Avantis Responsible U.S. Equity ETF

Avantis Responsible U.S. Equity ETF (AVSU) is an actively managed American Century Investments fund holding about 1,372 U.S. stocks of all sizes, after screening out companies on environmental, social and governance (ESG) grounds. Within that screened list, it leans toward smaller, cheaper and more profitable companies. Its 0.15% expense ratio matches its sister fund AVUS but costs more than S&P 500 index funds such as VOO at 0.03%.

• Over the year to Oct 27, 2026, AVSU returned +17.8%, 1st of 9 among similar funds.
• Its worst full calendar year was 2025 (+16.7%); its best was 2023 (+24.5%).
• The deepest fall in its price history was 21.7% (Mar 29, 2022 to Sep 30, 2022), recovered by Dec 8, 2023.

As of Aug 31, 2026, the fund held 1,372 securities; the ten largest made up 29.98% of assets.

By sector

• Over the three months to Aug 31, 2026, investors added a net $10.5M (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: +1.88%, -1.49%, +1.88%.

AVSU is actively managed and does not track an index. It compares itself with the Russell 3000 Index, a broad measure of U.S. stocks. At least 80% of assets go into stocks of U.S. companies of any size. The managers first shrink the list with ESG screens, using MSCI and Sustainalytics scores plus their own reviews. The screens drop companies with significant revenue (thresholds from about 5%) from oil and gas, civilian firearms, chemical, biological or nuclear weapons, palm oil, tobacco or cannabis, gambling or adult entertainment. They also drop companies with more than trivial thermal coal revenue, the bottom 5% on carbon emissions intensity, boards with no women, weak governance scores, and some factory-farming or controversy cases.

From the stocks that pass, the fund leans toward smaller companies and those with higher profitability (mainly operating cash flow relative to book value) and value (mainly book value relative to price). Each stock starts at its market-cap weight and is then nudged up or down. Even so, the giants dominate. As of August 31, 2026, Apple, NVIDIA and Microsoft made up about 16% of the fund and the top 10 about 30%.

There is no fixed rebalancing date. The managers review their criteria regularly and weigh trading costs and taxes. A stock that later fails a screen doesn't have to be sold. The fund lends securities and may create and redeem shares for cash, which can make it less tax-efficient than ETFs that exchange shares in kind.

• AVSU charges 0.15% a year, versus an average of 0.11% for the similar funds below (5th of 9, cheapest first).
• Using the prospectus's standard example, $10,000 invested would cost about $15 in the first year and $192 over 10 years (assuming a 5% annual return).

It spreads money across about 1,372 U.S. stocks of all sizes, so it could serve as a main stock holding for investors who want ESG screens.

AVSU's record is short. It launched on March 15, 2022, so it missed the 2008 and 2020 crashes and the start of the 2022 bear market. Its deepest drop, 21.7%, ran from March 29 to September 30, 2022. It took about 14 months from that low to regain its old peak, in December 2023. Each full calendar year since then has been positive, and the weakest was 2025 at 16.7%. A retiree who had to sell during a drop like 2022's would lock in losses. Holding cash or bonds for spending needs could ease that.

Income is small: the yield was 0.89% as of October 27, 2026, paid quarterly. Under the SEC's standard example, costs come to $15 in the first year on $10,000 and $192 over 10 years. Past results don't predict the future, and a plan should look at the whole portfolio, not one fund.

Matched by holdings overlap from the latest N-PORT reports.