UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM N-CSR
CERTIFIED SHAREHOLDER REPORT OF REGISTERED MANAGEMENT INVESTMENT COMPANIES
Investment Company Act file number 811-22110
AdvisorShares
Trust
(Exact name of registrant as specified in charter)
4800 Montgomery Lane, Suite 150
Bethesda,
Maryland 20814
(Address of principal executive offices) (Zip code)
Dan Ahrens
4800 Montgomery Lane, Suite 150
Bethesda,
Maryland 20814
(Name and address of agent for service)
Registrant’s telephone number, including area code: 1-877-843-3831
Date of fiscal year end: June 30
Date of reporting period: December 31, 2020
Form N-CSR is to be used by management investment companies to file reports with the Commission not later than 10 days after the transmission to stockholders of any report that is required to be transmitted to stockholders under Rule 30e-1 under the Investment Company Act of 1940 (17 CFR 270.30e-1). The Commission may use the information provided on Form N-CSR in its regulatory, disclosure review, inspection, and policymaking roles.
A registrant is required to disclose the information specified by Form N-CSR, and the Commission will make this information public. A registrant is not required to respond to the collection of information contained in Form N-CSR unless the Form displays a currently valid Office of Management and Budget (“OMB”) control number. Please direct comments concerning the accuracy of the information collection burden estimate and any suggestions for reducing the burden to Secretary, Securities and Exchange Commission, 450 Fifth Street, NW, Washington, DC 20549-0609. The OMB has reviewed this collection of information under the clearance requirements of 44 U.S.C. § 3507.
Item 1. Reports to Stockholders.
| (a) | The Report to Shareholders is attached herewith. |
ADVISORSHARES TRUST
4800
Montgomery Lane
Suite 150
Bethesda, Maryland 20814
www.advisorshares.com
1.877.843.3831
Semi-Annual Report
December 31, 2020
As permitted by regulations adopted by the U.S. Securities and Exchange Commission, paper copies of a Fund’s shareholder reports may no longer be sent by mail, unless you specifically request paper copies of the reports from your financial intermediary, such as a broker-dealer or bank. Instead, the reports may be made available on a website, and you would be notified by mail each time a report is posted and provided with a website link to access the report. If you already elected to receive shareholder reports electronically, you will not be affected by this change and you need not take any action. Please contact your financial intermediary to elect to receive shareholder reports and other communications electronically. You may elect to receive all future reports in paper free of charge. Please contact your financial intermediary to continue receiving paper copies of your shareholder reports and for information about whether your election to receive reports in paper will apply to all funds held with your financial intermediary.
TABLE OF CONTENTS
ADVISORSHARES
TRUST
Letter from the CEO of AdvisorShares
Investments, LLC
December 31, 2020
The second half of 2020 was just as challenging as the first half. While most of the world remained shut down in the ongoing battle to stop the spread of Covid-19, the markets continued to gain from the losses suffered earlier in the year. Federal support – Paycheck Protection Program loans, enhanced unemployment benefits, stimulus checks and a variety of other programs – helped buoy economic activity, in spite of significant revenue drawdowns in the travel and leisure space.
This occurred in a year with a divisive presidential election, country-wide protests, racial and civil unrest, as well as a financial market crash. Combined with an unprecedented death toll caused by the global pandemic, it is significantly surprising to see the market driven higher, which was led by companies in the “work from home trade” including Zoom, Apple, and Amazon.
The “work from home trade” and growth in technology stocks were significant contributors to the out performance of two of our funds, the Dorsey Wright FSM U.S. Core ETF (Ticker: DWUS) and the Dorsey Wright FSM All Cap World Equity ETF (Ticker: DWAW). Both ETFs successfully identified these trends and tactically reallocated holdings to focus on growth and technology, benefitting shareholders as a result.
The other area of growth for the Trust was with our cannabis ETFs. While the AdvisorShares Pure Cannabis ETF (Ticker: YOLO) saw a year of volatile performance, investors continued to allocate assets to this category. We launched a second cannabis ETF, solely focused on U.S. companies, the AdvisorShares Pure US Cannabis ETF (Ticker: MSOS), which ended the year with significant out performance, asset growth and investor interest relative to other cannabis funds.
Finally, before year end, we launched two new ETFs with ThinkBetter, LLC: the AdvisorShares Q Dynamic Growth ETF (Ticker: QPX) and the AdvisorShares Q Portfolio Bended Allocation ETF (Ticker: QPT). Both ETFs offer a unique investing approach by measuring risk through a quantitative, heavy tail analysis. QPT is a balanced strategy designed to provide alpha* over a traditional 60/40 (equity/bond) benchmark, while QPX is a tactical equity strategy that looks to avoid significant drawdowns by tactically allocating to fixed income as volatility enters the market. We are excited to add this new manager to the AdvisorShares Trust.
For more information on AdvisorShares ETFs, including performance and holdings, please visit www.advisorshares.com.
We understand and recognize the unprecedented territories that we face together as a society and as partners in financial stewardship. During 2020, AdvisorShares realized increased asset growth which we could not have accomplished without your continuing trust and support. As we begin the second half of our fiscal year, our commitment to our shareholders remains paramount. We wish you nothing but health, happiness, and prosperity as we move forward.
Sincerest regards,
Noah Hamman
CEO, AdvisorShares Investments
* Alpha measures the risk-adjusted premium an investment earns above its benchmark.
1
ADVISORSHARES
TRUST
Letter from the CEO of AdvisorShares Investments,
LLC (continued)
December 31, 2020
Investing involves risk including possible loss of principal. The Advisor’s judgment about the markets, the economy, or companies may not anticipate actual market movements, economic conditions or company performance, and these factors may affect the return on your investment. The prices of equity securities rise and fall daily Foreign investing involves special risks, such as risk of loss from currency fluctuation or political or economic uncertainty. Investments in emerging or offshore markets are generally less liquid and less efficient than investments in developed markets and are subject to additional risks, such as risks of adverse governmental regulation and intervention or political developments.
There is no guarantee the Advisors investment strategy will be successful. When models and data prove to be incorrect or incomplete, any decisions made in reliance thereon expose the Fund to potential risks. In addition, the use of predictive models has inherent risk. Because predictive models are usually constructed based on historical data supplied by third parties, the success of relying on such models may depend heavily on the accuracy and reliability of the supplied historical data. The Fund’s particular allocations may have a significant effect on the Fund’s performance. Allocation risk is the risk that the selection of ETFs and the allocation of assets among such ETFs will cause the Fund to underperform other funds with a similar investment objective that do not allocate their assets in the same manner or the market as a whole. For a list of the asset class specific risks please see the prospectus.
Cannabis-Related Company Risk. Cannabis-related companies are subject to various laws and regulations that may differ at the state/local and federal level. These laws and regulations may (i) significantly affect a cannabis-related company’s ability to secure financing, (ii) impact the market for marijuana industry sales and services, and (iii) set limitations on marijuana use, production, transportation, and storage. Cannabis-related companies may also be required to secure permits and authorizations from government agencies to cultivate or research marijuana. In addition, cannabis-related companies are subject to the risks associated with the greater agricultural industry, including changes to or trends that affect commodity prices, labor costs, weather conditions, and laws and regulations related to environmental protection, health and safety. Cannabis-related companies may also be subject to risks associated with the biotechnology and pharmaceutical industries. These risks include increased government regulation, the use and enforcement of intellectual property rights and patents, technological change and obsolescence, product liability lawsuits, and the risk that research and development may not necessarily lead to commercially successful products.
The views in this report were those of the Fund’s CEO as of December 31, 2020 and may not reflect his views on the date that this report is first published or anytime thereafter. These views are intended to assist shareholders in understanding their investments and do not constitute investment advice.
2
ADVISORSHARES TRUST
Shareholder Expense Examples (unaudited)
As a shareholder of the Fund, you incur transaction cost and ongoing costs, including management fees and other Fund expenses. The following example is intended to help you understand your ongoing costs (in dollars and cents) of investing in the Fund and to compare these costs with the ongoing costs of investing in other funds. The examples are based on an initial investment of $1,000 invested at July 1, 2020 and held for the period ended December 31, 2020, unless noted below for Funds not in operations for the full six month period.
Actual Expenses
The first line under each Fund in the table below provides information about actual account values and actual expenses. You may use the information, together with the amount you invested, to estimate the expenses that you incurred over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8.6), then multiply the result by the number under the heading entitled “Expenses Paid” to estimate the expenses attributable to your account during this period.
Hypothetical Example for Comparison Purposes
The second line under each Fund in the table provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses for the period. You may use this information to compare the ongoing costs of investing in the Funds and other ETF funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.
Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs. Therefore, the hypothetical example is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.
In addition, if these transactional costs were included, your costs would have been higher.
| Fund Name | Beginning Account Value 7/1/2020 | Ending Account Value 12/31/2020 | Annualized Expense Ratio for the Period | Expenses Paid | ||||||||||||
| AdvisorShares Dorsey Wright ADR ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,147.40 | 1.10 | % | $ | 5.95 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,019.66 | 1.10 | % | $ | 5.60 | ||||||||
| AdvisorShares Dorsey Wright Alpha Equal Weight ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,360.20 | 0.99 | % | $ | 5.89 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,020.21 | 0.99 | % | $ | 5.04 | ||||||||
| AdvisorShares Dorsey Wright FSM All Cap World ETF(2) | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,324.80 | 0.92 | % | $ | 5.39 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,020.57 | 0.92 | % | $ | 4.69 | ||||||||
| AdvisorShares Dorsey Wright FSM US Core ETF(2) | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,247.10 | 0.99 | % | $ | 5.61 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,020.21 | 0.99 | % | $ | 5.04 | ||||||||
| AdvisorShares Dorsey Wright Micro-Cap ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,375.60 | 1.25 | % | $ | 7.48 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,018.90 | 1.25 | % | $ | 6.36 | ||||||||
| AdvisorShares Dorsey Wright Short ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 594.10 | 0.94 | % | $ | 3.78 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,020.47 | 0.94 | % | $ | 4.79 | ||||||||
3
ADVISORSHARES TRUST
Shareholder Expense Examples (unaudited) (continued)
| Fund Name | Beginning Account Value 7/1/2020 | Ending Account Value 12/31/2020 | Annualized Expense Ratio for the Period | Expenses Paid | ||||||||||||
| AdvisorShares DoubleLine Value Equity ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,231.30 | 0.90 | % | $ | 5.06 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,020.67 | 0.90 | % | $ | 4.58 | ||||||||
| AdvisorShares Focused Equity ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,221.10 | 0.65 | % | $ | 3.64 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,021.93 | 0.65 | % | $ | 3.31 | ||||||||
| AdvisorShares FolioBeyond Smart Core Bond ETF(2) | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,038.20 | 0.95 | % | $ | 4.88 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,020.42 | 0.95 | % | $ | 4.84 | ||||||||
| AdvisorShares Newfleet Multi-Sector Income ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,029.50 | 0.75 | % | $ | 3.84 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,021.42 | 0.75 | % | $ | 3.82 | ||||||||
| AdvisorShares Pure Cannabis ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,690.30 | 0.74 | % | $ | 5.02 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,021.48 | 0.74 | % | $ | 3.77 | ||||||||
| AdvisorShares Pure US Cannabis ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,452.50 | 0.74 | % | $ | 3.01 | (3) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,021.48 | 0.74 | % | $ | 3.77 | ||||||||
| AdvisorShares Q Dynamic Growth ETF(2) | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,000.00 | 1.45 | % | $ | 0.12 | (4) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,017.90 | 1.45 | % | $ | 7.38 | ||||||||
| AdvisorShares Q Portfolio Blended Allocation ETF(2) | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,002.40 | 0.99 | % | $ | 0.08 | (4) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,020.21 | 0.99 | % | $ | 5.04 | ||||||||
| AdvisorShares Ranger Equity Bear ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 625.40 | 1.70 | % | $ | 6.96 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,016.64 | 1.70 | % | $ | 8.64 | ||||||||
| AdvisorShares Sage Core Reserves ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,008.70 | 0.35 | % | $ | 1.77 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,023.44 | 0.35 | % | $ | 1.79 | ||||||||
| AdvisorShares STAR Global Buy-Write ETF(2) | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,147.10 | 1.85 | % | $ | 10.01 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,015.88 | 1.85 | % | $ | 9.40 | ||||||||
| AdvisorShares Vice ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,359.20 | 0.99 | % | $ | 5.89 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,020.21 | 0.99 | % | $ | 5.04 | ||||||||
| (1) | Expenses are calculated using each Fund’s annualized expense ratio, multiplied by the average account value for the period, multiplied by 184/365 (to reflect the six-month period). |
| (2) | The Fund invests in other funds and indirectly bears its proportionate shares of fees and expenses incurred by the funds in which the Fund is invested in. These ratios do not include these indirect fees and expenses. |
| (3) | Actual Expenses Paid are equal to the Fund’s annualized expense ratio, multiplied by the average account value for the period, multiplied by 121/365 (to reflect commencement of operations to September 1, 2020). |
| (4) | Actual Expenses Paid are equal to the Fund’s annualized expense ratio, multiplied by the average account value for the period, multiplied by 3/365 (to reflect commencement of operations to December 28, 2020). |
4
ADVISORSHARES
DORSEY WRIGHT ADR ETF
Schedule of Investments
December 31, 2020 (Unaudited)
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 99.7% | ||||||||
| Airlines — 2.3% | ||||||||
| Ryanair Holdings PLC (Ireland)*(a) | 16,664 | $ | 1,832,707 | |||||
| Apparel — 3.6% | ||||||||
| LVMH Moet Hennessy Louis Vuitton SE (France)(a) | 22,829 | 2,847,461 | ||||||
| Banks — 2.4% | ||||||||
| HDFC Bank Ltd. (India)*(a) | 26,520 | 1,916,335 | ||||||
| Biotechnology — 7.8% | ||||||||
| Argenx SE (Netherlands)*(a) | 15,497 | 4,557,513 | ||||||
| Genmab A/S (Denmark)*(a) | 40,791 | 1,658,562 | ||||||
| Total Biotechnology | 6,216,075 | |||||||
| Building Materials — 4.4% | ||||||||
| Cemex SAB de CV (Mexico)*(a) | 331,766 | 1,715,230 | ||||||
| CRH PLC (Ireland)(a) | 42,122 | 1,793,555 | ||||||
| Total Building Materials | 3,508,785 | |||||||
| Chemicals — 2.4% | ||||||||
| Sociedad Quimica y Minera de Chile SA (Chile)(a) | 39,246 | 1,926,586 | ||||||
| Commercial Services — 8.4% | ||||||||
| Experian PLC (United Kingdom)(a)(b) | 40,304 | 1,529,940 | ||||||
| New Oriental Education & Technology Group, Inc. (China)*(a) | 12,970 | 2,409,956 | ||||||
| TAL Education Group (China)*(a) | 38,011 | 2,718,166 | ||||||
| Total Commercial Services | 6,658,062 | |||||||
| Computers — 3.1% | ||||||||
Logitech International SA (Switzerland)(b) | 25,139 | 2,443,260 | ||||||
| Diversified Financial Services — 2.2% | ||||||||
| KB Financial Group, Inc. (South Korea)(a) | 43,909 | 1,738,797 | ||||||
| Electric — 2.2% | ||||||||
| Enel SpA (Italy)(a) | 174,713 | 1,773,337 | ||||||
| Electronics — 2.2% | ||||||||
| ABB Ltd. (Switzerland)(a)(b) | 63,068 | 1,763,381 | ||||||
| Energy – Alternate Sources — 2.0% | ||||||||
| JinkoSolar Holding Co., Ltd. (China)*(a)(b) | 25,881 | 1,601,258 | ||||||
| Healthcare – Products — 1.9% | ||||||||
| Koninklijke Philips NV (Netherlands)* | 27,620 | 1,496,176 | ||||||
| Healthcare – Services — 2.7% | ||||||||
| ICON PLC (Ireland)* | 10,982 | 2,141,270 | ||||||
| Home Furnishings — 2.5% | ||||||||
| Sony Corp. (Japan)(a) | 19,371 | 1,958,408 | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Internet — 13.2% | ||||||||
| 21Vianet Group, Inc. (China)*(a) | 72,640 | $ | 2,519,882 | |||||
| MercadoLibre, Inc. (Argentina)* | 2,474 | 4,144,494 | ||||||
| Tencent Holdings Ltd. (China)(a) | 24,077 | 1,730,895 | ||||||
| Vipshop Holdings Ltd. (China)*(a) | 73,136 | 2,055,853 | ||||||
| Total Internet | 10,451,124 | |||||||
| Lodging — 2.3% | ||||||||
| Huazhu Group Ltd. (China)(a) | 39,545 | 1,780,711 | ||||||
| Media — 1.9% | ||||||||
| Thomson Reuters Corp. (Canada)(b) | 18,024 | 1,475,985 | ||||||
| Mining — 10.7% | ||||||||
| Gold Fields Ltd. (South Africa)(a) | 373,571 | 3,463,003 | ||||||
| Rio Tinto PLC (Australia)(a)(b) | 27,214 | 2,047,037 | ||||||
| Sibanye Stillwater Ltd. (South Africa)(a) | 188,200 | 2,990,498 | ||||||
| Total Mining | 8,500,538 | |||||||
| Pharmaceuticals — 7.9% | ||||||||
| AstraZeneca PLC (United Kingdom)(a)(b) | 40,055 | 2,002,349 | ||||||
| Dr Reddy’s Laboratories Ltd. (India)(a) | 31,565 | 2,250,269 | ||||||
| Novo Nordisk A/S (Denmark)(a) | 28,134 | 1,965,160 | ||||||
| Total Pharmaceuticals | 6,217,778 | |||||||
| Semiconductors — 6.5% | ||||||||
| ASML Holding NV (Netherlands) | 6,917 | 3,373,559 | ||||||
| NXP Semiconductors NV (Netherlands) | 11,300 | 1,796,813 | ||||||
| Total Semiconductors | 5,170,372 | |||||||
| Telecommunications — 7.1% | ||||||||
| Nice Ltd. (Israel)*(a) | 19,968 | 5,661,727 | ||||||
| Total
Common Stocks (Cost $54,872,929) | 79,080,133 | |||||||
| MONEY MARKET FUNDS — 0.5% | ||||||||
| Invesco Government & Agency Portfolio – Private Investment Class, 0.03%(c) | 334,358 | 334,358 | ||||||
| Goldman Sachs Financial Square Government Fund – Institutional Shares, Institutional Class, 0.12%(c)(d) | 46,000 | 46,000 | ||||||
| Total
Money Market Funds (Cost $380,358) | 380,358 | |||||||
See accompanying Notes to Financial Statements.
5
ADVISORSHARES
DORSEY WRIGHT ADR ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Principal | Value | ||||||
| REPURCHASE AGREEMENTS — 3.8%(d) | ||||||||
| Citigroup Global Markets, Inc., dated 12/31/20, due 01/04/21, 0.07%, total to be received $713,515, (collateralized by various U.S. Government Agency Obligations, 0.00%-4.00%, 09/15/21-01/01/51, totaling $726,310) | $ | 713,509 | $ | 713,509 | ||||
| Daiwa Capital Markets America, dated 12/31/20, due 01/04/21, 0.07%, total to be received $713,515, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.50%, 01/26/21-01/01/51, totaling $725,947) | 713,509 | 713,509 | ||||||
| Deutsche Bank Securities, Inc., dated 12/31/20, due 01/04/21, 0.06%, total to be received $713,514, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.50%, 01/15/21-01/01/51, totaling $726,182) | 713,509 | 713,509 | ||||||
| Nomura Securities International, Inc., dated 12/31/20, due 01/04/21, 0.07%, total to be received $165,514, (collateralized by various U.S. Government Agency Obligations, 0.00%-8.50%, 01/31/21-01/15/56, totaling $168,431) | 165,513 | 165,513 | ||||||
| RBC Dominion Securities, Inc., dated 12/31/20, due 01/04/21, 0.08%, total to be received $713,515, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.00%, 01/05/21-12/20/50, totaling $726,137) | 713,509 | 713,509 | ||||||
| Total Repurchase Agreements (Cost $3,019,549) | 3,019,549 | |||||||
| Total Investments — 104.0% (Cost $58,272,836) | 82,480,040 | |||||||
| Liabilities in Excess of Other Assets — (4.0%) | (3,147,562 | ) | ||||||
| Net Assets — 100.0% | $ | 79,332,478 | ||||||
PLC — Public Limited Company
| * | Non-income producing security. |
| (a) | American Depositary Receipt. |
| (b) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $9,431,803; the aggregate market value of the collateral held by the fund is $9,727,222. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $6,661,673. |
| (c) | Rate shown reflects the 7-day yield as of December 31, 2020. |
| (d) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
6
ADVISORSHARES
DORSEY WRIGHT ADR ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Common Stocks | $ | 79,080,133 | $ | — | $ | — | $ | 79,080,133 | ||||||||
| Money Market Funds | 380,358 | — | — | 380,358 | ||||||||||||
| Repurchase Agreements | — | 3,019,549 | — | 3,019,549 | ||||||||||||
| Total | $ | 79,460,491 | $ | 3,019,549 | $ | — | $ | 82,480,040 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
|||||
| Airlines | 2.3 | % | |||
| Apparel | 3.6 | ||||
| Banks | 2.4 | ||||
| Biotechnology | 7.8 | ||||
| Building Materials | 4.4 | ||||
| Chemicals | 2.4 | ||||
| Commercial Services | 8.4 | ||||
| Computers | 3.1 | ||||
| Diversified Financial Services | 2.2 | ||||
| Electric | 2.2 | ||||
| Electronics | 2.2 | ||||
| Energy – Alternate Sources | 2.0 | ||||
| Healthcare – Products | 1.9 | ||||
| Healthcare – Services | 2.7 | ||||
| Home Furnishings | 2.5 | ||||
| Internet | 13.2 | ||||
| Lodging | 2.3 | ||||
| Media | 1.9 | ||||
| Mining | 10.7 | ||||
| Pharmaceuticals | 7.9 | ||||
| Semiconductors | 6.5 | ||||
| Telecommunications | 7.1 | ||||
| Money Market Funds | 0.5 | ||||
| Repurchase Agreements | 3.8 | ||||
| Total Investments | 104.0 | ||||
| Liabilities in Excess of Other Assets | (4.0 | ) | |||
| Net Assets | 100.0 | % | |||
See accompanying Notes to Financial Statements.
7
ADVISORSHARES
DORSEY WRIGHT ALPHA EQUAL WEIGHT ETF
Schedule of Investments
December 31, 2020 (Unaudited)
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 99.7% | ||||||||
| Advertising — 2.2% | ||||||||
| Trade Desk, Inc. (The), Class A* | 2,005 | $ | 1,606,005 | |||||
| Aerospace/Defense — 5.0% | ||||||||
| HEICO Corp. | 13,706 | 1,814,675 | ||||||
| TransDigm Group, Inc.* | 2,964 | 1,834,271 | ||||||
| Total Aerospace/Defense | 3,648,946 | |||||||
| Apparel — 2.7% | ||||||||
| NIKE, Inc., Class B | 14,051 | 1,987,795 | ||||||
| Auto Manufacturers — 3.8% | ||||||||
| Tesla, Inc.* | 3,963 | 2,796,570 | ||||||
| Commercial Services — 7.3% | ||||||||
| Cintas Corp. | 4,901 | 1,732,308 | ||||||
| CoStar Group, Inc.* | 1,937 | 1,790,330 | ||||||
| Rollins, Inc. | 46,031 | 1,798,431 | ||||||
| Total Commercial Services | 5,321,069 | |||||||
| Computers — 5.1% | ||||||||
| Apple, Inc. | 14,374 | 1,907,286 | ||||||
| EPAM Systems, Inc.* | 5,075 | 1,818,626 | ||||||
| Total Computers | 3,725,912 | |||||||
| Distribution/Wholesale — 4.7% | ||||||||
| Pool Corp. | 4,619 | 1,720,578 | ||||||
| W.W. Grainger, Inc. | 4,216 | 1,721,561 | ||||||
| Total Distribution/Wholesale | 3,442,139 | |||||||
| Diversified Financial Services — 2.5% | ||||||||
| Mastercard, Inc., Class A | 5,198 | 1,855,374 | ||||||
| Electrical Components & Equipment — 5.1% | ||||||||
| AMETEK, Inc. | 14,886 | 1,800,313 | ||||||
| Generac Holdings, Inc.* | 8,313 | 1,890,459 | ||||||
| Total Electrical Components & Equipment | 3,690,772 | |||||||
| Electronics — 2.5% | ||||||||
| Roper Technologies, Inc. | 4,153 | 1,790,317 | ||||||
| Entertainment — 2.6% | ||||||||
| Caesars Entertainment, Inc.* | 25,610 | 1,902,055 | ||||||
| Home Builders — 2.2% | ||||||||
| NVR, Inc.* | 389 | 1,587,066 | ||||||
| Internet — 4.9% | ||||||||
| Amazon.com, Inc.* | 544 | 1,771,770 | ||||||
| Okta, Inc.* | 7,052 | 1,793,041 | ||||||
| Total Internet | 3,564,811 | |||||||
| Machinery – Diversified — 2.4% | ||||||||
| IDEX Corp. | 8,947 | 1,782,242 | ||||||
| Miscellaneous Manufacturing — 4.8% | ||||||||
| Axon Enterprise, Inc.* | 14,106 | 1,728,408 | ||||||
| Trane Technologies PLC | 12,040 | 1,747,727 | ||||||
| Total Miscellaneous Manufacturing | 3,476,135 | |||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Retail — 16.8% | ||||||||
| Best Buy Co., Inc. | 14,578 | $ | 1,454,739 | |||||
| Carvana Co.*(a) | 7,026 | 1,683,008 | ||||||
| Chipotle Mexican Grill, Inc.* | 1,290 | 1,788,856 | ||||||
| Dollar General Corp. | 7,704 | 1,620,151 | ||||||
| Home Depot, Inc. (The) | 6,388 | 1,696,780 | ||||||
| O’Reilly Automotive, Inc.* | 3,933 | 1,779,958 | ||||||
| RH*(a) | 4,909 | 2,196,876 | ||||||
| Total Retail | 12,220,368 | |||||||
| Semiconductors — 10.0% | ||||||||
| Advanced Micro Devices, Inc.* | 17,656 | 1,619,232 | ||||||
| Broadcom, Inc. | 4,391 | 1,922,599 | ||||||
| Monolithic Power Systems, Inc. | 5,463 | 2,000,715 | ||||||
| NVIDIA Corp. | 3,387 | 1,768,691 | ||||||
| Total Semiconductors | 7,311,237 | |||||||
| Software — 12.8% | ||||||||
| ANSYS, Inc.* | 4,684 | 1,704,039 | ||||||
| Cadence Design Systems, Inc.* | 13,332 | 1,818,885 | ||||||
| Five9, Inc.* | 11,540 | 2,012,576 | ||||||
| Paycom Software, Inc.* | 4,327 | 1,956,886 | ||||||
| ServiceNow, Inc.* | 3,389 | 1,865,407 | ||||||
| Total Software | 9,357,793 | |||||||
| Transportation — 2.3% | ||||||||
| Old Dominion Freight Line, Inc. | 8,456 | 1,650,442 | ||||||
| Total
Common Stocks (Cost $61,348,621) | 72,717,048 | |||||||
| MONEY MARKET FUND — 0.4% | ||||||||
| BlackRock
Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 0.01%(b) (Cost $280,978) | 280,978 | 280,978 | ||||||
| Total
Investments — 100.1% (Cost $61,629,599) | 72,998,026 | |||||||
| Liabilities in Excess of Other Assets — (0.1%) | (51,644 | ) | ||||||
| Net Assets — 100.0% | $ | 72,946,382 |
PLC — Public Limited Company
| * | Non-income producing security. |
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $3,282,123; the aggregate market value of the collateral held by the fund is $3,434,726. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $3,434,726. |
| (b) | Rate shown reflects the 7-day yield as of December 31, 2020. |
See accompanying Notes to Financial Statements.
8
ADVISORSHARES
DORSEY WRIGHT ALPHA EQUAL WEIGHT ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Common Stocks | $ | 72,717,048 | $ | — | $ | — | $ | 72,717,048 | ||||||||
| Money Market Fund | 280,978 | — | — | 280,978 | ||||||||||||
| Total | $ | 72,998,026 | $ | — | $ | — | $ | 72,998,026 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Advertising | 2.2 | % | ||
| Aerospace/Defense | 5.0 | |||
| Apparel | 2.7 | |||
| Auto Manufacturers | 3.8 | |||
| Commercial Services | 7.3 | |||
| Computers | 5.1 | |||
| Distribution/Wholesale | 4.7 | |||
| Diversified Financial Services | 2.5 | |||
| Electrical Components & Equipment | 5.1 | |||
| Electronics | 2.5 | |||
| Entertainment | 2.6 | |||
| Home Builders | 2.2 | |||
| Internet | 4.9 | |||
| Machinery – Diversified | 2.4 | |||
| Miscellaneous Manufacturing | 4.8 | |||
| Retail | 16.8 | |||
| Semiconductors | 10.0 | |||
| Software | 12.8 | |||
| Transportation | 2.3 | |||
| Money Market Fund | 0.4 | |||
| Total Investments | 100.1 | |||
| Liabilities in Excess of Other Assets | (0.1 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
9
ADVISORSHARES
DORSEY WRIGHT FSM ALL CAP WORLD ETF
Schedule of Investments
December 31, 2020 (Unaudited)
| Investments | Shares | Value | ||||||
| EXCHANGE TRADED FUNDS — 100.0% | ||||||||
| Equity Fund — 100.0% | ||||||||
| iShares Morningstar Mid-Cap Growth ETF | 171,769 | $ | 65,698,207 | |||||
| iShares Morningstar Small-Cap Growth ETF† | 227,081 | 68,919,084 | ||||||
| Total Exchange Traded Funds (Cost $115,386,257) | 134,617,291 | |||||||
| MONEY MARKET FUND — 0.1% | ||||||||
| BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 0.01%(a) (Cost $81,570) | 81,570 | 81,570 | ||||||
| Total Investments — 100.1% (Cost $115,467,827) | 134,698,861 | |||||||
| Liabilities in Excess of Other Assets — (0.1%) | (92,787 | ) | ||||||
| Net Assets — 100.0% | $ | 134,606,074 | ||||||
ETF — Exchange Traded Fund
| † | Affiliated Company. |
| (a) | Rate shown reflects the 7-day yield as of December31, 2020. |
See accompanying Notes to Financial Statements.
10
ADVISORSHARES
DORSEY WRIGHT FSM ALL CAP WORLD ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Exchange Traded Funds | $ | 134,617,291 | $ | — | $ | — | $ | 134,617,291 | ||||||||
| Money Market Fund | 81,570 | — | — | 81,570 | ||||||||||||
| Total | $ | 134,698,861 | $ | — | $ | — | $ | 134,698,861 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets | ||||
| Equity Fund | 100.0 | % | ||
| Money Market Fund | 0.1 | |||
| Total Investments | 100.1 | |||
| Liabilities in Excess of Other Assets | (0.1 | ) | ||
| Net Assets | 100.0 | % | ||
Affiliated holdings are funds which are managed by the Trust or an affiliate of the Trust. Transactions with affiliated companies during the period ended December 31, 2020 were as follows:
| Affiliated Fund Name | Value at 6/30/2020 | Purchases/ Additions | Sales/ Reductions | Realized Gain (Loss) | Change in Unrealized Gain (Loss) | Number of Shares at 12/31/2020 | Value at 12/31/2020 | Dividend Income | ||||||||||||||||||||||||
iShares Morningstar Small-Cap Growth ETF | $ | — | $ | 59,756,089 | $ | (386,859 | ) | $ | 12,432 | $ | 9,537,422 | 227,081 | $ | 68,919,084 | $ | 20,229 | ||||||||||||||||
See accompanying Notes to Financial Statements.
11
ADVISORSHARES
DORSEY WRIGHT FSM US CORE ETF
Schedule of Investments
December 31, 2020 (Unaudited)
| Investments | Shares/ Principal | Value | ||||||
| EXCHANGE TRADED FUNDS — 100.0% | ||||||||
| Equity Fund — 100.0% | ||||||||
| Invesco QQQ Trust Series 1(a) | 117,246 | $ | 36,784,760 | |||||
| iShares MSCI USA Momentum Factor ETF | 222,810 | 35,937,025 | ||||||
| Total Exchange Traded Funds | ||||||||
| (Cost $57,076,816) | 72,721,785 | |||||||
| MONEY MARKET FUND — 0.1% | ||||||||
| BlackRock
Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 0.01%(b) (Cost $95,011) | 95,011 | 95,011 | ||||||
| REPURCHASE AGREEMENTS — 1.1%(c) | ||||||||
| Citigroup Global Markets, Inc., dated 12/31/20, due 01/04/21, 0.07%, total to be received $249,002 (collateralized by various U.S Government. Agency Obligations, 0.00%-4.00%,09/15/21-01/01/51 totaling $253,467) | $ | 249,000 | 249,000 | |||||
| Daiwa Capital Markets America, dated 12/31/20, due 01/04/21, 0.07%, total to be received $249,002, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.50%, 01/26/21-01/01/51, totaling $253,341) | 249,000 | 249,000 | ||||||
| Investments | Principal | Value | ||||||
| REPURCHASE AGREEMENTS (continued) | ||||||||
| Nomura Securities International, Inc., dated 12/31/20, due 01/04/21, 0.07%, total to be received $51,344, (collateralized by various U.S. Government Agency Obligations, 0.00%-8.50%, 01/31/21-01/15/56, totaling $52,249) | $ | 51,344 | $ | 51,344 | ||||
| RBC Dominion Securities, Inc., dated 12/31/20, due 01/04/21, 0.08%, total to be received $249,002, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.00%, 01/05/21-12/20/50, totaling $253,407) | 249,000 | 249,000 | ||||||
| Total
Repurchase Agreements (Cost $798,344) | 798,344 | |||||||
| Total Investments — 101.2% (Cost $57,970,171) | 73,615,140 | |||||||
| Liabilities in Excess of Other Assets — (1.2%) | (864,351 | ) | ||||||
| Net Assets — 100.0% | $ | 72,750,789 | ||||||
ETF — Exchange Traded Fund
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $16,690,341; the aggregate market value of the collateral held by the fund is $16,998,997. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $16,200,653. |
| (b) | Rate shown reflects the 7-day yield as of December 31, 2020. |
| (c) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
12
ADVISORSHARES
DORSEY WRIGHT FSM US CORE ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Exchange Traded Funds | $ | 72,721,785 | $ | — | $ | — | $ | 72,721,785 | ||||||||
| Money Market Fund | 95,011 | — | — | 95,011 | ||||||||||||
| Repurchase Agreements | — | 798,344 | — | 798,344 | ||||||||||||
| Total | $ | 72,816,796 | $ | 798,344 | $ | — | $ | 73,615,140 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets | ||||
| Equity Fund | 100.0 | % | ||
| Money Market Fund | 0.1 | |||
| Repurchase Agreements | 1.1 | |||
| Total Investments | 101.2 | |||
| Liabilities in Excess of Other Assets | (1.2 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
13
ADVISORSHARES
DORSEY WRIGHT MICRO-CAP ETF
Schedule of Investments
December 31, 2020 (Unaudited)
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 99.3% | ||||||||
| Advertising — 0.4% | ||||||||
| SharpSpring, Inc.* | 769 | $ | 12,519 | |||||
| Agriculture — 0.5% | ||||||||
| Turning Point Brands, Inc. | 300 | 13,368 | ||||||
| Auto Parts & Equipment — 3.4% | ||||||||
| Commercial Vehicle Group, Inc.* | 1,990 | 17,213 | ||||||
| Modine Manufacturing Co.* | 1,100 | 13,816 | ||||||
| Shyft Group, Inc. (The) | 555 | 15,751 | ||||||
| Titan International, Inc. | 2,639 | 12,826 | ||||||
| XPEL, Inc.* | 741 | 38,206 | ||||||
| Total Auto Parts & Equipment | 97,812 | |||||||
| Banks — 2.0% | ||||||||
| First Foundation, Inc. | 705 | 14,100 | ||||||
| Merchants Bancorp | 497 | 13,732 | ||||||
| Silvergate Capital Corp., Class A* | 393 | 29,204 | ||||||
| Total Banks | 57,036 | |||||||
| Beverages — 3.3% | ||||||||
| Celsius Holdings, Inc.* | 1,934 | 97,300 | ||||||
| Biotechnology — 6.7% | ||||||||
| Avid Bioservices, Inc.* | 1,564 | 18,049 | ||||||
| Celldex Therapeutics, Inc.* | 760 | 13,315 | ||||||
| OncoSec Medical, Inc.*(a) | 2,160 | 13,932 | ||||||
| Origin Agritech Ltd. (China)*(a) | 1,014 | 15,403 | ||||||
| Surface Oncology, Inc.*(a) | 1,667 | 15,403 | ||||||
| Sutro Biopharma, Inc.* | 779 | 16,912 | ||||||
| Syndax Pharmaceuticals, Inc.* | 600 | 13,344 | ||||||
| TCR2 Therapeutics, Inc.* | 565 | 17,475 | ||||||
| Twist Bioscience Corp.* | 265 | 37,442 | ||||||
| Veracyte, Inc.*(a) | 693 | 33,915 | ||||||
| Total Biotechnology | 195,190 | |||||||
| Building Materials — 0.4% | ||||||||
| LSI Industries, Inc. | 1,518 | 12,994 | ||||||
| Chemicals — 0.4% | ||||||||
| Hawkins, Inc. | 211 | 11,038 | ||||||
| Commercial Services — 3.7% | ||||||||
| Arlo Technologies, Inc.* | 1,716 | 13,368 | ||||||
| CAI International, Inc. | 375 | 11,715 | ||||||
| DLH Holdings Corp.* | 1,236 | 11,519 | ||||||
| R1 RCM, Inc.* | 1,279 | 30,722 | ||||||
| Riot Blockchain, Inc.* | 1,465 | 24,890 | ||||||
| Textainer Group Holdings Ltd. (China)* | 784 | 15,037 | ||||||
| Total Commercial Services | 107,251 | |||||||
| Computers — 0.5% | ||||||||
| PAR Technology Corp.*(a) | 257 | 16,137 | ||||||
| Cosmetics / Personal Care — 0.5% | ||||||||
| elf Beauty, Inc.* | 565 | 14,232 | ||||||
| Distribution / Wholesale — 0.4% | ||||||||
| Titan Machinery, Inc.* | 660 | 12,903 | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Diversified Financial Services — 2.5% | ||||||||
| B. Riley Financial, Inc. | 373 | $ | 16,494 | |||||
| Cowen, Inc., Class A | 535 | 13,905 | ||||||
| Freedom Holding Corp. NV (Kazakhstan)*(a) | 537 | 27,553 | ||||||
| Ocwen Financial Corp.* | 487 | 14,079 | ||||||
| Total Diversified Financial Services | 72,031 | |||||||
| Electric — 1.4% | ||||||||
| Ameresco, Inc., Class A* | 797 | 41,635 | ||||||
| Electrical Components & Equipment — 3.0% | ||||||||
| American Superconductor Corp.* | 927 | 21,710 | ||||||
| Capstone Turbine Corp.* | 1,680 | 17,976 | ||||||
| Novanta, Inc.* | 281 | 33,220 | ||||||
| Orion Energy Systems, Inc.* | 1,393 | 13,749 | ||||||
| Total Electrical Components & Equipment | 86,655 | |||||||
| Electronics — 3.3% | ||||||||
| Camtek Ltd. (Israel)* | 1,152 | 25,240 | ||||||
| Digimarc Corp.* | 254 | 11,999 | ||||||
| Identiv, Inc.* | 1,534 | 13,039 | ||||||
| IEC Electronics Corp.* | 1,050 | 14,228 | ||||||
| RADA Electronic Industries Ltd. (Israel)* | 1,562 | 15,230 | ||||||
| Turtle Beach Corp.* | 719 | 15,494 | ||||||
| Total Electronics | 95,230 | |||||||
| Energy – Alternate Sources — 2.8% | ||||||||
| Beam Global*(a) | 924 | 68,173 | ||||||
| Sunworks, Inc.* | 2,800 | 14,336 | ||||||
| Total Energy – Alternate Sources | 82,509 | |||||||
| Engineering & Construction — 2.8% | ||||||||
| IES Holdings, Inc.* | 417 | 19,199 | ||||||
| Infrastructure and Energy Alternatives, Inc.* | 1,888 | 31,284 | ||||||
| Limbach Holdings, Inc.* | 1,098 | 13,538 | ||||||
| MYR Group, Inc.* | 269 | 16,167 | ||||||
| Total Engineering & Construction | 80,188 | |||||||
| Entertainment — 1.7% | ||||||||
| Chicken Soup For The Soul Entertainment, Inc.*(a) | 788 | 15,752 | ||||||
| Golden Entertainment, Inc.* | 700 | 13,923 | ||||||
| RCI Hospitality Holdings, Inc. | 487 | 19,207 | ||||||
| Total Entertainment | 48,882 | |||||||
| Food — 1.5% | ||||||||
| AquaBounty Technologies, Inc.* | 1,600 | 14,016 | ||||||
| Seneca Foods Corp., Class A* | 287 | 11,451 | ||||||
| Utz Brands, Inc. | 784 | 17,295 | ||||||
| Total Food | 42,762 | |||||||
See accompanying Notes to Financial Statements.
