Why OUSA? | O’Shares ETFs

Why OUSA for U.S. Large Cap Quality Dividends?

Quality Advantages
Seek companies with strong balance sheets and profitability, for long-term investors.

Performance
High Quality Dividend paying companies provide a performance alternative to value investing.

Diversified Portfolio
Over 100 major companies selected according to measures of financial quality.

OUSA Since Inception

OUSA:
has only captured 70% of the S&P 500 market downside..
Lower risk:
OUSA has been less volatile than Value, Growth and the S&P 500.
Downside protection when it matters:
~30% less maximum drawdown than the S&P 500.

Download Report

Kevin O’Leary, O’Shares ETF Chairman & Shark Tank Investor

Which Portfolio Would Most Investors Prefer?

“Rules Based Quality” OUSA Index vs. Passive Index

Profitability (ROA) → More Profitability

OUSA Index, 10.4%

S&P 500 Index, 9.0%

Volatility → Less Volatility

OUSA Index, 10.6%

S&P 500 Index, 14.0%

Yield → Higher Portfolio Yield

OUSA Index, 3.1%

S&P 500 Index, 1.7%

Number of Stocks → ~70% of S&P 500 Index Excluded

139

OUSA Index

505

S&P 500 Index

Download Report

OUSA 30-day SEC Yield: 2.59%, as of 1/31/2020.

Past performance does not guarantee future results. Investors cannot directly invest in an index and unmanaged index returns do not reflect any fees, expenses or sales charges.

Left:
Source: Bloomberg Finance L.P., data as of 12/31/2019. Returns for periods longer than 1 year are annualized. Reference benchmark: S&P 500. Performance is measured as mean return. *S/I: Inception Date: 07/14/2015. Upside/Downside Capture: Since Inception 07/14/2015.

Right:
Source: Bloomberg Finance L.P., data as of 12/31/2019. OUSA Index: FTSE USA Qual/Vol/Yield Factor 5% Capped Index.

Definitions:
The 30-day SEC Yield: is calculated with a standardized formula mandated by the SEC. The formula is based on maximum offering price per share and includes the effect of any fee waivers. Without waivers, yields would be reduced. A fund’s actual distribution rate will differ from the SEC yield and any income distributions from the fund may be higher or lower than the SEC yield.
Portfolio Yield: Weighted average dividend yield of the underlying constituents. Dividend Yield: The most recently announced gross dividend, annualized based on dividend frequency, then divided by the current market price.
ROA (Return on Assets): Indicator of how profitable a company is relative to its Total assets, in percentage. Calculated as (Trailing 12M Net Income/ Average Total Assets) x 100.

How to Buy O’Shares ETF: OUSA

ETFs are traded on major stock exchanges, much like shares of common stock. They can be bought and sold throughout the trading day, offering liquidity and ongoing valuations of each Fund’s holdings for investors. ETFs are typically tax-efficient and generally have lower costs than other investment alternatives, making them a great investment tool for investors.

Commissions and transaction costs may vary, so be sure to check on these costs.

Please contact your financial advisor or these firms directly for more information.

Trading can be executed through a self-directed account with many brokerage firms, such as:

