year return: 19.1%
- SEC CIK: 0001792795
- SEC series ID: S000067572
- Share class ID: C000217290
C000217290 Investment Objective and Strategy
ClearBridge Focus Value ESG ETF describes its objective and strategy as follows, from its latest prospectus filed with the SEC by Activeshares ETF Trust.
Investment objective
ClearBridge Focus Value ESG ETF (the fund) seeks long-term capital appreciation.
Principal investment strategy
The fund seeks long-term capital appreciation. By employing fundamental research, in an effort to identify securities with attractive risk-adjusted returns (where the potential returns on the investment are favorable relative to the potential risks of the investment), the funds portfolio management team constructs the portfolio on a bottom-up basis. Under normal circumstances, the fund invests at least 80% of its net assets, plus borrowings for investment purposes, if any, in equity securities, or other investments with similar economic characteristics, of companies with large market capitalizations and which meet its financial and environmental, social and governance (ESG) criteria. Large capitalization companies are those companies with market capitalizations similar to companies in the Russell 1000 Index (the Index).
The size of the companies in the Index changes with market conditions and the composition of the Index. Securities of companies whose market capitalizations no longer meet this definition after purchase by the fund still will be considered securities of large capitalization companies for purposes of the funds 80% investment policy. The fund may also invest up to 20% of its net assets in equity securities, or other investments with similar economic characteristics, of companies with lower market capitalizations that meet its financial and ESG criteria. Under normal circumstances, the fund invests in a diversified portfolio typically consisting of the securities of 30 to 40 issuers. Determination of whether a company meets the funds ESG standards is based on the subadvisers proprietary research approach.
The subadviser will exercise judgment to determine ESG best practices based on its over thirty-year history managing ESG investment strategies through an established proprietary process. The subadviser utilizes a fundamental, bottom-up research approach that emphasizes company analysis, management and stock selection. The subadvisers proprietary research and analysis generally incorporates information and data obtained from a variety of third-party research providers as supplementary to the subadvisers own proprietary research and analysis. The subadviser has the right to change the third-party service providers that support this process at any time. In addition, certain types of companies are excluded from the investment universe. Companies in the tobacco and coal industries are excluded, and companies earning a significant portion of their revenue (in general, approximately 10-15% or more) from controversial arms (e.g., nuclear, chemical and biological weapons; cluster munitions and anti-personnel landmines) or gambling are also excluded.
The subadviser may modify this list of prohibited investments, including revenue thresholds or any particular exclusion, at any time, without shareholder approval or notice. The ESG evaluation is integrated into a thorough assessment of investment worthiness based on financial criteria as well as ESG considerations including innovative workplace policies, employee benefits and programs; environmental management system strength, eco-efficiency, and life-cycle analysis; community involvement, strategic philanthropy, and reputation management; and strong corporate governance and independence of the board. The ESG analysis is conducted by the subadvisers sector analysts on a sector-specific basis, and a proprietary ESG rating is assigned to each company. The weightings of the E, S and G factors are determined by the subadviser for each respective sector and sub-sectors.
All companies are assigned a proprietary ClearBridge ESG rating (B, A, AA, AAA). Companies that score a rating of B are considered uninvestable. The subadvisers proprietary ESG ratings assesses whether a company focuses on ESG factors, integrates ESG factors into its business model, and measures such efforts. Companies that the subadviser believes have not focused on ESG factors or have a poor ESG record are assigned a rating of B. The subadviser uses a variety of ESG factors, which may change from time to time, as part of its rating process. These factors are further described below under More on the funds investments Selection process. Further, to the extent that there is a material/substantial issue with any one of the E, S or G components with respect to a company, such company will be assigned a B rating.
The subadvisers ESG ratings are formally reviewed at least annually. In addition, the subadvisers research analysts monitor the companies included in the Funds portfolio on an ongoing basis to assess the continued appropriateness of such ratings. The subadviser seeks to invest over the long-term in large-capitalization companies that the subadviser considers to be of high quality with competitive advantages that can be maintained as evidenced by high returns on capital, strong balance sheets, and capable management teams that allocate capital in an efficient manner. The subadviser seeks to invest in leadership companies where the portfolio managers believe the market price underestimates the magnitude of future growth. Leadership may be assessed both quantitatively and qualitatively. The subadviser seeks to select securities of companies that are category leaders with characteristics to sustain that position and grow market share consistently.