14
ADVISORSHARES
DORSEY WRIGHT MICRO-CAP ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Forest Products & Paper — 1.0% | ||||||||
| Clearwater Paper Corp.* | 380 | $ | 14,345 | |||||
| Resolute Forest Products, Inc.* | 2,280 | 14,911 | ||||||
| Total Forest Products & Paper | 29,256 | |||||||
| Healthcare – Products — 3.5% | ||||||||
| Accuray, Inc.* | 3,400 | 14,178 | ||||||
| Alphatec Holdings, Inc.* | 1,196 | 17,366 | ||||||
| Aspira Women’s Health, Inc.* | 2,200 | 14,762 | ||||||
| Castle Biosciences, Inc.* | 264 | 17,727 | ||||||
| ClearPoint Neuro, Inc.*(a) | 1,308 | 20,784 | ||||||
| Pulse Biosciences, Inc.*(a) | 767 | 18,301 | ||||||
| Total Healthcare – Products | 103,118 | |||||||
| Healthcare – Services — 2.9% | ||||||||
| Addus HomeCare Corp.* | 183 | 21,428 | ||||||
| Joint Corp. (The)* | 477 | 12,526 | ||||||
| Neuronetics, Inc.*(a) | 1,500 | 16,665 | ||||||
| SI-BONE, Inc.* | 480 | 14,352 | ||||||
| Surgery Partners, Inc.* | 704 | 20,423 | ||||||
| Total Healthcare – Services | 85,394 | |||||||
| Holding Companies – Diversified — 1.3% | ||||||||
| Marathon Patent Group, Inc.* | 2,200 | 22,968 | ||||||
| South Mountain Merger Corp., Class A* | 840 | 13,549 | ||||||
| Total Holding | ||||||||
| Companies – Diversified | 36,517 | |||||||
| Home Builders — 1.4% | ||||||||
| Green Brick Partners, Inc.* | 814 | 18,690 | ||||||
| Horizon Global Corp.* | 1,460 | 12,541 | ||||||
| Hovnanian Enterprises, Inc., Class A*(a) | 335 | 11,008 | ||||||
| Total Home Builders | 42,239 | |||||||
| Home Furnishings — 2.3% | ||||||||
| Flexsteel Industries, Inc. | 453 | 15,842 | ||||||
| Hooker Furniture Corp. | 340 | 10,965 | ||||||
| Mohawk Group Holdings, Inc.* | 800 | 13,768 | ||||||
| VOXX International Corp.* | 2,004 | 25,571 | ||||||
| Total Home Furnishings | 66,146 | |||||||
| Housewares — 0.5% | ||||||||
| Lifetime Brands, Inc. | 886 | 13,467 | ||||||
| Insurance — 2.8% | ||||||||
| Goosehead Insurance, Inc., Class A | 271 | 33,810 | ||||||
| Kinsale Capital Group, Inc. | 235 | 47,031 | ||||||
| Total Insurance | 80,841 | |||||||
| Internet — 4.2% | ||||||||
| HyreCar, Inc.* | 1,834 | 13,095 | ||||||
| Lands’ End, Inc.*(a) | 703 | 15,164 | ||||||
| Liquidity Services, Inc.* | 1,240 | 19,728 | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Internet (continued) | ||||||||
| Perion Network Ltd. (Israel)* | 1,590 | $ | 20,241 | |||||
| QuinStreet, Inc.* | 707 | 15,158 | ||||||
| TechTarget, Inc.* | 445 | 26,304 | ||||||
| Tucows, Inc., Class A* | 169 | 12,487 | ||||||
| Total Internet | 122,177 | |||||||
| Iron/Steel — 0.5% | ||||||||
| Schnitzer Steel Industries, Inc., Class A | 487 | 15,540 | ||||||
| Leisure Time — 1.2% | ||||||||
| MasterCraft Boat Holdings, Inc.* | 481 | 11,948 | ||||||
| Vista Outdoor, Inc.* | 940 | 22,335 | ||||||
| Total Leisure Time | 34,283 | |||||||
| Machinery – Construction & Mining — 0.4% | ||||||||
| Argan, Inc. | 259 | 11,523 | ||||||
| Machinery – Diversified — 2.0% | ||||||||
| Kornit Digital Ltd. (Israel)* | 381 | 33,959 | ||||||
| Pro-Dex, Inc.* | 336 | 10,406 | ||||||
| Ranpak Holdings Corp.* | 987 | 13,265 | ||||||
| Total Machinery – Diversified | 57,630 | |||||||
| Media — 0.5% | ||||||||
| Tribune Publishing Co. | 980 | 13,426 | ||||||
| Metal Fabricate / Hardware — 1.0% | ||||||||
| Ampco-Pittsburgh Corp.* | 2,600 | 14,248 | ||||||
| Strattec Security Corp. | 292 | 14,413 | ||||||
| Total Metal Fabricate / Hardware | 28,661 | |||||||
| Miscellaneous Manufacturing — 0.4% | ||||||||
| Lydall, Inc.* | 400 | 12,012 | ||||||
| Oil & Gas — 0.5% | ||||||||
| Sprague Resources LP(a) | 709 | 13,436 | ||||||
| Pharmaceuticals — 4.3% | ||||||||
| Aclaris Therapeutics, Inc.* | 2,600 | 16,822 | ||||||
| Heska Corp.* | 113 | 16,459 | ||||||
| Ideaya Biosciences, Inc.* | 843 | 11,802 | ||||||
| KalVista Pharmaceuticals, Inc.* | 700 | 13,293 | ||||||
| Ocular Therapeutix, Inc.* | 1,646 | 34,072 | ||||||
| ProPhase Labs, Inc.* | 1,361 | 12,494 | ||||||
| Tracon Pharmaceuticals, Inc.* | 1,772 | 20,732 | ||||||
| Total Pharmaceuticals | 125,674 | |||||||
| REITS — 1.2% | ||||||||
| Dynex Capital, Inc. | 457 | 8,134 | ||||||
| Ellington Residential Mortgage REIT | 1,046 | 13,640 | ||||||
| Farmland Partners, Inc. | 1,418 | 12,337 | ||||||
| Total REITS | 34,111 | |||||||
See accompanying Notes to Financial Statements.
15
ADVISORSHARES
DORSEY WRIGHT MICRO-CAP ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Retail — 6.9% | ||||||||
| Aspen Aerogels, Inc.* | 900 | $ | 15,021 | |||||
| Bassett Furniture Industries, Inc. | 727 | 14,598 | ||||||
| Big 5 Sporting Goods Corp.(a) | 1,174 | 11,986 | ||||||
| Citi Trends, Inc. | 369 | 18,332 | ||||||
| Container Store Group, Inc. (The)* | 1,214 | 11,581 | ||||||
| Haverty Furniture Cos., Inc. | 504 | 13,946 | ||||||
| Kirkland’s, Inc.* | 1,703 | 30,450 | ||||||
| Lumber Liquidators Holdings, Inc.* | 569 | 17,491 | ||||||
| MarineMax, Inc.* | 456 | 15,974 | ||||||
| Noodles & Co.* | 1,455 | 11,494 | ||||||
| OptimizeRx Corp.* | 729 | 22,716 | ||||||
| TravelCenters of America, Inc.* | 480 | 15,648 | ||||||
| Total Retail | 199,237 | |||||||
| Semiconductors — 2.1% | ||||||||
| Alpha & Omega Semiconductor Ltd.* | 572 | 13,522 | ||||||
| AXT, Inc.* | 1,784 | 17,073 | ||||||
| CEVA, Inc.* | 305 | 13,878 | ||||||
| Intellicheck, Inc.* | 1,450 | 16,537 | ||||||
| Total Semiconductors | 61,010 | |||||||
| Software — 9.1% | ||||||||
| Avid Technology, Inc.* | 1,090 | 17,298 | ||||||
| Brightcove, Inc.* | 827 | 15,217 | ||||||
| Digi International, Inc.* | 750 | 14,175 | ||||||
| Digital Turbine, Inc.* | 1,706 | 96,491 | ||||||
| Donnelley Financial Solutions, Inc.* | 854 | 14,493 | ||||||
| Five9, Inc.* | 352 | 61,389 | ||||||
| Innodata, Inc.* | 2,450 | 12,985 | ||||||
| Magic Software Enterprises Ltd. (Israel) | 898 | 14,054 | ||||||
| Qumu Corp.* | 2,180 | 17,418 | ||||||
| Total Software | 263,520 | |||||||
| Telecommunications — 5.9% | ||||||||
| A10 Networks, Inc.* | 1,474 | 14,534 | ||||||
| Airgain, Inc.* | 870 | 15,469 | ||||||
| Aviat Networks, Inc.* | 569 | 19,431 | ||||||
| Calix, Inc.* | 1,140 | 33,926 | ||||||
| Cambium Networks Corp.* | 866 | 21,719 | ||||||
| Clearfield, Inc.* | 501 | 12,385 | ||||||
| DZS, Inc.* | 974 | 15,068 | ||||||
| Gogo, Inc.*(a) | 1,232 | 11,864 | ||||||
| IDT Corp., Class B* | 1,078 | 13,324 | ||||||
| ORBCOMM, Inc.* | 2,000 | 14,840 | ||||||
| Total Telecommunications | 172,560 | |||||||
| Textiles — 0.4% | ||||||||
| Culp, Inc. | 800 | 12,696 | ||||||
| Investments | Shares/ Principal | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Transportation — 1.8% | ||||||||
| ArcBest Corp. | 320 | $ | 13,654 | |||||
| Danaos Corp. (Greece)* | 700 | 15,001 | ||||||
| Echo Global Logistics, Inc.* | 425 | 11,399 | ||||||
| Universal Logistics Holdings, Inc. | 560 | 11,530 | ||||||
| Total Transportation | 51,584 | |||||||
| Total Common Stocks | ||||||||
| (Cost $1,979,327) | 2,883,730 | |||||||
| MONEY MARKET FUND — 1.6% | ||||||||
| STIT – Government & Agency Portfolio, Institutional Class, 0.03%(b) (Cost $46,996) | 46,996 | 46,996 | ||||||
| REPURCHASE AGREEMENT — 7.1%(c) | ||||||||
| RBC Dominion Securities, Inc., dated 12/31/20, due 01/04/21, 0.08%, total to be received $207,107, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.00%, 01/05/21-12/20/50, totaling $210,770) (Cost $207,105) | $ | 207,105 | 207,105 | |||||
| Total Investments — 108.0% (Cost $2,233,428) | 3,137,831 | |||||||
| Liabilities in Excess of Other Assets — (8.0%) | (232,811 | ) | ||||||
| Net Assets — 100.0% | $ | 2,905,020 | ||||||
LP — Limited Partnership
REITS — Real Estate Investment Trusts
| * | Non-income producing security. |
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $303,682; the aggregate market value of the collateral held by the fund is $308,332. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $101,227. |
| (b) | Rate shown reflects the 7-day yield as of December 31, 2020. |
| (c) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
16
ADVISORSHARES
DORSEY WRIGHT MICRO-CAP ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Common Stocks | $ | 2,883,730 | $ | — | $ | — | $ | 2,883,730 | ||||||||
| Money Market Funds | 46,996 | — | — | 46,996 | ||||||||||||
| Repurchase Agreements | — | 207,105 | — | 207,105 | ||||||||||||
| Total | $ | 2,930,726 | $ | 207,105 | $ | — | $ | 3,137,831 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets | ||||
| Advertising | 0.4 | % | ||
| Agriculture | 0.5 | |||
| Auto Parts & Equipment | 3.4 | |||
| Banks | 2.0 | |||
| Beverages | 3.3 | |||
| Biotechnology | 6.7 | |||
| Building Materials | 0.4 | |||
| Chemicals | 0.4 | |||
| Commercial Services | 3.7 | |||
| Computers | 0.5 | |||
| Cosmetics / Personal Care | 0.5 | |||
| Distribution / Wholesale | 0.4 | |||
| Diversified Financial Services | 2.5 | |||
| Electric | 1.4 | |||
| Electrical Components & Equipment | 3.0 | |||
| Electronics | 3.3 | |||
| Energy – Alternate Sources | 2.8 | |||
| Engineering & Construction | 2.8 | |||
| Entertainment | 1.7 | |||
| Food | 1.5 | |||
| Forest Products & Paper | 1.0 | |||
| Healthcare – Products | 3.5 | |||
| Healthcare – Services | 2.9 | |||
| Holding Companies – Diversified | 1.3 | |||
| Home Builders | 1.4 | |||
SUMMARY OF SCHEDULE OF INVESTMENTS (continued)
| % of Net Assets | ||||
| Home Furnishings | 2.3 | % | ||
| Housewares | 0.5 | |||
| Insurance | 2.8 | |||
| Internet | 4.2 | |||
| Iron/Steel | 0.5 | |||
| Leisure Time | 1.2 | |||
| Machinery – Construction & Mining | 0.4 | |||
| Machinery – Diversified | 2.0 | |||
| Media | 0.5 | |||
| Metal Fabricate / Hardware | 1.0 | |||
| Miscellaneous Manufacturing | 0.4 | |||
| Oil & Gas | 0.5 | |||
| Pharmaceuticals | 4.3 | |||
| REITS | 1.2 | |||
| Retail | 6.9 | |||
| Semiconductors | 2.1 | |||
| Software | 9.1 | |||
| Telecommunications | 5.9 | |||
| Textiles | 0.4 | |||
| Transportation | 1.8 | |||
| Money Market Fund | 1.6 | |||
| Repurchase Agreement | 7.1 | |||
| Total Investments | 108.0 | |||
| Liabilities in Excess of Other Assets | (8.0 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
17
ADVISORSHARES
DORSEY WRIGHT SHORT ETF
Schedule of Investments
December 31, 2020 (Unaudited)
| Investments | Shares | Value | ||||||
| EXCHANGE TRADED FUND — 26.6% | ||||||||
| Debt Fund — 26.6% | ||||||||
| AdvisorShares Sage Core Reserves ETF† (Cost $9,862,980) | 100,000 | $ | 9,908,000 | |||||
| MONEY MARKET FUND — 73.4% | ||||||||
| STIT – Government & Agency Portfolio, Institutional Class, 0.03%(a) (Cost $27,415,477) | 27,415,477 | 27,415,477 | ||||||
| Total Investments Before Securities Sold, Not Yet Purchased (Cost $37,278,457) | 37,323,477 | |||||||
| Securities Sold, Not Yet Purchased — (100.6)%(b) | ||||||||
| WARRANT — (0.1)%** | ||||||||
| Oil & Gas — (0.1)%** | ||||||||
| Occidental Petroleum Corp., 08/03/27* | (8,342 | ) | (56,809 | ) | ||||
| COMMON STOCKS — (100.5)% | ||||||||
| Advertising — (0.9)% | ||||||||
| Omnicom Group, Inc. | (5,646 | ) | (352,141 | ) | ||||
| Aerospace/Defense — (6.0)% | ||||||||
| Boeing Co. (The) | (1,229 | ) | (263,080 | ) | ||||
| General Dynamics Corp. | (2,399 | ) | (357,019 | ) | ||||
| Hexcel Corp. | (7,311 | ) | (354,510 | ) | ||||
| Lockheed Martin Corp. | (1,050 | ) | (372,729 | ) | ||||
| Northrop Grumman Corp. | (1,252 | ) | (381,509 | ) | ||||
| Spirit AeroSystems Holdings, Inc., Class A | (13,163 | ) | (514,542 | ) | ||||
| Total Aerospace/Defense | (2,243,389 | ) | ||||||
| Airlines — (1.9)% | ||||||||
| American Airlines Group, Inc. | (19,719 | ) | (310,968 | ) | ||||
| United Airlines Holdings, Inc.* | (8,955 | ) | (387,304 | ) | ||||
| Total Airlines | (698,272 | ) | ||||||
| Auto Parts & Equipment — (0.9)% | ||||||||
| Goodyear Tire & Rubber Co. (The) | (32,495 | ) | (354,521 | ) | ||||
| Banks — (0.8)% | ||||||||
| Wells Fargo & Co. | (9,650 | ) | (291,237 | ) | ||||
| Biotechnology — (7.5)% | ||||||||
| Biogen, Inc.* | (1,541 | ) | (377,329 | ) | ||||
| BioMarin Pharmaceutical, Inc.* | (3,589 | ) | (314,720 | ) | ||||
| Bluebird Bio, Inc.* | (7,523 | ) | (325,520 | ) | ||||
| Gilead Sciences, Inc. | (5,853 | ) | (340,996 | ) | ||||
| Incyte Corp.* | (4,340 | ) | (377,493 | ) | ||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Biotechnology (continued) | ||||||||
| Ionis Pharmaceuticals, Inc.* | (6,640 | ) | $ | (375,426 | ) | |||
| Nektar Therapeutics* | (18,094 | ) | (307,598 | ) | ||||
| Vertex Pharmaceuticals, Inc.* | (1,668 | ) | (394,215 | ) | ||||
| Total Biotechnology | (2,813,297 | ) | ||||||
| Chemicals — (1.9)% | ||||||||
| International Flavors & Fragrances, Inc. | (3,258 | ) | (354,601 | ) | ||||
| NewMarket Corp. | (890 | ) | (354,478 | ) | ||||
| Total Chemicals | (709,079 | ) | ||||||
| Coal — (1.9)% | ||||||||
| Peabody Energy Corp.* | (287,764 | ) | (693,511 | ) | ||||
| Commercial Services — (4.4)% | ||||||||
| Cimpress PLC (Ireland)* | (3,972 | ) | (348,503 | ) | ||||
| Grand Canyon Education, Inc.* | (4,426 | ) | (412,105 | ) | ||||
| H&R Block, Inc. | (24,624 | ) | (390,537 | ) | ||||
| Sabre Corp. | (39,722 | ) | (477,458 | ) | ||||
| Total Commercial Services | (1,628,603 | ) | ||||||
| Computers — (0.8)% | ||||||||
| DXC Technology Co. | (11,216 | ) | (288,812 | ) | ||||
| Distribution/Wholesale — (1.1)% | ||||||||
| Univar Solutions, Inc.* | (21,290 | ) | (404,723 | ) | ||||
| Diversified Financial Services — (2.0)% | ||||||||
| Cboe Global Markets, Inc. | (3,808 | ) | (354,601 | ) | ||||
| Credit Acceptance Corp.* | (1,110 | ) | (384,215 | ) | ||||
| Total Diversified Financial Services | (738,816 | ) | ||||||
| Electric — (3.9)% | ||||||||
| FirstEnergy Corp. | (12,356 | ) | (378,217 | ) | ||||
| PG&E Corp.* | (29,536 | ) | (368,019 | ) | ||||
| Portland General Electric Co. | (7,490 | ) | (320,347 | ) | ||||
| Vistra Corp. | (20,163 | ) | (396,405 | ) | ||||
| Total Electric | (1,462,988 | ) | ||||||
| Electronics — (1.8)% | ||||||||
| Avnet, Inc. | (9,822 | ) | (344,851 | ) | ||||
| FLIR Systems, Inc. | (7,586 | ) | (332,494 | ) | ||||
| Total Electronics | (677,345 | ) | ||||||
| Entertainment — (1.5)% | ||||||||
| Cinemark Holdings, Inc. | (31,286 | ) | (544,689 | ) | ||||
| Food — (3.9)% | ||||||||
| Ingredion, Inc. | (4,752 | ) | (373,840 | ) | ||||
| Kellogg Co. | (6,060 | ) | (377,114 | ) | ||||
| Pilgrim’s Pride Corp.* | (16,993 | ) | (333,233 | ) | ||||
| Tyson Foods, Inc., Class A | (5,697 | ) | (367,114 | ) | ||||
| Total Food | (1,451,301 | ) | ||||||
See accompanying Notes to Financial Statements.
18
ADVISORSHARES
DORSEY WRIGHT SHORT ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Food Service — (1.1)% | ||||||||
| Healthcare Services Group, Inc. | (14,866 | ) | $ | (417,735 | ) | |||
| Gas — (1.0)% | ||||||||
| Atmos Energy Corp. | (3,917 | ) | (373,799 | ) | ||||
| Healthcare – Products — (3.1)% | ||||||||
| Baxter International, Inc. | (5,018 | ) | (402,644 | ) | ||||
| Boston Scientific Corp.* | (11,191 | ) | (402,316 | ) | ||||
| Hill-Rom Holdings, Inc. | (3,683 | ) | (360,824 | ) | ||||
| Total Healthcare – Products | (1,165,784 | ) | ||||||
| Household Products/Wares — (1.0)% | ||||||||
| Kimberly-Clark Corp. | (2,800 | ) | (377,524 | ) | ||||
| Insurance — (1.1)% | ||||||||
| Markel Corp.* | (387 | ) | (399,887 | ) | ||||
| Internet — (1.3)% | ||||||||
| Proofpoint, Inc.* | (3,683 | ) | (502,398 | ) | ||||
| Leisure Time — (2.1)% | ||||||||
| Carnival Corp. | (16,685 | ) | (361,397 | ) | ||||
| Norwegian Cruise Line Holdings Ltd.* | (17,095 | ) | (434,726 | ) | ||||
| Total Leisure Time | (796,123 | ) | ||||||
| Mining — (1.0)% | ||||||||
| Royal Gold, Inc. | (3,500 | ) | (372,260 | ) | ||||
| Office/Business Equipment — (0.9)% | ||||||||
| Xerox Holdings Corp. | (13,871 | ) | (321,669 | ) | ||||
| Oil & Gas — (10.1)% | ||||||||
| Concho Resources, Inc. | (6,224 | ) | (363,171 | ) | ||||
| Continental Resources, Inc. | (20,971 | ) | (341,827 | ) | ||||
| Diamondback Energy, Inc. | (7,500 | ) | (363,000 | ) | ||||
| Helmerich & Payne, Inc. | (16,650 | ) | (385,614 | ) | ||||
| HollyFrontier Corp. | (14,079 | ) | (363,942 | ) | ||||
| Marathon Oil Corp. | (48,817 | ) | (325,609 | ) | ||||
| Occidental Petroleum Corp. | (23,354 | ) | (404,258 | ) | ||||
| Patterson-UTI Energy, Inc. | (88,037 | ) | (463,075 | ) | ||||
| Transocean Ltd.* | (321,606 | ) | (742,910 | ) | ||||
| Total Oil & Gas | (3,753,406 | ) | ||||||
| Oil & Gas Services — (4.2)% | ||||||||
| Core Laboratories NV | (16,582 | ) | (439,589 | ) | ||||
| National Oilwell Varco, Inc.* | (29,933 | ) | (410,980 | ) | ||||
| RPC, Inc.* | (99,763 | ) | (314,254 | ) | ||||
| Schlumberger NV | (18,304 | ) | (399,576 | ) | ||||
| Total Oil & Gas Services | (1,564,399 | ) | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Pharmaceuticals — (6.1)% | ||||||||
| Agios Pharmaceuticals, Inc.* | (11,673 | ) | $ | (505,791 | ) | |||
| Alkermes PLC* | (18,444 | ) | (367,958 | ) | ||||
| Becton Dickinson and Co. | (1,558 | ) | (389,843 | ) | ||||
| Neurocrine Biosciences, Inc.* | (3,801 | ) | (364,326 | ) | ||||
| Perrigo Co., PLC | (6,913 | ) | (309,149 | ) | ||||
| Viatris, Inc.* | (18,453 | ) | (345,809 | ) | ||||
| Total Pharmaceuticals | (2,282,876 | ) | ||||||
| Pipelines — (1.0)% | ||||||||
| ONEOK, Inc. | (9,670 | ) | (371,135 | ) | ||||
| Real Estate — (1.0)% | ||||||||
| Howard Hughes Corp. (The)* | (4,631 | ) | (365,525 | ) | ||||
| REITS — (11.7)% | ||||||||
| Boston Properties, Inc. | (3,831 | ) | (362,144 | ) | ||||
| CyrusOne, Inc. | (5,531 | ) | (404,593 | ) | ||||
| Diversified Healthcare Trust | (66,525 | ) | (274,083 | ) | ||||
| Douglas Emmett, Inc. | (11,171 | ) | (325,970 | ) | ||||
| EPR Properties | (8,440 | ) | (274,300 | ) | ||||
| Equity Residential | (6,620 | ) | (392,433 | ) | ||||
| Federal Realty Investment Trust | (3,546 | ) | (301,835 | ) | ||||
| Kilroy Realty Corp. | (6,494 | ) | (372,756 | ) | ||||
| Macerich Co. (The) | (35,785 | ) | (381,826 | ) | ||||
| New Residential Investment Corp. | (35,506 | ) | (352,930 | ) | ||||
| Service Properties Trust | (29,224 | ) | (335,784 | ) | ||||
| Simon Property Group, Inc. | (3,514 | ) | (299,674 | ) | ||||
| Vornado Realty Trust | (7,813 | ) | (291,737 | ) | ||||
| Total REITS | (4,370,065 | ) | ||||||
| Retail — (0.8)% | ||||||||
| Walgreens Boots Alliance, Inc. | (7,822 | ) | (311,941 | ) | ||||
| Semiconductors — (1.0)% | ||||||||
| Intel Corp. | (7,365 | ) | (366,924 | ) | ||||
| Shipbuilding — (0.9)% | ||||||||
| Huntington Ingalls Industries, Inc. | (1,867 | ) | (318,286 | ) | ||||
| Software — (5.1)% | ||||||||
| Blackbaud, Inc. | (6,272 | ) | (361,017 | ) | ||||
| Citrix Systems, Inc. | (3,052 | ) | (397,065 | ) | ||||
| Jack Henry & Associates, Inc. | (2,474 | ) | (400,763 | ) | ||||
| Teradata Corp.* | (15,843 | ) | (355,992 | ) | ||||
| VMware, Inc., Class A* | (2,675 | ) | (375,196 | ) | ||||
| Total Software | (1,890,033 | ) | ||||||
See accompanying Notes to Financial Statements.
19
ADVISORSHARES
DORSEY WRIGHT SHORT ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Telecommunications — (4.0)% | ||||||||
| AT&T, Inc. | (12,806 | ) | $ | (368,301 | ) | |||
| Cisco Systems, Inc. | (8,790 | ) | (393,352 | ) | ||||
| Juniper Networks, Inc. | (17,283 | ) | (389,040 | ) | ||||
| ViaSat, Inc.* | (10,967 | ) | (358,073 | ) | ||||
| Total Telecommunications | (1,508,766 | ) | ||||||
| Transportation — (0.8)% | ||||||||
| Kirby Corp.* | (5,821 | ) | (301,702 | ) | ||||
| Total Securities Sold, Not Yet Purchased [Proceeds Received $(43,067,080)] | (37,541,770 | ) | ||||||
| Total Investments — (0.6)% (Cost $(5,788,623)) | (218,293 | ) | ||||||
| Other Assets in Excess of Liabilities — 100.6% | 37,549,803 | |||||||
| Net Assets — 100.0% | $ | 37,331,510 | ||||||
ETF — Exchange Traded Fund
PLC — Public Limited Company
REITS — Real Estate Investment Trusts
| * | Non-income producing security. |
| ** | Less than 0.05%. |
| † | Affiliated Company. |
| (a) | Rate shown reflects the 7-day yield as of December 31, 2020. (b) As of December 31, 2020 cash in the amount of $40,216,219 has been segregated as collateral from the broker for securities sold short. |
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | |||||||||||||
| Exchange Traded Fund | $ | 9,908,000 | $ | — | $ | — | $ | 9,908,000 | |||||||||
| Money Market Fund | 27,415,477 | — | — | 27,415,477 | |||||||||||||
| Total | $ | 37,323,477 | $ | — | $ | — | $ | 37,323,477 | |||||||||
| Liabilities | Level 1 | Level 2 | Level 3 | Total | |||||||||||||
| Warrant | $ | (56,809 | ) | $ | — | $ | — | $ | (56,809 | ) | |||||||
| Common Stocks | (37,484,961 | ) | — | — | (37,484,961 | ) | |||||||||||
| Total | $ | (37,541,770 | ) | $ | — | $ | — | $ | (37,541,770 | ) | |||||||
See accompanying Notes to Financial Statements.
20
ADVISORSHARES
DORSEY WRIGHT SHORT ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets | ||||
| Advertising | (0.9 | )% | ||
| Aerospace/Defense | (6.0 | ) | ||
| Airlines | (1.9 | ) | ||
| Auto Parts & Equipment | (0.9 | ) | ||
| Banks | (0.8 | ) | ||
| Biotechnology | (7.5 | ) | ||
| Chemicals | (1.9 | ) | ||
| Coal | (1.9 | ) | ||
| Commercial Services | (4.4 | ) | ||
| Computers | (0.8 | ) | ||
| Debt Fund | 26.6 | |||
| Distribution/Wholesale | (1.1 | ) | ||
| Diversified Financial Services | (2.0 | ) | ||
| Electric | (3.9 | ) | ||
| Electronics | (1.8 | ) | ||
| Entertainment | (1.5 | ) | ||
| Food | (3.9 | ) | ||
| Food Service | (1.1 | ) | ||
| Gas | (1.0 | ) | ||
| Healthcare – Products | (3.1 | ) | ||
SUMMARY OF SCHEDULE OF INVESTMENTS (continued)
| % of Net Assets | ||||
| Household Products/Wares | (1.0 | )% | ||
| Insurance | (1.1 | ) | ||
| Internet | (1.3 | ) | ||
| Leisure Time | (2.1 | ) | ||
| Mining | (1.0 | ) | ||
| Office/Business Equipment | (0.9 | ) | ||
| Oil & Gas | (10.2 | ) | ||
| Oil & Gas Services | (4.2 | ) | ||
| Pharmaceuticals | (6.1 | ) | ||
| Pipelines | (1.0 | ) | ||
| Real Estate | (1.0 | ) | ||
| REITS | (11.7 | ) | ||
| Retail | (0.8 | ) | ||
| Semiconductors | (1.0 | ) | ||
| Shipbuilding | (0.9 | ) | ||
| Software | (5.1 | ) | ||
| Telecommunications | (4.0 | ) | ||
| Transportation | (0.8 | ) | ||
| Money Market Fund | 73.4 | |||
| Total Investments | (0.6 | ) | ||
| Other Assets in Excess of Liabilities | 100.6 | |||
| Net Assets | 100.0 | % | ||
Affiliated holdings are funds which are managed by the Trust or an affiliate of the Trust. Transactions with affiliated companies during the period ended December 31, 2020 were as follows:
| Affiliated Fund Name | Value at 6/30/2020 | Purchases/ Additions | Sales/Reductions | Realized Gain (Loss) | Change in Unrealized Gain (Loss) | Number of Shares at 12/31/2020 | Value at 12/31/2020 | Dividend Income | ||||||||||||||||||||||||
| AdvisorShares Sage Core Reserves ETF | $ | 17,212,125 | $ | 19,750,890 | $ | (27,147,150 | ) | $ | (191,765 | ) | $ | 283,900 | 100,000 | $ | 9,908,000 | $ | 127,760 | |||||||||||||||
See accompanying Notes to Financial Statements.
21
ADVISORSHARES DOUBLELINE VALUE EQUITY ETF
Schedule of Investments
December 31, 2020 (Unaudited)
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 96.5% | ||||||||
| Aerospace/Defense — 4.5% | ||||||||
| Boeing Co. (The) | 4,282 | $ | 916,605 | |||||
| Raytheon Technologies Corp. | 16,235 | 1,160,965 | ||||||
| Total Aerospace/Defense | 2,077,570 | |||||||
| Agriculture — 2.3% | ||||||||
| Philip Morris International, Inc. | 13,152 | 1,088,854 | ||||||
| Banks — 14.9% | ||||||||
| Bank of America Corp. | 61,715 | 1,870,582 | ||||||
| Citizens Financial Group, Inc. | 34,373 | 1,229,178 | ||||||
| Fifth Third Bancorp | 37,404 | 1,031,228 | ||||||
| JPMorgan Chase & Co. | 11,957 | 1,519,376 | ||||||
| PNC Financial Services Group, Inc. (The) | 8,389 | 1,249,961 | ||||||
| Total Banks | 6,900,325 | |||||||
| Beverages — 2.2% | ||||||||
| PepsiCo, Inc. | 6,957 | 1,031,723 | ||||||
| Chemicals — 4.1% | ||||||||
| Air Products and Chemicals, Inc. | 2,057 | 562,013 | ||||||
| DuPont de Nemours, Inc. | 19,170 | 1,363,179 | ||||||
| Total Chemicals | 1,925,192 | |||||||
| Commercial Services — 1.3% | ||||||||
| IHS Markit Ltd. | 6,856 | 615,875 | ||||||
| Diversified Financial Services — 4.6% | ||||||||
| Capital One Financial Corp. | 13,336 | 1,318,263 | ||||||
| Intercontinental Exchange, Inc. | 6,978 | 804,494 | ||||||
| Total Diversified Financial Services | 2,122,757 | |||||||
| Electric — 1.2% | ||||||||
| Ameren Corp. | 7,246 | 565,623 | ||||||
| Electronics — 6.2% | ||||||||
| Flex Ltd.* | 41,373 | 743,886 | ||||||
| Honeywell International, Inc. | 6,227 | 1,324,483 | ||||||
| Vontier Corp.* | 23,944 | 799,730 | ||||||
| Total Electronics | 2,868,099 | |||||||
| Engineering & Construction — 1.7% | ||||||||
| KBR, Inc. | 25,707 | 795,118 | ||||||
| Food — 3.8% | ||||||||
| Mondelez International, Inc., Class A | 18,515 | 1,082,572 | ||||||
| US Foods Holding Corp.* | 21,080 | 702,175 | ||||||
| Total Food | 1,784,747 | |||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Healthcare — Products — 3.6% | ||||||||
| Alcon, Inc. (Switzerland)* | 9,436 | $ | 622,587 | |||||
| Medtronic PLC | 8,844 | 1,035,986 | ||||||
| Total Healthcare – Products | 1,658,573 | |||||||
| Healthcare — Services — 2.0% | ||||||||
| Anthem, Inc. | 2,863 | 919,281 | ||||||
| Household Products / Wares — 1.2% | ||||||||
| Reynolds Consumer Products, Inc. | 18,107 | 543,934 | ||||||
| Insurance — 3.3% | ||||||||
| Prudential Financial, Inc. | 10,628 | 829,728 | ||||||
| Willis Towers Watson PLC | 3,428 | 722,211 | ||||||
| Total Insurance | 1,551,939 | |||||||
| Internet — 2.8% | ||||||||
| Alphabet, Inc., Class A* | 483 | 846,525 | ||||||
| Amazon.com, Inc.* | 139 | 452,713 | ||||||
| Total Internet | 1,299,238 | |||||||
| Media — 3.1% | ||||||||
| Comcast Corp., Class A | 27,148 | 1,422,555 | ||||||
| Miscellaneous Manufacturing — 2.1% | ||||||||
| Parker-Hannifin Corp. | 3,622 | 986,669 | ||||||
| Oil & Gas — 4.3% | ||||||||
| Chevron Corp. | 11,450 | 966,952 | ||||||
| EOG Resources, Inc. | 11,410 | 569,017 | ||||||
| Valero Energy Corp. | 7,838 | 443,396 | ||||||
| Total Oil & Gas | 1,979,365 | |||||||
| Pharmaceuticals — 8.9% | ||||||||
| AstraZeneca PLC (United Kingdom)(a)(b) | 13,444 | 672,065 | ||||||
| Cigna Corp. | 4,192 | 872,690 | ||||||
| CVS Health Corp. | 12,829 | 876,221 | ||||||
| Roche Holding AG (Switzerland)(b) | 15,483 | 678,775 | ||||||
| Sanofi (France)(b) | 20,888 | 1,014,948 | ||||||
| Total Pharmaceuticals | 4,114,699 | |||||||
| REITS — 2.5% | ||||||||
| American Tower Corp. | 2,864 | 642,853 | ||||||
| Boston Properties, Inc. | 5,450 | 515,189 | ||||||
| Total REITS | 1,158,042 | |||||||
| Retail — 5.6% | ||||||||
| Dollar General Corp. | 2,928 | 615,758 | ||||||
| Target Corp. | 4,915 | 867,645 | ||||||
| TJX Cos., Inc. (The) | 16,376 | 1,118,317 | ||||||
| Total Retail | 2,601,720 | |||||||
See accompanying Notes to Financial Statements.
22
ADVISORSHARES DOUBLELINE VALUE EQUITY ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Semiconductors — 5.5% | ||||||||
| KLA Corp. | 2,304 | $ | 596,529 | |||||
| Lam Research Corp. | 1,482 | 699,904 | ||||||
| Microchip Technology, Inc. | 4,462 | 616,247 | ||||||
| Taiwan Semiconductor Manufacturing Co., Ltd. (Taiwan)(b) | 5,650 | 616,076 | ||||||
| Total Semiconductors | 2,528,756 | |||||||
| Telecommunications — 2.9% | ||||||||
| Verizon Communications, Inc. | 22,978 | 1,349,958 | ||||||
| Transportation — 1.9% | ||||||||
| Norfolk Southern Corp. | 3,757 | 892,701 | ||||||
| Total
Common Stocks (Cost $36,840,544) | 44,783,313 | |||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| MONEY MARKET FUND — 2.4% | ||||||||
| Wells
Fargo Advantage Government Money Market Fund – Institutional Class, 0.01%(c) (Cost $1,093,908) | 1,093,908 | $ | 1,093,908 | |||||
| Total Investments —
98.9% (Cost $37,934,452) | 45,877,221 | |||||||
| Other Assets in Excess of Liabilities — 1.1% | 519,759 | |||||||
| Net Assets — 100.0% | $ | 46,396,980 | ||||||
PLC — Public Limited Company
REITS — Real Estate Investment Trusts
| * | Non-income producing security. |
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $658,618; the aggregate market value of the collateral held by the fund is $675,026. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $675,026. |
| (b) | American Depositary Receipt. |
| (c) | Rate shown reflects the 7-day yield as of December 31, 2020. |
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Common Stocks | $ | 44,783,313 | $ | — | $ | — | $ | 44,783,313 | ||||||||
| Money Market Fund | 1,093,908 | — | — | 1,093,908 | ||||||||||||
| Total | $ | 45,877,221 | $ | — | $ | — | $ | 45,877,221 | ||||||||
See accompanying Notes to Financial Statements.
23
ADVISORSHARES DOUBLELINE VALUE EQUITY ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| SUMMARY OF SCHEDULE OF INVESTMENTS | ||||
| %
of Net Assets | ||||
| Aerospace/Defense | 4.5 | % | ||
| Agriculture | 2.3 | |||
| Banks | 14.9 | |||
| Beverages | 2.2 | |||
| Chemicals | 4.1 | |||
| Commercial Services | 1.3 | |||
| Diversified Financial Services | 4.6 | |||
| Electric | 1.2 | |||
| Electronics | 6.2 | |||
| Engineering & Construction | 1.7 | |||
| Food | 3.8 | |||
| Healthcare – Products | 3.6 | |||
| Healthcare – Services | 2.0 | |||
| Household Products / Wares | 1.2 | |||
| Insurance | 3.3 | |||
| Internet | 2.8 | |||
| Media | 3.1 | |||
| Miscellaneous Manufacturing | 2.1 | |||
| Oil & Gas | 4.3 | |||
| Pharmaceuticals | 8.9 | |||
| REITS | 2.5 | |||
| Retail | 5.6 | |||
| Semiconductors | 5.5 | |||
| Telecommunications | 2.9 | |||
| Transportation | 1.9 | |||
| Money Market Fund | 2.4 | |||
| Total Investments | 98.9 | |||
| Other Assets in Excess of Liabilities | 1.1 | |||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
24
ADVISORSHARES FOCUSED EQUITY ETF
Schedule of Investments
December 31, 2020 (Unaudited)
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 99.0% | ||||||||
| Aerospace/Defense — 4.0% | ||||||||
| HEICO Corp. | 7,146 | $ | 946,130 | |||||
| Auto Parts & Equipment — 4.0% | ||||||||
| Miller Industries, Inc. | 24,885 | 946,128 | ||||||
| Building Materials — 3.9% | ||||||||
| Trex Co., Inc.*(a) | 11,229 | 940,092 | ||||||
| Chemicals — 8.0% | ||||||||
| Sherwin-Williams Co. (The) | 1,299 | 954,648 | ||||||
| Stepan Co. | 7,984 | 952,651 | ||||||
| Total Chemicals | 1,907,299 | |||||||
| Commercial Services — 4.0% | ||||||||
| Moody’s Corp. | 3,266 | 947,924 | ||||||
| Computers — 3.9% | ||||||||
| Check Point Software Technologies Ltd. (Israel)* | 7,036 | 935,155 | ||||||
| Diversified Financial Services — 4.0% | ||||||||
| Intercontinental Exchange, Inc. | 8,280 | 954,601 | ||||||
| Food — 4.0% | ||||||||
| Hershey Co. (The) | 6,243 | 950,996 | ||||||
| Healthcare – Products — 15.9% | ||||||||
| Abbott Laboratories | 8,659 | 948,074 | ||||||
| Danaher Corp. | 4,271 | 948,760 | ||||||
| Stryker Corp. | 3,898 | 955,166 | ||||||
| Thermo Fisher Scientific, Inc. | 2,029 | 945,067 | ||||||
| Total Healthcare – Products | 3,797,067 | |||||||
| Household Products / Wares — 3.9% | ||||||||
| Church & Dwight Co., Inc. | 10,822 | 944,003 | ||||||
| Insurance — 4.0% | ||||||||
| Aflac, Inc. | 21,397 | 951,525 | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 99.0% (continued) | ||||||||
| Machinery – Diversified — 3.9% | ||||||||
| Middleby Corp. (The)* | 7,286 | $ | 939,311 | |||||
| Media — 7.8% | ||||||||
| FactSet Research Systems, Inc. | 2,835 | 942,638 | ||||||
| Walt Disney Co. (The)* | 5,145 | 932,171 | ||||||
| Total Media | 1,874,809 | |||||||
| Packaging & Containers — 4.0% | ||||||||
| Silgan Holdings, Inc. | 25,499 | 945,503 | ||||||
| Pharmaceuticals — 4.0% | ||||||||
| Zoetis, Inc. | 5,734 | 948,977 | ||||||
| Retail — 3.9% | ||||||||
| Ross Stores, Inc. | 7,685 | 943,795 | ||||||
| Software — 15.8% | ||||||||
| ANSYS, Inc.* | 2,570 | 934,966 | ||||||
| Broadridge Financial Solutions, Inc. | 6,182 | 947,082 | ||||||
| Cerner Corp. | 12,073 | 947,489 | ||||||
| Fiserv, Inc.* | 8,308 | 945,949 | ||||||
| Total Software | 3,775,486 | |||||||
| Total
Common Stocks (Cost $17,230,788) | 23,648,801 | |||||||
| Total Investments —
99.0% (Cost $17,230,788) | 23,648,801 | |||||||
| Other Assets in Excess of Liabilities — 1.0% | 235,057 | |||||||
| Net Assets — 100.0% | $ | 23,883,858 | ||||||
| * | Non-income producing security. |
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $1,054,202; the aggregate market value of the collateral held by the fund is $1,076,527. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $1,076,527. |
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Common Stocks | $ | 23,648,801 | $ | — | $ | — | $ | 23,648,801 | ||||||||
| Total | $ | 23,648,801 | $ | — | $ | — | $ | 23,648,801 | ||||||||
See accompanying Notes to Financial Statements.
