Cabana Target Beta ETF

Cabana Target Beta ETF (TDSB) is an actively managed fund of funds holding about 10 ETFs that cover stocks, bonds, gold, commodities and the US dollar. Its sub-adviser, Cabana Asset Management, uses a proprietary algorithm to target a beta of 0.35 against the S&P 500 Equal Weight Index, or roughly a third of its swings. The trade-offs: a 0.91% expense ratio and a 1.94% average annual return over five years to December 31, 2025.

• Over the year to Oct 27, 2026, TDSB returned +5.9%, 8th of 8 among similar funds.
• Its 5-year annualized return was +1.6%.
• Its worst full calendar year was 2022 (-16.8%); its best was 2025 (+13.0%).
• The deepest fall in its price history was 19.6% (Nov 8, 2021 to Aug 24, 2023), recovered by Oct 20, 2025.

As of Jul 31, 2026, the fund held 10 securities; the ten largest made up 99.75% of assets.

• Over the three months to Jul 31, 2026, investors withdrew a net $12K (creations minus redemptions, per the N-PORT report).
• Monthly total returns reported for that quarter: +0.69%, -1.26%, -0.73%.

TDSB is actively managed, so there is no index to copy. Cabana Asset Management, the sub-adviser, picks investments across five asset classes: stocks, bonds, real estate, currencies and commodities. It is a "fund of funds," which means it mostly buys other ETFs. Those ETFs can hold stocks of any size, including emerging-market companies, and bonds of any maturity or quality, including high-yield "junk" bonds.

Choices come from Cabana's Cyclical Asset Reallocation Algorithm (CARA). It tracks the yield curve (the gap between short- and long-term interest rates), earnings across US companies and stock price trends. Holdings are monitored daily. When CARA flags serious market weakness, the fund can shift toward safer assets such as short-term Treasuries. The aim is a one-year rolling beta near 0.35 against the S&P 500 Equal Weight Index. Beta measures how much a fund moves with a market. A beta of 1 means it moves in step, and below 1 means it moves less. The target varies, and the managers can override the model.

All this shifting means heavy trading. Portfolio turnover was 136%, which can add costs. As of July 31, 2026, its 10 funds were close to equal in size, at 8.8% to 11.7% each: an Invesco Nasdaq-100 fund, a Goldman Sachs physical gold fund, a PIMCO commodity strategy fund, SPDR health care and utilities sector funds, an Invesco DB US dollar fund, and four Vanguard and iShares bond funds.

• TDSB charges 0.91% a year, versus an average of 0.86% for the similar funds below (6th of 8, cheapest first).
• Of that, 0.8% is the management fee; the rest covers other fund expenses.
• The fee includes a 0.11% waiver from the adviser, which may end.
• Using the prospectus's standard example, $10,000 invested would cost about $93 in the first year and $1,238 over 10 years (assuming a 5% annual return).

It mixes stocks with bonds, gold, commodities and a US dollar fund and aims for low sensitivity to the stock market, so it could sit beside a core stock fund rather than replace one.

TDSB's price swings have been mild. Its volatility (a measure of how much returns bounce around) was 6.4% over both one and three years to October 27, 2026. But low swings did not mean small losses. The fund launched after the 2008 and 2020 crashes, so it has no record for them. In 2022 it fell 16.84%, its worst calendar year. Its deepest drop, 19.6% from November 2021 to August 2023, was not recovered until October 2025. Anyone selling shares to cover spending during that stretch would have locked in losses. Income is modest: a trailing yield of 1.89% as of October 27, 2026, paid quarterly. In the SEC's standard example, the 0.91% expense ratio costs about $93 in the first year on $10,000. Past results don't predict future ones, and a plan should look at the whole portfolio, not a single fund.

Matched by other buffer (defined-outcome) funds, largest first.