However, an area of strength for the firm is that they've delivered strong risk-adjusted returns for shareholders, with an average five-year Morningstar Rating of 4.3 stars across its open-end and exchange-traded products. The metric measures the risk-adjusted performance of an asset manager's currently live funds. APTUS ETFs has had higher portfolio management turnover than peer firms in the past five years. Turnover in the portfolio-management ranks can happen for a number of reasons, including fund mergers and liquidations, portfolio managers moving into other roles, or portfolio managers leaving the firm. In some cases, such change may not signal a serious or immediate problem at the firm, but can still be disruptive for fundholders, hinder the effectiveness of a firm’s investment processes, or suggest a weaker investment culture. A notable weakness of APTUS ETFs is the inexperience of its longest-tenured managers compared with other asset managers. Managing capital through a full market cycle is a challenging prospect for seasoned managers, but with only four years of average tenure across their management team, there is cause for concern.
APTUS ETFs is an industry-standard asset manager, resulting in an Average Parent Pillar rating.
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