25
ADVISORSHARES FOCUSED EQUITY ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| SUMMARY OF SCHEDULE OF INVESTMENTS | ||||
| % of Net Assets | ||||
| Aerospace/Defense | 4.0 | % | ||
| Auto Parts & Equipment | 4.0 | |||
| Building Materials | 3.9 | |||
| Chemicals | 8.0 | |||
| Commercial Services | 4.0 | |||
| Computers | 3.9 | |||
| Diversified Financial Services | 4.0 | |||
| Food | 4.0 | |||
| Healthcare – Products | 15.9 | |||
| Household Products / Wares | 3.9 | |||
| Insurance | 4.0 | |||
| Machinery – Diversified | 3.9 | |||
| Media | 7.8 | |||
| Packaging & Containers | 4.0 | |||
| Pharmaceuticals | 4.0 | |||
| Retail | 3.9 | |||
| Software | 15.8 | |||
| Total Investments | 99.0 | |||
| Other Assets in Excess of Liabilities | 1.0 | |||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
26
ADVISORSHARES
FOLIOBEYOND SMART CORE BOND ETF
Schedule of Investments
December 31, 2020 (Unaudited)
| Shares/ | ||||||||
| Investments | Principal | Value | ||||||
| EXCHANGE TRADED FUNDS — 99.7% | ||||||||
| Debt Fund — 99.7% | ||||||||
| Invesco Senior Loan ETF(a) | 54,539 | $ | 1,215,129 | |||||
| iShares 0-5 Year High Yield Corporate Bond ETF | 11,322 | 514,472 | ||||||
| iShares 10-20 Year Treasury Bond ETF(a) | 3,676 | 585,293 | ||||||
| iShares 20+ Year Treasury Bond ETF(a) | 1,053 | 166,090 | ||||||
| iShares 3-7 Year Treasury Bond ETF | 1,519 | 201,997 | ||||||
| iShares Agency Bond ETF(a) | 14,924 | 1,784,164 | ||||||
| iShares CMBS ETF(a) | 1,392 | 77,019 | ||||||
| SPDR Bloomberg Barclays Short Term High Yield Bond ETF | 45,936 | 1,237,975 | ||||||
| SPDR Nuveen Bloomberg Barclays High Yield Municipal Bond ETF | 1,776 | 104,766 | ||||||
| Total
Exchange Traded Funds (Cost $5,752,970) | 5,886,905 | |||||||
| MONEY MARKET FUND — 0.6% | ||||||||
| BlackRock
Liquidity Funds FedFund Portfolio, Institutional Class, 0.01%(b) (Cost $37,907) | 37,907 | 37,907 | ||||||
| REPURCHASE AGREEMENTS—40.1%(c) | ||||||||
| BNP Paribas Securities Corp., dated 12/31/20, due 01/04/21, 0.07%, total to be received $550,102, (collateralized by various U.S. Government Agency Obligations, 0.00%-7.00%, 02/28/21-11/20/50, totaling $559,534) | $ | 550,098 | 550,098 | |||||
| Citigroup Global Markets, Inc., dated 12/31/20, due 01/04/21, 0.07%, total to be received $550,102, (collateralized by various U.S. Government Agency Obligations, 0.00%-4.00%, 09/15/21-01/01/51, totaling $559,967) | 550,098 | 550,098 | ||||||
| Daiwa Capital Markets America, dated 12/31/20, due 01/04/21, 0.07%, total to be received $550,102, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.50%, 01/26/21-01/01/51, totaling $559,687) | 550,098 | 550,098 | ||||||
| Investments | Principal | Value | ||||||
| REPURCHASE AGREEMENTS (continued) | ||||||||
| Nomura Securities International, Inc., dated 12/31/20, due 01/04/21, 0.07%, total to be received $163,077, (collateralized by various U.S. Government Agency Obligations, 0.00%-8.50%, 01/31/21-01/15/56, totaling $165,952) | $ | 163,076 | $ | 163,076 | ||||
| RBC Dominion Securities, Inc., dated 12/31/20, due 01/04/21, 0.08%, total to be received $550,103, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.00%, 01/05/21-12/20/50, totaling $559,834) | 550,098 | 550,098 | ||||||
| Total Repurchase Agreements (Cost $2,363,468) | 2,363,468 | |||||||
| Total Investments — 140.4% (Cost $8,154,345) | 8,288,280 | |||||||
| Liabilities in Excess of Other Assets — (40.4%) | (2,386,105 | ) | ||||||
| Net Assets — 100.0% | $ | 5,902,175 | ||||||
ETF — Exchange Traded Fund
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $2,710,957; the aggregate market value of the collateral held by the fund is $2,768,446. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $404,978. |
| (b) | Rate shown reflects the 7-day yield as of December 31, 2020. |
| (c) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
27
ADVISORSHARES
FOLIOBEYOND SMART CORE BOND ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Exchange Traded Funds | $ | 5,886,905 | $ | — | $ | — | $ | 5,886,905 | ||||||||
| Money Market Fund | 37,907 | — | — | 37,907 | ||||||||||||
| Repurchase Agreements | — | 2,363,468 | — | 2,363,468 | ||||||||||||
| Total | $ | 5,924,812 | $ | 2,363,468 | $ | — | $ | 8,288,280 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets | ||||
| Debt Fund | 99.7% | |||
| Money Market Fund | 0.6 | |||
| Repurchase Agreements | 40.1 | |||
| Total Investments | 140.4 | |||
| Liabilities in Excess of Other Assets | (40.4 | ) | ||
| Net Assets | 100.0% | |||
See accompanying Notes to Financial Statements.
28
ADVISORSHARES
NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments
December 31, 2020 (Unaudited)
| Investments | Principal | Value | ||||||
| ASSET BACKED SECURITIES—30.2% | ||||||||
| ACC Trust, Class A, Series 2019-1, 3.75%, 05/20/22‡ | $ | 49,308 | $ | 49,526 | ||||
| ACC Trust, Class A, Series 2020-A, 6.00%, 03/20/23‡ | 139,799 | 144,397 | ||||||
| American Credit Acceptance Receivables Trust, Class B, Series 2019-1, 3.32%, 04/12/23‡ | 28,001 | 28,034 | ||||||
| American Credit Acceptance Receivables Trust, Class C, Series 2018-3, 3.75%, 10/15/24‡ | 136,226 | 136,944 | ||||||
| American Credit Acceptance Receivables Trust, Class C, Series 2018-4, 3.97%, 01/13/25‡ | 252,518 | 255,251 | ||||||
| American Credit Acceptance Receivables Trust, Class C, Series 2019-2, 3.17%, 06/12/25‡ | 205,000 | 208,632 | ||||||
| American Credit Acceptance Receivables Trust, Class D, Series 2020-4, 1.77%, 12/14/26‡ | 145,000 | 146,234 | ||||||
| AmeriCredit Automobile Receivables Trust, Class D, Series 2018-1, 3.82%, 03/18/24 | 285,000 | 299,950 | ||||||
| Amur Equipment Finance Receivables V LLC, Class A2, Series 2018-1A, 3.24%, 12/20/23‡ | 64,849 | 65,209 | ||||||
| Amur Equipment Finance Receivables VI LLC, Class A2, Series 2018-2A, 3.89%, 07/20/22‡ | 179,428 | 182,435 | ||||||
| Amur Equipment Finance Receivables VIII LLC, Class B, Series 2020-1A, 2.50%, 03/20/26‡ | 212,227 | 216,604 | ||||||
| Aqua Finance Trust, Class A, Series 2019-A, 3.14%, 07/16/40‡ | 137,361 | 140,912 | ||||||
| Aqua Finance Trust, Class C, Series 2019-A, 4.01%, 07/16/40‡ | 195,000 | 201,386 | ||||||
| Arbys Funding LLC, Class A2, Series 2020-1A, 3.24%, 07/30/50‡ | 144,638 | 148,796 | ||||||
| Bankers Healthcare Group Securitization Trust, Class A, Series 2020-A, 2.56%, 09/17/31‡ | 120,188 | 120,487 | ||||||
| BCC Funding Corp. XVI LLC, Class B, Series 2019-1A, 2.64%, 09/20/24‡ | 220,000 | 222,729 | ||||||
| Investments | Principal | Value | ||||||
| ASSET BACKED SECURITIES (continued) | ||||||||
| BCC Funding XVII LLC, Class B, Series 2020-1, 1.46%, 09/22/25‡ | $ | 145,000 | $ | 145,781 | ||||
| BRE Grand Islander Timeshare Issuer LLC, Class A, Series 2017-1A, 2.94%, 05/25/29‡ | 217,768 | 222,930 | ||||||
| BXG Receivables Note Trust, Class A, Series 2013-A, 3.01%, 12/04/28‡ | 40,951 | 41,613 | ||||||
| BXG Receivables Note Trust, Class A, Series 2015-A, 2.88%, 05/02/30‡ | 229,793 | 228,772 | ||||||
| Carnow Auto Receivables Trust, Class A, Series 2019-1A, 2.72%, 11/15/22‡ | 57,405 | 57,750 | ||||||
| Carvana Auto Receivables Trust, Class D, Series 2019-3A, 3.04%, 04/15/25‡ | 170,000 | 175,904 | ||||||
| CCG Receivables Trust, Class B, Series 2019-2, 2.55%, 03/15/27‡ | 210,000 | 215,686 | ||||||
| CLI Funding VI LLC, Class A, Series 2020-1A, 2.08%, 09/18/45‡ | 168,875 | 171,181 | ||||||
| Commonbond Student Loan Trust, Class A, Series 2020-1, 1.69%, 10/25/51‡ | 160,635 | 162,058 | ||||||
| Commonbond Student Loan Trust, Class A1, Series 2019-AGS, 2.54%, 01/25/47‡ | 146,855 | 150,668 | ||||||
| Consumer Loan Underlying Bond CLUB Credit Trust, Class A, Series 2019-P2, 2.47%, 10/15/26‡ | 53,806 | 54,134 | ||||||
| Consumer Loan Underlying Bond Credit Trust, Class A, Series 2018-P2, 3.47%, 10/15/25‡ | 3,171 | 3,173 | ||||||
| CPS Auto Receivables Trust, Class C, Series 2020-A, 2.54%, 12/15/25‡ | 175,000 | 178,988 | ||||||
| CPS Auto Receivables Trust, Class C, Series 2020-B, 3.30%, 04/15/26‡ | 170,000 | 176,827 | ||||||
| CPS Auto Receivables Trust, Class D, Series 2018-D, 4.34%, 09/16/24‡ | 210,000 | 218,764 | ||||||
| Credit Acceptance Auto Loan Trust, Class A, Series 2018-1A, 3.01%, 02/16/27‡ | 15,034 | 15,047 | ||||||
| Credit Acceptance Auto Loan Trust, Class A, Series 2019-1A, 3.33%, 02/15/28‡ | 280,000 | 285,261 | ||||||
See accompanying Notes to Financial Statements.
29
ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Principal | Value | ||||||
| ASSET BACKED SECURITIES (continued) | ||||||||
| Dext ABS LLC, Class A, Series 2020-1, 1.46%, 02/16/27‡ | $ | 135,736 | $ | 136,226 | ||||
| Diamond Resorts Owner Trust, Class B, Series 2019-1A, 3.53%, 02/20/32‡ | 133,702 | 137,226 | ||||||
| Drive Auto Receivables Trust, Class C, Series 2019-3, 2.90%, 08/15/25 | 240,000 | 247,315 | ||||||
| DT Auto Owner Trust, Class C, Series 2019-1A, 3.61%, 11/15/24‡ | 210,000 | 213,979 | ||||||
| DT Auto Owner Trust, Class C, Series 2019-4A, 2.73%, 07/15/25‡ | 220,000 | 225,585 | ||||||
| DT Auto Owner Trust, Class C, Series 2020-2A, 3.28%, 03/16/26‡ | 165,000 | 173,586 | ||||||
| Earnest Student Loan Program LLC, Class A2, Series 2017-A, 2.65%, 01/25/41‡ | 213,075 | 216,116 | ||||||
| Exeter Automobile Receivables Trust, Class B, Series 2017-3A, 2.81%, 09/15/22‡ | 19,058 | 19,079 | ||||||
| Exeter Automobile Receivables Trust, Class C, Series 2018-3A, 3.71%, 06/15/23‡ | 107,520 | 108,510 | ||||||
| Exeter Automobile Receivables Trust, Class C, Series 2019-4A, 2.44%, 09/16/24‡ | 220,000 | 224,726 | ||||||
| Exeter Automobile Receivables Trust, Class D, Series 2018-4A, 4.35%, 09/16/24‡ | 175,000 | 183,098 | ||||||
| Fair Square Issuance Trust, Class A, Series 2020-AA, 2.90%, 09/20/24‡ | 210,000 | 212,432 | ||||||
| FHF Trust, Class A, Series 2020-1A, 2.59%, 12/15/23‡ | 146,551 | 147,580 | ||||||
| First Investors Auto Owner Trust, Class C, Series 2016-2A, 2.53%, 07/15/22‡ | 60,991 | 61,067 | ||||||
| First Investors Auto Owner Trust, Class C, Series 2019-1A, 3.26%, 03/17/25‡ | 305,000 | 314,437 | ||||||
| First Investors Auto Owner Trust, Class D, Series 2017-1A, 3.60%, 04/17/23‡ | 145,000 | 146,914 | ||||||
| Flagship Credit Auto Trust, Class C, Series 2020-1, 2.24%, 01/15/26‡ | 210,000 | 216,127 | ||||||
| Flagship Credit Auto Trust, Class C, Series 2020-3, 1.73%, 09/15/26‡ | 145,000 | 148,662 | ||||||
| Flagship Credit Auto Trust, Class C, Series 2020-4, 1.28%, 02/16/27‡ | 145,000 | 146,425 | ||||||
| Investments | Principal | Value | ||||||
| ASSET BACKED SECURITIES (continued) | ||||||||
| Foundation Finance Trust, Class A, Series 2017-1A, 3.30%, 07/15/33‡ | $ | 152,082 | $ | 155,001 | ||||
| Foursight Capital Automobile Receivables Trust, Class E, Series 2019-1, 4.30%, 09/15/25‡ | 130,000 | 135,263 | ||||||
| FREED ABS Trust, Class A, Series 2020-3FP, 2.40%, 09/20/27‡ | 91,819 | 92,169 | ||||||
| FREED ABS Trust, Class B, Series 2018-2, 4.61%, 10/20/25‡ | 250,000 | 253,521 | ||||||
| FREED ABS Trust, Class B, Series 2019-2, 3.19%, 11/18/26‡ | 220,000 | 222,735 | ||||||
| Genesis Private Label Amortizing Trust, Class B, Series 2020-1, 2.83%, 07/20/30‡ | 200,000 | 201,271 | ||||||
| GLS Auto Receivables Issuer Trust, Class A, Series 2019-2A, 3.06%, 04/17/23‡ | 83,284 | 83,838 | ||||||
| GLS Auto Receivables Issuer Trust, Class B, Series 2019-3A, 2.72%, 06/17/24‡ | 220,000 | 225,152 | ||||||
| GLS Auto Receivables Issuer Trust, Class B, Series 2020-1A, 2.43%, 11/15/24‡ | 245,000 | 250,829 | ||||||
| GLS Auto Receivables Issuer Trust, Class B, Series 2020-2A, 3.16%, 06/16/25‡ | 180,000 | 188,296 | ||||||
| GLS Auto Receivables Issuer Trust, Class C, Series 2018-3A, 4.18%, 07/15/24‡ | 235,000 | 244,694 | ||||||
| GLS Auto Receivables Issuer Trust, Class C, Series 2019-4A, 3.06%, 08/15/25‡ | 135,000 | 140,759 | ||||||
| Gold Key Resorts LLC, Class A, Series 2014-A, 3.22%, 03/17/31‡ | 55,119 | 55,694 | ||||||
| Hertz Vehicle Financing II LP, Class A, Series 2015-3A, 2.67%, 09/25/21‡ | 21,835 | 21,872 | ||||||
| Hertz Vehicle Financing II LP, Class A, Series 2016-4A, 2.65%, 07/25/22‡ | 61,545 | 61,718 | ||||||
| Hin Timeshare Trust, Class C, Series 2020-A, 3.42%, 10/09/39‡ | 157,501 | 163,116 | ||||||
| Marlette Funding Trust, Class A, Series 2019-2A, 3.13%, 07/16/29‡ | 78,424 | 79,121 | ||||||
| Marlette Funding Trust, Class A, Series 2019-4A, 2.39%, 12/17/29‡ | 95,614 | 96,399 | ||||||
See accompanying Notes to Financial Statements.
30
ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Principal | Value | ||||||
| ASSET BACKED SECURITIES (continued) | ||||||||
| MVW LLC, Class A, Series 2020-1A, 1.74%, 10/20/37‡ | $ | 158,902 | $ | 162,844 | ||||
| MVW Owner Trust, Class A, Series 2019-1A, 2.89%, 11/20/36‡ | 148,635 | 154,528 | ||||||
| MVW Owner Trust, Class A, Series 2019-2A, 2.22%, 10/20/38‡ | 164,032 | 169,070 | ||||||
| MVW Owner Trust, Class B, Series 2015-1A, 2.96%, 12/20/32‡ | 82,819 | 83,013 | ||||||
| NextGear Floorplan Master Owner Trust, Class A2, Series 2018-1A, 3.22%, 02/15/23‡ | 145,000 | 145,485 | ||||||
| NMEF Funding LLC, Class A, Series 2019-A, 2.73%, 08/17/26‡ | 59,660 | 60,006 | ||||||
| NMEF Funding LLC, Class B, Series 2019-A, 3.06%, 08/17/26‡ | 175,000 | 178,057 | ||||||
| Octane Receivables Trust, Class A, Series 2019-1A, 3.16%, 09/20/23‡ | 81,354 | 82,395 | ||||||
| Octane Receivables Trust, Class A, Series 2020-1A, 1.71%, 02/20/25‡ | 160,013 | 160,496 | ||||||
| OneMain Direct Auto Receivables Trust, Class C, Series 2018-1A, 3.85%, 10/14/25‡ | 250,000 | 255,956 | ||||||
| OneMain Financial Issuance Trust, Class A, Series 2019-1A, 3.48%, 02/14/31‡ | 215,000 | 216,992 | ||||||
| Orange Lake Timeshare Trust, Class A, Series 2015-AA, 2.88%, 09/08/27‡ | 83,063 | 83,946 | ||||||
| Orange Lake Timeshare Trust, Class B, Series 2019-A, 3.36%, 04/09/38‡ | 147,523 | 152,962 | ||||||
| Pawnee Equipment Receivables Series, Class A, Series 2020-1, 1.37%, 11/17/25‡ | 126,228 | 126,629 | ||||||
| Prosper Marketplace Issuance Trust, Class A, Series 2019-3A, 3.19%, 07/15/25‡ | 23,185 | 23,265 | ||||||
| Sierra Timeshare Receivables Funding LLC, Class B, Series 2020-2A, 2.32%, 07/20/37‡ | 122,388 | 124,050 | ||||||
| Skopos Auto Receivables Trust, Class C, Series 2019-1A, 3.63%, 09/16/24‡ | 180,000 | 184,552 | ||||||
| Sofi Consumer Loan Program Trust, Class A2, Series 2018-2, 3.35%, 04/26/27‡ | 31,650 | 31,740 | | |||||
| Investments | Principal | Value | ||||||
| ASSET BACKED SECURITIES (continued) | ||||||||
| Sofi Professional Loan Program LLC, Class A2B, Series 2017-C, 2.63%, 07/25/40‡ | $ | 349,512 | $ | 356,089 | ||||
| Taco Bell Funding LLC, Class A23, Series 2016-1A, 4.97%, 05/25/46‡ | 168,875 | 182,871 | ||||||
| Tesla Auto Lease Trust, Class B, Series 2018-B, 4.12%, 10/20/21‡ | 310,000 | 315,011 | ||||||
| Tricolor Auto Securitization Trust, Class B, Series 2018-2A, 4.76%, 02/15/22‡ | 4,971 | 4,977 | ||||||
| TRIP Rail Master Funding LLC, Class A1, Series 2017-1A, 2.71%, 08/15/47‡ | 133,960 | 134,297 | ||||||
| United Auto Credit Securitization Trust, Class D, Series 2019-1, 3.47%, 08/12/24‡ | 205,000 | 208,743 | ||||||
| Upstart Securitization Trust, Class A, Series 2019-2, 2.90%, 09/20/29‡ | 67,017 | 67,464 | ||||||
| Upstart Securitization Trust, Class A, Series 2019-3, 2.68%, 01/21/30‡ | 96,892 | 97,772 | ||||||
| Upstart Securitization Trust, Class A, Series 2020-3, 1.70%, 11/20/30‡ | 138,627 | 139,387 | ||||||
| US Auto Funding LLC, Class B, Series 2019-1A, 3.99%, 12/15/22‡ | 305,000 | 309,391 | ||||||
| Welk Resorts LLC, Class A, Series 2015-AA, 2.79%, 06/16/31‡ | 98,516 | 98,553 | ||||||
| Westgate Resorts LLC, Class A, Series 2018-1A, 3.38%, 12/20/31‡ | 205,189 | 207,766 | ||||||
| Westlake Automobile Receivables Trust, Class C, Series 2018-3A, 3.61%, 10/16/23‡ | 380,000 | 383,688 | ||||||
| Westlake Automobile Receivables Trust, Class C, Series 2020-3A, 1.24%, 11/17/25‡ | 145,000 | 145,918 | ||||||
| Westlake Automobile Receivables Trust, Class D, Series 2018-2A, 4.00%, 01/16/24‡ | 215,000 | 219,438 | ||||||
| Total Asset Backed Securities (Cost $16,035,210) | 16,289,952 | |||||||
| CORPORATE BONDS — 25.0% | ||||||||
| Communication Services — 1.2% | ||||||||
| Level 3 Financing, Inc., 4.63%, 09/15/27‡ | 60,000 | 62,774 | ||||||
| Level 3 Financing, Inc., 4.25%, 07/01/28‡ | 85,000 | 87,422 | ||||||
| Live Nation Entertainment, Inc., 4.75%, 10/15/27‡ | 25,000 | 25,662 | ||||||
| Sprint Corp., 7.88%, 09/15/23 | 75,000 | 86,929 | ||||||
See accompanying Notes to Financial Statements.
31
ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
SCHEDULE OF INVESTMENTS (CONTINUED)
| DECEMBER 31, 2020 (UNAUDITED) |
| Investments | Principal | Value | ||||||
| CORPORATE BONDS (continued) | ||||||||
| Communication Services (continued) | ||||||||
| Sprint Spectrum Co. LLC / Sprint Spectrum Co. II LLC / Sprint Spectrum Co. III LLC, 4.74%, 03/20/25‡ | $ | 200,000 | $ | 217,243 | ||||
| T-Mobile USA, Inc., 2.05%, 02/15/28‡ | 85,000 | 88,520 | ||||||
| TripAdvisor, Inc., 7.00%, 07/15/25‡ | 50,000 | 54,094 | ||||||
| Total Communication Services | 622,644 | |||||||
| Consumer Discretionary — 1.7% | ||||||||
| Ford Motor Credit Co. LLC, 3.20%, 01/15/21 | 360,000 | 360,855 | ||||||
| General Motors Co., 6.13%, 10/01/25 | 120,000 | 145,677 | ||||||
| Hanesbrands, Inc., 5.38%, 05/15/25‡ | 115,000 | 121,816 | ||||||
| MGM Growth Properties Operating Partnership LP / Mgp Finance Co.-Issuer, Inc., 4.63%, 06/15/25‡(a) | 20,000 | 21,440 | ||||||
| TRI Pointe Group, Inc. / TRI Pointe Homes, Inc., 5.88%, 06/15/24 | 190,000 | 207,979 | ||||||
| VF Corp., 2.40%, 04/23/25(a) | 71,000 | 75,781 | ||||||
| Total Consumer Discretionary | 933,548 | |||||||
| Consumer Staples — 1.0% | ||||||||
| Albertsons Cos., Inc. / Safeway, Inc. / New Albertsons LP / Albertsons LLC, 3.25%, 03/15/26‡ | 115,000 | 116,869 | ||||||
| Altria Group, Inc., 3.80%, 02/14/24 | 158,000 | 172,608 | ||||||
| Conagra Brands, Inc., 4.30%, 05/01/24 | 125,000 | 139,957 | ||||||
| Kraft Heinz Foods Co., 3.88%, 05/15/27‡ | 105,000 | 113,278 | ||||||
| Total Consumer Staples | 542,712 | |||||||
| Energy — 0.9% | ||||||||
| Boardwalk Pipelines LP, 4.95%, 12/15/24 | 150,000 | 167,583 | ||||||
| Crownrock LP / Crownrock Finance, Inc., 5.63%, 10/15/25‡ | 60,000 | 61,386 | ||||||
| EQM Midstream Partners LP, 6.00%, 07/01/25‡(a) | 15,000 | 16,444 | ||||||
| EQM Midstream Partners LP, 6.50%, 07/01/27‡ | 20,000 | 22,549 | ||||||
| Sabine Pass Liquefaction LLC, 6.25%, 03/15/22 | 100,000 | 105,274 | ||||||
| Targa Resources Partners LP / Targa Resources Partners Finance Corp., 5.88%, 04/15/26 | 85,000 | 90,278 | ||||||
| Total Energy | 463,514 | |||||||
| Investments | Principal | Value | ||||||
| CORPORATE BONDS (continued) | ||||||||
| Financials — 9.6% | ||||||||
| Ares Capital Corp., 3.50%, 02/10/23 | $ | 195,000 | $ | 205,559 | ||||
| Athene Global Funding, 2.45%, 08/20/27‡ | 145,000 | 150,486 | ||||||
| Bank of America Corp., 1.21%, (3-Month USD LIBOR + 1.00%), 04/24/23@ | 285,000 | 287,994 | ||||||
| Bank of America Corp., 0.99%, (3-Month USD LIBOR + 0.77%), 02/05/26@ | 153,000 | 153,998 | ||||||
| Bank of New York Mellon Corp. (The), Series E, 3.66%, (3-Month USD LIBOR + 3.42%)#@ | 360,000 | 360,404 | ||||||
| Capital One Financial Corp., 3.75%, 07/28/26 | 190,000 | 215,711 | ||||||
| Charles Schwab Corp. (The), Series H, 4.00%, (US 10 Year CMT T-Note + 3.08%)#@ | 95,000 | 100,462 | ||||||
| Charles Schwab Corp. (The), Series G, 5.38%, (US 5 Year CMT T-Note + 4.97%)#@ | 44,000 | 49,115 | ||||||
| Citadel LP, 4.88%, 01/15/27‡ | 75,000 | 81,857 | ||||||
| Citigroup, Inc., 1.17%, (3-Month USD LIBOR + 0.96%), 04/25/22@ | 215,000 | 216,956 | ||||||
| Goldman Sachs Group, Inc. (The), 3.00%, 04/26/22 | 330,000 | 332,693 | ||||||
| Goldman Sachs Group, Inc. (The), 1.82%, (3-Month USD LIBOR + 1.60%), 11/29/23@ | 170,000 | 175,874 | ||||||
| Goldman Sachs Group, Inc. (The), 1.97%, (3-Month USD LIBOR + 1.75%), 10/28/27@ | 170,000 | 178,799 | ||||||
| Icahn Enterprises LP / Icahn Enterprises Finance Corp., 6.25%, 05/15/26 | 140,000 | 148,574 | ||||||
| JPMorgan Chase & Co., Series Z, 4.01%, (3-Month USD LIBOR + 3.80%)#@ | 430,000 | 428,678 | ||||||
| JPMorgan Chase & Co., Series HH, 4.60%, (SOFR + 3.13%), 08/01/69@ | 182,000 | 188,142 | ||||||
| Ladder Capital Finance Holdings LLLP / Ladder Capital Finance Corp., 4.25%, 02/01/27‡ | 105,000 | 103,425 | ||||||
| Lincoln National Corp., 2.26%, (3-Month USD LIBOR + 2.04%), 04/20/67@ | 60,000 | 45,000 | ||||||
| Morgan Stanley, 1.61%, (3-Month USD LIBOR + 1.40%), 10/24/23@ | 445,000 | 453,569 | ||||||
See accompanying Notes to Financial Statements.
32
ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
SCHEDULE OF INVESTMENTS (CONTINUED)
| DECEMBER 31, 2020 (UNAUDITED) |
| Investments | Principal | Value | ||||||
| CORPORATE BONDS (continued) | ||||||||
| Financials (continued) | ||||||||
| Morgan Stanley, Series F, 3.88%, 04/29/24 | $ | 275,000 | $ | 304,794 | ||||
| Navient Corp., 5.88%, 10/25/24 | 110,000 | 117,150 | ||||||
| Prudential Financial, Inc., 5.63%, (3-Month USD LIBOR + 3.92%), 06/15/43@ | 84,000 | 90,136 | ||||||
| Santander Holdings USA, Inc., 3.70%, 03/28/22 | 205,000 | 211,733 | ||||||
| Santander Holdings USA, Inc., Series FXD, 3.50%, 06/07/24 | 240,000 | 259,399 | ||||||
| Wells Fargo & Co., 1.65%, (SOFR + 1.60%), 06/02/24@ | 120,000 | 123,375 | ||||||
| Wells Fargo & Co., 4.10%, 06/03/26 | 140,000 | 160,618 | ||||||
| Total Financials | 5,144,501 | |||||||
| Health Care — 1.6% | ||||||||
| HCA, Inc., 5.38%, 02/01/25 | 130,000 | 146,382 | ||||||
| Mylan NV, 3.95%, 06/15/26 | 215,000 | 246,164 | ||||||
| Perrigo Finance Unlimited Co., 3.90%, 12/15/24 | 200,000 | 220,156 | ||||||
| Royalty Pharma PLC, 1.20%, 09/02/25‡ | 23,000 | 23,411 | ||||||
| Royalty Pharma PLC, 1.75%, 09/02/27‡ | 123,000 | 126,718 | ||||||
| Tenet Healthcare Corp., 7.50%, 04/01/25‡ | 10,000 | 10,939 | ||||||
| Tenet Healthcare Corp., 4.88%, 01/01/26‡ | 105,000 | 109,972 | ||||||
| Total Health Care | 883,742 | |||||||
| Industrials — 3.1% | ||||||||
| Ashtead Capital, Inc. (United Kingdom), 5.25%, 08/01/26‡ | 200,000 | 212,250 | ||||||
| Ashtead Capital, Inc. (United Kingdom), 4.38%, 08/15/27‡ | 200,000 | 211,750 | ||||||
| Aviation Capital Group LLC, 3.88%, 05/01/23‡ | 146,000 | 152,227 | ||||||
| Boeing Co. (The), 2.35%, 10/30/21 | 60,000 | 60,807 | ||||||
| Boeing Co. (The), 4.88%, 05/01/25 | 45,000 | 51,336 | ||||||
| Boeing Co. (The), 5.04%, 05/01/27 | 67,000 | 78,433 | ||||||
| CNH Industrial Capital LLC, 4.20%, 01/15/24 | 280,000 | 307,360 | ||||||
| General Electric Co., Series D, 5.00%, (3-Month USD LIBOR + 3.33%)#@ | 175,000 | 163,013 | ||||||
| Howmet Aerospace, Inc., 6.88%, 05/01/25(a) | 105,000 | 122,981 | ||||||
| Spirit AeroSystems, Inc., 5.50%, 01/15/25‡ | 115,000 | 121,457 | ||||||
| Stanley Black & Decker, Inc., 4.00%, (US 5 Year CMT T-Note + 2.66%), 03/15/60@ | 190,000 | 202,495 | ||||||
| Total Industrials | 1,684,109 | |||||||
| Investments | Principal | Value | ||||||
| CORPORATE BONDS (continued) | ||||||||
| Information Technology — 2.4% | ||||||||
| Broadcom, Inc., 3.15%, 11/15/25 | $ | 145,000 | $ | 158,510 | ||||
| Dell International LLC / EMC Corp., 4.00%, 07/15/24‡ | 145,000 | 160,037 | ||||||
| Flex Ltd., 3.75%, 02/01/26 | 116,000 | 129,872 | ||||||
| Hewlett Packard Enterprise Co., 2.25%, 04/01/23 | 180,000 | 186,618 | ||||||
| HP, Inc., 2.20%, 06/17/25(a) | 53,000 | 56,172 | ||||||
| HP, Inc., 3.00%, 06/17/27 | 95,000 | 104,975 | ||||||
| Leidos, Inc., 3.63%, 05/15/25‡ | 119,000 | 133,201 | ||||||
| Microchip Technology, Inc., 2.67%, 09/01/23‡ | 150,000 | 156,980 | ||||||
| VMware, Inc., 4.50%, 05/15/25 | 145,000 | 166,113 | ||||||
| Xerox Holdings Corp., 5.00%, 08/15/25‡ | 60,000 | 63,931 | ||||||
| Total Information Technology | 1,316,409 | |||||||
| Materials — 0.7% | ||||||||
| Ardagh Packaging Finance PLC/ Ardagh Holdings USA, Inc., 4.13%, 08/15/26‡ | 200,000 | 209,250 | ||||||
| Nutrition & Biosciences, Inc., 1.23%, 10/01/25‡ | 73,000 | 73,825 | ||||||
| Nutrition & Biosciences, Inc., 1.83%, 10/15/27‡ | 78,000 | 80,442 | ||||||
| Total Materials | 363,517 | |||||||
| Real Estate — 0.6% | ||||||||
| GLP Capital LP / GLP Financing II, Inc., 5.25%, 06/01/25 | 55,000 | 62,017 | ||||||
| iStar, Inc., 4.25%, 08/01/25 | 70,000 | 69,300 | ||||||
| Service Properties Trust, 4.65%, 03/15/24 | 195,000 | 193,415 | ||||||
| Total Real Estate | 324,732 | |||||||
| Utilities — 2.2% | ||||||||
| American Electric Power Co., Inc., Series N, 1.00%, 11/01/25(a) | 41,000 | 41,526 | ||||||
| Avangrid, Inc., 3.20%, 04/15/25 | 93,000 | 101,911 | ||||||
| DPL, Inc., 4.35%, 04/15/29 | 135,000 | 151,630 | ||||||
| Exelon Corp., 3.50%, 06/01/22 | 212,000 | 220,564 | ||||||
| NRG Energy, Inc., 3.75%, 06/15/24‡ | 140,000 | 153,415 | ||||||
| Pacific Gas and Electric Co., 1.60%, (3-Month USD LIBOR + 1.38%), 11/15/21@ | 146,000 | 146,099 | ||||||
| Terraform Power Operating LLC, 5.00%, 01/31/28‡ | 100,000 | 112,553 | ||||||
| Vistra Operations Co. LLC, 3.55%, 07/15/24‡ | 235,000 | 254,643 | ||||||
| Total Utilities | 1,182,341 | |||||||
Total
Corporate Bonds | 13,461,769 | |||||||
See accompanying Notes to Financial Statements.
33
ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
SCHEDULE OF INVESTMENTS (CONTINUED)
| DECEMBER 31, 2020 (UNAUDITED) |
| Investments | Principal | Value | ||||||
| MORTGAGE BACKED SECURITIES — 24.0% | ||||||||
| Commercial Mortgage Backed Securities — 3.5% | ||||||||
| BX Trust, Class B, Series 2018-GW, 1.18%, (1-Month USD LIBOR + 1.02%), 05/15/35@‡ | $ | 700,000 | $ | 685,502 | ||||
| CF Hippolyta LLC, Class A1, Series 2020-1, 1.69%, 07/15/60‡ | 109,754 | 112,096 | ||||||
| Commercial Mortgage Trust, Class B, Series 2020-CBM, 3.10%, 02/10/37‡ | 150,000 | 148,939 | ||||||
| CSMC Trust, Class A1, Series 2020-NQM1, 1.21%, 05/25/65‡ | 258,110 | 259,349 | ||||||
| GS Mortgage Securities Corp. Trust, Class A, Series 2020-TWN3, 2.16%, (1-Month USD LIBOR + 2.00%), 11/15/37@‡ | 175,000 | 176,065 | ||||||
| GS Mortgage Securities Trust, Class AS, Series 2020-GC45, 3.17%, 02/13/53@* | 175,000 | 196,376 | ||||||
| Provident Funding Mortgage Trust, Class A2, Series 2019-1, 3.00%, 12/25/49@‡* | 93,550 | 95,353 | ||||||
| Sutherland Commercial Mortgage Loans, Class A, Series 2017-SBC6, 3.19%, 05/25/37@‡* | 78,365 | 78,753 | ||||||
| Velocity Commercial Capital Loan Trust, Class AFX, Series 2017-1, 3.00%, 05/25/47@‡* | 13,961 | 13,985 | ||||||
| Velocity Commercial Capital Loan Trust, Class AFX, Series 2020-1, 2.61%, 02/25/50@‡* | 119,850 | 121,737 | ||||||
| Total Commercial Mortgage Backed Securities | 1,888,155 | |||||||
| Residential Mortgage Backed Securities — 20.5% | ||||||||
| Ajax Mortgage Loan Trust, Class A, Series 2017-B, 3.16%, 09/25/56@‡* | 177,984 | 178,672 | ||||||
| Angel Oak Mortgage Trust, Class A1, Series 2019-3, 2.93%, 05/25/59@‡* | 96,249 | 97,802 | ||||||
| Angel Oak Mortgage Trust I LLC, Class A1, Series 2018-3, 3.65%, 09/25/48@‡* | 35,581 | 36,354 | ||||||
| Angel Oak Mortgage Trust I LLC, Class A1, Series 2019-2, 3.63%, 03/25/49@‡* | 77,090 | 79,034 | ||||||
| Angel Oak SB Commercial Mortgage Trust, Class A1, Series 2020-SBC1, 1.93%, 05/25/50@‡* | 108,877 | 109,163 | ||||||
| Investments | Principal | Value | ||||||
| MORTGAGE BACKED SECURITIES (continued) | ||||||||
| Residential Mortgage Backed Securities (continued) | ||||||||
| Arroyo Mortgage Trust, Class A1, Series 2019-1, 3.81%, 01/25/49@‡* | $ | 219,804 | $ | 226,881 | ||||
| Arroyo Mortgage Trust, Class A1, Series 2019-2, 3.35%, 04/25/49@‡* | 162,893 | 168,317 | ||||||
| Banc of America Funding Trust, Class 1A1, Series 2005-1, 5.50%, 02/25/35 | 100,518 | 104,509 | ||||||
| Bayview Koitere Fund Trust, Class A, Series 2017-RT4, 3.50%, 07/28/57@‡* | 112,038 | 116,324 | ||||||
| Bayview Opportunity Master Fund IVb Trust, Class A, Series 2017-SPL4, 3.50%, 01/28/55@‡* | 226,216 | 232,167 | ||||||
| Centex Home Equity Loan Trust, Class AF5, Series 2004-D, 5.85%, 09/25/34 | 84,152 | 85,640 | ||||||
| Citigroup Mortgage Loan Trust, Inc., Class A, Series 2014-A, 4.00%, 01/25/35@‡* | 203,409 | 215,966 | ||||||
| Citigroup Mortgage Loan Trust, Inc., Class A1, Series 2015-PS1, 3.75%, 09/25/42@‡* | 93,819 | 96,993 | ||||||
| Citigroup Mortgage Loan Trust, Inc., Class A1, Series 2015-A, 3.50%, 06/25/58@‡* | 119,020 | 121,697 | ||||||
| Citigroup Mortgage Loan Trust, Inc., Class A1, Series 2018-RP1, 3.00%, 09/25/64@‡* | 134,155 | 142,188 | ||||||
| COLT Mortgage Loan Trust, Class A1, Series 2020-1, 2.49%, 02/25/50@‡* | 97,088 | 98,361 | ||||||
| Credit Suisse Commercial Mortgage Trust, Class A16, Series 2013-HYB1, 2.92%, 04/25/43@‡* | 78,046 | 79,922 | ||||||
| Credit Suisse Commercial Mortgage Trust, Class A2, Series 2014-IVR2, 3.78%, 04/25/44@‡* | 239,302 | 246,354 | ||||||
| Credit Suisse First Boston Mortgage Securities Corp., Class 6A1, Series 2004-AR8, 2.93%, 09/25/34@* | 6,911 | 6,932 | ||||||
| Credit Suisse First Boston Mortgage-Backed Pass-Through Certificates, Class 5A1, Series 2003-AR30, 2.72%, 01/25/34@* | 62,110 | 62,959 | ||||||
See accompanying Notes to Financial Statements.
34
ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Principal | Value | ||||||
| MORTGAGE BACKED SECURITIES (continued) | ||||||||
| Residential Mortgage Backed Securities (continued) | ||||||||
| Deephaven Residential Mortgage Trust, Class A1, Series 2017-1A, 2.73%, 12/26/46@‡* | $ | 71,321 | $ | 71,437 | ||||
| Deephaven Residential Mortgage Trust, Class A3, Series 2017-3A, 2.81%, 10/25/47@‡* | 22,767 | 23,031 | ||||||
| Deephaven Residential Mortgage Trust, Class A1, Series 2018-2A, 3.48%, 04/25/58@‡* | 93,567 | 95,613 | ||||||
| Deephaven Residential Mortgage Trust, Class A1, Series 2019-1A, 3.74%, 01/25/59@‡* | 228,731 | 231,389 | ||||||
| Ellington Financial Mortgage Trust, Class A3, Series 2019-2, 3.05%, 11/25/59@‡* | 72,361 | 74,101 | ||||||
| Ellington Financial Mortgage Trust, Class A1, Series 2020-1, 2.01%, 05/25/65@‡* | 123,521 | 125,594 | ||||||
| Firstkey Homes Trust, Class B, Series 2020-SFR2, 1.57%, 10/19/37‡ | 175,000 | 174,256 | ||||||
| Galton Funding Mortgage Trust, Class A21, Series 2017-1, 3.50%, 07/25/56@‡* | 242,464 | 246,465 | ||||||
| Galton Funding Mortgage Trust, Class A41, Series 2018-2, 4.50%, 10/25/58@‡* | 46,650 | 47,606 | ||||||
| Galton Funding Mortgage Trust, Class A1, Series 2020-H1, 2.31%, 01/25/60@‡* | 242,141 | 246,876 | ||||||
| GCAT LLC, Class A1, Series 2019-NQM1, 2.99%, 02/25/59‡ | 376,656 | 385,053 | ||||||
| GSR Mortgage Loan Trust, Class 1A6, Series 2003-3F, 6.00%, 04/25/33 | 99,308 | 103,964 | ||||||
| Homeward Opportunities Fund I Trust, Class A1, Series 2018-1, 3.77%, 06/25/48@‡* | 161,772 | 163,027 | ||||||
| Homeward Opportunities Fund I Trust, Class A1, Series 2019-1, 3.45%, 01/25/59@‡* | 309,195 | 312,838 | ||||||
| Homeward Opportunities Fund I Trust, Class A1, Series 2019-3, 2.68%, 11/25/59@‡* | 109,207 | 111,410 | ||||||
| JPMorgan Mortgage Trust, Class AM, Series 2014-2, 3.35%, 06/25/29@‡* | 316,602 | 322,127 | ||||||
| JPMorgan Mortgage Trust, Class 2A2, Series 2014-2, 3.50%, 06/25/29@‡* | 158,227 | 162,219 | ||||||
| JPMorgan Mortgage Trust, Class 4A1, Series 2006-A2, 3.07%, 08/25/34@* | 66,390 | 68,539 | ||||||
| Investments | Principal | Value | ||||||
| MORTGAGE BACKED SECURITIES (continued) | ||||||||
| Residential Mortgage Backed Securities (continued) | ||||||||
| JPMorgan Mortgage Trust, Class 4A1, Series 2005-A2, 2.93%, 04/25/35@* | $ | 211,907 | $ | 209,925 | ||||
| JPMorgan Mortgage Trust, Class A2, Series 2015-5, 2.55%, 05/25/45@‡* | 198,715 | 205,977 | ||||||
| LHOME Mortgage Trust, Class A1, Series 2019-RTL1, 4.58%, 10/25/23‡ | 315,000 | 319,278 | ||||||
| MASTR Alternative Loan Trust, Class 6A1, Series 2004-4, 5.50%, 04/25/34 | 152,880 | 158,944 | ||||||
| MASTR Alternative Loan Trust, Class 2A1, Series 2005-2, 6.00%, 01/25/35 | 107,015 | 115,548 | ||||||
| National City Mortgage Capital Trust, Class 2A1, Series 2008-1, 6.00%, 03/25/38 | 68,642 | 70,498 | ||||||
| New Residential Mortgage Loan Trust, Class A1, Series 2019-NQM1, 3.67%, 01/25/49@‡* | 40,809 | 41,110 | ||||||
| New Residential Mortgage Loan Trust, Class A3, Series 2014-2A, 3.75%, 05/25/54@‡* | 88,451 | 94,676 | ||||||
| New Residential Mortgage Loan Trust, Class AFX3, Series 2014-3A, 3.75%, 11/25/54@‡* | 161,573 | 173,839 | ||||||
| New Residential Mortgage Loan Trust, Class A1, Series 2016-3A, 3.75%, 09/25/56@‡* | 364,414 | 389,961 | ||||||
| New Residential Mortgage Loan Trust, Class A1, Series 2016-4A, 3.75%, 11/25/56@‡* | 253,324 | 271,063 | ||||||
| OBX Trust, Class A3, Series 2019-INV1, 4.50%, 11/25/48@‡* | 134,773 | 140,996 | ||||||
| OBX Trust, Class 1A8, Series 2019-EXP3, 3.50%, 10/25/59@‡* | 108,015 | 111,404 | ||||||
| PRPM LLC, Class A1, Series 2020-1A, 2.98%, 02/25/25‡ | 138,493 | 139,010 | ||||||
| RCKT Mortgage Trust, Class A1, Series 2020-1, 3.00%, 02/25/50@‡* | 137,829 | 141,823 | ||||||
| Residential Mortgage Loan Trust, Class A1, Series 2020-1, 2.38%, 02/25/24@‡* | 211,047 | 215,538 | ||||||
| Residential Mortgage Loan Trust, Class A1, Series 2019-1, 3.94%, 10/25/58@‡* | 138,010 | 139,138 | ||||||
See accompanying Notes to Financial Statements.