OUSA: Top 10 Stocks

OUSA: Holdings

DOWNLOAD HOLDINGS

Name (as of 04/03/2020)	Ticker	Sector	Fund Weight
Johnson & Johnson	JNJ	Health Care	5.25%
Apple Inc.	AAPL	Technology	4.67%
Procter & Gamble	PG	Consumer Goods	4.43%
Exxon Mobil Corporation	XOM	Energy	4.27%
Pfizer	PFE	Health Care	3.26%
Verizon Communications	VZ	Telecommunications	3.22%
Home Depot	HD	Consumer Services	3.17%
Pepsico	PEP	Consumer Goods	3.02%
Cisco Systems	CSCO	Technology	2.97%
Intel Corp	INTC	Technology	2.97%
Merck & Co	MRK	Health Care	2.97%
Chevron	CVX	Energy	2.63%
Philip Morris International	PM	Consumer Goods	2.31%
AT&T	T	Telecommunications	2.00%
Coca-Cola	KO	Consumer Goods	1.98%
Unitedhealth Group	UNH	Health Care	1.90%
Amgen Corp	AMGN	Health Care	1.79%
Lilly (Eli) & Co	LLY	Health Care	1.63%
3M Company	MMM	Industrials	1.48%
Texas Instruments	TXN	Technology	1.40%
AbbVie Inc	ABBV	Health Care	1.37%
McDonalds Corp	MCD	Consumer Services	1.36%
Public Storage	PSA	Financials	1.35%
Bristol Myers Squibb	BMY	Health Care	1.26%
Altria Group	MO	Consumer Goods	1.19%
Honeywell International Incorporatio	HON	Industrials	1.14%
Gilead Sciences	GILD	Health Care	1.08%
Accenture Cl A	ACN	Industrials	1.08%
Union Pacific Corp	UNP	Industrials	1.06%
International Bus Machns.	IBM	Technology	1.00%
Marsh & Mclennan	MMC	Financials	0.98%
Medtronic plc	MDT	Health Care	0.98%
United Parcel Service	UPS	Industrials	0.97%
Colgate-Palmolive	CL	Consumer Goods	0.97%
Oracle Corp.	ORCL	Technology	0.89%
Lockheed Martin Corp	LMT	Industrials	0.88%
Price (T. Rowe) Group	TROW	Financials	0.84%
Starbucks	SBUX	Consumer Services	0.82%
Prologis	PLD	Financials	0.82%
Kimberly-Clark	KMB	Consumer Goods	0.82%
Illinois Tool Wks	ITW	Industrials	0.75%
Automatic Data Process	ADP	Industrials	0.72%
Boeing	BA	Industrials	0.69%
TJX Companies	TJX	Consumer Services	0.69%
	UTX US	Industrials	0.69%
Dominion Energy	D	Utilities	0.68%
Duke Energy Corp	DUK	Utilities	0.64%
Southern Co	SO	Utilities	0.60%
Simon Property Group	SPG	Financials	0.56%
Lowes Cos Inc	LOW	Consumer Services	0.55%
Air Products & Chemicals Inc	APD	Basic Materials	0.51%
Walgreens Boots Alliance	WBA	Consumer Services	0.46%
Paychex	PAYX	Industrials	0.43%
Emerson Electric	EMR	Industrials	0.42%
American Elec Power Com	AEP	Utilities	0.42%
Eaton Corp PLC	ETN	Industrials	0.41%
Avalonbay Communities	AVB	Financials	0.41%
Clorox	CLX	Consumer Goods	0.38%
Cummins	CMI	Industrials	0.37%
General Mills	GIS	Consumer Goods	0.37%
Exelon Corporation	EXC	Utilities	0.37%
Waste Mgmt Inc	WM	Industrials	0.32%
Western Union	WU	Financials	0.30%
Healthpeak Properties Inc	PEAK	Financials	0.29%
Phillips 66	PSX	Energy	0.27%
XCEL Energy	XEL	Utilities	0.27%
WEC Energy Group	WEC	Utilities	0.26%
Public Svc Enterprise Group	PEG	Utilities	0.25%
Host Hotels & Resorts	HST	Financials	0.25%
Rockwell Automation	ROK	Industrials	0.25%
Cons Edison Holding	ED	Utilities	0.25%
Fastenal Co	FAST	Industrials	0.24%
Eversource Energy	ES	Utilities	0.23%
Extra Space Storage	EXR	Financials	0.22%
TE Connectivity	TEL	Industrials	0.21%
PPL Corporation	PPL	Utilities	0.21%
HP	HPQ	Technology	0.20%
Sysco Corp	SYY	Consumer Services	0.20%
Dow Inc	DOW	Basic Materials	0.20%
Duke Realty Corp	DRE	Financials	0.19%
Maxim Integrated Prod.	MXIM	Technology	0.18%
DTE Energy	DTE	Utilities	0.18%
Occidental Petroleum	OXY	Energy	0.18%
Yum Brands	YUM	Consumer Services	0.18%
Paccar	PCAR	Industrials	0.17%
VF Corp	VFC	Consumer Goods	0.17%
Ameren Corp	AEE	Utilities	0.17%
W. P. Carey Inc.	WPC	Financials	0.17%
Hormel Foods	HRL	Consumer Goods	0.17%
Entergy Corp	ETR	Utilities	0.16%
PPG Industries	PPG	Basic Materials	0.16%
Franklin Resources	BEN	Financials	0.16%
FNF Group	FNF	Financials	0.16%
Garmin Ltd	GRMN	Consumer Goods	0.16%
Cardinal Health	CAH	Health Care	0.15%
Valero Energy	VLO	Energy	0.15%
C.H. Robinson Worldwide	CHRW	Industrials	0.15%
Genuine Parts	GPC	Consumer Goods	0.15%
Edison International	EIX	Utilities	0.14%
Kellogg	K	Consumer Goods	0.13%
CMS Energy Corp	CMS	Utilities	0.13%
Omnicom Group	OMC	Consumer Services	0.12%
LyondellBasell Industries Cl A	LYB	Basic Materials	0.12%
Tiffany & Co	TIF	Consumer Goods	0.12%
International Paper	IP	Basic Materials	0.11%
Expeditors Intl Washington	EXPD	Industrials	0.11%
CASHUSD	CASHUSD	Cash	0.10%
CenterPoint Energy	CNP	Utilities	0.10%
Dover Corp	DOV	Industrials	0.10%
J M Smucker	SJM	Consumer Goods	0.10%
Alliant Energy	LNT	Utilities	0.09%
Atmos Energy	ATO	Utilities	0.09%
Darden Restaurants	DRI	Consumer Services	0.09%
Pinnacle West Capital Corp	PNW	Utilities	0.09%
Nucor Corp	NUE	Basic Materials	0.09%
Amdocs	DOX	Technology	0.09%
Snap-On Inc	SNA	Industrials	0.08%
Celanese	CE	Basic Materials	0.08%
Coca-Cola European Partners	CCEP	Consumer Goods	0.07%
Ingredion	INGR	Consumer Goods	0.07%
Avery Dennison Corp	AVY	Industrials	0.07%
Packaging Corp of America	PKG	Industrials	0.07%
Huntington Ingalls Industries	HII	Industrials	0.06%
Eastman Chemical	EMN	Basic Materials	0.05%
Vail Resorts	MTN	Consumer Services	0.05%
Molson Coors Beverage Company	TAP	Consumer Goods	0.05%
Gentex Corp	GNTX	Consumer Goods	0.05%
Leggett & Platt	LEG	Consumer Goods	0.05%
Robert Half International	RHI	Industrials	0.05%
Kimco Realty Cp	KIM	Financials	0.05%
Park Hotels & Resorts	PK	Financials	0.04%
Carnival Corp A	CCL	Consumer Services	0.04%
Pentair plc	PNR	Industrials	0.04%
Lear Corp	LEA	Consumer Goods	0.04%
Rollins Inc	ROL	Consumer Services	0.04%
Avangrid	AGR	Utilities	0.03%
Autoliv	ALV	Consumer Goods	0.03%
Tapestry	TPR	Consumer Goods	0.03%
Raytheon	RTN	Industrials	0.00%

