Avantis Strengthens Active Equity Portfolio with Two Targeted ETF Strategies

The investment management landscape continues to evolve as Avantis Investors, backed by American Century Investments, expands its offerings with two innovative active equity solutions that address distinct investor needs. These new funds represent a strategic response to growing demand for investment approaches that move beyond traditional passive indexing while maintaining transparency and accessibility.

Inflation-Focused and Diversified Active Equity Solutions

Avantis unveiled two complementary strategies: the Avantis Inflation Focused Equity ETF (NYSE Arca: AVIE) and the Avantis All Equity Markets ETF (NYSE Arca: AVGE), both now trading on the New York Stock Exchange. The dual approach reflects a sophisticated understanding of how active equity investments can serve different portfolio objectives.

AVIE targets investors concerned about inflation’s erosive impact on returns. Rather than accepting the passive exposure of market-cap-weighted indices, this active equity strategy focuses on industries historically correlated with inflationary periods—financial services, petroleum and natural gas, metals, and mining operations. The fund prioritizes companies positioned to benefit when inflation rises, offering equity-like returns with explicit inflation awareness.

AVGE takes a different path as Avantis’ first fund-of-funds offering. It invests across multiple Avantis equity ETFs, creating a consolidated active equity solution for investors seeking total-market exposure with an emphasis on higher expected returns than conventional market-weighted benchmarks. This approach maintains geographic diversification while weighting toward U.S. holdings.

The Strategy Behind Active Equity Fund Selection

The foundation for these active equity vehicles draws from what Avantis CIO Eduardo Repetto describes as a commitment to “commonsense investment principles combined with cutting-edge academic research.” Rather than offering generic solutions, the management team deliberately built AVIE to address the specific needs of investors navigating inflationary environments, and AVGE to provide a streamlined gateway to active equity management across multiple markets.

The co-management structure brings together Repetto alongside senior portfolio managers Mitchell Firestein, Daniel Ong, and Ted Randall, plus associate portfolio manager Matthew Dubin. This collaborative approach ensures that active equity decisions reflect diverse perspectives and rigorous analysis.

Market Recognition and Competitive Positioning

Avantis’ expansion validates the momentum of actively managed ETF solutions. VettaFi’s Todd Rosenbluth noted that Avantis “has become a leading provider of actively managed ETFs with $11 billion in assets,” and these new offerings “further build out its diverse lineup and provide more tools for advisors with asset allocation objectives.” The recognition reflects growing acceptance that active equity strategies can deliver value when built on transparent methodologies and evidence-based principles.

Competitive Fee Structure Supports Advisor Adoption

Both funds maintain fee structures designed for broad advisor adoption. AVIE carries an annual operating expense ratio of 0.25%, while AVGE comes in at 0.23%—competitive pricing that makes active equity exposure accessible to diverse investor segments. These expense levels position the funds favorably within the actively managed ETF marketplace, supporting the business case for advisors recommending active equity strategies to clients.