35
ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Principal | Value | ||||||
| MORTGAGE BACKED SECURITIES (continued) | ||||||||
| Residential Mortgage Backed Securities (continued) | ||||||||
| SG Residential Mortgage Trust, Class A1, Series 2019-3, 2.70%, 09/25/59@‡* | $ | 122,714 | $ | 124,619 | ||||
| Spruce Hill Mortgage Loan Trust, Class A1, Series 2019-SH1, 3.40%, 04/29/49@‡* | 161,058 | 163,659 | ||||||
| Structured Asset Securities Corp., Class A3A, Series 2004-4XS, 5.11%, 02/25/34 | 298,615 | 304,613 | ||||||
| Structured Asset Securities Corp. Mortgage Pass-Through Certificates, Class 6A, Series 2003-34A, 2.67%, 11/25/33@* | 130,135 | 125,295 | ||||||
| Towd Point HE Trust, Class A1, Series 2019-HE1, 1.05%, (1-Month USD LIBOR + 0.90%), 04/25/48@‡ | 166,178 | 166,126 | ||||||
| Towd Point Mortgage Trust, Class A2, Series 2015-5, 3.50%, 05/25/55@‡* | 250,000 | 259,359 | ||||||
| Tricon American Homes Trust, Class A, Series 2017-SFR1, 2.72%, 09/17/34‡ | 98,468 | 99,845 | ||||||
| Verus Securitization Trust, Class A1, Series 2017-1A, 2.85%, 01/25/47@‡* | 29,972 | 30,127 | ||||||
| Verus Securitization Trust, Class A3, Series 2018-INV1, 4.05%, 03/25/58@‡* | 42,579 | 42,904 | ||||||
| Verus Securitization Trust, Class B1, Series 2018-2, 4.43%, 06/01/58@‡* | 180,000 | 188,537 | ||||||
| Verus Securitization Trust, Class A1, Series 2018-3, 4.11%, 10/25/58@‡* | 77,120 | 79,291 | ||||||
| Verus Securitization Trust, Class A1, Series 2019-2, 3.21%, 05/25/59@‡* | 318,188 | 321,042 | ||||||
| Verus Securitization Trust, Class A1, Series 2019-INV1, 3.40%, 12/25/59@‡* | 165,882 | 167,813 | ||||||
| Verus Securitization Trust, Class A1, Series 2020-1, 2.42%, 01/25/60‡ | 260,050 | 265,219 | ||||||
| WaMu Mortgage Pass-Through Certificates Trust, Class A1, Series 2003-AR6, 3.10%, 06/25/33@* | 73,792 | 75,342 | ||||||
| Investments | Principal | Value | ||||||
| MORTGAGE BACKED SECURITIES (continued) | ||||||||
| Residential Mortgage Backed Securities (continued) | ||||||||
| Wells Fargo Mortgage Backed Securities Trust, Class 2A12, Series 2004-K, 3.08%, 07/25/34@* | $ | 30,297 | $ | 30,112 | ||||
| Wells Fargo Mortgage Backed Securities Trust, Class 1A2, Series 2004-K, 2.99%, 07/25/34@* | 83,158 | 82,419 | ||||||
| Wells Fargo Mortgage Backed Securities Trust, Class A1, Series 2004-U, 3.28%, 10/25/34@* | 117,367 | 116,439 | ||||||
| Total Residential Mortgage Backed Securities | 11,053,269 | |||||||
| Total Mortgage Backed Securities (Cost $12,803,639) | 12,941,424 | |||||||
| FOREIGN BONDS — 6.0% | ||||||||
| Consumer Staples — 0.4% | ||||||||
| BAT Capital Corp. (United Kingdom), 2.26%, 03/25/28 | 200,000 | 207,880 | ||||||
| Energy — 0.4% | ||||||||
| Aker BP ASA (Norway), 2.88%, 01/15/26‡ | 150,000 | 153,255 | ||||||
| BP Capital Markets PLC (United Kingdom), 4.88%, (US 5 Year CMT T-Note + 4.40%)#@ | 50,000 | 55,910 | ||||||
| Total Energy | 209,165 | |||||||
| Financials — 0.9% | ||||||||
| Banco Santander (Chile), 2.70%, 01/10/25‡ | 150,000 | 159,001 | ||||||
| Industrial & Commercial Bank of China Ltd. (China), 2.96%, 11/08/22 | 250,000 | 259,355 | ||||||
| Toronto-Dominion Bank (The) (Canada), 2.65%, 06/12/24 | 57,000 | 61,107 | ||||||
| Total Financials | 479,463 | |||||||
| Industrials — 1.0% | ||||||||
| Avolon Holdings Funding Ltd. (Ireland), 3.95%, 07/01/24‡ | 159,000 | 168,064 | ||||||
| Doric Nimrod Air Finance Alpha Ltd. Class A Pass-Through Trust, Series 2012-1A (Guernsey), 5.13%, 11/30/22‡ | 268,063 | 253,733 | ||||||
| GFL Environmental, Inc. (Canada), 3.75%, 08/01/25‡ | 90,000 | 92,419 | ||||||
| Total Industrials | 514,216 | |||||||
See accompanying Notes to Financial Statements.
36
ADVISORSHARES
NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)
| December 31, 2020 (Unaudited) |
| Investments | Principal | Value | ||||||
| FOREIGN BONDS (continued) | ||||||||
| Information Technology — 0.7% | ||||||||
| Open Text Corp. (Canada), 3.88%, 02/15/28‡ | $ | 140,000 | $ | 145,841 | ||||
| Tencent Holdings Ltd. (China), 2.99%, 01/19/23‡ | 200,000 | 208,247 | ||||||
| Total Information Technology | 354,088 | |||||||
| Materials — 0.7% | ||||||||
| Glencore Funding LLC (Australia), 1.63%, 09/01/25‡ | 150,000 | 154,488 | ||||||
| NOVA Chemicals Corp. (Canada), 5.00%, 05/01/25‡ | 200,000 | 209,875 | ||||||
| Total Materials | 364,363 | |||||||
| Oil & Gas — 0.3% | ||||||||
| Petroleos Mexicanos (Mexico), 4.63%, 09/21/23 | 180,000 | 187,312 | ||||||
| Sovereign Government — 1.6% | ||||||||
| Indonesia Government | ||||||||
| International Bond (Indonesia), 5.88%, 01/15/24‡ | 200,000 | 230,148 | ||||||
| Qatar Government International Bond (Qatar), 3.40%, 04/16/25‡ | 200,000 | 220,842 | ||||||
| Republic of South Africa Government International Bond (South Africa), 5.88%, 09/16/25 | 200,000 | 229,484 | ||||||
| Turkey Government International Bond (Turkey), 7.38%, 02/05/25 | 185,000 | 206,844 | ||||||
| Total Sovereign Government | 887,318 | |||||||
| Total
Foreign Bonds (Cost $3,088,557) | 3,203,805 | |||||||
| U.S. TREASURY NOTES — 5.7% | ||||||||
| U.S. Treasury Note, 2.25%, 03/31/21 | 185,000 | 185,930 | ||||||
| U.S. Treasury Note, 1.13%, 08/31/21 | 110,000 | 110,755 | ||||||
| U.S. Treasury Note, 0.13%, 05/31/22 | 1,805,000 | 1,805,494 | ||||||
| U.S. Treasury Note, 0.38%, 09/30/27 | 730,000 | 718,936 | ||||||
| U.S. Treasury Note, 2.63%, 02/15/29 | 235,000 | 269,809 | ||||||
| Total U.S. Treasury
Notes (Cost $3,072,583) | 3,090,924 | |||||||
| TERM LOANS — 5.1% | ||||||||
| Aerospace — 0.5% | ||||||||
| Mileage Plus Holdings LLC, 6.25%, (3-Month USD LIBOR + 5.25%), 06/21/27@ | 105,000 | 109,574 | ||||||
| Investments | Principal | Value | ||||||
| TERM LOANS (continued) | ||||||||
| Aerospace (continued) | ||||||||
| TransDigm, Inc., 2.40%, (1-Month USD LIBOR + 2.25%), 08/22/24@ | $ | 164,109 | $ | 161,323 | ||||
| Total Aerospace | 270,897 | |||||||
| Chemicals — 0.4% | ||||||||
| Ineos US Finance LLC, 2.15%, (1-Month USD LIBOR + 2.00%), 04/01/24@ | 241,373 | 239,178 | ||||||
| Consumer Durables — 0.2% | ||||||||
| Weber-Stephen Products LLC, 4.00%, (1-Month USD LIBOR + 3.25%), 10/30/27@ | 85,000 | 85,223 | ||||||
| Financials — 0.6% | ||||||||
| Avolon TLB Borrower 1 US LLC, 3.25%, (1-Month USD LIBOR + 2.50%), 12/1/27@ | 55,000 | 55,112 | ||||||
| Delos Finance S.a.r.l., 2.00%, (3-Month USD LIBOR + 1.75%), 10/06/23@ | 153,300 | 153,364 | ||||||
| Refinitiv US Holdings, Inc., 3.40%, (1-Month USD LIBOR + 3.25%), 10/01/25@ | 119,391 | 119,366 | ||||||
| Total Financials | 327,842 | |||||||
| Food/Tobacco — 0.4% | ||||||||
| Aramark Servies, Inc., 1.90%, (1-Month USD LIBOR + 1.75%), 03/28/24@ | 202,310 | 200,541 | ||||||
| Gaming/Leisure — 0.1% | ||||||||
| Aristocrat International Pty Ltd., 4.75%, (3-Month USD LIBOR + 3.75%), 10/19/24@ | 29,887 | 30,065 | ||||||
| Station Casinos LLC, 2.50%, (1-Month USD LIBOR + 2.25%), 02/08/27@ | 49,510 | 48,875 | ||||||
| Total Gaming/Leisure | 78,940 | |||||||
| Health Care — 0.8% | ||||||||
| Elanco Animal Health, Inc., 1.90%, (1-Month USD LIBOR + 1.75%), 08/01/27@ | 74,458 | 73,907 | ||||||
| Jaguar Holding II Co., 3.50%, (1-Month USD LIBOR + 2.50%), 08/18/22@ | 114,395 | 114,488 | ||||||
| Valeant Pharmaceuticals International, Inc., 3.15%, (1-Month USD LIBOR + 3.00%), 06/02/25@ | 238,535 | 237,977 | ||||||
| Total Health Care | 426,372 | |||||||
See accompanying Notes to Financial Statements.
37
ADVISORSHARES
NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Principal | Value | ||||||
| TERM LOANS (continued) | ||||||||
| Housing — 0.1% | ||||||||
| Summit Materials LLC, 2.15%, (1-Month USD LIBOR + 2.00%), 11/21/24@ | $ | 69,820 | $ | 69,558 | ||||
| Information Technology — 0.1% | ||||||||
| SS&C Technologies, Inc., 1.90%, (1-Month USD LIBOR + 1.75%), 04/16/25@ | 59,530 | 58,984 | ||||||
| Manufacturing — 0.2% | ||||||||
| Gardner Denver, Inc., 2.90%, (1-Month USD LIBOR + 2.75%), 03/01/27@ | 4,975 | 5,005 | ||||||
| Ingersoll-Rand Services Co., 1.90%, (1-Month USD LIBOR + 1.75%), 03/01/27@ | 59,550 | 58,843 | ||||||
| NCR Corp., 2.65%, (1-Month USD LIBOR + 2.50%), 08/28/26@ | 74,735 | 73,832 | ||||||
| Total Manufacturing | 137,680 | |||||||
| Media/Telecom – Broadcasting — 0.2% | ||||||||
| Nexstar Media Group, Inc., 2.90%, (1-Month USD LIBOR + 2.75%), 09/18/26@ | 90,588 | 90,181 | ||||||
| Media/Telecom – Cable/Wireless Video — 0.6% | ||||||||
| CSC Holdings, LLC (fka CSC Holdings, Inc. (Cablevision)), 2.41%, (1-Month USD LIBOR + 2.25%), 07/17/25@ | 183,563 | 181,268 | ||||||
| Virgin Media Bristol LLC, 2.66%, (1-Month USD LIBOR + 2.50%), 01/31/28@ | 145,000 | 143,886 | ||||||
| Total Media/Telecom – Cable/Wireless Video | 325,154 | |||||||
| Media/Telecom – Diversified Media — 0.4% | ||||||||
| Clear Channel, 3.71%, (3-Month USD LIBOR + 3.50%), 08/21/26@ | 108,625 | 104,852 | ||||||
| Newco Financing Partnership, 01/31/29(b) | 50,000 | 50,231 | ||||||
| Investments | Principal/Shares | Value | ||||||
| TERM LOANS (continued) | ||||||||
| Media/Telecom – Diversified Media (continued) | ||||||||
| Newco Financing Partnership, 01/31/29(b) | $ | 50,000 | $ | 50,231 | ||||
| Total Media/Telecom – Diversified Media | 205,314 | |||||||
| Media/Telecom – Telecommunications – 0.1% | ||||||||
| CenturyLink, Inc., 2.40%, (1-Month USD LIBOR + 2.25%), 03/15/27@ | 64,325 | 63,746 | ||||||
| Utility – 0.4% | ||||||||
| Astoria Energy LLC, 12/10/27(b) | 10,000 | 9,956 | ||||||
| Calpine Corp., 2.62%, (1-Month USD LIBOR + 2.50%), 12/16/27@ | 183,475 | 182,512 | ||||||
| Total Utility | 192,468 | |||||||
| Total Term Loans
(Cost $2,773,839) | 2,772,078 | |||||||
| FEDERAL HOME LOAN MORTGAGE CORPORATION — 0.6% | ||||||||
| Federal
National Mortgage Association, 3.50%, 07/01/49 (Cost $297,802) | 290,406 | 306,880 | ||||||
| EXCHANGE TRADED FUND — 0.5% | ||||||||
| Debt Fund – 0.5% | ||||||||
| iShares iBoxx High Yield Corporate Bond ETF(a) (Cost $285,022) | 3,314 | 289,312 | ||||||
| MONEY MARKET FUND — 3.2% | ||||||||
| JPMorgan
U.S. Government Money Market Fund – Institutional Class, 0.03%(c) (Cost $1,708,369) | 1,708,369 | 1,708,369 | ||||||
| REPURCHASE AGREEMENTS — 0.7%(d) | ||||||||
| Citigroup Global Markets, Inc., dated 12/31/20, due 01/04/21, 0.07%, total to be received $152,375, (collateralized by various U.S. Government Agency Obligations, 0.00%-4.00%, 09/15/21-01/01/51, totaling $155,109) | $ | 152,375 | 152,375 | |||||
See accompanying Notes to Financial Statements.
38
ADVISORSHARES
NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Principal | Value | ||||||
| REPURCHASE AGREEMENTS (continued) | ||||||||
| RBC Dominion Securities, Inc., dated 12/31/20, due 01/04/21, 0.08%, total to be received $250,000, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.00%, 01/05/21-12/20/50, totaling $254,425) | $ | 250,000 | $ | 250,000 | ||||
| Total
Repurchase Agreements (Cost$402,375) | 402,375 | |||||||
| Total Investments
— 101.0% (Cost $53,338,652) | 54,466,888 | |||||||
| Liabilities in Excess of Other Assets — (1.0%) | (569,815 | ) | ||||||
| Net Assets — 100.0% | $ | 53,897,073 | ||||||
ETF — Exchange Traded Fund
LIBOR — London Interbank Offered Rate
LP — Limited Partnership
PLC — Public Limited Company
SOFR — Secured Overnight Financing Rate
| # | Perpetual security with no stated maturity date. |
| @ | Variable rate instrument. The interest rate shown reflects the rate in effect at December 31, 2020. |
| * | Adjustable rate security with an interest rate that is not based on a published reference index and spread. The rate is based on the structure of the agreement and current market conditions. |
| ‡ | Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may not be resold subject to that rule except to qualified institutional buyers. Unless otherwise noted, 144A securities are deemed to be liquid. |
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $579,535; the aggregate market value of the collateral held by the fund is $597,548. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $195,173. |
| (b) | This loan will settle after December 31, 2020 at which time the interest rate will be determined. |
| (c) | Rate shown reflects the 7-day yield as of December 31, 2020. |
| (d) | Collateral received from brokers for securities lending was invested in these short-term investments. |
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Asset Backed Securities | $ | — | $ | 16,289,952 | $ | — | $ | 16,289,952 | ||||||||
| Corporate Bonds | — | 13,461,769 | — | 13,461,769 | ||||||||||||
| Mortgage Backed Securities | — | 12,941,424 | — | 12,941,424 | ||||||||||||
| Foreign Bonds | — | 3,203,805 | — | 3,203,805 | ||||||||||||
| U.S. Treasury Notes | — | 3,090,924 | — | 3,090,924 | ||||||||||||
| Term Loans | — | 2,772,078 | — | 2,772,078 | ||||||||||||
| Federal Home Loan Mortgage Corporation | — | 306,880 | — | 306,880 | ||||||||||||
| Exchange Traded Fund | 289,312 | — | — | 289,312 | ||||||||||||
| Money Market Fund | 1,708,369 | — | — | 1,708,369 | ||||||||||||
| Repurchase Agreements | — | 402,375 | — | 402,375 | ||||||||||||
| Total | $ | 1,997,681 | $ | 52,469,207 | $ | — | $ | 54,466,888 | ||||||||
See accompanying Notes to Financial Statements.
39
ADVISORSHARES
NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)
| December 31, 2020 (Unaudited) |
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets | ||||
| Aerospace | 0.5% | |||
| Asset Backed Securities | 30.2 | |||
| Chemicals | 0.4 | |||
| Commercial Mortgage Backed Securities | 3.5 | |||
| Communication Services | 1.2 | |||
| Consumer Discretionary | 1.7 | |||
| Consumer Durables | 0.2 | |||
| Consumer Staples | 1.4 | |||
| Debt Fund | 0.5 | |||
| Energy | 1.3 | |||
| Federal Home Loan Mortgage Corporation | 0.6 | |||
| Financials | 11.1 | |||
| Food/Tobacco | 0.4 | |||
| Gaming/Leisure | 0.1 | |||
| Health Care | 2.4 | |||
| Housing | 0.1 | |||
| Industrials | 4.1 | |||
| Information Technology | 3.2 | |||
| Manufacturing | 0.2 | |||
| Materials | 1.4 | |||
| Media/Telecom – Broadcasting | 0.2 | |||
| Media/Telecom – Cable/Wireless Video | 0.6 | |||
| Media/Telecom – Diversified Media | 0.4 | |||
| Media/Telecom – Telecommunications | 0.1 | |||
| Oil & Gas | 0.3 | |||
| Real Estate | 0.6 | |||
| Residential Mortgage Backed Securities | 20.5 | |||
| Sovereign Government | 1.6 | |||
| U.S. Treasury Notes | 5.7 | |||
| Utilities | 2.2 | |||
| Utility | 0.4 | |||
| Money Market | 3.2 | |||
| Repurchase Agreements | 0.7 | |||
| Total Investments | 101.0 | |||
| Liabilities in Excess of Other Assets | (1.0 | ) | ||
| Net Assets | 100.0% | |||
See accompanying Notes to Financial Statements.
40
ADVISORSHARES
PURE CANNABIS ETF
Schedule of Investments
December 31, 2020 (Unaudited)
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 45.9% | ||||||||
| Agriculture — 8.8% | ||||||||
| Village Farms International, Inc. (Canada)*(a) | 1,373,341 | $ | 13,925,678 | |||||
| Biotechnology — 2.1% | ||||||||
| Arena Pharmaceuticals, Inc.* | 39,130 | 3,006,358 | ||||||
| Intec Pharma Ltd. (Israel)* | 82,761 | 285,525 | ||||||
| Total Biotechnology | 3,291,883 | |||||||
| Distributors — 1.6% | ||||||||
| Greenlane
Holdings, Inc., Class A*† | 654,150 | 2,590,434 | ||||||
| Investment Companies — 1.4% | ||||||||
| Andina Acquisition Corp III (Colombia)* | 79,323 | 845,583 | ||||||
| Canopy Rivers, Inc. (Canada)* | 1,575,665 | 1,447,039 | ||||||
| Total Investment Companies | 2,292,622 | |||||||
| Pharmaceuticals — 18.2% | ||||||||
| Aleafia Health, Inc. (Canada)*(a) | 3,757,951 | 1,386,371 | ||||||
| Aphria, Inc. (Canada)*(a) | 768,565 | 5,318,470 | ||||||
| Aurora Cannabis, Inc. (Canada)*(a) | 16,994 | 141,220 | ||||||
| Canopy Growth Corp. (Canada)*(a) | 177,425 | 4,371,752 | ||||||
| Cardiol Therapeutics, Inc., Class A (Canada)*(a) | 348,769 | 761,050 | ||||||
| cbdMD, Inc.*(a) | 800,293 | 2,360,864 | ||||||
| Charlottes Web Holdings, Inc.*(a) | 458,850 | 1,509,091 | ||||||
| Corbus Pharmaceuticals Holdings, Inc.* | 271,873 | 339,841 | ||||||
| Cronos Group, Inc. (Canada)*(a) | 29,840 | 207,090 | ||||||
| Emerald Health Therapeutics, Inc. (Canada)* | 1,941,263 | 304,751 | ||||||
| Green Organic Dutchman Holdings Ltd. (The) (Canada)*(a) | 800,206 | 147,605 | ||||||
| GW Pharmaceuticals PLC (United Kingdom)*(a)(b) | 66,317 | 7,653,645 | ||||||
| HEXO Corp. (Canada)* | 56,458 | 207,765 | ||||||
| Khiron Life Sciences Corp. (Canada)*(a) | 778,257 | 229,079 | ||||||
| MediPharm Labs Corp. (Canada)*(a) | 670,008 | 278,732 | ||||||
| Neptune Wellness Solutions, Inc. (Canada)*(a) | 414,903 | 647,249 | ||||||
| Organigram Holdings, Inc. (Canada)*(a) | 298,284 | 395,683 | ||||||
| Supreme Cannabis Co., Inc. (The) (Canada)*(a) | 1,177,460 | 143,255 | ||||||
| Investments | Shares/ Principal | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Pharmaceuticals (continued) | ||||||||
| Tilray, Inc., Class 2 (Canada)*(a) | 17,668 | $ | 145,938 | |||||
| Valens Co., Inc. (The) (Canada)*(a) | 803,883 | 1,041,136 | ||||||
| WeedMD, Inc. (Canada)* | 841,621 | 161,850 | ||||||
| Zynerba Pharmaceuticals, Inc.*(a) | 303,204 | 1,000,573 | ||||||
| Total Pharmaceuticals | 28,753,010 | |||||||
| REITS — 7.4% | ||||||||
| Innovative Industrial Properties, Inc. | 61,077 | 11,185,031 | ||||||
| Power REIT* | 22,450 | 599,639 | ||||||
| Total REITS | 11,784,670 | |||||||
| Specialty Retail — 6.4% | ||||||||
| GrowGeneration Corp.*(a) | 252,707 | 10,163,875 | ||||||
| Total Common Stocks | ||||||||
| (Cost $68,046,415) | 72,802,172 | |||||||
| RIGHT — 0.0%** | ||||||||
| REITS — 0.0%** | ||||||||
| Power REIT, expires 01/29/21* (Cost $0) | 22,414 | 4,707 | ||||||
| MONEY MARKET FUND — 33.8% | ||||||||
| BlackRock
Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 0.01%(c) (Cost $53,651,091) | 53,651,091 | 53,651,091 | ||||||
| REPURCHASE AGREEMENTS — 11.3%(d) | ||||||||
| Citigroup Global Markets, Inc., dated 12/31/20, due 01/04/21, 0.07%, total to be received $4,184,379, (collateralized by various U.S. Government Agency Obligations, 0.00%-4.00%, 09/15/21-01/01/51, totaling $4,259,416) | $ | 4,184,346 | 4,184,346 | |||||
| Daiwa Capital Markets America, dated 12/31/20, due 01/04/21, 0.07%, total to be received $4,184,379, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.50%, 01/26/21-01/01/51, totaling $4,257,288) | 4,184,346 | 4,184,346 | ||||||
See accompanying Notes to Financial Statements.
41
ADVISORSHARES
PURE CANNABIS ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Principal | Value | ||||||
| REPURCHASE AGREEMENTS (continued) | ||||||||
| Deutsche Bank Securities, Inc., dated 12/31/20, due 01/04/21, 0.06%, total to be received $4,184,374, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.50%, 01/15/21-01/01/51, totaling $4,258,665) | $ | 4,184,346 | $ | 4,184,346 | ||||
| Nomura Securities International, Inc., dated 12/31/20, due 01/04/21, 0.07%, total to be received $1,240,433, (collateralized by various U.S. Government Agency Obligations, 0.00%-8.50%, 01/31/21-01/15/56, totaling $1,262,296) | 1,240,423 | 1,240,423 | ||||||
| RBC Dominion Securities, Inc., dated 12/31/20, due 01/04/21, 0.08%, total to be received $4,184,383, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.00%, 01/05/21-12/20/50, totaling $4,258,403) | 4,184,346 | 4,184,346 | ||||||
| Total Repurchase Agreements | ||||||||
| (Cost $17,977,807) | 17,977,807 | |||||||
| Total Investments — 91.0% | ||||||||
| (Cost $139,675,313) | 144,435,777 | |||||||
| Other Assets in Excess of Liabilities — 9.0% | 14,362,921 | |||||||
| Net Assets — 100.0% | $ | 158,798,698 | ||||||
PLC — Public Limited Company
REITS — Real Estate Investment Trusts
| * | Non-income producing security. |
| ** | Less than 0.05%. |
| † | Affiliated Company. |
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $28,928,621; the aggregate market value of the collateral held by the fund is $31,890,974. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $13,913,167. |
| (b) | American Depositary Receipt. |
| (c) | Rate shown reflects the 7-day yield as of December 31, 2020. |
| (d) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
42
ADVISORSHARES
PURE CANNABIS ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Common Stocks | $ | 72,802,172 | $ | — | $ | — | $ | 72,802,172 | ||||||||
| Right | — | 4,707 | — | 4,707 | ||||||||||||
| Money Market Fund | 53,651,091 | — | — | 53,651,091 | ||||||||||||
| Repurchase Agreements | — | 17,977,807 | — | 17,977,807 | ||||||||||||
| Total | $ | 126,453,263 | $ | 17,982,514 | $ | — | $ | 144,435,777 | ||||||||
| Liabilities | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Swaps† | $ | — | $ | (54,132 | ) | $ | — | $ | (54,132 | ) | ||||||
| Total | $ | — | $ | (54,132 | ) | $ | — | $ | (54,132 | ) |
| † | Derivative instruments, including swap contracts and futures contracts, are valued at the net unrealized gain (loss) on the instrument. |
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets | ||||
| Agriculture | 8.8 | % | ||
| Biotechnology | 2.1 | |||
| Distributors | 1.6 | |||
| Investment Companies | 1.4 | |||
| Pharmaceuticals | 18.2 | |||
| REITS | 7.4 | |||
| Specialty Retail | 6.4 | |||
| Money Market Fund | 33.8 | |||
| Repurchase Agreements | 11.3 | |||
| Total Investments | 91.0 | |||
| Other Assets in Excess of Liabilities | 9.0 | |||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
43
ADVISORSHARES
PURE CANNABIS ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
Total Return Swap contracts outstanding as of December 31, 2020:
| Reference Entity | Number of Contracts | Annual Financing Rate Paid | Payment Frequency | Termination Date | Notional Amounts | Fair Value | Unrealized Appreciation/ (Depreciation) | |||||||||||||||
| Acerage Holdings FX SUB VOT CL E ORD | 325,390 | 1-month USD LIBOR + 1.00% | Monthly | 7/01/2021 | $ | 1,009,455 | $ | 1,008,709 | $ | (746 | ) | |||||||||||
| Ayr Strategies ORD | 332,880 | 1-month USD LIBOR + 1.00% | Monthly | 7/01/2021 | 7,921,587 | 7,915,853 | (5,734 | ) | ||||||||||||||
| Columbia Care ORD | 1,270,282 | 1-month USD LIBOR + 1.00% | Monthly | 7/01/2021 | 7,690,052 | 7,685,206 | (4,846 | ) | ||||||||||||||
| Cresco Labs ORD | 719,523 | 1-month USD LIBOR + 1.00% | Monthly | 7/01/2021 | 7,104,009 | 7,098,094 | (5,915 | ) | ||||||||||||||
| Curaleaf Holdings SUB VOT ORD | 1,150,000 | 1-month USD LIBOR + 1.00% | Monthly | 7/01/2021 | 13,776,566 | 13,767,455 | (9,111 | ) | ||||||||||||||
| Green Thumb Industries SUB VOT ORD | 570,000 | 1-month USD LIBOR + 1.00% | Monthly | 7/01/2021 | 13,975,089 | 13,965,000 | (10,089 | ) | ||||||||||||||
| Harvest Health And Recreation ORD | 3,050,000 | 1-month USD LIBOR + 1.00% | Monthly | 7/01/2021 | 6,592,782 | 6,588,000 | (4,782 | ) | ||||||||||||||
| Ianthus ORD | 464,000 | 1-month USD LIBOR + 1.00% | Monthly | 7/01/2021 | 91,707 | 91,640 | (67 | ) | ||||||||||||||
| Terrascend ORD | 633,732 | 1-month USD LIBOR + 1.00% | Monthly | 7/01/2021 | 6,374,714 | 6,369,007 | (5,707 | ) | ||||||||||||||
| Trulieve Cannabis ORD | 322,000 | 1-month USD LIBOR + 1.00% | Monthly | 7/01/2021 | 10,188,775 | 10,181,640 | (7,135 | ) | ||||||||||||||
| Net Unrealized Depreciation | $ | (54,132 | ) | |||||||||||||||||||
Cowen acts as the counterparty to the total return swap contracts listed above. The Fund either receives fees from, or pays fees to, the counterparty, depending upon the total return of the benchmark, and the agreed-upon floating financing rate. As of December 31, 2020, cash in the amount of $25,760,000 has been segregated as collateral from the broker for Swap contracts.
Affiliated holdings are funds which are managed by the Trust or an affiliate of the Trust. Transactions with affiliated companies during the period ended December 31, 2020 were as follows:
| Affiliated Fund Name | Value at 6/30/2020 | Purchases/ Additions | Sales/ Reductions | Realized Gain (Loss) | Change in Unrealized Gain (Loss) | Number of Shares at 12/31/2020 | Value at 12/31/2020 | Dividend Income | ||||||||||||||||||||||||
| Greenlane Holdings, Inc., Class A | $ | 1,148,851 | $ | 1,142,976 | $ | — | $ | — | $ | 298,607 | 654,150 | $ | 2,590,434 | $ | — | |||||||||||||||||
See accompanying Notes to Financial Statements.
44
ADVISORSHARES PURE US CANNABIS ETF
Schedule of Investments
| December 31, 2020 (Unaudited) |
| Investments | Shares/ Principal | Value | ||||||
| COMMON STOCKS — 15.2% | ||||||||
| Biotechnology — 0.7% | ||||||||
| Arena Pharmaceuticals, Inc.* | 19,122 | $ | 1,469,143 | |||||
| Distributors — 0.9% | ||||||||
| Greenlane Holdings, Inc., Class A*(a) | 502,374 | 1,989,401 | ||||||
| Life Sciences Tools & Services — 2.5% | ||||||||
| PerkinElmer, Inc. | 38,917 | 5,584,590 | ||||||
| Pharmaceuticals — 2.1% | ||||||||
| cbdMD, Inc.*(a) | 639,432 | 1,886,324 | ||||||
| Charlottes Web Holdings, Inc.*(a) | 608,010 | 1,999,656 | ||||||
| Zynerba Pharmaceuticals, Inc.*(a) | 306,841 | 1,012,575 | ||||||
| Total Pharmaceuticals | 4,898,555 | |||||||
| REITS — 5.3% | ||||||||
| Innovative Industrial Properties, Inc. | 51,524 | 9,435,590 | ||||||
| Power REIT*(a) | 89,401 | 2,387,901 | ||||||
| Total REITS | 11,823,491 | |||||||
| Specialty Retail — 3.7% | ||||||||
| GrowGeneration Corp.*(a) | 204,491 | 8,224,628 | ||||||
| Total
Common Stocks (Cost $27,466,247) | 33,989,808 | |||||||
| RIGHT — 0.0%** | ||||||||
| REITS — 0.0%** | ||||||||
| Power REIT, expires 1/29/21* (Cost $0) | 88,951 | 18,680 | ||||||
| MONEY MARKET FUND — 54.8% | ||||||||
| BlackRock
Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 0.01%(b) (Cost $122,368,193) | 122,368,193 | 122,368,193 | ||||||
| REPURCHASE AGREEMENTS — 0.4%(c) | ||||||||
| Citigroup Global Markets, Inc., dated 12/31/20, due 01/04/21, 0.07%, total to be received $249,002, (collateralized by various U.S. Government Agency Obligations, 0.00%-4.00%, 09/15/21-01/01/51, totaling $253,467) | $ | 249,000 | 249,000 | |||||
| Investments | Principal | Value | ||||||
| REPURCHASE AGREEMENTS (continued) | ||||||||
| Daiwa Capital Markets America, dated 12/31/20, due 01/04/21, 0.07%, total to be received $249,002, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.50%, 01/26/21-01/01/51, totaling $253,341) | $ | 249,000 | $ | 249,000 | ||||
| Deutsche Bank Securities, Inc., dated 12/31/20, due 01/04/21, 0.06%, total to be received $129,517, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.50%, 01/15/21-01/01/51, totaling $131,816) | 129,516 | 129,516 | ||||||
| RBC Dominion Securities, Inc., dated 12/31/20, due 01/04/21, 0.08%, total to be received $249,002, (collateralized by various U.S. Government Agency Obligations, 0.00%-6.00%, 01/05/21-12/20/50, totaling $253,407) | 249,000 | 249,000 | ||||||
| Total
Repurchase Agreements (Cost $876,516) | 876,516 | |||||||
| Total Investments — 70.4% | ||||||||
| (Cost $150,710,956) | 157,253,197 | |||||||
| Other Assets in Excess of Liabilities — 29.6% | 66,078,558 | |||||||
| Net Assets — 100.0% | $ | 223,331,755 | ||||||
REITS — Real Estate Investment Trusts
| * | Non-income producing security. |
| ** | Less than 0.05%. |
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $3,872,127; the aggregate market value of the collateral held by the fund is $4,124,096. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $3,247,580. |
| (b) | Rate shown reflects the 7-day yield as of December 31, 2020. |
| (c) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
45
ADVISORSHARES
PURE US CANNABIS ETF
Schedule of Investments (continued)
| December 31, 2020 (Unaudited) |
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Common Stocks | $ | 33,989,808 | $ | — | $ | — | $ | 33,989,808 | ||||||||
| Right | — | 18,680 | — | 18,680 | ||||||||||||
| Money Market Fund | 122,368,193 | — | — | 122,368,193 | ||||||||||||
| Repurchase Agreements | — | 876,516 | — | 876,516 | ||||||||||||
| Swap† | — | 9,433 | — | 9,433 | ||||||||||||
| Total | $ | 156,358,001 | $ | 904,629 | $ | — | $ | 157,262,630 | ||||||||
| Liabilities | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Swaps† | $ | — | $ | (112,338 | ) | $ | — | $ | (112,338 | ) | ||||||
| Total | $ | — | $ | (112,338 | ) | $ | — | $ | (112,338 | ) | ||||||
| † | Derivative instruments, including swap contracts and futures contracts, are valued at the net unrealized gain (loss) on the instrument. |
SUMMARY OF SCHEDULE OF INVESTMENTS
| %
of Net Assets | ||||
| Biotechnology | 0.7 | % | ||
| Distributors | 0.9 | |||
| Life Sciences Tools & Services | 2.5 | |||
| Pharmaceuticals | 2.1 | |||
| REITS | 5.3 | |||
| Specialty Retail | 3.7 | |||
| Money Market Fund | 54.8 | |||
| Repurchase Agreements | 0.4 | |||
| Total Investments | 70.4 | |||
| Other Assets in Excess of Liabilities | 29.6 | |||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
46
ADVISORSHARES
PURE US CANNABIS ETF
Schedule of Investments (continued)
| December 31, 2020 (Unaudited) |
Total Return Swap contracts outstanding as of December 31, 2020:
| Reference Entity | Number
of Contracts | Annual Financing Rate Paid | Payment Frequency | Termination
Date | Notional
Amounts | Fair Value | Unrealized Appreciation/ (Depreciation) | |||||||||||||||
| 4Front Ventures ORD | 5,785,000 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | $ | 5,268,499 | $ | 5,264,350 | $ | (4,149 | ) | |||||||||||
| Acreage Holdings FX SUB VOT CL E ORD | 743,123 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 2,305,400 | 2,303,681 | (1,719 | ) | ||||||||||||||
| AYR Strategies ORD | 453,878 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 10,800,309 | 10,793,173 | (7,136 | ) | ||||||||||||||
| C21 Investments ORD | 3,580,581 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 5,050,262 | 5,048,619 | (1,643 | ) | ||||||||||||||
| Columbia Care ORD | 1,795,491 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 10,869,780 | 10,862,721 | (7,059 | ) | ||||||||||||||
| Cresco Labs ORD | 2,265,640 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 22,367,207 | 22,350,539 | (16,668 | ) | ||||||||||||||
| Curaleaf Holdings SUB VOT ORD | 1,935,000 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 23,179,465 | 23,165,239 | (14,226 | ) | ||||||||||||||
| Green Thumb Industries SUB VOT ORD | 992,000 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 24,320,420 | 24,304,000 | (16,420 | ) | ||||||||||||||
| Harvest Health And Recreation ORD | 4,733,963 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 10,232,524 | 10,225,360 | (7,164 | ) | ||||||||||||||
| Indus Holdings SUB VOT ORD | 1,568,631 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 1,789,441 | 1,788,239 | (1,202 | ) | ||||||||||||||
| Jushi Holdings CL B SUB VOT ORD | 1,755,000 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 10,290,560 | 10,284,300 | (6,260 | ) | ||||||||||||||
| Planet 13 Holdings ORD | 1,692,000 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 9,457,307 | 9,466,740 | 9,433 | |||||||||||||||
| Terrascend ORD | 1,609,999 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 16,190,949 | 16,180,490 | (10,459 | ) | ||||||||||||||
| Trulieve Cannabis ORD | 705,379 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 22,320,243 | 22,304,084 | (16,159 | ) | ||||||||||||||
| Vext Science ORD | 1,050,000 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 809,580 | 809,340 | (240 | ) | ||||||||||||||
| Vireo Health International ORD | 1,690,230 | 1-month USD LIBOR + 1.00% | Monthly | 9/03/2021 | 2,502,530 | 2,500,696 | (1,834 | ) | ||||||||||||||
| Net Unrealized Depreciation | $ | (102,905 | ) | |||||||||||||||||||
Cowen acts as the counterparty to the total return swap contracts listed above. The Fund either receives fees from, or pays fees to, the counterparty, depending upon the total return of the benchmark, and the agreed-upon floating financing rate. As of December 31, 2020, cash in the amount of $53,520,000 has been segregated as collateral from the broker for Swap contracts.
See accompanying Notes to Financial Statements.