Holdings subject to change.

OUSA: Sector Allocation

Sector Allocation (as of 02/29/2020)	Weight
Health Care	19.70%
Consumer Goods	15.61%
Technology	14.36%
Industrials	13.48%
Consumer Services	8.67%
Financials	8.19%
Energy	7.83%
Utilities	5.40%
Telecommunications	4.88%
Basic Materials	1.51%
Cash	0.36%

RESEARCH PAPER: U.S. LARGE & SMALL CAPS

The Power of a Quality Dividend Investment Strategy | Q1 2020

Dividends: The Most Powerful Force in the Universe

“Compound interest is the most powerful force in the universe.” – Albert Einstein
Dividend Growth has Generated Income Growth
Where Can Investors Turn For Income?
Why Quality Matters?

Download Research Paper

Sign up to get O’Shares Strategy Series

Before you invest in O’Shares ETF Investments Funds, please refer to the prospectus for important information about the investment objectives, risks, charges and expenses. To obtain a prospectus containing this and other important information, please view or download a prospectus. Read the prospectus carefully before you invest. There are risks involved with investing including the possible loss of principal.

Concentration in a particular industry or sector will subject the Funds to loss due to adverse occurrences that may affect that industry or sector. The Funds may use derivatives which may involve risks different from, or greater than, those associated with more traditional investments. A Fund's emphasis on dividend-paying stocks involves the risk that such stocks may fall out of favor with investors and underperform the market. Also, a company may reduce or eliminate its dividend after the Fund's purchase of such a company's securities. Returns on investments in foreign securities could be more volatile than, or trail the returns on, investments in U.S. securities. Exposures to foreign securities entail special risks, including political, diplomatic, economic, foreign market and trading risks. In addition, a Fund's investments in securities denominated in other currencies could decline due to changes in local currency relative to the value of the U.S. dollar, which may affect the Fund's returns. See the prospectus for specific risks regarding the Funds.
The securities of small capitalization companies are often more volatile and less liquid than the stocks of larger companies and may be more affected than other types of securities during market downturns. Compared to larger companies, small capitalization companies may have a shorter history of operations, and may have limited product lines, markets or financial resources.
Companies involved with Internet technology and e-commerce are exposed to risks associated with rapid advances in technology, obsolescence of current products and services, the finite life of patents and the constant threat of global competition and substitutes.
Past performance does not guarantee future results. Shares are bought and sold at market price (not NAV), are not individually redeemable, and owners of Shares may acquire those Shares from the Funds and tender those shares for redemption to the Funds in Creation Unit aggregations only, consisting of 50,000 Shares. Brokerage commissions will reduce returns. The market price of Shares can be at, below, or above NAV. Market Price returns are based upon the midpoint of the bid/ask spread at 4:00 PM Eastern time (when NAV is normally determined), and do not represent the returns you would receive if you traded Shares at other times.

O’Shares ETF Investments Funds are distributed by Foreside Fund Services, LLC. Foreside Fund Services, LLC is not affiliated with O’Shares ETF Investments or any of its affiliates.