Avantis Europe Equity UCITS ETF

Issuer: American Century Investments

Asset Class: Equity

TER: 25

Trading Currency: GBP

Pays Income: False

Listing Date: 13 Feb 2026

Ticker: AVUE

ISIN: IE000SDFJUU0

The Avantis Europe Equity UCITS ETF is an actively managed fund designed for investors seeking long-term capital appreciation from a diversified portfolio of European companies. The strategy departs from traditional passive indexing by employing a systematic and research-driven investment approach. The fund's objective is to outperform the broader European equity market over a full market cycle by identifying securities that possess favourable characteristics associated with higher expected returns. It provides a comprehensive solution for gaining exposure to a wide array of companies across various developed European nations, offering a core holding for a well-diversified global portfolio.

At the heart of the investment process is a quantitative, factor-based methodology that systematically evaluates a broad universe of European stocks. The portfolio managers focus on specific, academically-supported drivers of return, including value, profitability, and company size. The fund overweights securities of companies that trade at lower valuations (value characteristic) and exhibit higher profitability metrics. Additionally, it tends to favour smaller-capitalisation companies over larger ones, as these have historically demonstrated greater long-term growth potential. This multi-factor approach is implemented within a robust risk management framework, ensuring broad diversification across sectors, industries, and countries to mitigate concentration risk and manage volatility.

This instrument is suitable for investors aiming to enhance their European equity allocation with a strategy that goes beyond simple market-cap weighting. By systematically tilting the portfolio towards companies with proven return-driving characteristics, the fund seeks to deliver a more efficient and potentially higher-return investment experience over the long term. It can function as a central component of an investor's European equity exposure or as a complement to existing passive strategies. Given its focus on long-term growth, the fund is most appropriate for individuals with a corresponding investment horizon and a tolerance for the inherent fluctuations of equity markets.