The subadviser performs rigorous analysis to understand company fundamentals, key competitive dynamics, and industry structure with the belief that the best business models win over time. The subadviser seeks to identify social or economic trends that will have an impact on the economy as a whole to support multi-year investment opportunities, allowing for compounding of earnings and cash flow. The subadviser seeks companies with self-funding business models with significant recurring revenue and businesses with the ability to generate superior free cash flow over time. In addition, the subadviser takes a disciplined approach to valuation and stress tests the sustainability of profitability and growth. The subadviser will also consider emerging companies with promising future prospects that may not yet have demonstrated substantial profitability.
The subadviser will utilize fundamental analysis to identify investment candidates with these attributes, and evaluate industry dynamics, the strength of the business model and management skill. Valuation will be carefully examined using a variety of techniques that depend on the type of company being researched. Methods typically used are discounted cash flow analysis, market implied growth and returns relative to the subadvisers expectations, multiple comparisons and scenario analysis. The subadviser will sell a security if the issuer no longer meets its financial or ESG criteria. It is also the subadvisers intention to engage and encourage management to improve in certain ESG areas identified by the subadviser through the sector analysts lead engagement. The subadviser engages and encourages management to improve in certain ESG areas in a variety of ways, including through ESG engagement meetings with management personnel of companies to discuss different topics relevant to the companys business operations, such as labor standards, workforce diversity, supply chain, environmental targets, carbon intensity, reputation, and executive compensation; applying proprietary methodologies to assess the outcome and progress of these meetings to inform the subadvisers ESG rating of the companies; and through proxy voting.
C000217290 Holdings
Top 10 holdings of ClearBridge Focus Value ESG ETF by percentage of net assets, from the fund's latest SEC N-PORT filing.
| Holding | % of net assets |
|---|---|
| Sempra | 5.04% |
| JPMorgan Chase & Co | 4.63% |
| WEC Energy Group Inc | 4.48% |
| McKesson Corp | 4.39% |
| Sherwin-Williams Co/The | 4.30% |
| Johnson & Johnson | 4.28% |
| Microchip Technology Inc | 3.88% |
| Thermo Fisher Scientific Inc | 3.84% |
| American Express Co | 3.30% |
| Comcast Corp | 3.26% |
C000217290 Portfolio Allocation
Asset-class allocation of ClearBridge Focus Value ESG ETF by percentage of net assets, from the latest SEC N-PORT filing.
| Asset class | Allocation |
|---|---|
| Equity | 97.7% |
| Cash & Equivalents | 2.3% |
C000217290 Performance
Total returns for C000217290 (as of 2026-10-01), from SEC filings.
| Period | Total return |
|---|---|
| 1 year | 19.1% |
| 3 years (annualised) | 6.3% |
C000217290 Risk Information
Risk metrics for C000217290, derived from monthly returns in SEC filings.
- 1-year volatility (annualised): 13.1%
C000217290 Costs and Fees
C000217290 costs about $48 per $10,000 invested per year in fund expenses.
- Net expense ratio: 0.48%
- Gross expense ratio: 0.48%
- Portfolio turnover: 43%
- Brokerage commissions: 1.98 bps of average net assets (SEC N-CEN)
C000217290 Cashflows
Over the 12 months to 2024-09, ClearBridge Focus Value ESG ETF had net outflows of $1.82M, from monthly SEC N-PORT filings.
| Month | Net flow |
|---|---|
| 2024-09 | $0 |
| 2024-08 | $0 |
| 2024-07 | −$738.37K |
| 2024-06 | $0 |
| 2024-05 | $0 |
| 2024-04 | −$1.08M |
C000217290 Debt Constituents
No individual debt constituents are reported in ClearBridge Focus Value ESG ETF's latest SEC N-PORT filing.
C000217290 Prospectus and SEC Filings
Official ClearBridge Focus Value ESG ETF filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.
- Prospectus (485BPOS) — filed 2024-07-26
- Prospectus (485BPOS) — filed 2023-07-25
- Prospectus supplement (497) — filed 2024-03-04
- Portfolio holdings (N-PORT) — filed 2024-11-22
- Portfolio holdings (N-PORT) — filed 2024-08-26
- Portfolio holdings (N-PORT) — filed 2024-05-23
- Annual census (N-CEN) — filed 2024-06-11
- Annual census (N-CEN) — filed 2023-06-13
Related Funds
Other United States Large Cap Value Thematic Equity funds tracked on ABC INVEST:
Data Sources
ABC INVEST compiles this page from public filings made to the U.S. Securities and Exchange Commission (SEC) through EDGAR: portfolio holdings and monthly cashflows from Form N-PORT, expenses and returns from fund prospectuses (Form 485BPOS) and the SEC DERA Risk/Return Summary data sets, annual data from Form N-CEN, and shareholder reports from Form N-CSR.