47
| ADVISORSHARES Q DYNAMIC GROWTH ETF |
| Schedule of Investments |
| December 31, 2020 (Unaudited) |
| Investments | Shares | Value | ||||||
| EXCHANGE TRADED FUNDS — 98.7% | ||||||||
| Commodity Fund — 5.9% | ||||||||
| SPDR Gold Shares* | 533 | $ | 95,066 | |||||
| Equity Fund — 92.8% | ||||||||
| Invesco Nasdaq Internet ETF* | 1,131 | 258,094 | ||||||
| Invesco QQQ Trust Series 1 | 1,872 | 587,321 | ||||||
| iShares Russell 2000 Growth ETF | 728 | 208,718 | ||||||
| Technology Select Sector SPDR Fund | 3,484 | 452,990 | ||||||
| Total Equity Fund | 1,507,123 | |||||||
| Total
Exchange Traded Funds (Cost $1,602,451) | 1,602,189 | |||||||
| MONEY MARKET FUND — 0.5% | ||||||||
| Fidelity
Investments Money Market Government Portfolio — Class I, 0.01%(a) (Cost $8,716) | 8,716 | 8,716 | ||||||
| Total
Investments — 99.2% (Cost $1,611,167) | 1,610,905 | |||||||
| Other Assets in Excess of Liabilities — 0.8% | 13,792 | |||||||
| Net Assets — 100.0% | $ | 1,624,697 | ||||||
ETF — Exchange Traded Fund
| * | Non-income producing security. |
| (a) | Rate shown reflects the 7-day yield as of December 31, 2020. |
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Exchange Traded Funds | $ | 1,602,189 | $ | — | $ | — | $ | 1,602,189 | ||||||||
| Money Market Fund | 8,716 | — | — | 8,716 | ||||||||||||
| Total | $ | 1,610,905 | $ | — | $ | — | $ | 1,610,905 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net | ||||
| Assets | ||||
| Commodity Fund | 5.9 | % | ||
| Equity Fund | 92.8 | |||
| Money Market Fund | 0.5 | |||
| Total Investments | 99.2 | |||
| Other Assets in Excess of Liabilities | 0.8 | |||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
48
| ADVISORSHARES Q PORTFOLIO BLENDED ALLOCATION ETF |
| Schedule of Investments |
| December 31, 2020 (Unaudited) |
| Investments | Shares | Value | ||||||
| EXCHANGE TRADED FUNDS — 97.4% | ||||||||
| Commodity Fund — 12.3% | ||||||||
| SPDR Gold Shares* | 1,118 | $ | 199,407 | |||||
| Debt Fund — 34.9% | ||||||||
| iShares 20+ Year Treasury Bond ETF | 2,353 | 371,139 | ||||||
| Vanguard Extended Duration Treasury ETF | 1,300 | 197,990 | ||||||
| Total Debt Fund | 569,129 | |||||||
| Equity Fund — 50.2% | ||||||||
| Invesco Nasdaq Internet ETF* | 650 | 148,330 | ||||||
| Invesco QQQ Trust Series 1 | 1,079 | 338,525 | ||||||
| iShares Russell 2000 Growth ETF | 247 | 70,815 | ||||||
| Technology Select Sector SPDR Fund | 2,002 | 260,300 | ||||||
| Total Equity Fund | 817,970 | |||||||
| Total
Exchange Traded Funds (Cost $1,584,120) | 1,586,506 | |||||||
| MONEY MARKET FUND — 1.0% | ||||||||
| Fidelity
Investments Money Market Government Portfolio — Class I, 0.01%(a) (Cost $16,378) 16,378 | 16,378 | 16,378 | ||||||
| Total
Investments — 98.4% (Cost $1,600,498) | 1,602,884 | |||||||
| Other Assets in Excess of Liabilities —1.6% | 26,099 | |||||||
| Net Assets — 100.0% | $ | 1,628,983 | ||||||
ETF — Exchange Traded Fund
| * | Non-income producing security. |
| (a) | Rate shown reflects the 7-day yield as of December 31, 2020. |
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level1 | Level 2 | Level 3 | Total | ||||||||||||
| Exchange Traded Funds | $ | 1,586,506 | $ | — | $ | — | $ | 1,586,506 | ||||||||
| Money Market Fund | 16,378 | — | — | 16,378 | ||||||||||||
| Total | $ | 1,602,884 | $ | — | $ | — | $ | 1,602,884 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net | ||||
| Assets | ||||
| Commodity Fund | 12.3 | % | ||
| Debt Fund | 34.9 | |||
| Equity Fund | 50.2 | |||
| Money Market Fund | 1.0 | |||
| Total Investments | 98.4 | |||
| Other Assets in Excess of Liabilities | 1.6 | |||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
49
| ADVISORSHARES RANGER EQUITY BEAR ETF |
| Schedule of Investments |
| December 31, 2020 (Unaudited) |
| Investment | Shares | Value | ||||||
| EXCHANGE TRADED FUND—49.9% | ||||||||
| Debt Fund — 49.9% | ||||||||
| AdvisorShares
Sage Core Reserves ETF† (Cost $29,828,999) | 300,000 | $ | 29,724,000 | |||||
| MONEY MARKET FUNDS — 188.8% | ||||||||
| BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 0.01%(a) | 112,086,867 | 112,086,867 | ||||||
| Fidelity Institutional Money Market Government Portfolio - Class III, 0.01%(a) | 449,786 | 449,786 | ||||||
| Total
Money Market Funds (Cost $112,536,653) | 112,536,653 | |||||||
| Total Investments Before Securities Sold, Not Yet Purchased (Cost $142,365,652) | 142,260,653 | |||||||
| Securities Sold, Not Yet Purchased — (103.2)%(b) | ||||||||
| COMMON STOCKS — (103.2)% | ||||||||
| Advertising — (2.1)% | ||||||||
| Omnicom Group, Inc. | (20,000 | ) | (1,247,400 | ) | ||||
| Apparel — (2.7)% | ||||||||
| Hanesbrands, Inc. | (110,000 | ) | (1,603,800 | ) | ||||
| Auto Parts & Equipment — (1.3)% | ||||||||
| BorgWarner, Inc. | (20,000 | ) | (772,800 | ) | ||||
| Banks — (4.1)% | ||||||||
| Citigroup, Inc. | (25,000 | ) | (1,541,500 | ) | ||||
| Wells Fargo & Co. | (29,069 | ) | (877,303 | ) | ||||
| Total Banks | (2,418,803 | ) | ||||||
| Chemicals — (2.2)% | ||||||||
| International Flavors & Fragrances, Inc. | (12,000 | ) | (1,306,080 | ) | ||||
| Commercial Services — (1.3)% | ||||||||
| Rollins, Inc. | (20,000 | ) | (781,400 | ) | ||||
| Computers — (4.7)% | ||||||||
| Fortinet, Inc.* | (10,000 | ) | (1,485,300 | ) | ||||
| Ping Identity Holding Corp.* | (45,000 | ) | (1,288,800 | ) | ||||
| Total Computers | (2,774,100 | ) | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Diversified Financial Services — (5.2)% | ||||||||
| Credit Acceptance Corp.* | (5,000 | ) | $ | (1,730,700 | ) | |||
| LexinFintech Holdings Ltd. (China)*(c) | (200,000 | ) | (1,340,000 | ) | ||||
| Total Diversified Financial Services | (3,070,700 | ) | ||||||
| Electric — (3.5)% | ||||||||
| Alliant Energy Corp. | (20,000 | ) | (1,030,600 | ) | ||||
| FirstEnergy Corp. | (35,000 | ) | (1,071,350 | ) | ||||
| Total Electric | (2,101,950 | ) | ||||||
| Electronics — (3.5)% | ||||||||
| Plexus Corp.* | (15,000 | ) | (1,173,150 | ) | ||||
| Vicor Corp.* | (10,000 | ) | (922,200 | ) | ||||
| Total Electronics | (2,095,350 | ) | ||||||
| Engineering & Construction — (2.5)% | ||||||||
| Dycom Industries, Inc.* | (20,000 | ) | (1,510,400 | ) | ||||
| Food — (1.6)% | ||||||||
| Kellogg Co. | (15,000 | ) | (933,450 | ) | ||||
| Healthcare - Services — (2.3)% | ||||||||
| Teladoc Health, Inc.* | (7,000 | ) | (1,399,720 | ) | ||||
| Home Builders — (1.7)% | ||||||||
| D.R. Horton, Inc. | (15,000 | ) | (1,033,800 | ) | ||||
| Home Furnishings — (4.1)% | ||||||||
| Whirlpool Corp. | (13,700 | ) | (2,472,713 | ) | ||||
| Insurance — (2.4)% | ||||||||
| eHealth, Inc.* | (20,000 | ) | (1,412,200 | ) | ||||
| Internet — (2.9)% | ||||||||
| Momo, Inc. (China)(c) | (50,000 | ) | (698,000 | ) | ||||
| NortonLifeLock, Inc. | (50,000 | ) | (1,039,000 | ) | ||||
| Total Internet | (1,737,000 | ) | ||||||
| Iron / Steel — (2.1)% | ||||||||
| Commercial Metals Co. | (60,000 | ) | (1,232,400 | ) | ||||
| Oil & Gas — (2.0)% | ||||||||
| Cabot Oil & Gas Corp. | (75,000 | ) | (1,221,000 | ) | ||||
| Pharmaceuticals — (1.5)% | ||||||||
| Prestige Consumer Healthcare, Inc.* | (25,000 | ) | (871,750 | ) | ||||
See accompanying Notes to Financial Statements.
50
| ADVISORSHARES RANGER EQUITY BEAR ETF |
| Schedule of Investments (continued) |
| December 31, 2020 (Unaudited) |
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| REITS — (3.2)% | ||||||||
| Digital Realty Trust, Inc. | (7,000 | ) | $ | (976,570 | ) | |||
| Realty Income Corp. | (15,000 | ) | (932,550 | ) | ||||
| Total REITS | (1,909,120 | ) | ||||||
| Retail — (9.4)% | ||||||||
| Domino’s Pizza, Inc. | (3,000 | ) | (1,150,380 | ) | ||||
| FirstCash, Inc. | (40,000 | ) | (2,801,600 | ) | ||||
| Ollie’s Bargain Outlet Holdings, Inc.* | (20,000 | ) | (1,635,400 | ) | ||||
| Total Retail | (5,587,380 | ) | ||||||
| Software — (25.5)% | ||||||||
| Akamai Technologies, Inc.* | (15,000 | ) | (1,574,850 | ) | ||||
| Alteryx, Inc., Class A* | (10,056 | ) | (1,224,720 | ) | ||||
| Arco Platform Ltd., Class A (Brazil)* | (44,000 | ) | (1,561,560 | ) | ||||
| Blackbaud, Inc. | (32,398 | ) | (1,864,829 | ) | ||||
| Citrix Systems, Inc. | (14,000 | ) | (1,821,400 | ) | ||||
| CSG Systems International, Inc. | (35,000 | ) | (1,577,450 | ) | ||||
| Everbridge, Inc.* | (12,000 | ) | (1,788,840 | ) | ||||
| SAP SE (Germany)(c) | (10,000 | ) | (1,303,900 | ) | ||||
| Teradata Corp.* | (50,000 | ) | (1,123,500 | ) | ||||
| Veeva Systems, Inc., Class A* | (5,000 | ) | (1,361,250 | ) | ||||
| Total Software | (15,202,299 | ) | ||||||
| Telecommunications — (9.8)% | ||||||||
| AudioCodes Ltd. (Israel) | (25,000 | ) | (688,750 | ) | ||||
| Ciena Corp.* | (25,000 | ) | (1,321,250 | ) | ||||
| Juniper Networks, Inc. | (25,000 | ) | (562,750 | ) | ||||
| Plantronics, Inc. | (50,000 | ) | (1,351,500 | ) | ||||
| Telephone and Data Systems, Inc. | (50,000 | ) | (928,500 | ) | ||||
| ViaSat, Inc.* | (30,000 | ) | (979,500 | ) | ||||
| Total Telecommunications | (5,832,250 | ) | ||||||
| Transportation — (1.6)% | ||||||||
| Werner Enterprises, Inc. | (25,000 | ) | (980,500 | ) | ||||
| Total Securities Sold, Not Yet Purchased [Proceeds Received $(58,326,226)] | (61,508,365 | ) | ||||||
| Total
Investments — 135.5% (Cost $84,039,426) | 80,752,288 | |||||||
| Liabilities in Excess of Other Assets — (35.5%) | (21,161,323 | ) | ||||||
| Net Assets — 100.0% | $ | 59,590,965 | ||||||
ETF — Exchange Traded Fund
REITS — Real Estate Investment Trusts
| * | Non-income producing security. |
| † | Affiliated Company. |
| (a) | Rate shown reflects the 7-day yield as of December 31, 2020. |
| (b) | As of December 31, 2020 cash in the amount of $7,856,520 has been segregated as collateral from the broker for securities sold short. |
| (c) | American Depositary Receipt. |
See accompanying Notes to Financial Statements.
51
ADVISORSHARES RANGER EQUITY BEAR
ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Exchange Traded Fund | $ | 29,724,000 | $ | — | $ | — | $ | 29,724,000 | ||||||||
| Money Market Funds | 112,536,653 | — | — | 112,536,653 | ||||||||||||
| Total | $ | 142,260,653 | $ | — | $ | — | $ | 142,260,653 | ||||||||
| Liabilities | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Common Stocks | $ | (61,508,365 | ) | $ | — | $ | — | $ | (61,508,365 | ) | ||||||
| Total | $ | (61,508,365 | ) | $ | — | $ | — | $ | (61,508,365 | ) | ||||||
| SUMMARY OF SCHEDULE OF INVESTMENTS | ||||
| %
of Net Assets | ||||
| Advertising | (2.1 | )% | ||
| Apparel | (2.7 | ) | ||
| Auto Parts & Equipment | (1.3 | ) | ||
| Banks | (4.1 | ) | ||
| Chemicals | (2.2 | ) | ||
| Commercial Services | (1.3 | ) | ||
| Computers | (4.7 | ) | ||
| Debt Fund | 49.9 | |||
| Diversified Financial Services | (5.2 | ) | ||
| Electric | (3.5 | ) | ||
| Electronics | (3.5 | ) | ||
| Engineering & Construction | (2.5 | ) | ||
| Food | (1.6 | ) | ||
| Healthcare - Services | (2.3 | ) | ||
| Home Builders | (1.7 | ) | ||
| SUMMARY OF SCHEDULE OF INVESTMENTS (continued) | ||||
| %
of Net Assets | ||||
| Home Furnishings | (4.1 | )% | ||
| Insurance | (2.4 | ) | ||
| Internet | (2.9 | ) | ||
| Iron / Steel | (2.1 | ) | ||
| Oil & Gas | (2.0 | ) | ||
| Pharmaceuticals | (1.5 | ) | ||
| REITS | (3.2 | ) | ||
| Retail | (9.4 | ) | ||
| Software | (25.5 | ) | ||
| Telecommunications | (9.8 | ) | ||
| Transportation | (1.6 | ) | ||
| Money Market Funds | 188.8 | |||
| Total Investments | 135.5 | |||
| Liabilities in Excess of Other Assets | (35.5 | ) | ||
| Net Assets | 100.0 | % | ||
Affiliated holdings are funds which are managed by the Trust or an affiliate of the Trust. Transactions with affiliated companies during the period ended December 31, 2020 were as follows:
| Affiliated Fund Name | Value at 6/30/2020 | Purchases/ Additions | Sales/ Reductions | Realized Gain (Loss) | Change in Unrealized Gain (Loss) | Number of Shares at 12/31/2020 | Value at 12/31/2020 | Dividend Income | ||||||||||||||||||||||||
| AdvisorShares Sage Core Reserves ETF | $ | 63,930,750 | $ | — | $ | (34,560,286 | ) | $ | (290,214 | ) | $ | 643,750 | 300,000 | $ | 29,724,000 | $ | 269,774 | |||||||||||||||
See accompanying Notes to Financial Statements.
52
ADVISORSHARES
SAGE CORE RESERVES ETF
Schedule of Investments
December 31, 2020 (Unaudited)
| Investments | Principal | Value | |||||
| CORPORATE BONDS — 63.2% | |||||||
| Airlines — 0.8% | |||||||
| Delta Air Lines, Inc., 3.40%, 04/19/21 | $ | 434,000 | $ | 436,869 | |||
| Auto Manufacturers — 2.0% | |||||||
| General Motors Financial Co., Inc., 4.38%, 09/25/21 | 1,090,000 | 1,119,594 | |||||
| Banks — 10.3% | |||||||
| Bank of America Corp., Series MTN, 3.50%, (3-Month USD LIBOR + 0.63%), 05/17/22@ | 1,384,000 | 1,400,451 | |||||
| Citigroup, Inc., 1.17%, (3-Month USD LIBOR + 0.96%), 04/25/22@ | 1,022,000 | 1,031,298 | |||||
| Citigroup, Inc., 2.31%, (SOFR + 0.87%), 11/04/22@ | 541,000 | 549,735 | |||||
| Goldman Sachs Group, Inc. (The), 2.88%, (3-Month USD LIBOR + 0.82%), 10/31/22@ | 723,000 | 737,763 | |||||
| Manufacturers & Traders Trust Co., Series BKNT, 0.48%, (3-Month USD LIBOR + 0.27%), 01/25/21@ | 520,000 | 520,088 | |||||
| Wells Fargo & Co., 3.07%, 01/24/23 | 1,550,000 | 1,594,489 | |||||
| Total Banks | 5,833,824 | ||||||
| Beverages — 1.5% | |||||||
| Constellation Brands, Inc., 2.70%, 05/09/22 | 803,000 | 826,149 | |||||
| Biotechnology — 1.0% | |||||||
| Biogen, Inc., 3.63%, 09/15/22 | 531,000 | 559,990 | |||||
| Commercial Services — 2.0% | |||||||
| Equifax, Inc., 3.60%, 08/15/21 | 575,000 | 585,858 | |||||
| Equifax, Inc., 1.09%, (3-Month USD LIBOR + 0.87%), 08/15/21@ | 570,000 | 571,822 | |||||
| Total Commercial Services | 1,157,680 | ||||||
| Computers — 0.9% | |||||||
| Dell, Inc., 4.63%, 04/01/21 | 524,000 | 529,174 | |||||
| Investments | Principal | Value | |||||
| CORPORATE BONDS (continued) | |||||||
| Diversified Financial Services — 6.5% | |||||||
| Air Lease Corp., 3.50%, 01/15/22 | $ | 1,389,000 | $ | 1,429,651 | |||
| American Express Co., 0.84%, (3-Month USD LIBOR + 0.62%), 05/20/22@ | 1,609,000 | 1,619,498 | |||||
| Aviation Capital Group LLC, 0.88%, (3-Month USD LIBOR + 0.67%), 07/30/21@‡ | 270,000 | 267,503 | |||||
| OneMain Finance Corp., 7.75%, 10/01/21 | 379,000 | 399,371 | |||||
| Total Diversified Financial Services | 3,716,023 | ||||||
| Electric — 6.2% | |||||||
| Dominion Energy, Inc., 2.72%, 08/15/21# | 1,141,000 | 1,155,359 | |||||
| Edison International, 2.40%, 09/15/22 | 1,159,000 | 1,185,262 | |||||
| Entergy Corp., 4.00%, 07/15/22 | 841,000 | 882,073 | |||||
| Sempra Energy, 0.67%, (3-Month USD LIBOR + 0.45%), 03/15/21@ | 310,000 | 310,205 | |||||
| Total Electric | 3,532,899 | ||||||
| Gas — 1.4% | |||||||
| Southern California Gas Co., 0.57%, (3-Month USD LIBOR + 0.35%), 09/14/23@ | 798,000 | 798,181 | |||||
| Healthcare - Products — 0.9% | |||||||
| Boston Scientific Corp., 3.38%, 05/15/22 | 256,000 | 266,721 | |||||
| Zimmer Biomet Holdings, Inc., 0.99%, (3-Month USD LIBOR + 0.75%), 03/19/21@ | 228,000 | 228,005 | |||||
| Total Healthcare - Products | 494,726 | ||||||
| Healthcare - Services — 0.5% | |||||||
| Molina Healthcare, Inc., 5.38%, 11/15/22 | 265,000 | 281,066 | |||||
| Home Builders — 0.8% | |||||||
| Lennar Corp., 4.13%, 01/15/22 | 436,000 | 447,173 | |||||
53
ADVISORSHARES
SAGE CORE RESERVES ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Principal | Value | |||||
| CORPORATE BONDS (continued) | |||||||
| Investment Companies — 2.1% | |||||||
| Ares Capital Corp., 3.63%, 01/19/22 | $ | 1,131,000 | $ | 1,163,510 | |||
| Media — 2.7% | |||||||
| Charter Communications Operating LLC / Charter Communications Operating Capital, 4.46%, 07/23/22 | 500,000 | 527,264 | |||||
| DISH DBS Corp., 6.75%, 06/01/21 | 484,000 | 494,266 | |||||
| Time Warner Cable LLC, 4.00%, 09/01/21 | 522,000 | 529,463 | |||||
| Total Media | 1,550,993 | ||||||
| Mining — 0.9% | |||||||
| Freeport-McMoRan, Inc., 3.55%, 03/01/22(a) | 527,000 | 537,395 | |||||
| Oil & Gas — 1.7% | |||||||
| Phillips 66, 0.83%, (3-Month USD LIBOR + 0.60%), 02/26/21@ | 970,000 | 970,116 | |||||
| Oil & Gas Services — 1.0% | |||||||
| Halliburton Co., 3.25%, 11/15/21 | 579,000 | 588,963 | |||||
| Pharmaceuticals — 6.0% | |||||||
| AbbVie, Inc., 2.90%, 11/06/22 | 534,000 | 558,808 | |||||
| Becton Dickinson and Co., 2.89%, 06/06/22 | 822,000 | 849,817 | |||||
| Cigna Corp., 3.90%, 02/15/22 | 668,000 | 694,206 | |||||
| Elanco Animal Health, Inc., 4.91%, 08/27/21 | 288,000 | 295,020 | |||||
| Utah Acquisition Sub, Inc., 3.15%, 06/15/21 | 1,019,000 | 1,028,887 | |||||
| Total Pharmaceuticals | 3,426,738 | ||||||
| Pipelines — 5.7% | |||||||
| Energy Transfer Operating LP, 4.65%, 06/01/21 | 697,000 | 702,286 | |||||
| Kinder Morgan Energy Partners LP, 3.50%, 03/01/21 | 826,000 | 826,000 | |||||
| NGPL PipeCo LLC, 4.38%, 08/15/22‡ | 465,000 | 484,715 | |||||
| Plains All American Pipeline LP / PAA Finance Corp., 3.65%, 06/01/22 | 1,182,000 | 1,217,422 | |||||
| Total Pipelines | 3,230,423 | ||||||
| Investments | Principal | Value | |||||
| CORPORATE BONDS (continued) | |||||||
| REITS — 1.8% | |||||||
| Kimco Realty Corp., 3.40%, 11/01/22 | $ | 982,000 | $ | 1,031,460 | |||
| Retail — 1.0% | |||||||
| QVC, Inc., 4.38%, 03/15/23 | 535,000 | 562,419 | |||||
| Semiconductors — 1.9% | |||||||
| Broadcom, Inc., 3.13%, 10/15/22 | 1,021,000 | 1,068,924 | |||||
| Software — 2.1% | |||||||
| VMware, Inc., 2.95%, 08/21/22 | 1,135,000 | 1,177,753 | |||||
| Telecommunications — 1.5% | |||||||
| Qwest Corp., 6.75%, 12/01/21 | 510,000 | 533,855 | |||||
| Sprint Corp., 7.25%, 09/15/21 | 284,000 | 295,857 | |||||
| Total Telecommunications | 829,712 | ||||||
| Total Corporate Bonds (Cost $35,679,682) | 35,871,754 | ||||||
| ASSET BACKED SECURITIES — 13.3% | |||||||
| Diversified Financial Services — 13.3% | |||||||
| Ally Master Owner Trust, Class A, Series 2018-2, 3.29%, 05/15/23 | 1,085,000 | 1,097,097 | |||||
| Carmax Auto Owner Trust, Class A2A, Series 2019-2, 2.69%, 07/15/22 | 261,809 | 262,373 | |||||
| First National Master Note Trust, Class A, Series 2018-1, 0.62%, (1-Month USD LIBOR + 0.46%), 10/15/24@ | 665,000 | 666,113 | |||||
| Ford Credit Floorplan Master Owner Trust A, Class A, Series 2017-3, 2.48%, 09/15/24 | 565,000 | 586,015 | |||||
| GM Financial Consumer Automobile Receivables Trust, Class B, Series 2017-3A, 2.33%, 03/16/23‡ | 735,000 | 742,663 | |||||
| Hyundai Auto Receivables Trust, Class A2, Series 2020-C, 0.26%, 09/15/23 | 1,000,000 | 1,000,438 | |||||
See accompanying Notes to Financial Statements.
54
ADVISORSHARES
SAGE CORE RESERVES ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| Investments | Principal | Value | |||||
| ASSET BACKED SECURITIES (continued) | |||||||
| Hyundai Auto Receivables Trust, Class B, Series 2016-B, 1.82%, 11/15/22 | $ | 113,808 | $ | 113,881 | |||
| Santander Drive Auto Receivables Trust, Class C, Series 2017-3, 2.76%, 12/15/22 | 99,604 | 99,768 | |||||
| SoFi Consumer Loan Program Trust, Class A, Series 2020-1, 2.02%, 01/25/29‡ | 294,095 | 297,248 | |||||
| Verizon Owner Trust, Class A1A, Series 2019-A, 2.93%, 09/20/23 | 1,277,000 | 1,302,086 | |||||
| World Financial Network Credit Card Master Trust, Class A, Series 2019-B, 2.49%, 04/15/26 | 535,000 | 551,582 | |||||
| World Omni Auto Receivables Trust, Class A2, Series 2020-A, 1.71%, 11/15/22 | 854,084 | 861,851 | |||||
| Total
Asset Backed Securities (Cost $7,554,335) |
7,581,115 | ||||||
| U.S. TREASURY NOTES — 12.0% | |||||||
| U.S. Treasury Note, 1.38%, 04/30/21(a) | 2,649,000 | 2,659,847 | |||||
| U.S. Treasury Note, 1.25%, 10/31/21 | 1,164,000 | 1,174,918 | |||||
| U.S. Treasury Note, 0.20%, 04/30/22@ | 2,983,000 | 2,985,756 | |||||
| Total
U.S. Treasury Notes (Cost $6,819,190) |
6,820,521 | ||||||
| FOREIGN BONDS — 7.3% | |||||||
| Auto Manufacturers — 1.4% | |||||||
| Daimler Finance North America LLC, 0.66%, (3-Month USD LIBOR + 0.45%), 02/22/21 (Germany)@‡ | 780,000 | 780,375 | |||||
| Banks — 1.4% | |||||||
| Sumitomo Mitsui Financial Group, Inc., 1.91%, (3-Month USD LIBOR + 1.68%), 03/09/21 (Japan)@ | 795,000 | 797,254 | |||||
| Oil & Gas — 2.5% | |||||||
| Ecopetrol SA, 5.88%, 09/18/23 (Colombia) | 795,000 | 888,619 | |||||
| Petroleos Mexicanos, 5.50%, 01/21/21 (Mexico) | 530,000 | 532,120 | |||||
| Total Oil & Gas | 1,420,739 | ||||||
| Investments | Principal/Shares | Value | |||||
| FOREIGN BONDS (continued) | |||||||
| Pharmaceuticals — 2.0% | |||||||
| Bayer US Finance II LLC, 0.88%, (3-Month USD LIBOR + 0.63%), 06/25/21 (Germany)@‡ | $ | 260,000 | $ | 260,540 | |||
| Teva Pharmaceutical Finance Netherlands III BV, 2.20%, 07/21/21 (Israel) | 895,000 | 894,441 | |||||
| Total Pharmaceuticals | 1,154,981 | ||||||
| Total
Foreign Bonds (Cost $4,115,719) |
4,153,349 | ||||||
| MORTGAGE BACKED SECURITIES — 0.9% | |||||||
| Commercial Mortgage Backed Securities — 0.9% | |||||||
| Fannie Mae - Aces, Class A1, Series 2016-M1, 2.43%, 01/25/26 | 29,453 | 29,588 | |||||
| Mello Warehouse | |||||||
| Securitization Trust, Class A, Series | |||||||
| 2020-1, 1.05%, (1-Month USD LIBOR + 0.90%), 10/25/53@‡ | 455,000 | 455,987 | |||||
| Total
Mortgage Backed Securities (Cost $485,730) |
485,575 | ||||||
| MONEY MARKET FUND — 1.9% | |||||||
| JPMorgan
U.S. Government Money Market Fund — Institutional Class, 0.03%(b) (Cost $1,097,265) |
1,097,265 | 1,097,265 | |||||
| Total
Investments — 98.6% (Cost $55,751,921) |
56,009,579 | ||||||
| Other Assets in Excess of Liabilities — 1.4% | 796,840 | ||||||
| Net Assets — 100.0% | $ | 56,806,419 | |||||
LIBOR — London Interbank Offered Rate
LP — Limited Partnership
REITS — Real Estate Investment Trusts
SOFR — Secured Overnight Financing Rate
| # | Represents step coupon bond. Rate shown reflects the rate in effect at December 31, 2020. |
| @ | Variable rate instrument. The interest rate shown reflects the rate in effect at December 31, 2020. |
| ‡ | Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may not be resold subject to |
See accompanying Notes to Financial Statements.
55
ADVISORSHARES
SAGE CORE RESERVES ETF
Schedule of Investments (continued)
December 31, 2020 (Unaudited)
| that rule except to qualified institutional buyers. Unless otherwise noted, 144A securities are deemed to be liquid. |
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $2,829,984; the aggregate market value of the collateral held by the fund is $2,899,609. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $2,899,609. |
| (b) | Rate shown reflects the 7-day yield as of December 31, 2020. |
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Corporate Bonds | $ | — | $ | 35,871,754 | $ | — | $ | 35,871,754 | ||||||||
| Asset Backed Securities | — | 7,581,115 | — | 7,581,115 | ||||||||||||
| U.S. Treasury Notes | — | 6,820,521 | — | 6,820,521 | ||||||||||||
| Foreign Bonds | — | 4,153,349 | — | 4,153,349 | ||||||||||||
| Mortgage Backed Securities | — | 485,575 | — | 485,575 | ||||||||||||
| Money Market Fund | 1,097,265 | — | — | 1,097,265 | ||||||||||||
| Total | $ | 1,097,265 | $ | 54,912,314 | $ | — | $ | 56,009,579 |
| |||||||
| SUMMARY OF SCHEDULE OF INVESTMENTS | ||||
| % of Net Assets | ||||
| Airlines | 0.8 | % | ||
| Auto Manufacturers | 3.4 | |||
| Banks | 11.7 | |||
| Beverages | 1.5 | |||
| Biotechnology | 1.0 | |||
| Commercial Mortgage Backed Securities | 0.9 | |||
| Commercial Services | 2.0 | |||
| Computers | 0.9 | |||
| Diversified Financial Services | 19.8 | |||
| Electric | 6.2 | |||
| Gas | 1.4 | |||
| Healthcare - Products | 0.9 | |||
| Healthcare - Services | 0.5 | |||
| Home Builders | 0.8 | |||
| Investment Companies | 2.1 | |||
| Media | 2.7 | |||
| SUMMARY OF SCHEDULE OF INVESTMENTS (continued) | ||||
| % of Net Assets | ||||
| Mining | 0.9 | % | ||
| Oil & Gas | 4.2 | |||
| Oil & Gas Services | 1.0 | |||
| Pharmaceuticals | 8.0 | |||
| Pipelines | 5.7 | |||
| REITS | 1.8 | |||
| Retail | 1.0 | |||
| Semiconductors | 1.9 | |||
| Software | 2.1 | |||
| Telecommunications | 1.5 | |||
| U.S. Treasury Note | 12.0 | |||
| Money Market Fund | 1.9 | |||
| Total Investments | 98.6 | |||
| Other Assets in Excess of Liabilities | 1.4 | |||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
56
ADVISORSHARES STAR GLOBAL BUY-WRITE ETF
Schedule of Investments
| December 31, 2020 (Unaudited) |
| Investments | Shares | Value | ||||||
| EXCHANGE TRADED FUNDS — 93.2% | ||||||||
| Debt Fund — 16.8% | ||||||||
| First Trust Low Duration Opportunities ETF(a) | 8,295 | $ | 426,944 | |||||
| iShares Core U.S. Aggregate Bond ETF(a) | 3,668 | 433,521 | ||||||
| iShares Short-Term Corporate Bond ETF(a) | 7,984 | 440,477 | ||||||
| JPMorgan Ultra-Short Income ETF(a) | 8,518 | 432,629 | ||||||
| PIMCO Enhanced Short | ||||||||
| Maturity Active ETF(a) | 4,258 | 434,486 | ||||||
| Total Debt Fund | 2,168,057 | |||||||
| Equity Fund — 76.4% | ||||||||
| Communication Services Select Sector SPDR Fund | 7,767 | 524,117 | ||||||
| Consumer Staples Select Sector SPDR Fund | 6,591 | 444,563 | ||||||
| Health Care Select Sector SPDR Fund(a) | 5,680 | 644,339 | ||||||
| iShares MSCI EAFE ETF | 9,772 | 712,965 | ||||||
| SPDR S&P 500 ETF Trust | 17,724 | 6,626,649 | ||||||
| Technology Select Sector SPDR Fund | 4,041 | 525,411 | ||||||
| X-trackers MSCI Europe Hedged Equity ETF | 12,291 | 367,747 | ||||||
| Total Equity Fund | 9,845,791 | |||||||
| Total
Exchange Traded Funds (Cost $8,487,762) | 12,013,848 | |||||||
| MONEY MARKET FUND — 6.9% | ||||||||
| BlackRock
Liquidity Funds T-Fund Portfolio, Institutional Class, 0.01%(b) (Cost $892,037) | 892,037 | 892,037 | ||||||
| Investments | Notional Amount | Contracts | Value | |||||||||
| PURCHASED PUT OPTION — 0.1% | ||||||||||||
| SPDR
S&P 500 ETF Trust, expiring 04/16/21, Strike Price $300.00 (Cost $19,129) | $ | 1,320,000 | 44 | $ | 13,552 | |||||||
| Total Investments Before Written | ||||||||||||
| Options — 100.2% (Cost $9,398,928) | 12,919,437 | |||||||||||
| WRITTEN CALL OPTION — (0.1)% | ||||||||||||
| SPDR S&P 500 ETF Trust, expiring 01/15/21, Strike Price $385.00 | (4,081,000 | ) | (106 | ) | (9,805 | ) | ||||||
| [Premium Received $(10,710)] | ||||||||||||
| Total
Investments — 100.1% (Cost $9,388,218) | 12,909,632 | |||||||||||
| Liabilities in Excess of Other Assets — (0.1%) | (15,148 | ) | ||||||||||
| Net Assets — 100.0% | $ | 12,894,484 | ||||||||||
ETF - Exchange Traded Fund
| (a) | All or a portion of this security has been pledged as collateral for option contracts. The aggregate market value of the collateral was $2,582,236 as of December 31, 2020. |
| (b) | Rate shown reflects the 7-day yield as of December 31, 2020. |
See accompanying Notes to Financial Statements.
57
ADVISORSHARES STAR GLOBAL BUY-WRITE ETF
Schedule of Investments (continued)
| December 31, 2020 (Unaudited) |
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Exchange Traded Fund | $ | 12,013,848 | $ | — | $ | — | $ | 12,013,848 | ||||||||
| Purchased Put Option | 13,552 | — | — | 13,552 | ||||||||||||
| Money Market Funds | 892,037 | — | — | 892,037 | ||||||||||||
| Total | $ | 12,919,437 | $ | — | $ | — | $ | 12,919,437 | ||||||||
| Liabilities | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Written Call Option | $ | (9,805 | ) | $ | — | $ | — | $ | (9,805 | ) | ||||||
| Total | $ | (9,805 | ) | $ | — | $ | — | $ | (9,805 | ) | ||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets | ||||
| Debt Fund | 16.8 | % | ||
| Equity Fund | 76.4 | |||
| Purchased Put Option | 0.1 | |||
| Written Call Option | (0.1 | ) | ||
| Money Market Fund | 6.9 | |||
| Total Investments | 100.1 | |||
| Liabilities in Excess of Other Assets | (0.1 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
58
ADVISORSHARES VICE
ETF
Schedule of Investments
| December 31, 2020 (Unaudited) |
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 99.6% | ||||||||
| Agriculture — 15.3% | ||||||||
| Altria Group, Inc. | 4,178 | $ | 171,298 | |||||
| British American Tobacco PLC (United Kingdom)(a) | 3,160 | 118,468 | ||||||
| Imperial Brands PLC (United Kingdom)(a) | 8,142 | 171,145 | ||||||
| Philip Morris International, Inc. | 2,513 | 208,051 | ||||||
| Turning Point Brands, Inc. | 15,664 | 697,988 | ||||||
| Universal Corp. | 2,204 | 107,137 | ||||||
| Vector Group Ltd. | 13,977 | 162,832 | ||||||
| Total Agriculture | 1,636,919 | |||||||
| Apparel — 5.4% | ||||||||
| LVMH Moet Hennessy Louis Vuitton SE (France)(a) | 4,685 | 584,360 | ||||||
| Beverages — 21.4% | ||||||||
| Anheuser-Busch InBev SA/NV (Belgium)(a)(b) | 1,926 | 134,647 | ||||||
| Boston Beer Co., Inc. (The), Class A* | 1,094 | 1,087,753 | ||||||
| Brown-Forman Corp., Class B | 3,098 | 246,074 | ||||||
| Constellation Brands, Inc., Class A | 932 | 204,155 | ||||||
| Diageo PLC (United Kingdom)(a) | 1,084 | 172,150 | ||||||
| MGP Ingredients, Inc. | 2,610 | 122,827 | ||||||
| Molson Coors Beverage Co., Class B | 4,853 | 219,307 | ||||||
| Pernod Ricard SA (France)(a) | 2,918 | 111,905 | ||||||
| Total Beverages | 2,298,818 | |||||||
| Electronics — 5.1% | ||||||||
| Turtle Beach Corp.* | 25,200 | 543,060 | ||||||
| Entertainment — 10.4% | ||||||||
| Monarch Casino & Resort, Inc.* | 7,280 | 445,681 | ||||||
| Penn National Gaming, Inc.*(b) | 5,040 | 435,305 | ||||||
| RCI Hospitality Holdings, Inc. | 5,839 | 230,290 | ||||||
| Total Entertainment | 1,111,276 | |||||||
| Lodging — 2.3% | ||||||||
| Boyd Gaming Corp.* | 5,786 | 248,335 | ||||||
| REITS — 7.2% | ||||||||
| Gaming and Leisure Properties, Inc. | 9,066 | 384,398 | ||||||
| VICI Properties, Inc. | 15,213 | 387,932 | ||||||
| Total REITS | 772,330 | |||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Retail — 21.9% | ||||||||
| Brinker International, Inc. | 9,706 | $ | 549,069 | |||||
| Chuy’s Holdings, Inc.* | 8,866 | 234,860 | ||||||
| Del Taco Restaurants, Inc.* | 44,799 | 405,879 | ||||||
| Domino’s Pizza, Inc. | 467 | 179,076 | ||||||
| Jack in the Box, Inc. | 2,520 | 233,856 | ||||||
| McDonald’s Corp. | 840 | 180,247 | ||||||
| Ruth’s Hospitality Group, Inc. | 15,866 | 281,304 | ||||||
| Wingstop, Inc. | 747 | 99,015 | ||||||
| Yum China Holdings, Inc. (China) | 3,360 | 191,822 | ||||||
| Total Retail | 2,355,128 | |||||||
| Semiconductors — 4.1% | ||||||||
| NVIDIA Corp. | 840 | 438,648 | ||||||
| Software — 6.5% | ||||||||
| Activision Blizzard, Inc. | 5,600 | 519,960 | ||||||
| Take-Two Interactive Software, Inc.* | 840 | 174,544 | ||||||
| Total Software | 694,504 | |||||||
| Total
Common Stocks (Cost $8,501,316) | 10,683,378 | |||||||
| MONEY MARKET FUND — 0.3% | ||||||||
| BlackRock Liquidity Funds
Treasury Trust Fund Portfolio, Institutional Class, 0.01%(c) (Cost $34,875) | 34,875 | 34,875 | ||||||
| Total Investments — 99.9% (Cost $8,536,191) | 10,718,253 | |||||||
| Other Assets in Excess of Liabilities — 0.1% | 9,491 | |||||||
| Net Assets — 100.0% | $ | 10,727,744 | ||||||
PLC — Public Limited Company
REITS — Real Estate Investment Trusts
| * | Non-income producing security. |
| (a) | American Depositary Receipt. |
| (b) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $545,428; the aggregate market value of the collateral held by the fund is $562,109. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $562,109. |
| (c) | Rate shown reflects the 7-day yield as of December 31, 2020. |
See accompanying Notes to Financial Statements.
59
ADVISORSHARES VICE ETF
Schedule of Investments (continued)
| December 31, 2020 (Unaudited) |
Fair Value Measurements
The following is a summary of the inputs used, as of December 31, 2020, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.
| Assets | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Common Stocks | $ | 10,683,378 | $ | — | $ | — | $ | 10,683,378 | ||||||||
| Money Market Funds | 34,875 | — | — | 34,875 | ||||||||||||
| Total | $ | 10,718,253 | $ | — | $ | — | $ | 10,718,253 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets | ||||
| Agriculture | 15.3 | % | ||
| Apparel | 5.4 | |||
| Beverages | 21.4 | |||
| Electronics | 5.1 | |||
| Entertainment | 10.4 | |||
| Lodging | 2.3 | |||
| REITS | 7.2 | |||
| Retail | 21.9 | |||
| Semiconductors | 4.1 | |||
| Software | 6.5 | |||
| Money Market Fund | 0.3 | |||
| Total Investments | 99.9 | |||
| Other Assets in Excess of Liabilities | 0.1 | |||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
60
[THIS PAGE INTENTIONALLY LEFT BLANK.]
ADVISORSHARES TRUST
Statements of Assets and Liabilities
| December 31, 2020 (Unaudited) |
AdvisorShares Dorsey Wright ADR ETF | AdvisorShares Dorsey Wright Alpha Equal Weight ETF | AdvisorShares Dorsey Wright FSM All Cap World ETF | ||||||||||
| ASSETS | ||||||||||||
| Investments, at Cost | $ | 55,253,287 | $ | 61,629,599 | $ | 56,086,165 | ||||||
| Investments in Affiliates, at Cost (Note 8) | — | — | 59,381,662 | |||||||||
| Repurchase Agreements, at Cost (Note 2) | 3,019,549 | — | — | |||||||||
| Total Cost of Investments | 58,272,836 | 61,629,599 | 115,467,827 | |||||||||
| Investments, at Market Value (including securities on loan) (Note 2)(a) | 79,460,491 | 72,998,026 | 65,779,777 | |||||||||
| Investments in Affiliates, at Market Value (Note 8) | — | — | 68,919,084 | |||||||||
| Repurchase Agreements, at Market Value (Note 2) | 3,019,549 | — | — | |||||||||
| Total Market Value of Investments | 82,480,040 | 72,998,026 | 134,698,861 | |||||||||
| Cash | — | 6,281 | 251 | |||||||||
| Cash collateral held at brokers | — | — | — | |||||||||
| Dividends and Interest Receivable | 6,584 | 10,853 | 602 | |||||||||
| Receivable from Securities Sold | — | — | — | |||||||||
| Reclaim Receivable | 27,243 | — | — | |||||||||
| Due from Investment Advisor | — | — | — | |||||||||
| Prepaid CCO Fees | — | 248 | 544 | |||||||||
| Prepaid Expenses | 642 | 2,031 | 9,364 | |||||||||
| Total Assets | 82,514,509 | 73,017,439 | 134,709,622 | |||||||||
| LIABILITIES | ||||||||||||
| Cash collateral for securities on loan(b) | 3,065,549 | — | — | |||||||||
| Advisory Fees Payable | 55,270 | 49,538 | 81,980 | |||||||||
| Trustee Fees Payable | 1,094 | 816 | 822 | |||||||||
| Securities Sold, Not Yet Purchased(c) | — | — | — | |||||||||
| Payable for Securities Purchased | — | — | — | |||||||||
| CCO Fees Payable | 149 | — | — | |||||||||
| Due to Custodian | 622 | — | — | |||||||||
| Dividend Payable on Securities Sold, Not Yet Purchased | — | — | — | |||||||||
| Accrued Expenses | 59,347 | 20,703 | 20,746 | |||||||||
| Total Liabilities | 3,182,031 | 71,057 | 103,548 | |||||||||
| NET ASSETS | $ | 79,332,478 | $ | 72,946,382 | $ | 134,606,074 | ||||||
| COMPONENTS OF NET ASSETS | ||||||||||||
| Capital Stock at Zero Par Value | $ | 110,882,957 | $ | 62,702,440 | $ | 99,390,761 | ||||||
| Total Distributable Earnings / Accumulated (Loss) | (31,550,479 | ) | 10,243,942 | 35,215,313 | ||||||||
| NET ASSETS | $ | 79,332,478 | $ | 72,946,382 | $ | 134,606,074 | ||||||
| SHARES ISSUED AND OUTSTANDING | ||||||||||||
| Shares Outstanding (Unlimited Shares Authorized) | 1,300,000 | 2,625,000 | 3,625,000 | |||||||||
| Net Asset Value (NAV) Per Share | $ | 61.02 | $ | 27.79 | $ | 37.13 | ||||||
| (a) Market value of securities on loan | $ | 9,431,803 | $ | 3,282,123 | $ | — | ||||||
| (b) Non-cash collateral for securities on loan | $ | 6,661,673 | $ | 3,434,726 | $ | — | ||||||
| (c) Proceeds Received from Securities Sold, Not Yet Purchased | $ | — | $ | — | $ | — | ||||||
See accompanying Notes to Financial Statements.
