FM Focus Equity ETF

FM Focus Equity ETF (FMCX) is an actively managed, nontransparent ETF that holds roughly 25–35 U.S.-listed stocks. Its manager judges these to be high-quality businesses bought at sensible prices. Unlike most ETFs, it doesn't publish its holdings every day. Its 0.72% expense ratio is the highest of the nine funds in its comparison group, where the average is 0.31%. It trailed the S&P 500 over one year and since launch, through December 31, 2025.

• Over the year to Oct 27, 2026, FMCX returned +3.4%, 6th of 9 among similar funds.
• Its worst full calendar year was 2025 (+11.3%); its best was 2023 (+21.9%).
• The deepest fall in its price history was 17.7% (Jan 23, 2025 to Apr 8, 2025), recovered by Jun 27, 2025.

As of May 31, 2026, the fund held 31 securities; the ten largest made up 47.15% of assets, and 10.48% sat in cash and money-market holdings.

By sector

• Over the three months to May 31, 2026, investors withdrew a net $567K (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: -5.15%, +11.85%, +2.79%.

FMCX doesn't track an index. Its adviser picks about 25–35 stocks listed on U.S. exchanges. It looks for companies with durable competitive advantages, meaning business strengths that give customers more value than rivals can. It also wants above-average returns on capital, managers who treat shareholders like partners, and room to reinvest profits at high rates. Research covers business quality, management and pay, earnings quality and cash flow. The adviser then tries to buy at prices that look favorable for the business's quality. The fund has no target company size. A new position generally can't be more than 10% of the fund at purchase. The fund is non-diversified, so a few stocks can drive results.

The adviser may sell when a stock no longer meets its criteria, when prospects or leadership weaken, when a better idea appears, or when the price looks too high. Portfolio turnover was 67%. The fund can hold a large share of cash in short-term Treasuries and government money funds: 10.5% as of May 31, 2026. It can also own foreign companies listed in the U.S., such as Linde (Ireland) and Chubb (Switzerland).

The structure is unusual. Authorized participants, the large brokers that create and redeem ETF shares, trade through confidential accounts run by agents, so the brokers never see the holdings. The prospectus warns that this can widen trading costs or push the share price away from the value of the fund's holdings, especially during market stress.

• FMCX charges 0.72% a year, versus an average of 0.31% for the similar funds below (9th of 9, cheapest first).
• Of that, 0.7% is the management fee; the rest covers other fund expenses.
• Using the prospectus's standard example, $10,000 invested would cost about $74 in the first year and $894 over 10 years (assuming a 5% annual return).

It is a concentrated, non-diversified, actively managed portfolio of about 30 stocks with above-average costs, so it fits better beside a broad core fund than in its place.

FMCX could add a focused, quality-minded stock sleeve next to a broad index fund. Its record is short. It launched in April 2022, so it has no history through the 2008 or 2020 crashes and doesn't cover the full 2022 bear market. Its worst calendar year was still a gain of 11.08%, in 2025. But its deepest drop was 17.7%, from January 23 to April 8, 2025, and it recovered by June 27, 2025, about 2.6 months later. Anyone forced to sell during a drop like that would lock in losses. Income is small: the trailing yield was 0.3% as of October 27, 2026, paid twice a year. Costs are high at 0.72% a year. On the SEC's standard $10,000 example, that comes to $894 over 10 years. Past results don't predict future ones, and a plan should look at the whole portfolio, not one fund.

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