62
ADVISORSHARES TRUST
Statements of Assets and Liabilities
| December 31, 2020 (Unaudited) |
| AdvisorShares
Dorsey Wright FSM US Core ETF | AdvisorShares
Dorsey Wright Micro-Cap ETF | AdvisorShares
Dorsey Wright Short ETF | AdvisorShares
DoubleLine Value Equity ETF | AdvisorShares
Focused Equity ETF | AdvisorShares
FolioBeyond Smart Core Bond ETF | |||||||||||||||||
| $ | 57,171,827 | $ | 2,026,323 | $ | 27,415,477 | $ | 37,934,452 | $ | 17,230,788 | $ | 5,790,877 | |||||||||||
| — | — | 9,862,980 | — | — | — | |||||||||||||||||
| 798,344 | 207,105 | — | — | — | 2,363,468 | |||||||||||||||||
| 57,970,171 | 2,233,428 | 37,278,457 | 37,934,452 | 17,230,788 | 8,154,345 | |||||||||||||||||
| 72,816,796 | 2,930,726 | 27,415,477 | 45,877,221 | 23,648,801 | 5,924,812 | |||||||||||||||||
| — | — | 9,908,000 | — | — | — | |||||||||||||||||
| 798,344 | 207,105 | — | — | — | 2,363,468 | |||||||||||||||||
| 73,615,140 | 3,137,831 | 37,323,477 | 45,877,221 | 23,648,801 | 8,288,280 | |||||||||||||||||
| 159 | 5 | 312 | 124 | — | 23 | |||||||||||||||||
| — | — | 40,216,219 | — | — | — | |||||||||||||||||
| 2,575 | 1,119 | 9,556 | 66,972 | 9,925 | 2,386 | |||||||||||||||||
| — | 182,186 | 1,859,369 | 518,749 | 6,256,399 | 809,743 | |||||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| — | 5,562 | — | — | — | 3,938 | |||||||||||||||||
| 53 | — | — | — | — | — | |||||||||||||||||
| 3,368 | 402 | 17,811 | 1,553 | 782 | 1,516 | |||||||||||||||||
| 73,621,295 | 3,327,105 | 79,426,744 | 46,464,619 | 29,915,907 | 9,105,886 | |||||||||||||||||
| 798,344 | 207,105 | — | — | — | 2,363,468 | |||||||||||||||||
| 49,336 | — | 25,905 | 24,028 | 2,221 | — | |||||||||||||||||
| 808 | 621 | 708 | 987 | 1,064 | 538 | |||||||||||||||||
| — | — | 37,541,770 | — | — | — | |||||||||||||||||
| — | 182,954 | 4,410,555 | — | 5,902,601 | 805,941 | |||||||||||||||||
| — | 83 | 1,418 | 73 | 8 | 78 | |||||||||||||||||
| — | — | — | — | 96,231 | — | |||||||||||||||||
| — | — | 86,268 | — | — | — | |||||||||||||||||
| 22,018 | 31,322 | 28,610 | 42,551 | 29,924 | 33,686 | |||||||||||||||||
| 870,506 | 422,085 | 42,095,234 | 67,639 | 6,032,049 | 3,203,711 | |||||||||||||||||
| $ | 72,750,789 | $ | 2,905,020 | $ | 37,331,510 | $ | 46,396,980 | $ | 23,883,858 | $ | 5,902,175 | |||||||||||
| $ | 56,801,944 | $ | 2,914,418 | $ | 116,555,658 | $ | 68,668,530 | $ | 17,140,724 | $ | 6,772,876 | |||||||||||
| 15,948,845 | (9,398 | ) | (79,224,148 | ) | (22,271,550 | ) | 6,743,134 | (870,701 | ) | |||||||||||||
| $ | 72,750,789 | $ | 2,905,020 | $ | 37,331,510 | $ | 46,396,980 | $ | 23,883,858 | $ | 5,902,175 | |||||||||||
| 2,125,000 | 100,000 | 3,250,000 | 575,000 | 550,000 | 225,000 | |||||||||||||||||
| $ | 34.24 | $ | 29.05 | $ | 11.49 | $ | 80.69 | $ | 43.43 | $ | 26.23 | |||||||||||
| $ | 16,690,341 | $ | 303,682 | $ | — | $ | 658,618 | $ | 1,054,202 | $ | 2,710,957 | |||||||||||
| $ | 16,200,653 | $ | 101,227 | $ | — | $ | 675,026 | $ | 1,076,527 | $ | 404,978 | |||||||||||
| $ | — | $ | — | $ | 43,067,080 | $ | — | $ | — | $ | — | |||||||||||
See accompanying Notes to Financial Statements.
63
ADVISORSHARES TRUST
Statements of Assets and Liabilities
| December 31, 2020 (Unaudited) |
| AdvisorShares Newfleet Multi-Sector Income ETF | AdvisorShares Pure Cannabis ETF | AdvisorShares Pure US Cannabis ETF | ||||||||||
| ASSETS | ||||||||||||
| Investments, at Cost | $ | 52,936,277 | $ | 118,543,666 | $ | 149,834,440 | ||||||
| Investments in Affiliates, at Cost (Note 8) | — | 3,153,840 | — | |||||||||
| Repurchase Agreements, at Cost (Note 2) | 402,375 | 17,977,807 | 876,516 | |||||||||
| Total Cost of Investments | 53,338,652 | 139,675,313 | 150,710,956 | |||||||||
| Investments, at Market Value (including securities on loan) (Note 2)(a) | 54,064,513 | 123,867,536 | 156,376,681 | |||||||||
| Investments in Affiliates, at Market Value (Note 8) | — | 2,590,434 | — | |||||||||
| Repurchase Agreements, at Market Value (Note 2) | 402,375 | 17,977,807 | 876,516 | |||||||||
| Total Market Value of Investments | 54,466,888 | 144,435,777 | 157,253,197 | |||||||||
| Cash | 17,444 | 177 | 20 | |||||||||
| Cash collateral held at brokers | — | 25,760,000 | 53,520,000 | |||||||||
| Unrealized Appreciation on Swaps Contracts | — | — | 9,433 | |||||||||
| Dividends and Interest Receivable | 202,899 | 6,217,467 | 13,560,779 | |||||||||
| Receivable from Securities Sold | 134,748 | 498,388 | — | |||||||||
| Capital Shares Receivable | — | — | — | |||||||||
| Reclaim Receivable | — | — | — | |||||||||
| Due from Investment Advisor | — | — | — | |||||||||
| Prepaid CCO Fees | — | 638 | — | |||||||||
| Prepaid Expenses | 1,485 | 17,411 | 118,333 | |||||||||
| Total Assets | 54,823,464 | 176,929,858 | 224,461,762 | |||||||||
| LIABILITIES | ||||||||||||
| Unrealized Depreciation on Swaps Contracts | — | 54,132 | 112,338 | |||||||||
| Cash collateral for securities on loan(b) | 402,375 | 17,977,807 | 876,516 | |||||||||
| Advisory Fees Payable | 16,582 | 75,534 | 84,065 | |||||||||
| Trustee Fees Payable | 680 | 577 | — | |||||||||
| Securities Sold, Not Yet Purchased(c) | — | — | — | |||||||||
| Payable for Securities Purchased | 444,783 | 1,950 | — | |||||||||
| Options Written, at value(d) | — | — | — | |||||||||
| Capital Shares Payable | — | — | — | |||||||||
| CCO Fees Payable | 556 | — | 1,935 | |||||||||
| Due to Custodian - Foreign Currency(e) | — | 2,782 | — | |||||||||
| Due to Broker | — | — | — | |||||||||
| Dividend Payable on Securities Sold, Not Yet Purchased | — | — | — | |||||||||
| Accrued Expenses | 61,415 | 18,378 | 55,153 | |||||||||
| Total Liabilities | 926,391 | 18,131,160 | 1,130,007 | |||||||||
| NET ASSETS | $ | 53,897,073 | $ | 158,798,698 | $ | 223,331,755 | ||||||
| COMPONENTS OF NET ASSETS | ||||||||||||
| Capital Stock at Zero Par Value | $ | 60,661,521 | $ | 164,726,877 | $ | 188,869,396 | ||||||
| Total Distributable Earnings / Accumulated (Loss) | (6,764,448 | ) | (5,928,179 | ) | 34,462,359 | |||||||
| NET ASSETS | $ | 53,897,073 | $ | 158,798,698 | $ | 223,331,755 | ||||||
| SHARES ISSUED AND OUTSTANDING | ||||||||||||
| Shares Outstanding (Unlimited Shares Authorized) | 1,100,000 | 9,325,000 | 6,150,000 | |||||||||
| Net Asset Value (NAV) Per Share | $ | 49.00 | $ | 17.03 | $ | 36.31 | ||||||
| (a) Market value of securities on loan | $ | 579,535 | $ | 28,928,621 | $ | 3,872,127 | ||||||
| (b) Non-cash collateral for securities on loan | $ | 195,173 | $ | 13,913,167 | $ | 3,247,580 | ||||||
| (c) Proceeds Received from Securities Sold, Not Yet Purchased | $ | — | $ | — | $ | — | ||||||
| (d) Premiums received for options written | $ | — | $ | — | $ | — | ||||||
| (e) Foreign currency at cost | $ | — | $ | (2,729 | ) | $ | — | |||||
See accompanying Notes to Financial Statements.
64
ADVISORSHARES TRUST
Statements of Assets and Liabilities
| December 31, 2020 (Unaudited) |
| AdvisorShares Q Dynamic Growth ETF | AdvisorShares Q Portfolio Blended Allocation ETF | AdvisorShares Bear ETF | AdvisorShares Sage Core Reserves ETF | AdvisorShares STAR Global Buy-Write ETF | AdvisorShares Vice ETF | |||||||||||||||||
| $ | 1,611,167 | $ | 1,600,498 | $ | 112,536,653 | $ | 55,751,921 | $ | 9,398,928 | $ | 8,536,191 | |||||||||||
| — | — | 29,828,999 | — | — | — | |||||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| 1,611,167 | 1,600,498 | 142,365,652 | 55,751,921 | 9,398,928 | 8,536,191 | |||||||||||||||||
| 1,610,905 | 1,602,884 | 112,536,653 | 56,009,579 | 12,919,437 | 10,718,253 | |||||||||||||||||
| — | — | 29,724,000 | — | — | — | |||||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| 1,610,905 | 1,602,884 | 142,260,653 | 56,009,579 | 12,919,437 | 10,718,253 | |||||||||||||||||
| — | — | 427 | 327 | 784 | 29 | |||||||||||||||||
| — | — | 7,856,520 | 500,000 | — | — | |||||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| — | — | 5,982 | 335,890 | 28,639 | 26,646 | |||||||||||||||||
| — | — | 3,182,475 | — | — | — | |||||||||||||||||
| 1,000,034 | 1,001,648 | — | — | — | — | |||||||||||||||||
| — | — | — | — | — | 2,609 | |||||||||||||||||
| 952 | 976 | — | — | — | — | |||||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| — | — | 7,960 | 5,008 | 4,530 | 12,553 | |||||||||||||||||
| 2,611,891 | 2,605,508 | 153,314,017 | 56,850,804 | 12,953,390 | 10,760,090 | |||||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| — | — | 85,826 | 1,229 | 10,091 | 174 | |||||||||||||||||
| 53 | 53 | 869 | 747 | 893 | 684 | |||||||||||||||||
| — | — | 61,508,365 | — | — | — | |||||||||||||||||
| 986,167 | 975,498 | 5,509,049 | — | — | — | |||||||||||||||||
| — | — | — | — | 9,805 | — | |||||||||||||||||
| — | — | 2,887,473 | — | — | — | |||||||||||||||||
| 46 | 46 | 2,243 | 102 | 99 | 136 | |||||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| — | — | 23,534,765 | — | 9,677 | — | |||||||||||||||||
| — | — | 150,474 | — | — | — | |||||||||||||||||
| 928 | 928 | 43,988 | 42,307 | 28,341 | 31,352 | |||||||||||||||||
| 987,194 | 976,525 | 93,723,052 | 44,385 | 58,906 | 32,346 | |||||||||||||||||
| $ | 1,624,697 | $ | 1,628,983 | $ | 59,590,965 | $ | 56,806,419 | $ | 12,894,484 | $ | 10,727,744 | |||||||||||
| $ | 1,625,034 | $ | 1,626,648 | $ | 419,731,282 | $ | 57,677,805 | $ | 10,279,213 | $ | 9,427,317 | |||||||||||
| (337 | ) | 2,335 | (360,140,317 | ) | (871,386 | ) | 2,615,271 | 1,300,427 | ||||||||||||||
| $ | 1,624,697 | $ | 1,628,983 | $ | 59,590,965 | $ | 56,806,419 | $ | 12,894,484 | $ | 10,727,744 | |||||||||||
| 65,000 | 65,000 | 19,625,000 | 575,000 | 350,000 | 350,000 | |||||||||||||||||
| $ | 25.00 | $ | 25.06 | $ | 3.04 | $ | 98.79 | $ | 36.84 | $ | 30.65 | |||||||||||
| $ | — | $ | — | $ | — | $ | 2,829,984 | $ | — | $ | 545,428 | |||||||||||
| $ | — | $ | — | $ | — | $ | 2,899,609 | $ | — | $ | 562,109 | |||||||||||
| $ | — | $ | — | $ | 58,326,226 | $ | — | $ | — | $ | — | |||||||||||
| $ | — | $ | — | $ | — | $ | — | $ | 10,710 | $ | — | |||||||||||
| $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | |||||||||||
See accompanying Notes to Financial Statements.
65
ADVISORSHARES TRUST
Statements of Operations
| For the Six Months Ended December 31, 2020 (Unaudited) |
| Advisor
Share Dorsey Wright ADR ETF | AdvisorShares Dorsey Wright Alpha Equal Weight ETF | AdvisorShares Dorsey Wright FSM All Cap World ETF | ||||||||||
| INVESTMENT INCOME: | ||||||||||||
| Dividend Income | $ | 422,131 | $ | 100,245 | $ | 78,627 | ||||||
| Dividend Income from Affiliates | — | — | 20,229 | |||||||||
| Securities lending income (net) (Note 2) | 15,469 | 2,592 | 28,742 | |||||||||
| Foreign withholding tax | (41,246 | ) | — | — | ||||||||
| Total Investment Income | 396,354 | 102,837 | 127,598 | |||||||||
| EXPENSES: | ||||||||||||
| Advisory Fees | 294,158 | 203,354 | 370,070 | |||||||||
| Accounting & Administration Fees | 32,060 | 7,864 | 7,864 | |||||||||
| Professional Fees | 21,173 | 15,125 | 20,292 | |||||||||
| Exchange Listing Fees | 4,662 | 696 | 1,295 | |||||||||
| Custody Fees | 3,295 | 2,688 | 3,904 | |||||||||
| Report to Shareholders | 14,115 | 4,738 | 4,184 | |||||||||
| Trustee Fees | 3,025 | 3,025 | 3,025 | |||||||||
| CCO Fees | 4,782 | 2,467 | 4,576 | |||||||||
| Pricing Fees | 2,017 | 2,017 | 2,017 | |||||||||
| Transfer Agent Fees | 2,942 | 2,033 | 3,701 | |||||||||
| Insurance Fees | 3,932 | 1,513 | 1,513 | |||||||||
| Interest on Securities Sold, Not Yet Purchased | — | — | — | |||||||||
| Dividend Expense | — | — | — | |||||||||
| Organizational Fees | — | 9,908 | 9,336 | |||||||||
| Miscellaneous Fees | 5,042 | 1,008 | 1,008 | |||||||||
| Total Expenses | 391,203 | 256,436 | 432,785 | |||||||||
| Advisory Fees Waived/Recoupment | 40,228 | 11,989 | 22,184 | |||||||||
| Expense Reimbursement | — | — | — | |||||||||
| Net Expenses | 431,431 | 268,425 | 454,969 | |||||||||
| Net Investment Income (Loss) | (35,077 | ) | (165,588 | ) | (327,371 | ) | ||||||
| REALIZED AND UNREALIZED GAIN (LOSS) ON: | ||||||||||||
| Net Realized Gain (Loss) on: | ||||||||||||
| Investments | 1,893,578 | 8,558,423 | 2,140,220 | |||||||||
| Investments in Affiliates | — | — | 12,432 | |||||||||
| In-Kind Redemptions | 5,253,327 | — | 14,347,627 | |||||||||
| Short Sales | — | — | — | |||||||||
| Distributions by other Investment Companies | — | — | — | |||||||||
| Net Change in Unrealized Appreciation (Depreciation) on: | ||||||||||||
| Investments | 3,682,044 | 8,055,643 | 5,337,715 | |||||||||
| Investments in Affiliates | — | — | 9,537,422 | |||||||||
| Short Sales | — | — | — | |||||||||
| Net Realized and Unrealized Gain (Loss) | 10,828,949 | 16,614,066 | 31,375,416 | |||||||||
| NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 10,793,872 | $ | 16,448,478 | $ | 31,048,045 | ||||||
See accompanying Notes to Financial Statements.
66
ADVISORSHARES TRUST
Statements of Operations
| For the Six Months Ended December 31, 2020 (Unaudited) |
| AdvisorShares Dorsey Wright FSMUS Core ETF | AdvisorShares Dorsey Wright Micro-Cap ETF | AdvisorShares Dorsey Wright Short ETF | AdvisorShares Double Line Value Equity ETF | AdvisorShares Focused Equity ETF | AdvisorShares Folio Beyond Smart Core Bond ETF | |||||||||||||||||
| $ | 215,635 | $ | 7,568 | $ | 15,070 | $ | 466,403 | $ | 98,789 | $ | 98,603 | |||||||||||
| — | — | 127,760 | — | — | — | |||||||||||||||||
| 13,960 | 3,680 | — | 154 | 581 | 9,605 | |||||||||||||||||
| — | (81 | ) | — | (1,466 | ) | — | — | |||||||||||||||
| 229,595 | 11,167 | 142,830 | 465,091 | 99,370 | 108,208 | |||||||||||||||||
| 217,867 | 7,816 | 337,899 | 155,344 | 70,200 | 18,724 | |||||||||||||||||
| 7,864 | 32,060 | 31,941 | 31,002 | 30,901 | 30,700 | |||||||||||||||||
| 16,133 | 9,452 | 26,593 | 15,754 | 12,350 | 10,713 | |||||||||||||||||
| 823 | 40 | 2,026 | 4,663 | 4,662 | 4,663 | |||||||||||||||||
| 2,381 | 1,892 | 3,561 | 2,572 | 895 | 785 | |||||||||||||||||
| 4,184 | 756 | 4,234 | 6,554 | 2,521 | 1,008 | |||||||||||||||||
| 3,025 | 3,025 | 3,025 | 3,025 | 3,025 | 3,025 | |||||||||||||||||
| 2,880 | 155 | 7,147 | 2,570 | 1,235 | 513 | |||||||||||||||||
| 2,017 | 2,017 | 2,017 | 3,025 | 2,017 | 3,025 | |||||||||||||||||
| 2,179 | 78 | 3,379 | 1,664 | 794 | 281 | |||||||||||||||||
| 1,512 | 151 | 1,110 | 2,118 | 655 | 226 | |||||||||||||||||
| — | — | 240,396 | — | — | — | |||||||||||||||||
| — | — | 927,793 | — | — | — | |||||||||||||||||
| 9,336 | — | — | — | — | — | |||||||||||||||||
| 1,008 | 252 | 2,521 | 3,075 | 1,260 | 1,008 | |||||||||||||||||
| 271,209 | 57,694 | 1,593,642 | 231,366 | 130,515 | 74,671 | |||||||||||||||||
| 16,375 | (7,816 | ) | — | (31,638 | ) | (60,315 | ) | (18,724 | ) | |||||||||||||
| — | (36,852 | ) | — | — | — | (20,372 | ) | |||||||||||||||
| 287,584 | 13,026 | 1,593,642 | 199,728 | 70,200 | 35,575 | |||||||||||||||||
| (57,989 | ) | (1,859 | ) | (1,450,812 | ) | 265,363 | 29,170 | 72,633 | ||||||||||||||
| 9,673 | 147,594 | — | 1,746,241 | 209,296 | 22,465 | |||||||||||||||||
| — | — | (191,765 | ) | — | — | — | ||||||||||||||||
| 393,913 | 142,379 | — | 711,058 | 835,123 | 87,958 | |||||||||||||||||
| — | — | (24,397,243 | ) | — | — | — | ||||||||||||||||
| — | — | — | — | — | 20,844 | |||||||||||||||||
| 12,365,429 | 408,629 | — | 6,568,590 | 3,148,837 | 66,138 | |||||||||||||||||
| — | — | 283,900 | — | — | — | |||||||||||||||||
| — | — | (13,592,296 | ) | — | — | — | ||||||||||||||||
| 12,769,015 | 698,602 | (37,897,404 | ) | 9,025,889 | 4,193,256 | 197,405 | ||||||||||||||||
| $ | 12,711,026 | $ | 696,743 | $ | (39,348,216 | ) | $ | 9,291,252 | $ | 4,222,426 | $ | 270,038 | ||||||||||
See accompanying Notes to Financial Statements.
67
ADVISORSHARES TRUST
Statements of Operations
| For the Six Months Ended December 31, 2020 (Unaudited) |
| AdvisorShares Newfleet Multi-Sector Income ETF | AdvisorShares Pure Cannabis ETF | AdvisorShares Pure US Cannabis ETF(1) | ||||||||||
| INVESTMENT INCOME: | ||||||||||||
| Dividend Income | $ | 10,463 | $ | 138,683 | $ | 77,669 | ||||||
| Dividend Income from Affiliates | — | — | — | |||||||||
| Interest Income | 783,511 | — | — | |||||||||
| Securities lending income (net) (Note 2) | 215 | 813,551 | 38,391 | |||||||||
| Foreign withholding tax | — | — | — | |||||||||
| Total Investment Income | 794,189 | 952,234 | 116,060 | |||||||||
| EXPENSES: | ||||||||||||
| Advisory Fees | 144,258 | 230,890 | 132,672 | |||||||||
| Accounting & Administration Fees | 48,696 | 15,741 | 9,385 | |||||||||
| Professional Fees | 18,904 | 16,258 | 13,322 | |||||||||
| Exchange Listing Fees | 4,662 | 4,663 | 3,706 | |||||||||
| Custody Fees | 5,441 | 5,512 | 3,262 | |||||||||
| Report to Shareholders | 9,075 | 16,485 | 2,004 | |||||||||
| Trustee Fees | 3,025 | 3,025 | 2,137 | |||||||||
| CCO Fees | 3,702 | 2,931 | 2,805 | |||||||||
| Pricing Fees | 4,033 | 4,033 | 1,201 | |||||||||
| Transfer Agent Fees | 2,164 | 2,886 | 1,659 | |||||||||
| Insurance Fees | 2,672 | 2,066 | 1,683 | |||||||||
| Interest on Securities Sold, Not Yet Purchased | — | — | — | |||||||||
| Dividend Expense | — | — | — | |||||||||
| Organizational Fees | — | — | 36,616 | |||||||||
| Miscellaneous Fees | 3,781 | 2,773 | 400 | |||||||||
| Total Expenses | 250,413 | 307,263 | 210,852 | |||||||||
| Advisory Fees Waived/Recoupment | (34,026 | ) | (22,500 | ) | (47,224 | ) | ||||||
| Expense Reimbursement | — | — | — | |||||||||
| Net Expenses | 216,387 | 284,763 | 163,628 | |||||||||
| Net Investment Income (Loss) | 577,802 | 667,471 | (47,568 | ) | ||||||||
| REALIZED AND UNREALIZED GAIN (LOSS) ON: | ||||||||||||
| Net Realized Gain (Loss) on: | ||||||||||||
| Investments | 230,076 | (6,847,980 | ) | (165,829 | ) | |||||||
| Investments in Affiliates | — | — | — | |||||||||
| In-Kind Redemptions | — | — | 50,313 | |||||||||
| Swaps | — | 19,525,040 | 28,186,107 | |||||||||
| Short Sales | — | — | — | |||||||||
| Foreign Currency Transactions | — | (1,757 | ) | — | ||||||||
| Options Written | — | — | — | |||||||||
| Distributions by other Investment Companies | — | — | — | |||||||||
| Net Change in Unrealized Appreciation (Depreciation) on: | ||||||||||||
| Investments | 849,626 | 28,093,547 | 6,542,241 | |||||||||
| Investments in Affiliates | — | 298,607 | — | |||||||||
| Short Sales | — | — | — | |||||||||
| Options Written | — | — | — | |||||||||
| Swaps | — | (314,954 | ) | (102,905 | ) | |||||||
| Foreign Currency Translations | — | (59 | ) | — | ||||||||
| Net Realized and Unrealized Gain (Loss) | 1,079,702 | 40,752,444 | 34,509,927 | |||||||||
| NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 1,657,504 | $ | 41,419,915 | $ | 34,462,359 | ||||||
See accompanying Notes to Financial Statements.
68
ADVISORSHARES TRUST
Statements of Operations
| For the Six Months Ended December 31, 2020 (Unaudited) |
| AdvisorShares
Q Dynamic Growth ETF(2) | AdvisorShares
Q Portfolio Blended Allocation ETF(2) | AdvisorShares Ranger Equity Bear ETF | AdvisorShares Sage Core Reserves ETF | AdvisorShares STAR Global Buy-Write ETF | AdvisorShares Vice ETF | |||||||||||||||||
| $ | — | $ | — | $ | 30,625 | $ | 391 | $ | 101,875 | $ | 118,015 | |||||||||||
| — | — | 269,774 | — | — | — | |||||||||||||||||
| — | — | — | 640,781 | — | — | |||||||||||||||||
| — | — | — | 1,500 | — | 1,169 | |||||||||||||||||
| — | — | — | — | — | 1,930 | |||||||||||||||||
| — | — | 300,399 | 642,672 | 101,875 | 121,114 | |||||||||||||||||
| 51 | 38 | 960,454 | 149,737 | 86,036 | 30,870 | |||||||||||||||||
| 13 | 13 | 31,127 | 35,540 | 30,750 | 31,052 | |||||||||||||||||
| 553 | 553 | 35,667 | 25,206 | 11,846 | 10,585 | |||||||||||||||||
| 82 | 82 | 4,663 | 4,662 | 4,663 | 162 | |||||||||||||||||
| 41 | 41 | 5,055 | 5,207 | 680 | 890 | |||||||||||||||||
| 49 | 49 | 18,652 | 6,050 | 1,463 | 4,386 | |||||||||||||||||
| 53 | 53 | 3,025 | 3,025 | 3,025 | 3,025 | |||||||||||||||||
| 47 | 47 | 10,696 | 6,427 | 822 | 565 | |||||||||||||||||
| 33 | 33 | 4,033 | 4,033 | 4,033 | 2,017 | |||||||||||||||||
| — | — | 4,803 | 3,744 | 478 | 386 | |||||||||||||||||
| 8 | 8 | 5,897 | 2,823 | 554 | 504 | |||||||||||||||||
| — | — | 578,800 | — | — | — | |||||||||||||||||
| — | — | 1,457,305 | — | — | — | |||||||||||||||||
| 140 | 140 | — | — | — | — | |||||||||||||||||
| 8 | 8 | 7,562 | 4,537 | 907 | 795 | |||||||||||||||||
| 1,078 | 1,065 | 3,127,739 | 250,991 | 145,257 | 85,237 | |||||||||||||||||
| (51 | ) | (38 | ) | — | (76,298 | ) | (27,356 | ) | (30,870 | ) | ||||||||||||
| (952 | ) | (976 | ) | — | — | — | (3,432 | ) | ||||||||||||||
| 75 | 51 | 3,127,739 | 174,693 | 117,901 | 50,935 | |||||||||||||||||
| (75 | ) | (51 | ) | (2,827,340 | ) | 467,979 | (16,026 | ) | 70,179 | |||||||||||||
| — | — | — | 253,520 | 90,675 | 164,479 | |||||||||||||||||
| — | — | (290,214 | ) | — | — | — | ||||||||||||||||
| — | — | — | — | 422,201 | 349,821 | |||||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| — | — | (48,708,729 | ) | — | — | — | ||||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| — | — | — | — | (2,200 | ) | — | ||||||||||||||||
| — | — | 291 | — | — | — | |||||||||||||||||
| (262 | ) | 2,386 | — | 153,982 | 1,251,696 | 2,587,559 | ||||||||||||||||
| — | — | 643,750 | — | — | — | |||||||||||||||||
| — | — | (1,219,662 | ) | — | — | — | ||||||||||||||||
| — | — | — | — | (13,450 | ) | — | ||||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| (262 | ) | 2,386 | (49,574,564 | ) | 407,502 | 1,748,922 | 3,101,859 | |||||||||||||||
| $ | (337 | ) | $ | 2,335 | $ | (52,401,904 | ) | $ | 875,481 | $ | 1,732,896 | $ | 3,172,038 | |||||||||
| (1) | Represents the period September 1, 2020 (commencement of operations) to December 30, 2020. |
| (2) | Represents the period December 28, 2020 (commencement of operations) to December 30, 2020. |
See accompanying Notes to Financial Statements.
69
ADVISORSHARES
TRUST
Statements of Changes in Net Assets
| AdvisorShares Dorsey Wright ADR ETF | ||||||||
| Six
months ended December 31, 2020 (Unaudited) | Year
ended June 30, 2020 | |||||||
| INCREASE (DECREASE) IN NET ASSETS OPERATIONS | ||||||||
| Net Investment Income (Loss) | $ | (35,077 | ) | $ | (55,048 | ) | ||
| Net Realized Gain (Loss) | 7,146,905 | (7,301,080 | ) | |||||
| Net Change in Unrealized Appreciation (Depreciation) | 3,682,044 | 6,505,899 | ||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | 10,793,872 | (850,229 | ) | |||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||
| Distributions | (95,062 | ) | (18,253 | ) | ||||
| Total Distributions | (95,062 | ) | (18,253 | ) | ||||
| CAPITAL STOCK TRANSACTIONS | ||||||||
| Proceeds from Shares Issued | 7,305,154 | 21,728,373 | ||||||
| Value of Shares Redeemed | (14,550,808 | ) | (53,178,644 | ) | ||||
| Net Increase (Decrease) From Capital Stock Transactions | (7,245,654 | ) | (31,450,271 | ) | ||||
| Net Increase (Decrease) in Net Assets | 3,453,156 | (32,318,753 | ) | |||||
| Net Assets: | ||||||||
| Beginning of Year/Period | 75,879,322 | 108,198,075 | ||||||
| End of Year/Period | $ | 79,332,478 | $ | 75,879,322 | ||||
| Changes in Shares Outstanding | ||||||||
| Shares Outstanding, Beginning of Year/Period | 1,425,000 | 2,175,000 | ||||||
| Shares Sold | 125,000 | 400,000 | ||||||
| Shares Repurchased | (250,000 | ) | (1,150,000 | ) | ||||
| Shares Outstanding, End of Year/Period | 1,300,000 | 1,425,000 | ||||||
| * | Commencement of operations. |
See accompanying Notes to Financial Statements.
70
ADVISORSHARES TRUST
Statements of Changes in Net Assets
| AdvisorShares
Dorsey Wright Alpha Equal Weight ETF | AdvisorShares Dorsey Wright FSM All Cap World ETF | AdvisorShares
Dorsey Wright FSM US Core ETF | ||||||||||||||||||||
| Six
months ended December 31, 2020 (Unaudited) | For
the period December 26, 2019* to June 30, 2020 | Six
months ended December 31, 2020 (Unaudited) | For
the period December 26, 2019* to June 30, 2020 | Six
months ended December 31, 2020 (Unaudited) | For
the period December 26, 2019* to June 30, 2020 | |||||||||||||||||
| $ | (165,588 | ) | $ | 13,986 | $ | (327,371 | ) | $ | (29,960 | ) | $ | (57,989 | ) | $ | 59,933 | |||||||
| 8,558,423 | (9,357,241 | ) | 16,500,279 | 543,665 | 403,586 | 442,047 | ||||||||||||||||
| 8,055,643 | 3,312,784 | 14,875,137 | 4,355,897 | 12,365,429 | 3,279,540 | |||||||||||||||||
| 16,448,478 | (6,030,471 | ) | 31,048,045 | 4,869,602 | 12,711,026 | 3,781,520 | ||||||||||||||||
| (14,018 | ) | — | (215,143 | ) | — | (144,245 | ) | — | ||||||||||||||
| (14,018 | ) | — | (215,143 | ) | — | (144,245 | ) | — | ||||||||||||||
| 17,178,567 | 52,473,131 | 123,897,583 | 84,936,967 | 14,919,952 | 61,741,061 | |||||||||||||||||
| — | (7,109,305 | ) | (93,809,207 | ) | (16,121,773 | ) | (1,503,193 | ) | (18,755,332 | ) | ||||||||||||
| 17,178,567 | 45,363,826 | 30,088,376 | 68,815,194 | 13,416,759 | 42,985,729 | |||||||||||||||||
| 33,613,027 | 39,333,355 | 60,921,278 | 73,684,796 | 25,983,540 | 46,767,249 | |||||||||||||||||
| 39,333,355 | — | 73,684,796 | — | 46,767,249 | — | |||||||||||||||||
| $ | 72,946,382 | $ | 39,333,355 | $ | 134,606,074 | $ | 73,684,796 | $ | 72,750,789 | $ | 46,767,249 | |||||||||||
| 1,925,000 | — | 2,625,000 | — | 1,700,000 | — | |||||||||||||||||
| 700,000 | 2,250,000 | 3,950,000 | 3,250,000 | 475,000 | 2,425,000 | |||||||||||||||||
| — | (325,000 | ) | (2,950,000 | ) | (625,000 | ) | (50,000 | ) | (725,000 | ) | ||||||||||||
| 2,625,000 | 1,925,000 | 3,625,000 | 2,625,000 | 2,125,000 | 1,700,000 | |||||||||||||||||
See accompanying Notes to Financial Statements.
71
ADVISORSHARES TRUST
Statements of Changes in Net Assets
| AdvisorShares
Dorsey Wright Micro-Cap ETF | ||||||||
| Six
months ended December 31, 2020 (Unaudited) | Year
ended June 30, 2020 | |||||||
| INCREASE (DECREASE) IN NET ASSETS | ||||||||
| OPERATIONS | ||||||||
| Net Investment Income (Loss) | $ | (1,859 | ) | $ | (1,096 | ) | ||
| Net Realized Gain (Loss) | 289,973 | (299,125 | ) | |||||
| Net Change in Unrealized Appreciation (Depreciation) | 408,629 | 183,938 | ||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | 696,743 | (116,283 | ) | |||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||
| Distributions | — | (1,775 | ) | |||||
| Total Distributions | — | (1,775 | ) | |||||
| CAPITAL STOCK TRANSACTIONS | ||||||||
| Proceeds from Shares Issued | 641,577 | 1,098,972 | ||||||
| Value of Shares Redeemed | (545,097 | ) | (1,172,715 | ) | ||||
| Net Increase (Decrease) From Capital Stock Transactions | 96,480 | (73,743 | ) | |||||
| Net Increase (Decrease) in Net Assets | 793,223 | (191,801 | ) | |||||
| Net Assets: | ||||||||
| Beginning of Year/Period | 2,111,797 | 2,303,598 | ||||||
| End of Year/Period | $ | 2,905,020 | $ | 2,111,797 | ||||
| Changes in Shares Outstanding | ||||||||
| Shares Outstanding, Beginning of Year/Period | 100,000 | 100,000 | ||||||
| Shares Sold | 25,000 | 50,000 | ||||||
| Shares Repurchased | (25,000 | ) | (50,000 | ) | ||||
| Shares Outstanding, End of Year/Period | 100,000 | 100,000 | ||||||
See accompanying Notes to Financial Statements.
72
ADVISORSHARES
TRUST
Statements of Changes in Net Assets
| AdvisorShares
Dorsey Wright Short ETF | AdvisorShares
DoubleLine Value Equity ETF | AdvisorShares
Focused Equity ETF | ||||||||||||||||||||
| Six
months ended December 31, 2020 (Unaudited) | Year
ended June 30, 2020 | Six
months ended December 31, 2020 (Unaudited) | Year
ended June 30, 2020 | Six
months ended December 31, 2020 (Unaudited) | Year
ended June 30, 2020 | |||||||||||||||||
| $ | (1,450,812 | ) | $ | (1,514,124 | ) | $ | 265,363 | $ | 639,768 | $ | 29,170 | $ | 77,116 | |||||||||
| (24,589,008 | ) | (55,052,518 | ) | 2,457,299 | (450,959 | ) | 1,044,419 | 1,145,040 | ||||||||||||||
| (13,308,396 | ) | 17,675,405 | 6,568,590 | (2,093,528 | ) | 3,148,837 | (641,830 | ) | ||||||||||||||
| (39,348,216 | ) | (38,891,237 | ) | 9,291,252 | (1,904,719 | ) | 4,222,426 | 580,326 | ||||||||||||||
| — | (64,055 | ) | (614,874 | ) | (652,256 | ) | (62,748 | ) | (80,515 | ) | ||||||||||||
| — | (64,055 | ) | (614,874 | ) | (652,256 | ) | (62,748 | ) | (80,515 | ) | ||||||||||||
| 19,318,312 | 226,951,360 | — | — | 4,298,569 | 6,471,068 | |||||||||||||||||
| (55,736,685 | ) | (99,178,487 | ) | (3,762,639 | ) | (17,345,515 | ) | (4,190,848 | ) | (4,565,446 | ) | |||||||||||
| (36,418,373 | ) | 127,772,873 | (3,762,639 | ) | (17,345,515 | ) | 107,721 | 1,905,622 | ||||||||||||||
| (75,766,589 | ) | 88,817,581 | 4,913,739 | (19,902,490 | ) | 4,267,399 | 2,405,433 | |||||||||||||||
| 113,098,099 | 24,280,518 | 41,483,241 | 61,385,731 | 19,616,459 | 17,211,026 | |||||||||||||||||
| $ | 37,331,510 | $ | 113,098,099 | $ | 46,396,980 | $ | 41,483,241 | $ | 23,883,858 | $ | 19,616,459 | |||||||||||
| 5,850,000 | 975,000 | 625,000 | 900,000 | 550,000 | 500,000 | |||||||||||||||||
| 1,025,000 | 8,500,000 | — | — | 100,000 | 175,000 | |||||||||||||||||
| (3,625,000 | ) | (3,625,000 | ) | (50,000 | ) | (275,000 | ) | (100,000 | ) | (125,000 | ) | |||||||||||
| 3,250,000 | 5,850,000 | 575,000 | 625,000 | 550,000 | 550,000 | |||||||||||||||||
See accompanying Notes to Financial Statements.
73
ADVISORSHARES
TRUST
Statements of Changes in Net Assets
| AdvisorShares FolioBeyond Smart Core Bond ETF | ||||||||
| Six
months ended December 31, 2020 (Unaudited) | Year
ended June 30, 2020 | |||||||
| INCREASE (DECREASE) IN NET ASSETS | ||||||||
| OPERATIONS | ||||||||
| Net Investment Income (Loss) | $ | 72,633 | $ | 224,674 | ||||
| Net Realized Gain (Loss) | 131,267 | (23,241 | ) | |||||
| Net Change in Unrealized Appreciation (Depreciation) | 66,138 | (32,321 | ) | |||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | 270,038 | 169,112 | ||||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||
| Distributions | (81,494 | ) | (224,781 | ) | ||||
| Total Distributions | (81,494 | ) | (224,781 | ) | ||||
| CAPITAL STOCK TRANSACTIONS | ||||||||
| Proceeds from Shares Issued | — | 2,582,984 | ||||||
| Value of Shares Redeemed | (2,598,351 | ) | — | |||||
| Net Increase (Decrease) From Capital Stock Transactions | (2,598,351 | ) | 2,582,984 | |||||
| Net Increase (Decrease) in Net Assets | (2,409,807 | ) | 2,527,315 | |||||
| Net Assets: | ||||||||
| Beginning of Year/Period | 8,311,982 | 5,784,667 | ||||||
| End of Year/Period | $ | 5,902,175 | $ | 8,311,982 | ||||
| Changes in Shares Outstanding | ||||||||
| Shares Outstanding, Beginning of Year/Period | 325,000 | 225,000 | ||||||
| Shares Sold | — | 100,000 | ||||||
| Shares Repurchased | (100,000 | ) | — | |||||
| Shares Outstanding, End of Year/Period | 225,000 | 325,000 | ||||||
| * | Commencement of operations. |
See accompanying Notes to Financial Statements.
74
ADVISORSHARES TRUST
Statements of Changes in Net Assets
| AdvisorShares
Newfleet Multi-Sector Income ETF | AdvisorShares
Pure Cannabis ETF | AdvisorShares
Pure US Cannabis ETF | ||||||||||||||||
| Six
months ended December 31, 2020 (Unaudited) | Year
ended June 30, 2020 | Six
months ended December 31, 2020 (Unaudited) | Year
ended June 30, 2020 | For
the period September 1, 2020* to December 31, 2020 | ||||||||||||||
| $ | 577,802 | $ | 1,700,718 | $ | 667,471 | $ | 2,578,342 | $ | (47,568 | ) | ||||||||
| 230,076 | (22,978 | ) | 12,675,303 | (22,031,433 | ) | 28,070,591 | ||||||||||||
| 849,626 | (468,929 | ) | 28,077,141 | (18,943,246 | ) | 6,439,336 | ||||||||||||
| 1,657,504 | 1,208,811 | 41,419,915 | (38,396,337 | ) | 34,462,359 | |||||||||||||
| (650,222 | ) | (1,814,609 | ) | (728,447 | ) | (2,875,940 | ) | — | ||||||||||
| (650,222 | ) | (1,814,609 | ) | (728,447 | ) | (2,875,940 | ) | — | ||||||||||
| — | 2,415,315 | 72,604,402 | 27,013,111 | 190,001,514 | ||||||||||||||
| (4,877,309 | ) | (19,122,227 | ) | — | — | (1,132,118 | ) | |||||||||||
| (4,877,309 | ) | (16,706,912 | ) | 72,604,402 | 27,013,111 | 188,869,396 | ||||||||||||
| (3,870,027 | ) | (17,312,710 | ) | 113,295,870 | (14,259,166 | ) | 223,331,755 | |||||||||||
| 57,767,100 | 75,079,810 | 45,502,828 | 59,761,994 | — | ||||||||||||||
| $ | 53,897,073 | $ | 57,767,100 | $ | 158,798,698 | $ | 45,502,828 | $ | 223,331,755 | |||||||||
| 1,200,000 | 1,550,000 | 4,475,000 | 2,600,000 | — | ||||||||||||||
| — | 50,000 | 4,850,000 | 1,875,000 | 6,200,000 | ||||||||||||||
| (100,000 | ) | (400,000 | ) | — | — | (50,000 | ) | |||||||||||
| 1,100,000 | 1,200,000 | 9,325,000 | 4,475,000 | 6,150,000 | ||||||||||||||
See accompanying Notes to Financial Statements.
75
ADVISORSHARES TRUST
Statements of Changes in Net Assets
AdvisorShares Q Dynamic Growth ETF | AdvisorShares Q Portfolio Blended Allocation ETF | AdvisorShares Ranger Equity Bear ETF | AdvisorShares Sage Core Reserves ETF | |||||||||||||||||||||
For the period December 28, 2020* to December 31, 2020 | For the period December 28, 2020* to December 31, 2020 | Six months ended December 31, 2020 (Unaudited) | Year ended June 30, 2020 | Six months ended December 31, 2020 (Unaudited) | Year ended June 30, 2020 | |||||||||||||||||||
| INCREASE (DECREASE) IN NET ASSETS OPERATIONS | ||||||||||||||||||||||||
| Net Investment Income (Loss) | $ | (75 | ) | $ | (51 | ) | $ | (2,827,340 | ) | $ | (1,569,782 | ) | $ | 467,979 | $ | 1,937,301 | ||||||||
| Net Realized Gain (Loss) | — | — | (48,998,652 | ) | (47,333,888 | ) | 253,520 | (1,127,943 | ) | |||||||||||||||
Net Change in Unrealized Appreciation (Depreciation) | (262 | ) | 2,386 | (575,912 | ) | (495,432 | ) | 153,982 | (49,554 | ) | ||||||||||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | (337 | ) | 2,335 | (52,401,904 | ) | (49,399,102 | ) | 875,481 | 759,804 | |||||||||||||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||||||||||||||||||
| Distributions | — | — | — | (241,821 | ) | (503,426 | ) | (1,939,526 | ) | |||||||||||||||
| Total Distributions | — | — | — | (241,821 | ) | (503,426 | ) | (1,939,526 | ) | |||||||||||||||
| CAPITAL STOCK TRANSACTIONS | ||||||||||||||||||||||||
| Proceeds from Shares Issued | 1,625,034 | 1,626,648 | 26,510,699 | 256,014,517 | 19,742,687 | 54,828,438 | ||||||||||||||||||
| Value of Shares Redeemed | — | — | (76,537,153 | ) | (180,168,550 | ) | (64,229,226 | ) | (24,967,941 | ) | ||||||||||||||
| Net Increase (Decrease) From Capital Stock Transactions | 1,625,034 | 1,626,648 | (50,026,454 | ) | 75,845,967 | (44,486,539 | ) | 29,860,497 | ||||||||||||||||
| Net Increase (Decrease) in Net Assets | 1,624,697 | 1,628,983 | (102,428,358 | ) | 26,205,044 | (44,114,484 | ) | 28,680,775 | ||||||||||||||||
| Net Assets: | ||||||||||||||||||||||||
| Beginning of Year/Period | — | — | 162,019,323 | 135,814,279 | 100,920,903 | 72,240,128 | ||||||||||||||||||
| End of Year/Period | $ | 1,624,697 | $ | 1,628,983 | $ | 59,590,965 | $ | 162,019,323 | $ | 56,806,419 | $ | 100,920,903 | ||||||||||||
| Changes in Shares Outstanding | ||||||||||||||||||||||||
Shares Outstanding, Beginning of Year/Period | — | — | 33,375,000 | 21,275,000 | 1,025,000 | 725,000 | ||||||||||||||||||
| Shares Sold | 65,000 | 65,000 | 5,950,000 | 41,200,000 | 200,000 | 550,000 | ||||||||||||||||||
| Shares Repurchased | — | — | (19,700,000 | ) | (29,100,000 | ) | (650,000 | ) | (250,000 | ) | ||||||||||||||
Shares Outstanding, End of Year/Period | 65,000 | 65,000 | 19,625,000 | 33,375,000 | 575,000 | 1,025,000 | ||||||||||||||||||
* Commencement of operations.
See accompanying Notes to Financial Statements.
76
ADVISORSHARES TRUST
Statements of Changes in Net Assets
| AdvisorShares STAR Global Buy-Write ETF | AdvisorShares Vice ETF | |||||||||||||||
Six months ended December 31, 2020 (Unaudited) | Year ended June 30, 2020 | Six months ended December 31, 2020 (Unaudited) | Year ended June 30, 2020 | |||||||||||||
| INCREASE (DECREASE) IN NET ASSETS OPERATIONS | ||||||||||||||||
| Net Investment Income (Loss) | $ | (16,026 | ) | $ | 36,640 | $ | 70,179 | $ | 204,473 | |||||||
| Net Realized Gain (Loss) | 510,676 | (63,885 | ) | 514,300 | (287,043 | ) | ||||||||||
| Net Change in Unrealized Appreciation (Depreciation) | 1,238,246 | 186,845 | 2,587,559 | (726,546 | ) | |||||||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | 1,732,896 | 159,600 | 3,172,038 | (809,116 | ) | |||||||||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||||||||||
| Distributions | (36,638 | ) | (67,959 | ) | (128,418 | ) | (294,624 | ) | ||||||||
| Total Distributions | (36,638 | ) | (67,959 | ) | (128,418 | ) | (294,624 | ) | ||||||||
| CAPITAL STOCK TRANSACTIONS | ||||||||||||||||
| Proceeds from Shares Issued | — | — | — | 634,444 | ||||||||||||
| Value of Shares Redeemed | (1,683,510 | ) | (1,736,947 | ) | (1,441,453 | ) | (3,588,098 | ) | ||||||||
| Net Increase (Decrease) From Capital Stock Transactions | (1,683,510 | ) | (1,736,947 | ) | (1,441,453 | ) | (2,953,654 | ) | ||||||||
| Net Increase (Decrease) in Net Assets | 12,748 | (1,645,306 | ) | 1,602,167 | (4,057,394 | ) | ||||||||||
| Net Assets: | ||||||||||||||||
| Beginning of Year/Period | 12,881,736 | 14,527,042 | 9,125,577 | 13,182,971 | ||||||||||||
| End of Year/Period | $ | 12,894,484 | $ | 12,881,736 | $ | 10,727,744 | $ | 9,125,577 | ||||||||
| Changes in Shares Outstanding | ||||||||||||||||
| Shares Outstanding, Beginning of Year/Period | 400,000 | 450,000 | 400,000 | 525,000 | ||||||||||||
| Shares Sold | — | — | — | 25,000 | ||||||||||||
| Shares Repurchased | (50,000 | ) | (50,000 | ) | (50,000 | ) | (150,000 | ) | ||||||||
| Shares Outstanding, End of Year/Period | 350,000 | 400,000 | 350,000 | 400,000 | ||||||||||||
See accompanying Notes to Financial Statements.
77
Financial Highlights
| AdvisorShares Dorsey Wright ADR ETF | ||||||||||||||||||||||||
| Six
months ended December 31, 2020 (Unaudited) | Year
ended June 30, 2020 | Year
ended June 30, 2019 | Year
ended June 30, 2018 | Year ended June 30, 2017 | Year
ended June 30, 2016 | |||||||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 53.25 | $ | 49.75 | $ | 53.34 | $ | 46.56 | $ | 39.06 | $ | 38.86 | ||||||||||||
| Investment Operations | ||||||||||||||||||||||||
| Net Investment Income (Loss)(1) | (0.03 | ) | (0.03 | ) | 0.23 | 0.55 | 0.68 | 0.17 | ||||||||||||||||
| Net Realized and Unrealized Gain (Loss) | 7.87 | 3.54 | (3.51 | ) | 6.66 | 7.27 | 0.23 | |||||||||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(3) | 7.84 | 3.51 | (3.28 | ) | 7.21 | 7.95 | 0.40 | |||||||||||||||||
| Distributions from Net Investment Income | (0.07 | ) | (0.01 | ) | (0.31 | ) | (0.43 | ) | (0.45 | ) | (0.20 | ) | ||||||||||||
| Distributions from Realized Capital Gains | — | — | — | — | — | — | ||||||||||||||||||
| Total Distributions | (0.07 | ) | (0.01 | ) | (0.31 | ) | (0.43 | ) | (0.45 | ) | (0.20 | ) | ||||||||||||
| Net Asset Value, End of Year/Period | $ | 61.02 | $ | 53.25 | $ | 49.75 | $ | 53.34 | $ | 46.56 | $ | 39.06 | ||||||||||||
| Market Value, End of Year/Period | $ | 60.81 | $ | 52.97 | $ | 49.69 | $ | 53.19 | $ | 46.61 | $ | 39.06 | ||||||||||||
| Total Return | ||||||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(4) | 14.74 | % | 7.06 | % | (6.16 | )% | 15.45 | % | 20.43 | % | 1.05 | % | ||||||||||||
| Total Investment Return Based on Market(4) | 14.94 | % | 6.62 | % | (6.00 | )% | 15.01 | % | 20.55 | % | 1.27 | % | ||||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 79,332 | $ | 75,879 | $ | 108,198 | $ | 246,701 | $ | 65,185 | $ | 14,648 | ||||||||||||
| Ratio to Average Net Assets of(5): | ||||||||||||||||||||||||
| Expenses, net of expense waivers and reimbursements(6) | 1.10 | % | 1.02 | % | 0.88 | % | 1.02 | % | 1.25 | % | 1.25 | % | ||||||||||||
| Expenses, prior to expense waivers and reimbursements(6) | 1.00 | % | 0.97 | % | 1.07 | % | 0.95 | % | 1.43 | % | 1.62 | % | ||||||||||||
| Net Investment Income (Loss)(6) | (0.09 | )% | (0.06 | )% | 0.47 | % | 0.96 | % | 1.55 | % | 0.44 | % | ||||||||||||
| Portfolio Turnover Rate(9) | 29 | % | 48 | % | 120 | % | 71 | % | 108 | %(10) | 25 | % | ||||||||||||
See accompanying Notes to Financial Statements.
78
ADVISORSHARES TRUST
Financial Highlights
| AdvisorShares
Dorsey Wright Alpha Equal Weight ETF | AdvisorShares
Dorsey Wright FSM All Cap World ETF | |||||||||||||
| Six
months ended December 31, 2020 (Unaudited) | For
the period December 26, 2019* to June 30, 2020 | Six
months ended December 31, 2020 (Unaudited) | For
the period December 26, 2019* to June 30, 2020 | |||||||||||
| $ | 20.43 | $ | 25.09 | $ | 28.07 | $ | 25.12 | |||||||
| (0.08 | ) | 0.01 | (0.11 | ) | (0.02 | ) | ||||||||
| 7.45 | (4.67 | ) | 9.23 | 2.97 | ||||||||||
| 7.37 | (4.66 | ) | 9.12 | 2.95 | ||||||||||
| (0.01 | ) | — | — | — | ||||||||||
| — | — | (0.06 | ) | — | ||||||||||
| (0.01 | ) | — | (0.06 | ) | — | |||||||||
| $ | 27.79 | $ | 20.43 | $ | 37.13 | $ | 28.07 | |||||||
| $ | 27.75 | $ | 20.44 | $ | 37.16 | $ | 28.07 | |||||||
| 36.02 | % | (18.57 | )% | 32.48 | % | 11.76 | % | |||||||
| 35.79 | % | (18.53 | )% | 32.60 | % | 11.74 | % | |||||||
| $ | 72,946 | $ | 39,333 | $ | 134,606 | $ | 73,685 | |||||||
| 0.99 | % | 0.99 | % | 0.92 | % | 0.99 | % | |||||||
| 0.95 | % | 1.19 | % | 0.88 | % | 1.12 | % | |||||||
| (0.61 | )% | 0.09 | % | (0.66 | )% | (0.17 | )% | |||||||
| 113 | % | 147 | % | 95 | % | 46 | % | |||||||
See accompanying Notes to Financial Statements.
79
ADVISORSHARES TRUST
Financial Highlights
| AdvisorShares
Dorsey Wright FSM US Core ETF | ||||||||
| Six
months ended December 31, 2020 (Unaudited) | For
the period December 26, 2019* to June 30, 2020 | |||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||
| Net Asset Value, Beginning of Year/Period | $ | 27.51 | $ | 25.14 | ||||
| Investment Operations | ||||||||
| Net Investment Income (Loss)(1) | (0.03 | ) | 0.05 | |||||
| Net Realized and Unrealized Gain (Loss) | 6.83 | 2.32 | ||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(3) | 6.80 | 2.37 | ||||||
| Distributions from Net Investment Income | (0.03 | ) | — | |||||
| Distributions from Realized Capital Gains | (0.04 | ) | — | |||||
| Total Distributions | (0.07 | ) | — | |||||
| Net Asset Value, End of Year/Period | $ | 34.24 | $ | 27.51 | ||||
| Market Value, End of Year/Period | $ | 34.23 | $ | 27.46 | ||||
| Total Return | ||||||||
| Total Investment Return Based on Net Asset Value(4) | 24.71 | % | 9.43 | % | ||||
| Total Investment Return Based on Market(4) | 24.90 | % | 9.23 | % | ||||
| Ratios/Supplemental Data | ||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 72,751 | $ | 46,767 | ||||
| Ratio to Average Net Assets of(5): | ||||||||
| Expenses, net of expense waivers and reimbursements(6) | 0.99 | % | 0.99 | % | ||||
| Expenses, prior to expense waivers and reimbursements(6) | 0.93 | % | 1.15 | % | ||||
| Net Investment Income (Loss)(6) | (0.20 | )% | 0.37 | % | ||||
| Portfolio Turnover Rate(9) | 1 | % | 53 | % | ||||
See accompanying Notes to Financial Statements.
80
ADVISORSHARES TRUST
Financial Highlights
| AdvisorShares Dorsey Wright Micro-Cap ETF | ||||||||||
| Six
months ended December 31, 2020 (Unaudited) | Year
ended June 30,2020 | For
the period July 11, 2018* to June 30, 2019 | ||||||||
| $ | 21.12 | $ | 23.04 | $ | 24.71 | |||||
| (0.02 | ) | (0.01 | ) | (0.02 | ) | |||||
| 7.95 | (1.89 | ) | (1.65 | ) | ||||||
| 7.93 | (1.90 | ) | (1.67 | ) | ||||||
| — | (0.02 | ) | — | |||||||
| — | — | — | ||||||||
| — | (0.02 | ) | — | |||||||
| $ | 29.05 | $ | 21.12 | $ | 23.04 | |||||
| $ | 28.96 | $ | 20.80 | $ | 23.02 | |||||
| 37.56 | % | (8.26 | )% | (6.79 | )% | |||||
| 39.23 | % | (9.58 | )% | (6.86 | )% | |||||
| $ | 2,905 | $ | 2,112 | $ | 2,304 | |||||
| 1.25 | % | 1.17 | % | 0.99 | % | |||||
| 5.54 | % | 4.98 | % | 4.79 | % | |||||
| (0.18 | )% | (0.05 | )% | (0.11 | )% | |||||
| 88 | % | 119 | % | 103 | % | |||||
See accompanying Notes to Financial Statements.
81
ADVISORSHARES TRUST
Financial Highlights
| AdvisorShares Dorsey Wright Short ETF | ||||||||||||
Six
months (Unaudited) | Year ended June 30, 2020 | For
the period July 11, 2018* to June 30, 2019 | ||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 19.33 | $ | 24.90 | $ | 25.00 | ||||||
| Investment Operations | ||||||||||||
| Net Investment Income (Loss)(1) | (0.28 | ) | (0.65 | ) | 0.13 | |||||||
| Net Realized and Unrealized Gain (Loss) | (7.56 | ) | (4.89 | ) | (0.19 | ) | ||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(3) | (7.84 | ) | (5.54 | ) | (0.06 | ) | ||||||
| Distributions from Net Investment Income | — | (0.03 | ) | (0.04 | ) | |||||||
| Total Distributions | — | (0.03 | ) | (0.04 | ) | |||||||
| Net Asset Value, End of Year/Period | $ | 11.49 | $ | 19.33 | $ | 24.90 | ||||||
| Market Value, End of Year/Period | $ | 11.44 | $ | 19.36 | $ | 24.93 | ||||||
| Total Return | ||||||||||||
| Total Investment Return Based on Net Asset Value(4) | (40.59 | )% | (22.26 | )% | (0.27 | )% | ||||||
| Total Investment Return Based on Market(4) | (40.91 | )% | (22.24 | )% | (0.18 | )% | ||||||
| Ratios/Supplemental Data | ||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 37,332 | $ | 113,098 | $ | 24,281 | ||||||
| Ratio to Average Net Assets of(5): | ||||||||||||
| Expenses, net of expense waivers and reimbursements(6) | 3.54 | %(7) | 3.56 | %(7) | 2.70 | %(7) | ||||||
| Expenses, prior to expense waivers and reimbursements(6) | 3.54 | %(7) | 3.56 | %(7) | 3.26 | %(7) | ||||||
| Net Investment Income (Loss)(6) | (3.22 | )% | (2.58 | )% | 0.53 | % | ||||||
| Portfolio Turnover Rate(9) | 136 | % | 555 | % | 357 | % | ||||||
See accompanying Notes to Financial Statements.
82
ADVISORSHARES TRUST
Financial Highlights
| AdvisorShares DoubleLine Value Equity ETF | ||||||||||||||||||||||
| Six months ended December 31, 2020 (Unaudited) | Year ended June 30, 2020 | Year ended June 30, 2019 | Year ended June 30, 2018 | Year ended June 30, 2017 | Year ended June 30, 2016 | |||||||||||||||||
| $ | 66.37 | $ | 68.21 | $ | 67.88 | $ | 66.23 | $ | 55.56 | $ | 57.05 | |||||||||||
| 0.44 | 0.82 | 0.62 | 0.53 | 0.47 | 0.47 | |||||||||||||||||
| 14.90 | (1.84 | ) | 0.45 | 1.59 | 10.93 | (1.54 | ) | |||||||||||||||
| 15.34 | (1.02 | ) | 1.07 | 2.12 | 11.40 | (1.07 | ) | |||||||||||||||
| (1.02 | ) | (0.82 | ) | (0.74 | ) | (0.47 | ) | (0.73 | ) | (0.42 | ) | |||||||||||
| (1.02 | ) | (0.82 | ) | (0.74 | ) | (0.47 | ) | (0.73 | ) | (0.42 | ) | |||||||||||
| $ | 80.69 | $ | 66.37 | $ | 68.21 | $ | 67.88 | $ | 66.23 | $ | 55.56 | |||||||||||
| $ | 80.43 | $ | 66.28 | $ | 68.13 | $ | 67.88 | $ | 66.17 | $ | 55.53 | |||||||||||
| 23.13 | % | (1.63 | )% | 1.74 | % | 3.15 | % | 20.55 | % | (1.87 | )% | |||||||||||
| 22.90 | % | (1.65 | )% | 1.63 | % | 3.26 | % | 20.52 | % | (1.91 | )% | |||||||||||
| $ | 46,397 | $ | 41,483 | $ | 61,386 | $ | 95,034 | $ | 142,400 | $ | 155,570 | |||||||||||
| 0.90 | % | 0.90 | % | 0.90 | % | 0.87 | % | 0.90 | % | 0.99 | % | |||||||||||
| 1.04 | % | 1.07 | % | 1.17 | % | 1.07 | % | 1.07 | % | 1.21 | % | |||||||||||
| 1.20 | % | 1.18 | % | 0.93 | % | 0.77 | % | 0.76 | % | 0.86 | % | |||||||||||
| 25 | % | 93 | % | 218 | % | 171 | % | 180 | % | 196 | % | |||||||||||
See accompanying Notes to Financial Statements.
83
ADVISORSHARES
TRUST
Financial Highlights
| AdvisorShares Focused Equity ETF | ||||||||||||||||||||
| Six
months ended December 31, 2020 (Unaudited) | Year
ended | Year
ended | Year
ended 2018 | For
the period to June 30, 2017 | ||||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 35.67 | $ | 34.42 | $ | 31.80 | $ | 28.59 | $ | 25.00 | ||||||||||
| Investment Operations | ||||||||||||||||||||
| Net Investment Income (Loss)(1) | 0.06 | 0.14 | 0.16 | 0.13 | 0.06 | |||||||||||||||
| Net Realized and Unrealized Gain (Loss) | 7.82 | 1.26 | 3.21 | 3.17 | 3.54 | |||||||||||||||
| Distributions of Net Realized Gains by other investment companies | — | — | — | — | — | |||||||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(3) | 7.88 | 1.40 | 3.37 | 3.30 | 3.60 | |||||||||||||||
| Distributions from Net Investment Income | (0.12 | ) | (0.15 | ) | (0.16 | ) | (0.09 | ) | (0.01 | ) | ||||||||||
| Distributions from Realized Capital Gains | — | — | (0.59 | ) | — | — | ||||||||||||||
| Total Distributions | (0.12 | ) | (0.15 | ) | (0.75 | ) | (0.09 | ) | (0.01 | ) | ||||||||||
| Net Asset Value, End of Year/Period | $ | 43.43 | $ | 35.67 | $ | 34.42 | $ | 31.80 | $ | 28.59 | ||||||||||
| Market Value, End of Year/Period | $ | 43.75 | $ | 34.88 | $ | 34.31 | $ | 31.79 | $ | 28.59 | ||||||||||
| Total Return | ||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(4) | 22.11 | % | 4.02 | % | 11.09 | % | 11.57 | % | 14.39 | % | ||||||||||
| Total Investment Return Based on Market(4) | 25.77 | % | 2.06 | % | 10.74 | % | 11.51 | % | 14.40 | % | ||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 23,884 | $ | 19,616 | $ | 17,211 | $ | 14,311 | $ | 12,150 | ||||||||||
| Ratio to Average Net Assets of(5): | ||||||||||||||||||||
| Expenses, net of expense waivers and reimbursements(6) | 0.65 | % | 0.77 | % | 0.72 | % | 0.68 | % | 0.75 | % | ||||||||||
| Expenses, prior to expense waivers and reimbursements(6) | 1.23 | % | 1.43 | % | 1.63 | % | 1.39 | % | 2.04 | % | ||||||||||
| Net Investment Income (Loss)(6) | 0.28 | % | 0.41 | % | 0.49 | % | 0.42 | % | 0.28 | % | ||||||||||
| Portfolio Turnover Rate(9) | 28 | % | 23 | % | 19 | % | 26 | % | 36 | % | ||||||||||
See accompanying Notes to Financial Statements.
84
ADVISORSHARES
TRUST
Financial Highlights
| AdvisorShares FolioBeyond Smart Core Bond ETF | ||||||||||||||||||||||
| Six months ended December 31, 2020 (Unaudited) | Year
ended | Year
ended | Year
ended | Year
ended | Year ended June 30, 2016 | |||||||||||||||||
| $ | 25.58 | $ | 25.71 | $ | 25.39 | $ | 25.88 | $ | 25.61 | $ | 24.97 | |||||||||||
| 0.25 | 0.81 | 1.04 | 0.90 | 0.81 | 0.75 | |||||||||||||||||
| 0.65 | (0.10 | ) | 0.38 | (0.50 | ) | 0.25 | 0.59 | |||||||||||||||
| 0.07 | — | — | — | 0.01 | 0.06 | |||||||||||||||||
| 0.97 | 0.71 | 1.42 | 0.40 | 1.07 | 1.40 | |||||||||||||||||
| (0.32 | ) | (0.84 | ) | (1.10 | ) | (0.89 | ) | (0.80 | ) | (0.76 | ) | |||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| (0.32 | ) | (0.84 | ) | (1.10 | ) | (0.89 | ) | (0.80 | ) | (0.76 | ) | |||||||||||
| $ | 26.23 | $ | 25.58 | $ | 25.71 | $ | 25.39 | $ | 25.88 | $ | 25.61 | |||||||||||
| $ | 26.24 | $ | 25.57 | $ | 25.70 | $ | 25.38 | $ | 25.89 | $ | 25.62 | |||||||||||
| 3.82 | % | 2.73 | % | 5.82 | % | 1.55 | % | 4.23 | % | 5.76 | % | |||||||||||
| 3.87 | % | 2.75 | % | 5.80 | % | 1.47 | % | 4.24 | % | 5.84 | % | |||||||||||
| $ | 5,902 | $ | 8,312 | $ | 5,785 | $ | 18,405 | $ | 17,466 | $ | 20,488 | |||||||||||
| 0.95 | % | 0.95 | % | 0.95 | % | 0.95 | % | 0.95 | % | 0.95 | % | |||||||||||
| 1.99 | % | 1.50 | % | 1.49 | % | 1.22 | % | 1.20 | % | 1.05 | % | |||||||||||
| 1.94 | % | 3.14 | % | 4.14 | % | 3.47 | % | 3.15 | % | 3.01 | % | |||||||||||
| 113 | % | 765 | % | 150 | % | 39 | % | 21 | % | 24 | % | |||||||||||
85
ADVISORSHARES TRUST
Financial Highlights
| AdvisorShares Newfleet Multi-Sector Income ETF | ||||||||||||||||||||||||
| Six months ended December 31, 2020 (Unaudited) | Year ended June 30, 2020 | Year ended June 30, 2019 | Year ended June 30, 2018 | Year ended June 30, 2017 | Year ended June 30, 2016 | |||||||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 48.14 | $ | 48.44 | $ | 47.86 | $ | 48.68 | $ | 48.83 | $ | 49.08 | ||||||||||||
| Investment Operations | ||||||||||||||||||||||||
| Net Investment Income (Loss)(1) | 0.49 | 1.21 | 1.35 | 1.05 | 0.74 | 1.25 | ||||||||||||||||||
| Net Realized and Unrealized Gain (Loss) | 0.92 | (0.22 | ) | 0.65 | (0.62 | ) | 0.38 | (0.13 | ) | |||||||||||||||
| Distributions of Net Realized Gains by other investment companies | — | — | — | — | 0.00 | (2) | — | |||||||||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(3) | 1.41 | 0.99 | 2.00 | 0.43 | 1.12 | 1.12 | ||||||||||||||||||
| Distributions from Net Investment Income | (0.55 | ) | (1.29 | ) | (1.42 | ) | (1.25 | ) | (1.27 | ) | (1.37 | ) | ||||||||||||
| Distributions from Realized Capital Gains | — | — | — | — | — | — | ||||||||||||||||||
| Total Distributions | (0.55 | ) | (1.29 | ) | (1.42 | ) | (1.25 | ) | (1.27 | ) | (1.37 | ) | ||||||||||||
| Net Asset Value, End of Year/Period | $ | 49.00 | $ | 48.14 | $ | 48.44 | $ | 47.86 | $ | 48.68 | $ | 48.83 | ||||||||||||
| Market Value, End of Year/Period | $ | 49.10 | $ | 48.17 | $ | 48.38 | $ | 47.79 | $ | 48.70 | $ | 48.82 | ||||||||||||
| Total Return | ||||||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(4) | 2.95 | % | 2.10 | % | 4.27 | % | 0.87 | % | 2.30 | % | 2.33 | % | ||||||||||||
| Total Investment Return Based on Market(4) | 3.10 | % | 2.28 | % | 4.29 | % | 0.70 | % | 2.37 | % | 2.39 | % | ||||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 53,897 | $ | 57,767 | $ | 75,080 | $ | 155,529 | $ | 258,005 | $ | 261,263 | ||||||||||||
| Ratio to Average Net Assets of(5): | ||||||||||||||||||||||||
| Expenses, net of expense waivers and reimbursements(6) | 0.75 | % | 0.75 | % | 0.75 | % | 0.75 | % | 0.75 | % | 0.75 | % | ||||||||||||
| Expenses, prior to expense waivers and reimbursements(6) | 0.87 | % | 0.82 | % | 0.96 | % | 0.84 | % | 0.80 | % | 0.81 | % | ||||||||||||
| Net Investment Income (Loss)(6) | 2.00 | % | 2.51 | % | 2.81 | % | 2.17 | % | 1.53 | % | 2.57 | % | ||||||||||||
| Portfolio Turnover Rate(9) | 27 | % | 63 | % | 40 | % | 66 | % | 63 | % | 51 | % | ||||||||||||
See accompanying Notes to Financial Statements.
86
ADVISORSHARES TRUST
Financial Highlights
| AdvisorShares
Pure Cannabis ETF | AdvisorShares Pure US Cannabis ETF | AdvisorShares Q Dynamic Growth ETF | AdvisorShares Q Portfolio Blended Allocation ETF | |||||||||||||||||||
| Six
months ended December 31, 2020 (Unaudited) | Year ended June 30, 2020 | For
the period April 17, 2019* to June 30, 2019 | For
the period September 1, 2020* to December 31, 2020 (Unaudited) | For
the period December 28, 2020* to December 31, 2020 (Unaudited) | For
the period December 28, 2020* to December 31, 2020 (Unaudited) | |||||||||||||||||
| $ | 10.17 | $ | 22.99 | $ | 25.00 | $ | 25.00 | $ | 25.00 | $ | 25.00 | |||||||||||
| 0.11 | 0.70 | 0.06 | (0.02 | ) | 0.00 | (2) | 0.00 | (2) | ||||||||||||||
| 6.86 | (12.75 | ) | (2.07 | ) | 11.33 | — | 0.06 | |||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| 6.97 | (12.05 | ) | (2.01 | ) | 11.31 | 0.00 | (2) | 0.06 | ||||||||||||||
| (0.11 | ) | (0.70 | ) | — | — | — | — | |||||||||||||||
| — | (0.07 | ) | — | — | — | — | ||||||||||||||||
| (0.11 | ) | (0.77 | ) | — | — | — | — | |||||||||||||||
| $ | 17.03 | $ | 10.17 | $ | 22.99 | $ | 36.31 | $ | 25.00 | $ | 25.06 | |||||||||||
| $ | 17.01 | $ | 10.18 | $ | 23.02 | $ | 36.46 | $ | 25.01 | $ | 25.06 | |||||||||||
| 69.03 | % | (52.76) | % | (8.06) | % | 45.25 | % | 0.00 | % | 0.24 | % | |||||||||||
| 68.61 | % | (52.70) | % | (7.92) | % | 45.84 | % | 0.04 | % | 0.24 | % | |||||||||||
| $ | 158,799 | $ | 45,503 | $ | 59,762 | $ | 223,332 | $ | 1,625 | $ | 1,629 | |||||||||||
| 0.74 | % | 0.74 | % | 0.74 | % | 0.74 | % | 1.45 | % | 0.99 | % | |||||||||||
| 0.81 | % | 1.17 | % | 1.10 | % | 0.95 | % | 21.00 | % | 20.72 | % | |||||||||||
| 1.73 | % | 5.67 | % | 1.35 | % | (0.22) | % | (1.45) | % | (0.99) | % | |||||||||||
| 18 | % | 59 | % | 26 | % | 16 | % | 0 | % | 0 | % | |||||||||||
See accompanying Notes to Financial Statements.
87
ADVISORSHARES TRUST
Financial Highlights
| AdvisorShares Ranger Equity Bear ETF | ||||||||||||||||||||||||
| Six months ended December 31, 2020 (Unaudited) | Year ended June 30, 2020 | Year ended June 30, 2019 | Year ended June 30, 2018 | Year ended June 30, 2017 | Year ended June 30, 2016 | |||||||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 4.85 | $ | 6.38 | $ | 7.80 | $ | 8.56 | $ | 10.60 | $ | 10.88 | ||||||||||||
| Investment Operations | ||||||||||||||||||||||||
| Net Investment Income (Loss)(1) | (0.09 | ) | (0.06 | ) | 0.01 | (0.13 | ) | (0.20 | ) | (0.27 | ) | |||||||||||||
| Net Realized and Unrealized Gain (Loss) | (1.72 | ) | (1.46 | ) | (1.43 | ) | (0.63 | ) | (1.84 | ) | (0.01 | ) | ||||||||||||
| Distributions of Net Realized Gains by other investment companies | 0.00 | (2) | — | — | — | — | — | |||||||||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(3) | (1.81 | ) | (1.52 | ) | (1.42 | ) | (0.76 | ) | (2.04 | ) | (0.28 | ) | ||||||||||||
| Distributions from Net Investment Income | — | (0.01 | ) | — | — | — | — | |||||||||||||||||
| Total Distributions | — | (0.01 | ) | — | — | — | — | |||||||||||||||||
| Net Asset Value, End of Year/Period | $ | 3.04 | $ | 4.85 | $ | 6.38 | $ | 7.80 | $ | 8.56 | $ | 10.60 | ||||||||||||
| Market Value, End of Year/Period | $ | 3.02 | $ | 4.85 | $ | 6.39 | $ | 7.78 | $ | 8.55 | $ | 10.61 | ||||||||||||
| Total Return | ||||||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(4) | (37.46) | % | (23.79) | % | (18.16) | % | (8.92) | % | (19.24) | % | (2.53) | % | ||||||||||||
| Total Investment Return Based on Market(4) | (37.73) | % | (23.94) | % | (17.87) | % | (9.01) | % | (19.42) | % | (2.48) | % | ||||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 59,591 | $ | 162,019 | $ | 135,814 | $ | 133,587 | $ | 174,504 | $ | 213,948 | ||||||||||||
| Ratio to Average Net Assets of(5): | ||||||||||||||||||||||||
| Expenses, net of expense waivers and reimbursements(6) | 4.88 | %(8) | 3.10 | %(8) | 2.94 | %(8) | 2.52 | %(8) | 2.67 | %(8) | 2.68 | %(8) | ||||||||||||
| Expenses, prior to expense waivers and reimbursements(6) | 4.88 | %(8) | 3.10 | %(8) | 2.94 | %(8) | 2.52 | %(8) | 2.67 | %(8) | 2.68 | %(8) | ||||||||||||
| Net Investment Income (Loss)(6) | (4.42) | % | (1.07) | % | 0.18 | % | (1.63) | % | (2.15) | % | (2.49) | % | ||||||||||||
| Portfolio Turnover Rate(9) | 282 | % | 593 | % | 338 | % | 301 | % | 245 | % | 402 | % | ||||||||||||
See accompanying Notes to Financial Statements.
88
ADVISORSHARES TRUST
Financial Highlights
| AdvisorShares Sage Core Reserves ETF | ||||||||||||||||||||||
| Six months ended December 31, 2020 (Unaudited) | Year
ended June 30, 2020 | Year
ended June 30, 2019 | Year
ended June 30, 2018 | Year
ended June 30, 2017 | Year
ended June 30, 2016 | |||||||||||||||||
| $ | 98.46 | $ | 99.64 | $ | 99.21 | $ | 99.43 | $ | 99.43 | $ | 99.38 | |||||||||||
| 0.47 | 2.03 | 2.37 | 1.53 | 0.97 | 0.69 | |||||||||||||||||
| 0.39 | (1.19 | ) | 0.33 | (0.16 | ) | 0.11 | 0.12 | |||||||||||||||
| — | — | — | — | — | — | |||||||||||||||||
| 0.86 | 0.84 | 2.70 | 1.37 | 1.08 | 0.81 | |||||||||||||||||
| (0.53 | ) | (2.02 | ) | (2.27 | ) | (1.59 | ) | (1.08 | ) | (0.76 | ) | |||||||||||
| (0.53 | ) | (2.02 | ) | (2.27 | ) | (1.59 | ) | (1.08 | ) | (0.76 | ) | |||||||||||
| $ | 98.79 | $ | 98.46 | $ | 99.64 | $ | 99.21 | $ | 99.43 | $ | 99.43 | |||||||||||
| $ | 98.77 | $ | 98.35 | $ | 99.61 | $ | 99.19 | $ | 99.44 | $ | 99.63 | |||||||||||
| 0.87 | % | 0.83 | % | 2.74 | % | 1.38 | % | 1.08 | % | 0.83 | % | |||||||||||
| 0.97 | % | 0.75 | % | 2.74 | % | 1.34 | % | 0.88 | % | 1.00 | % | |||||||||||
| $ | 56,806 | $ | 100,921 | $ | 72,240 | $ | 52,087 | $ | 84,519 | $ | 111,862 | |||||||||||
| 0.35 | % | 0.35 | % | 0.35 | % | 0.35 | % | 0.35 | % | 0.35 | % | |||||||||||
| 0.50 | % | 0.53 | % | 0.65 | % | 0.65 | % | 0.50 | % | 0.55 | % | |||||||||||
| 0.94 | % | 2.05 | % | 2.39 | % | 1.53 | % | 0.97 | % | 0.70 | % | |||||||||||
| 64 | % | 101 | % | 91 | % | 74 | % | 81 | % | 72 | % | |||||||||||
See
accompanying Notes to Financial Statements.
89
ADVISORSHARES TRUST
Financial Highlights
| AdvisorShares STAR Global Buy-Write ETF | ||||||||||||||||||||||||
| Six months ended December 31, 2020 (Unaudited) | Year ended June 30, 2020 | Year ended June 30, 2019 | Year ended June 30, 2018 | Year ended June 30, 2017 | Year ended June 30, 2016 | |||||||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 32.20 | $ | 32.28 | $ | 30.99 | $ | 29.13 | $ | 26.77 | $ | 26.60 | ||||||||||||
| Investment Operations | ||||||||||||||||||||||||
| Net Investment Income (Loss)(1) | (0.04 | ) | 0.09 | 0.13 | 0.11 | 0.09 | 0.10 | |||||||||||||||||
| Net Realized and Unrealized Gain (Loss) | 4.78 | (0.02 | ) | 1.29 | 1.75 | 2.48 | 0.07 | |||||||||||||||||
| Distributions of Net Realized Gains by other investment companies | — | — | — | 0.00 | (2) | 0.01 | 0.00 | (2) | ||||||||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(3) | 4.74 | 0.07 | 1.42 | 1.86 | 2.58 | 0.17 | ||||||||||||||||||
| Distributions from Net Investment Income | (0.10 | ) | (0.15 | ) | (0.13 | ) | — | (0.22 | ) | — | ||||||||||||||
| Total Distributions | (0.10 | ) | (0.15 | ) | (0.13 | ) | — | (0.22 | ) | — | ||||||||||||||
| Net Asset Value, End of Year/Period | $ | 36.84 | $ | 32.20 | $ | 32.28 | $ | 30.99 | $ | 29.13 | $ | 26.77 | ||||||||||||
| Market Value, End of Year/Period | $ | 36.76 | $ | 32.25 | $ | 32.19 | $ | 31.01 | $ | 29.13 | $ | 26.76 | ||||||||||||
| Total Return | ||||||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(4) | 14.71 | % | 0.20 | % | 4.62 | % | 6.41 | % | 9.70 | % | 0.64 | % | ||||||||||||
| Total Investment Return Based on Market(4) | 14.31 | % | 0.63 | % | 4.27 | % | 6.45 | % | 9.74 | % | 0.56 | % | ||||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 12,894 | $ | 12,882 | $ | 14,527 | $ | 17,047 | $ | 17,477 | $ | 17,400 | ||||||||||||
| Ratio to Average Net Assets of:(5) | ||||||||||||||||||||||||
| Expenses, net of expense waivers and reimbursements(6) | 1.85 | % | 1.85 | % | 1.85 | % | 1.85 | % | 1.85 | % | 1.85 | % | ||||||||||||
| Expenses, prior to expense waivers and reimbursements(6) | 2.28 | % | 2.20 | % | 2.34 | % | 2.18 | % | 2.14 | % | 1.97 | % | ||||||||||||
| Net Investment Income (Loss)(6) | (0.25) | % | 0.26 | % | 0.43 | % | 0.38 | % | 0.32 | % | 0.38 | % | ||||||||||||
| Portfolio Turnover Rate(9) | 1 | % | 47 | % | 49 | % | 12 | % | 26 | % | 58 | % | ||||||||||||
See
accompanying Notes to Financial Statements.
90
ADVISORSHARES TRUST
Financial Highlights
| AdvisorShares Vice ETF | ||||||||||||||
| Six
months ended December 31, 2020 (Unaudited) | Year
ended June 30, 2020 | Year
ended June 30, 2019 | For
the period December 12, 2017* to June 30, 2018 | |||||||||||
| $ | 22.81 | $ | 25.11 | $ | 25.60 | $ | 25.00 | |||||||
| 0.18 | 0.42 | 0.45 | 0.23 | |||||||||||
| 8.03 | (2.10 | ) | (0.57 | ) | 0.41 | |||||||||
| — | — | — | — | |||||||||||
| 8.21 | (1.68 | ) | (0.12 | ) | 0.64 | |||||||||
| (0.37 | ) | (0.62 | ) | (0.37 | ) | (0.04 | ) | |||||||
| (0.37 | ) | (0.62 | ) | (0.37 | ) | (0.04 | ) | |||||||
| $ | 30.65 | $ | 22.81 | $ | 25.11 | $ | 25.60 | |||||||
| $ | 30.70 | $ | 22.80 | $ | 25.12 | $ | 25.68 | |||||||
| 35.92 | % | (6.91) | % | (0.22) | % | 2.58 | % | |||||||
| 36.26 | % | (6.99) | % | (0.50) | % | 2.89 | % | |||||||
| $ | 10,728 | $ | 9,126 | $ | 13,183 | $ | 12,800 | |||||||
| 0.99 | % | 0.90 | % | 0.75 | % | 0.75 | % | |||||||
| 1.66 | % | 1.59 | % | 1.43 | % | 2.18 | % | |||||||
| 1.36 | % | 1.77 | % | 1.79 | % | 1.64 | % | |||||||
| 81 | % | 41 | % | 76 | % | 25 | % | |||||||
| * | Commencement of operations. |
| (1) | Based on average shares outstanding. |
| (2) | Amount represents less than $0.005 or 0.005%. |
| (3) | The amount shown for a share distribution throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Fund Shares in relation to income earned and/or fluctuating fair value of the investments of the Fund. |
| (4) | Net asset value total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions on ex-date, if any, at net asset value during the period, and redemption on the last day of the period. Periods less than one year are not annualized. Market value total return is calculated assuming an initial investment made at the market value at the beginning of the period, reinvestment of all dividends and distributions at market value during the period on pay date, and sale at the market value on the last day of the period. |
| (5) | The AdvisorShares Dorsey Wright FSM All Cap World ETF, the AdvisorShares Dorsey Wright FSM US Core ETF, the AdvisorShares FolioBeyond Smart Core Bond ETF Fund, the AdvisorShares Q Dynamic Growth ETF, the Q Portfilio Blended Allocation ETF and the AdvisorShares STAR Global Buy-Write ETF Fund invest in other funds and indirectly bear their proportionate shares of fees and expenses incurred by the funds in which the Funds are invested. These ratios do not include these indirect fees and expenses. |
| (6) | Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds. |
| (7) | The expense ratio includes interest and dividend expenses on short sales of 2.59%, 2.47% and 1.71% for the periods ended December 31, 2020, June 30, 2020 and June 30, 2019, respectively. |
| (8) | The expense ratio includes interest and dividend expenses on short sales of 3.18%, 1.42%, 1.22%, 0.84%, 1.03% and 1.05% for the periods ended December 31, 2020, June 30, 2020, June 30, 2019, June 30, 2018, June 30, 2017 and June 30, 2016, respectively. |
| (9) | Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions of the Fund’s capital shares. |
| (10) | During the year, the Fund underwent a sub-advisor change. As a result, investment transactions were increased during the period, which caused a higher than normal portfolio rate. |
See accompanying Notes to Financial Statements.
91
ADVISORSHARES TRUST
December 31, 2020 (Unaudited)
1. Organization
AdvisorShares Trust (the “Trust”) was organized as a Delaware statutory trust on July 30, 2007 and has authorized capital of unlimited shares. The Funds are investment companies and accordingly follow the investment company accounting and reporting guidance of the Financial Accounting Standards Board (“FASB”) Accounting Standard Codification Topic 946 “Financial Services — Investment Companies”.
The Trust is an open-end management investment company, registered under the Investment Company Act of 1940, as amended (the “Act”). The Trust is comprised of 18 active funds (the “Funds” or “ETFs” and individually, the “Fund” or “ETF”):
| Fund | Ticker | Commencement of Operations | ||
| AdvisorShares Dorsey Wright ADR ETF | AADR | July 21, 2010 | ||
| AdvisorShares Dorsey Wright Alpha Equal Weight ETF | DWEQ | December 26, 2019 | ||
| AdvisorShares Dorsey Wright FSM All Cap World ETF | DWAW | December 26, 2019 | ||
| AdvisorShares Dorsey Wright FSM US Core ETF | DWUS | December 26, 2019 | ||
| AdvisorShares Dorsey Wright Micro-Cap ETF | DWMC | July 10, 2018 | ||
| AdvisorShares Dorsey Wright Short ETF | DWSH | July 10, 2018 | ||
| AdvisorShares DoubleLine Value Equity ETF | DBLV | October 4, 2011 | ||
| AdvisorShares Focused Equity ETF | CWS | September 20, 2016 | ||
| AdvisorShares FolioBeyond Smart Core Bond ETF | FWDB | June 21, 2011 | ||
| AdvisorShares Newfleet Multi-Sector Income ETF | MINC | March 19, 2013 | ||
| AdvisorShares Pure Cannabis ETF | YOLO | April 17, 2019 | ||
| AdvisorShares Pure US Cannabis ETF | MSOS | September 1, 2020 | ||
| AdvisorShares Q Dynamic Growth ETF | QPT | December 28, 2020 | ||
| AdvisorShares Q Portfolio Blended Allocation ETF | QPX | December 28, 2020 | ||
| AdvisorShares Ranger Equity Bear ETF | HDGE | January 27, 2011 | ||
| AdvisorShares Sage Core Reserves ETF | HOLD | January 14, 2014 | ||
| AdvisorShares STAR Global Buy-Write ETF | VEGA | September 17, 2012 | ||
| AdvisorShares Vice ETF | VICE | December 12, 2017 |
AdvisorShares Dorsey Wright ADR ETF (“Dorsey Wright ADR ETF”) seeks to achieve the Fund’s investment objective by selecting primarily a portfolio of U.S. traded securities of non-U.S. organizations, most often ADRs. The Fund invests in developed and emerging markets and may invest in securities of any market capitalization.
AdvisorShares Dorsey Wright Alpha Equal Weight ETF (“Dorsey Wright Alpha Equal Weight ETF”) seeks to achieve its investment objective by investing in a concentrated portfolio of 50 US equity securities selected from a universe of the largest 1,000 US equity securities based on market capitalization.
AdvisorShares Dorsey Wright FSM All Cap World ETF (“Dorsey Wright FSM All Cap World ETF”) seeks to provide long-term capital appreciation with capital preservation as a secondary objective.
AdvisorShares Dorsey Wright FSM US Core ETF (“Dorsey Wright FSM US Core ETF”) seeks to provide long-term capital appreciation with capital preservation as a secondary objective.
AdvisorShares Dorsey Wright Micro-Cap ETF (“Dorsey Wright Micro-Cap ETF”) seeks to achieve its investment objective by investing primarily in U.S. traded equity securities consisting of common and preferred stock and ADRs. The Fund invests in micro-cap securities.
92
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
December 31, 2020 (Unaudited)
1. Organization – (Continued)
AdvisorShares Dorsey Wright Short ETF (“Dorsey Wright Short ETF”) seeks to achieve the Fund’s investment objective by obtaining short exposure to investment returns of the broad U.S. large-capitalization equity market by engaging in short sales of U.S. traded equity securities and ETFs. The Fund invests primarily in investments that create or result in short exposure to U.S. equity securities.
AdvisorShares DoubleLine Value Equity ETF (‘‘DoubleLine Value Equity ETF”) seeks to achieve its investment objective by primarily investing in the broad U.S. equity market, including through ADRs. The Fund invests in stocks with fundamental characteristics that are historically associated with superior long-term performance.
AdvisorShares Focused Equity ETF (“Focused Equity ETF”) seeks long-term capital appreciation. CWS invests primarily in a focused group of U.S. exchange-listed equity securities that the portfolio manager believes have favorable fundamental attributes.
AdvisorShares FolioBeyond Smart Core Bond ETF (‘‘FolioBeyond Smart Core Bond ETF’’) seeks investment results that exceed the price and yield performance of its benchmark, the Bloomberg Barclays U.S. Aggregate Bond Index. The Portfolio Manager seeks to achieve this objective by selecting a diversified portfolio of fixed income exchange-traded products (ETPs), including but not limited to, exchange-traded notes (ETNs), exchange-traded currency trusts and exchange-traded commodity pools. FWDB invests in at least 20 distinct global bond classes that cover the entire global investable bond universe. The Portfolio Manager constructs FWDB’s portfolio using a weighted allocation system based on historic yield curve analysis and a mean reversion strategy.
AdvisorShares Newfleet Multi-Sector Income ETF (‘‘Newfleet Multi-Sector Income ETF’’) seeks to provide current income consistent with preservation of capital, while limiting fluctuations in net asset value (‘‘NAV’’) due to changes in interest rates. In seeking to achieve the Fund’s investment objective, the Sub-Advisor applies a time-tested approach and extensive credit research to capitalize on opportunities across undervalued areas of the bond markets. The Fund principally invests in investment-grade securities, which are securities with credit ratings within the four highest rating categories of a nationally recognized statistical rating organization or, if unrated, those securities that the Sub-Advisor determines to be of comparable quality.
AdvisorShares Pure Cannabis ETF (“Pure Cannabis ETF”) seeks long-term capital appreciation. The fund seeks to achieve its investment objective by investing, under normal circumstances, at least 80% of its net assets (plus any borrowings for investment purposes) in securities of companies that derive at least 50% of their net revenue from the marijuana and hemp business and in derivatives or other instruments that have economic characteristics similar to such securities. The Fund primarily invests in exchange-listed equity securities, including common and preferred stock, of mid- and small-capitalization companies and in total return swaps intended to provide exposure to such U.S. and foreign securities. The Advisor may seek investment opportunities through initial public offerings (“IPOs”).
AdvisorShares Pure US Cannabis ETF (“Pure US Cannabis ETF”) seeks long-term capital appreciation. The fund seeks to achieve its investment objective by investing, under normal circumstances, at least 80% of its net assets (plus any borrowings for investment purposes) in securities of companies that derive at least 50% of their net revenue from the marijuana and hemp business in the United States and in derivatives that have economic characteristics similar to such securities. The Fund primarily will invest in exchange-listed equity securities, including common and preferred stock, of mid- and small-capitalization companies, and in total return swaps intended to provide exposure to such companies.
AdvisorShares Q Dynamic Growth ETF (“Q Dynamic Growth ETF”) seeks to achieve long-term growth. The Fund invests in ETFs representing all asset classes, including, but not limited to, treasury bonds, municipal bonds, investment grade corporate bonds, high-yield U.S. corporate bonds (sometimes referred
93
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
December 31, 2020 (Unaudited)
1. Organization – (Continued)
to as “junk bonds”), municipal bonds, U.S. and foreign equities, and commodities. These underlying investments may be of any market capitalization, duration, maturity, and quality. The Fund seeks to maximize long-term growth by providing equity-like returns in most normal market conditions except when faced with abnormal levels of implied volatility as measured by QIX™, a proprietary implied volatility index owned by ThinkBetter Holdings, LLC, the parent company of ThinkBetter, LLC (the “Sub-Advisor”).
AdvisorShares Q Portfolio Blended Allocation ETF (“Q Portfolio Blended Allocation ETF”) seeks to maximize total return over the long-term. The Fund invests in ETFs representing all asset classes, including, but not limited to, treasury bonds, municipal bonds, investment grade corporate bonds, high-yield U.S. corporate bonds (sometimes referred to as “junk bonds”), municipal bonds, U.S. and foreign equities, and commodities. These underlying investments may be of any market capitalization, duration, maturity, and quality. The Fund seeks to strike a balance between long term growth and market volatility by maximizing returns within its peer group through risk optimization.
AdvisorShares Ranger Equity Bear ETF (‘‘Ranger Equity Bear ETF’’) seeks capital appreciation through short sales of domestically traded equity securities. The portfolio management team implements a bottom-up, fundamental, research driven security selection process. In selecting short positions, the Fund seeks to identify securities with low earnings quality or aggressive accounting which may be intended on the part of company management to mask operational deterioration and bolster the reported earnings per share over a short time period. In addition, the portfolio management team seeks to identify earnings driven events that may act as a catalyst to the price decline of a security, such as downwards earnings revisions or reduced forward guidance.
AdvisorShares Sage Core Reserves ETF (‘‘Sage Core Reserves ETF’’) seeks to preserve capital while maximizing income. The Sub-Advisor seeks to achieve the fund’s investment objective by investing in a variety of fixed income securities, including bonds, forwards and instruments issued by U.S. and foreign issuers. It will invest in U.S. dollar-denominated investment grade debt securities, including mortgage- or asset-backed securities, rated Baa- or higher by Moody’s Investors Service, Inc. (‘‘Moody’s’’), or equivalently rated by Standard & Poor’s Ratings Services (‘‘S&P’’) or Fitch, Inc. (‘‘Fitch’’), or, if unrated, determined by the Sub-Advisor to be of comparable quality.
AdvisorShares STAR Global Buy-Write ETF (‘‘STAR Global Buy-Write ETF’’) seeks consistent repeatable returns across all market cycles. The Portfolio Manager seeks to achieve this investment objective by using a proprietary strategy known as Volatility Enhanced Global Appreciation (VEGA). VEGA employs a ‘‘Buy-Write’’ or ‘‘Covered Call’’ overlay for their global allocation strategy using ETPs. The strategy simultaneously writes (sells) a call option against each position in order to seek cumulative price appreciation from the portfolio’s global exposure, while generating a consistent income stream from the sale of covered call and/or cash-secured put options. When volatility is low the portfolio manager buys protective put options to manage downside risk.
AdvisorShares Vice ETF (“Vice ETF”) The Fund will invest at least 80% of its net assets (plus any borrowings for investment purposes) in securities of (i) companies that derive at least 50% of their net revenue from tobacco and alcoholic beverages, (ii) companies that derive at least 50% of their net revenue from the food and beverage industry, and (iii) companies that derive at least 50% of their net revenue from gaming activities.
Some of the Funds are considered “fund of funds” and seek to achieve their investment objectives by investing primarily in other affiliated and unaffiliated exchange-traded funds (“ETFs”), as well as other exchange-traded products (“ETPs”), including, but not limited to, exchange-traded notes (“ETNs”) and closed-end funds (collectively with ETFs, ETNs, and ETPs), that offer diversified exposure to various global regions, credit qualities, durations and maturity dates.
94
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
December 31, 2020 (Unaudited)
1. Organization – (Continued)
For the period ended December 31, 2020, the Funds held significant positions (greater than 25% of net assets), except those invested in short term money market instruments, in other funds as follows:
| Funds | Security Name | Market Value as of December 31, 2020 | % of Fund Net Assets as of December 31, 2020 | Reference location | |||||||
| Dorsey Wright FSM All Cap World ETF | iShares Morningstar Mid-Cap Growth ETF | $65,698,207 | 48.8 | % | https://www.ishares.com | ||||||
| iShares Morningstar Small-Cap Growth ETF | 68,919,084 | 51.2 | https://www.ishares.com | ||||||||
| Dorsey Wright FSM US Core ETF | Invesco QQQ Trust Series 1 | 36,784,760 | 50.6 | https://www.invesco.com | |||||||
| iShares MSCI USA Momentum Factor ETF | 35,937,025 | 49.4 | https://www.ishares.com | ||||||||
| Dorsey Wright Short ETF | AdvisorShares Sage Core Reserves ETF | 9,908,000 | 26.5 | Contained within this report. | |||||||
| FolioBeyond Smart Core Bond ETF | iShares Agency Bond ETF | 1,784,164 | 30.2 | https://www.ishares.com | |||||||
| Q Dynamic Growth ETF | Invesco QQQ Trust Series 1 | 587,321 | 36.1 | https://www.invesco.com | |||||||
| Technology Select Sector SPDR Fund | 452,990 | 27.9 | https://www.ssga.com | ||||||||
| Ranger Equity Bear ETF | AdvisorShares Sage Core Reserves ETF | 29,724,000 | 49.9 | Contained within this report. | |||||||
| STAR Global Buy-Write ETF | SPDR S&P 500 ETF Trust | 6,626,649 | 51.4 | https://us.spdrs.com | |||||||
2. Summary of Significant Accounting Policies
These financial statements are prepared in accordance with U.S. generally accepted accounting principles (‘‘GAAP’’) which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.
Investment Valuation
In computing each Fund’s NAV, the Fund’s securities holdings are valued based on their last readily available market price. Price information on listed securities, including Underlying ETFs, is taken from the exchange where the security is primarily traded. Securities regularly traded in an Over-the-Counter
95
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
December 31, 2020 (Unaudited)
2. Summary of Significant Accounting Policies – (Continued)
(“OTC”) market are valued at the latest quoted sales price on the primary exchange or national securities market on which such securities are traded. Securities not listed on an exchange or national securities market, or securities in which there was no last reported sales price, are valued at the most recent bid price. Other portfolio securities and assets for which market quotations are not readily available are valued based on fair value as determined in good faith by the Board of Trustees of the Trust.
Investment Transactions
Investment transactions are accounted for on the trade date. Realized gains and losses on sales of investment securities are calculated using the identified cost method. Dividend income and distributions to shareholders are recognized on the ex-dividend date and interest income and expenses are recognized on the accrual basis. Premiums and discounts are amortized over the life of the bond using the effective interest method.
Distributions received from investments in Real Estate Investment Trusts (“REITs”) are recorded as dividend income on ex-dividend date, subject to reclassification upon notice of the character of such distributions by the issuer. The portion of dividend attributable to the return of capital is recorded against the cost basis of the security.
Foreign Taxes
The Funds may be subject to foreign taxes (a portion of which may be reclaimable) on income, capital gains on investments, certain foreign currency transactions or other corporate events. All foreign taxes are recorded in accordance with the applicable foreign tax regulations and rates that exist in the foreign jurisdictions in which the Funds invest. These foreign taxes, if any, are paid by the Funds and are reflected in their Statements of Operations.
Expenses
Expenses of the Trust, which are directly identifiable to a specific Fund, are applied to that Fund. Expenses which are not readily identifiable to a specific Fund are allocated in such a manner as deemed equitable, taking into consideration the nature and type of expense and the relative net assets of each Fund.
Futures Contracts
Certain Funds may invest in futures contracts (‘‘futures’’), in order to hedge its investments against fluctuations in value caused by changes in prevailing interest rates or market conditions. Such Funds may invest in futures as a primary investment strategy. Investments in futures may increase or leverage exposure to a particular market risk, thereby increasing price volatility of derivative instruments a Fund holds. No monies are paid or received by a Fund upon the purchase or sale of a futures contract. Initially, a Fund will be required to deposit with the broker an amount of cash or cash equivalents, known as initial margin, based on the value of the contract. Subsequent payments, called variation margin, to and from the broker, will be made on a daily basis as the price of the underlying instruments fluctuates, making the long and short positions in the futures contract more or less valuable, a process known as ‘marking-to-the-market’. Once a final determination of variation margin is made, additional cash is required to be paid by or released to a Fund, and a Fund will realize a loss or gain. The Funds may be subject to the risk that the change in the value of the futures contract may not correlate perfectly with the underlying index. Use of long futures contracts subjects the Funds to risk of loss in excess of the amounts shown on the Statements of Assets and Liabilities, up to the notional value of the futures contracts. Use of short futures contracts subjects the Funds to unlimited risk of loss. The Funds may enter
96
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
December 31, 2020 (Unaudited)
2. Summary of Significant Accounting Policies – (Continued)
into futures contracts only on exchanges or boards of trade. The exchange or board of trade acts as the counterparty to each futures contract; therefore, the Funds’ credit risk is limited to failure of the exchange or board of trade. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of a futures contract can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.
Swap Agreements
Certain funds may invest in equity swaps to obtain exposure to the underlying referenced security, obtain leverage or enjoy the returns from ownership without actually owning equity. Equity swaps are two-party contracts that generally obligate one party to pay the positive return and the other party to pay the negative return on a specified reference security, basket of securities, security index or index component during the period of the swap. Equity swap contracts are marked to market daily based on the value of the underlying security and the change, if any, is recorded as an unrealized gain or loss.
Equity swaps normally do not involve the delivery of securities or other underlying assets. Accordingly, the risk of loss with respect to equity swaps is normally limited to the net amount of payments that a Fund is contractually obligated to make. If the other party to an equity swap defaults a Fund’s risk of loss consists of the net amount of payments that the Fund is contractually entitled to receive, if any.
Equity swaps are derivatives and their value can be very volatile. To the extent that the Advisor or Sub-Advisor, as applicable, do not accurately analyze and predict future market trends, the values of assets or economic factors, the Funds may suffer a loss, which may be substantial. The swap markets in which many types of swap transactions are traded have grown substantially in recent years, with a large number of banks and investment banking firms acting both as principals and as agents. As a result, the markets for certain types of swaps have become relatively liquid. Periodic payments received or paid by the Funds are recorded as realized gains or losses.
Repurchase Agreements
The Funds may enter into repurchase agreements provided that the value of the underlying collateral, including accrued interest, will equal or exceed the value of the repurchase agreement during the term of the agreement. The underlying collateral for all repurchase agreements is held in safekeeping by the Fund’s custodian or at the Federal Reserve Bank. If the seller defaults and the value of the collateral declines, or if bankruptcy proceedings commence with respect to the seller of the security, realization of the collateral by the Fund may be delayed or limited.
At December 31, 2020, the market values of repurchase agreements outstanding are included as cash collateral for securities on loan on the Statements of Assets and Liabilities.
Short Sales
Certain Funds may sell securities it does not own as a hedge against some of its long positions and/ or in anticipation of a decline in the market value of that security (short sale). When the Funds make a short sale, it must borrow the security sold short and deliver it to the broker-dealer through which it made the short sale. The Funds may have to pay a fee to borrow the particular security and may be obligated to remit any interest or dividends received on such borrowed securities. Dividends declared on short positions open are recorded on the ex-date as an expense. A gain, limited to the price at which the Funds sold the security short, or a loss, unlimited in magnitude, will be recognized upon the termination
97
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
December 31, 2020 (Unaudited)
2. Summary of Significant Accounting Policies – (Continued)
of a short sale if the market price at termination is less than or greater than, respectively, the proceeds originally received. The Funds are also subject to the risk that it may be unable to reacquire a security to terminate a short position except at a price substantially in excess of the last quoted price.
The Funds are required to pledge cash or securities to the broker as collateral for the securities sold short. Collateral requirements are calculated daily based on the current market value of the short positions. Cash deposited with broker for collateral for securities sold short is recorded as an asset on the Statements of Assets and Liabilities and securities segregated as collateral are denoted in the Schedule of Investments. The Funds may receive or pay the net of the following amounts: (i) a portion of the income from the investment of cash collateral; (ii) the broker’s fee on the borrowed securities; and (iii) a financing charge for the difference in the market value of the short position and cash collateral deposited with the broker. This income or fee is calculated daily based upon the market value of each borrowed security and a variable rate that is dependent on the availability of the security. The net amount of income or fees paid by Ranger Equity Bear ETF for the period ended December 31, 2020 was $578,800, which is included as Interest on Securities Sold, Not Yet Purchased in the Statements of Operations.
Deposits with brokers and segregated cash for securities sold short represent cash balances on deposit with the Funds’ prime brokers and custodian. The Funds are subject to credit risk should the prime brokers be unable to meet its obligations to the Funds.
Term Loans
Certain Funds invests in senior secured corporate loans or bank loans, some of which may be partially or entirely unfunded and purchased on a when-issued or delayed delivery basis, that pay interest at rates which are periodically reset by reference to a base lending rate plus a spread. Bank loans generally pay interest at rates which are periodically determined by reference to a base lending rate plus a premium. All loans carry a variable rate of interest. These base lending rates are generally (i) the Prime Rate offered by one or more major United States banks, (ii) the lending rate offered by one or more European banks such as the London Interbank Offered Rate (“LIBOR”) or (iii) the Certificate of Deposit rate. Bank Loans, while exempt from registration, under the Securities Act of 1933, contain certain restrictions on resale and cannot be sold publicly. Floating rate bank loans often require prepayments from excess cash flow or permit the borrower to repay at its election. The degree to which borrowers repay, whether as a contractual requirement or at their election, cannot be predicted with accuracy. As a result, actual maturity may be substantially less than the stated maturity. Bank loans in which the Fund invests are generally readily marketable, but may be subject to certain restrictions on resale.
Options
Certain Funds are authorized to write and purchase put and call options. When a Fund writes an option, an amount equal to the premium received by the Fund is reflected as an asset and an equivalent liability. The amount of the liability is subsequently marked to market to reflect the current market value of the option written. When a security is purchased or sold through an exercise of an option, the related premium paid (or received) is added to (or deducted from) the basis of the security acquired or deducted from (or added to) the proceeds of the security sold. When an option expires (or the Fund enters into a closing transaction), the Fund realizes a gain or loss on the option to the extent of the premiums received or paid (or gain or loss to the extent the cost of the closing transaction exceeds the premium paid or received). The Fund, as writer of an option, bears the market risk of an unfavorable change in the price of the security underlying the written option. Written and purchased options are non-income producing investments.
98
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
December 31, 2020 (Unaudited)
2. Summary of Significant Accounting Policies – (Continued)
Short-Term Investments
Each Fund may invest in high-quality short-term debt securities and money market instruments on an ongoing basis to maintain liquidity or pending selection of investments in accordance with its policies. These short-term debt securities and money market instruments include shares of other mutual funds, commercial paper, certificates of deposit, bankers’ acceptances, U.S. Government securities and repurchase agreements.
Securities Lending
The Funds participate in a securities lending program offered by The Bank of New York Mellon (‘‘BNYM’’) (the ‘‘Program’’), providing for the lending of securities to qualified brokers. Securities lending income includes earnings of such temporary cash investments, plus or minus any rebate to a borrower. These earnings (after any rebate) are then divided between BNYM, as a fee for its services under the Program, and the Funds, according to agreed-upon rates. Collateral on all securities loaned is accepted as cash and non-cash and is maintained at a minimum level of 102% (105% in the case of certain foreign securities) of the market value, plus interest, if applicable, of investments on loan. It is the Fund’s policy to obtain additional collateral from or return excess collateral to the borrower by the end of the next business day, following the valuation date of the securities loaned. Therefore, the value of the collateral held may be temporarily less than the value of the securities on loan. Lending securities entails a risk of loss to the Funds if and to the extent that the market value of the securities loaned were to increase and the borrower did not increase the collateral accordingly, and the borrower fails to return the securities. Under the terms of the Program, the Funds are indemnified for such losses by BNYM. Cash collateral is held in a separate account managed by BNYM, who is authorized to exclusively enter into money market instruments and overnight repurchase agreements, which are collateralized at 102% with securities issued or fully guaranteed by the U.S. Treasury; U.S. Government or any agency, instrumentality or authority of the U.S. government. The securities purchased with cash collateral received are reflected in the Schedule of Investments. BNYM bears the risk of any deficiency in the amount of the cash collateral available for return to the borrower due to any loss on the collateral invested.
The money market instruments and repurchase agreements income related to the Program earned by the Funds is disclosed on the Statements of Operations.
The value of loaned securities and related collateral outstanding at December 31, 2020 are shown in the Schedules of Investments and Statements of Assets and Liabilities. Non-cash collateral received by the Funds may not be sold or re-pledged except to satisfy a borrower default. Therefore, non-cash collateral is not included on the Fund’s Schedules of Investments or Statements of Asset and Liabilities.
99
| ADVISORSHARES TRUST |
| Notes to Financial Statements (Continued) |
| December 31, 2020 (Unaudited) |
2. Summary of Significant Accounting Policies – (Continued)
| Gross Amounts not offset in the Statements of Assets and Liabilities | ||||||||||||||||||||||||
| Fund and Description | Gross Amounts of Recognized Assets (Liabilities) | Gross
Amounts Offset in the Statements of Assets and (Liabilities) | Net Amounts Presented in the Statements of Assets and (Liabilities) | Financial Instruments | Collateral Pledged/ Received | Net Amount | ||||||||||||||||||
| Dorsey Wright ADR ETF | ||||||||||||||||||||||||
| Securities Lending | $ | (3,019,549 | ) | $ | — | $ | (3,019,549 | ) | $ | 3,019,549 | (1) | $ | — | $ | — | |||||||||
| Repurchase Agreements | 3,019,549 | — | 3,019,549 | 3,019,549 | (2) | — | — | |||||||||||||||||
| Dorsey Wright FSM US Core ETF | ||||||||||||||||||||||||
| Securities Lending | (798,344 | ) | — | (798,344 | ) | 798,344 | (1) | — | — | |||||||||||||||
| Repurchase Agreements | 798,344 | — | 798,344 | 798,344 | (2) | — | — | |||||||||||||||||
| Dorsey Wright Micro-Cap ETF | ||||||||||||||||||||||||
| Securities Lending | (207,105 | ) | — | (207,105 | ) | 207,105 | (1) | — | — | |||||||||||||||
| Repurchase Agreements | 207,105 | — | 207,105 | 207,105 | (2) | — | — | |||||||||||||||||
| FolioBeyond Smart Core Bond ETF | ||||||||||||||||||||||||
| Securities Lending | (2,363,468 | ) | — | (2,363,468 | ) | 2,363,468 | (1) | — | — | |||||||||||||||
| Repurchase Agreements | 2,363,468 | — | 2,363,468 | 2,363,468 | (2) | — | — | |||||||||||||||||
| Newfleet Multi-Sector Income ETF | ||||||||||||||||||||||||
| Securities Lending | (402,375 | ) | — | (402,375 | ) | 402,375 | (1) | — | — | |||||||||||||||
| Repurchase Agreements | 402,375 | — | 402,375 | 402,375 | (2) | — | — | |||||||||||||||||
| Pure Cannabis ETF | ||||||||||||||||||||||||
| Securities Lending | (17,977,807 | ) | — | (17,977,807 | ) | 17,977,807 | (1) | — | — | |||||||||||||||
| Repurchase Agreements | 17,977,807 | — | 17,977,807 | 17,977,807 | (2) | — | — | |||||||||||||||||
| Swaps | (54,132 | ) | — | (54,132 | ) | — | (2) | — | (54,132 | ) | ||||||||||||||
| Pure US Cannabis ETF | ||||||||||||||||||||||||
| Securities Lending | (876,516 | ) | — | (876,516 | ) | 876,516 | (1) | — | — | |||||||||||||||
| Repurchase Agreements | 876,516 | — | 876,516 | 876,516 | (2) | — | — | |||||||||||||||||
| Swaps | (102,905 | ) | — | (102,905 | ) | — | (2) | — | (102,905 | ) | ||||||||||||||
| (1) | Collateral for securities on loan is included in the Schedules of Investments and consists of Repurchase Agreements and shares of Money Market instruments. |
| (2) | Repurchase agreements are collateralized by U.S. Government Agency Obligations in the event the other party to the repurchase agreement defaults on its obligation. |
Dividends and Distributions
Each Fund will generally pay out dividends to shareholders at least annually. Each Fund will distribute its net capital gains, if any, to shareholders annually. Income and capital gain distributions are determined in accordance with income tax regulations which may differ from U.S. generally accepted accounting principles. Distributions are recorded on ex-dividend date.
Indemnifications
In the normal course of business, each Fund enters into contracts that contain a variety of representations which provide general indemnifications. The Trust’s maximum exposure under these arrangements cannot be known; however, the Trust expects any risk of loss to be remote.
100
| ADVISORSHARES TRUST |
| Notes to Financial Statements (Continued) |
| December 31, 2020 (Unaudited) |
2. Summary of Significant Accounting Policies – (Continued)
Recent Accounting Pronouncement
Accounting Standards Update 2020-04 Reference Rate Reform
In March 2020, the Financial Accounting Standards Board issued Accounting Standards Update (ASU) No. 2020-04, Reference Rate Reform (Topic 848) – Facilitation of the Effects of Reference Rate Reform on Financial Reporting. The amendments in the ASU provides optional temporary financial reporting relief from the effect of certain types of contract modifications due to the planned discontinuation of the LIBOR and other interbank-offered based reference rates as of the end of 2021. The ASU is effective for certain reference rate-related contract modifications that occur during the period March 12, 2020 through December 31, 2022. Management has reviewed the requirements and believes the adoption of this ASU will not have a material impact on the consolidated financial statements.
3. Investment Advisory Agreement and Other Agreements
Investment Advisory Agreement
Each Fund has entered into an investment advisory agreement with AdvisorShares Investments, LLC (the ‘‘Advisor’’) pursuant to which the Advisor acts as the Fund’s investment advisor. Pursuant to the agreement, the Advisor has overall supervisory responsibility for the general management and investment of each Fund’s securities portfolio, and has ultimate responsibility (subject to oversight by the Trust’s Board of Trustees) for oversight of the Trust’s sub-advisors. For its services, each Fund pays the Advisor an annual management fee and which is calculated daily and paid monthly based on average daily net assets. From time to time, the Advisor may waive all or a portion of its fee.
The Advisor’s annual management fee for each Fund is as follows:
| Fund | Rate | |||
| Dorsey Wright ADR ETF | 0.75 | % | ||
| Dorsey Wright Alpha Equal Weight ETF | 0.75 | % | ||
| Dorsey Wright FSM All Cap World ETF | 0.75 | % | ||
| Dorsey Wright FSM US Core ETF | 0.75 | % | ||
| Dorsey Wright Micro-Cap ETF | 0.75 | % | ||
| Dorsey Wright Short ETF | 0.75 | % | ||
| DoubleLine Value Equity ETF | 0.70 | % | ||
| Focused Equity ETF | 0.75 | %* | ||
| FolioBeyond Smart Core Bond ETF | 0.50 | % | ||
| Newfleet Multi-Sector Income ETF | 0.50 | % | ||
| Pure Cannabis ETF | 0.60 | % | ||
| Pure US Cannabis ETF | 0.60 | % | ||
| Q Dynamic Growth ETF | 1.00 | %* | ||
| Q Portfolio Blended Allocation ETF | 0.74 | %* | ||
| Ranger Equity Bear ETF | 1.50 | % | ||
| Sage Core Reserves ETF | 0.30 | % | ||
| STAR Global Buy-Write ETF | 1.35 | % | ||
| Vice ETF | 0.60 | % | ||
| * | The Advisor’s advisory fee has two components the – base fee (disclosed in the table above) and the performance fee adjustment. The base fee is the pre-determined rate at which the Advisor is paid when the Fund’s net performance |
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| ADVISORSHARES TRUST |
| Notes to Financial Statements (Continued) |
| December 31, 2020 (Unaudited) |
3. Investment Advisory Agreement and Other Agreements – (Continued)
is in line with Fund’s pre-determined performance benchmark. The base fee is subject to an upward or downward adjustment by the performance fee. If the Fund outperforms the performance benchmark, the Advisor may receive an upward fee adjustment. If the Fund underperforms the performance benchmark, the Advisor may receive a downward fee adjustment. The Advisor’s annual base fee based on the Fund’s average daily net assets. The performance fee adjustment is derived by comparing the Fund’s performance over a rolling twelve-month period to its performance benchmark, which is set forth in the table below. The base fee is adjusted at a rate of 0.02% for every 0.25% to 0.50% of out-performance or under-performance compared to the performance benchmark, but only up to 2.00% of the performance benchmark. As a result, the maximum possible performance fee adjustment, up or down, to the base fee is 0.10%. Accordingly, the Advisor’s annual advisory fee may range as follows, based on the Fund’s average daily net assets:
| Fund | Performance Benchmark | Annual Advisory Fee Range | ||
| AdvisorShares Focused Equity ETF | S&P 500 Index | 0.65% to 0.85% | ||
| AdvisorShares Q Dynamic Growth ETF | S&P 500 Index | 0.90% to 1.10% | ||
| AdvisorShares Q Portfolio Blended | Blended 60% S&P 500 Index/ | 0.64% to 0.84% | ||
| Allocation ETF | 40% Bloomberg Barclays US Aggregate Bond Index |
Sub-Advisory Agreements
Each Fund’s investment sub-advisor provides investment advice and management services to the Fund. AdvisorShares supervises the day-to-day investment and reinvestment of the assets in the Fund and is responsible for monitoring the Fund’s adherence to its investment mandate. Pursuant to an investment sub-advisory agreement between each sub-advisor and the Advisor, the sub-advisor is entitled to a fee, which is not an additional expense of the Funds, and is calculated daily and paid monthly by the Advisor, at an annual rate based on the average daily net assets of its respective Fund(s) as follows:
| Fund | Sub-Advisor | Sub-Advisory Fee Rate | ||
| AdvisorShares Dorsey Wright ADR ETF | Dorsey, Wright & Associates, LLC | 0.25% | ||
| AdvisorShares Dorsey Wright Micro Cap ETF | Dorsey, Wright & Associates, LLC | 0.25% | ||
| AdvisorShares Dorsey Wright Short ETF | Dorsey, Wright & Associates, LLC | 0.25% | ||
| AdvisorShares Double Line Value ETF | Doubleline Equity LP | 0.35% | ||
| AdvisorShares Newfleet Multi-Sector Income ETF | Newfleet Asset Management, LLC | 0.25% | ||
| AdvisorShares Q Dynamic Growth ETF | ThinkBetter, LLC | 0.65%* | ||
| AdvisorShares Q Portfolio Blended Allocation ETF | ThinkBetter, LLC | 0.50%* | ||
| AdvisorShares Ranger Equity Bear ETF | Ranger Alternative Management, L.P. | 1.00% | ||
| AdvisorShares Sage Core Reserves ETF | Sage Advisory Services, Ltd. Co. | 0.15% | ||
| AdvisorShares STAR Global Buy-Write ETF | ChangePath, LLC | 0.85% |
| * | The sub-advisory fee has two components – the base fee (disclosed in the table above) and the performance fee adjustment. The base fee is the pre-determined rate at which the sub-adviser is paid when net performance is in line with a pre-determined performance benchmark. The base fee is subject to an upward or downward adjustment by the performance fee. If a Fund outperforms the performance benchmark, the sub-adviser may receive an upward fee adjustment. If a Fund underperforms the performance benchmark, the sub-adviser may receive a downward fee adjustment. The performance fee adjustment is derived by comparing a Fund’s performance over a rolling twelve-month period to its performance benchmark, which is the S&P 500 Index for AdvisorShares Q Dynamic Growth ETF and Blended 60% S&P 500 Index/40% Bloomberg Barclays US Aggregate Bond Index for AdvisorShares Q Portfolio |
102
| ADVISORSHARES TRUST |
| Notes to Financial Statements (Continued) |
| December 31, 2020 (Unaudited) |
3. Investment Advisory Agreement and Other Agreements – (Continued)
Blended Allocation ETF. The base fee is adjusted at a rate of 0.02% for every 0.25% to 0.50% of out-performance or under-performance compared to the performance benchmark, but only up to 2.00% of the performance benchmark. As a result, the maximum possible performance fee adjustment, up or down, to the base fee is 0.10%. Accordingly, the sub-adviser’s annual sub-advisory fee may range from 0.40% to 0.60% of AdvisorShares Q Portfolio Blended Allocation ETF’s average daily net assets and 0.55% to 0.75% of AdvisorShares Q Dynamic Growth ETF’s average daily net assets.
From time to time, each sub-advisor may waive all or a portion of its fee.
Expense Limitation Agreement
The Advisor has contractually agreed to waive its fees and/or reimburse expenses in order to keep net expenses (excluding amounts payable pursuant to any plan adopted in accordance with Rule 12b-1, interest expense, taxes, brokerage commissions, acquired fund fees and expenses, other expenditures which are capitalized in accordance with generally accepted accounting principles, and extraordinary expenses) from exceeding a specified percentage of each Fund’s average daily net assets for at least one year from the date of the Fund’s currently effective prospectus. The expense limitation agreement may be terminated without payment of any penalty (i) by the Trust for any reason and at any time and (ii) by the Advisor, for any reason, upon ninety (90) days’ prior written notice to the Trust, such termination to be effective as of the close of business on the last day of the then-current one-year period. The expense limits in effect for each Fund during the period ended December 31, 2020 were as follows:
| Fund | Rate | |||
| Dorsey Wright ADR ETF | 1.10 | %(a) | ||
| Dorsey Wright Alpha Equal Weight ETF | 0.99 | % | ||
| Dorsey Wright FSM All Cap World ETF | 0.99 | % | ||
| Dorsey Wright FSM US Core ETF | 0.99 | % | ||
| Dorsey Wright Micro-Cap ETF | 1.25 | %(b) | ||
| Dorsey Wright Short ETF | 1.25 | %(b) | ||
| DoubleLine Value Equity ETF | 0.90 | % | ||
| Focused Equity ETF | 0.65%-0.85 | %(c) | ||
| FolioBeyond Smart Core Bond ETF | 0.95 | % | ||
| Newfleet Multi-Sector Income ETF | 0.75 | % | ||
| Pure Cannabis ETF | 0.74 | % | ||
| Pure US Cannabis ETF | 0.74 | % | ||
| Q Dynamic Growth ETF | 1.45 | % | ||
| Q Portfolio Blended Allocation ETF | 0.99 | % | ||
| Ranger Equity Bear ETF | 1.85 | % | ||
| Sage Core Reserves ETF | 0.35 | % | ||
| STAR Global Buy-Write ETF | 1.85 | % | ||
| Vice ETF | 0.99 | %(d) | ||
| (a) | Prior to November 1, 2019, the expense limit was 0.88%. |
| (b) | Prior to November 1, 2019, the expense limit was 0.99%. |
| (c) | The expense limit is equal to the annual rate of the Advisor’s contractual advisory fee, which can range from 0.65%to 0.85%. |
| (d) | Prior to November 1, 2019, the expense limit was 0.75%. |
103
| ADVISORSHARES TRUST |
| Notes to Financial Statements (Continued) |
| December 31, 2020 (Unaudited) |
3. Investment Advisory Agreement and Other Agreements – (Continued)
The Advisor may recapture operating expenses waived and/or reimbursed within three years after the date on which such waiver or reimbursement occurred. The Funds must pay their ordinary operating expenses before the Advisor is permitted to recapture and must remain in compliance with any applicable expense limitation, as well as with, the expense limitation in effect at the time of the waiver or reimbursement, if different. All or a portion of the following Advisor waived and/or reimbursed expenses may be recaptured during the fiscal years indicated:
| Fund | Expenses Reimbursed | Recoupment Balance | Recoupment Expiration | |||||||
| Dorsey Wright ADR ETF | 272,312 | 220,876 | 6/30/2022 | |||||||
| Total | 272,312 | 220,876 | ||||||||
| Dorsey Wright Alpha Equal Weight ETF | 31,003 | 31,003 | 6/30/2023 | |||||||
| Total | 31,003 | 31,003 | ||||||||
| Dorsey Wright FSM All Cap World ETF | 22,184 | 22,184 | 6/30/2023 | |||||||
| Total | 22,184 | 22,184 | ||||||||
| Dorsey Wright FSM US Core ETF | 26,148 | 26,148 | 6/30/2023 | |||||||
| Total | 26,148 | 26,148 | ||||||||
| Dorsey Wright Micro Cap ETF | 86,234 | 86,234 | 6/30/2022 | |||||||
| 77,363 | 77,363 | 6/30/2023 | ||||||||
| Total | 163,597 | 163,597 | ||||||||
| DoubleLine Value Equity ETF | 240,281 | 240,281 | 6/30/2021 | |||||||
| 200,619 | 200,619 | 6/30/2022 | ||||||||
| 91,371 | 91,371 | 6/30/2023 | ||||||||
| Total | 532,271 | 532,271 | ||||||||
| Focused Equity ETF | 94,062 | 94,062 | 6/30/2021 | |||||||
| 136,738 | 136,738 | 6/30/2022 | ||||||||
| 125,698 | 125,698 | 6/30/2023 | ||||||||
| Total | 356,498 | 356,498 | ||||||||
| FolioBeyond Smart Core Bond ETF | 50,120 | 50,120 | 6/30/2021 | |||||||
| 82,792 | 82,792 | 6/30/2022 | ||||||||
| 39,057 | 39,057 | 6/30/2023 | ||||||||
| Total | 171,969 | 171,969 | ||||||||
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| ADVISORSHARES TRUST |
| Notes to Financial Statements (Continued) |
| December 31, 2020 (Unaudited) |
3. Investment Advisory Agreement and Other Agreements – (Continued)
| Fund | Expenses Reimbursed | Recoupment Balance | Recoupment Expiration | |||||||
| Newfleet Multi-Sector Income ETF | 204,737 | 204,737 | 6/30/2021 | |||||||
| 249,159 | 249,159 | 6/30/2022 | ||||||||
| 50,459 | 50,459 | 6/30/2023 | ||||||||
| Total | 504,355 | 504,355 | ||||||||
| Pure Cannabis ETF | 33,071 | 33,071 | 6/30/2022 | |||||||
| 196,096 | 196,096 | 6/30/2023 | ||||||||
| Total | 229,167 | 229,167 | ||||||||
| Sage Core Reserves ETF | 202,791 | 202,791 | 6/30/2021 | |||||||
| 192,747 | 192,747 | 6/30/2022 | ||||||||
| 165,567 | 165,567 | 6/30/2023 | ||||||||
| Total | 561,105 | 561,105 | ||||||||
| STAR Global Buy-Write ETF | 56,242 | 56,242 | 6/30/2021 | |||||||
| 77,386 | 77,386 | 6/30/2022 | ||||||||
| 49,370 | 49,370 | 6/30/2023 | ||||||||
| Total | 182,998 | 182,998 | ||||||||
| Vice ETF | 103,464 | 103,464 | 6/30/2021 | |||||||
| 89,372 | 89,372 | 6/30/2022 | ||||||||
| 79,288 | 79,288 | 6/30/2023 | ||||||||
| Total | 272,124 | 272,124 | ||||||||
Administrator, Custodian, Fund Accountant and Transfer Agent
The Bank of New York Mellon (‘‘BNYM’’) (in each capacity, the ‘‘Administrator’’, ‘‘Custodian’’, ‘‘Fund Accountant’’ or ‘‘Transfer Agent’’), serves as the Fund’s Administrator, Custodian, Fund Accountant and Transfer Agent pursuant to a certain Fund Administration and Accounting Agreement, a Custody Agreement or a Transfer Agency and Service Agreement, as the case may be.
Distribution Arrangement
Foreside Fund Services, LLC (the ‘‘Distributor’’) serves as the Fund’s distributor of Creation Units for the Fund pursuant to the distribution agreement. The Distributor does not maintain any secondary market shares. The Funds have adopted a Distribution and Service Plan (‘‘Plan’’) pursuant to Rule 12b-1 under the 1940 Act. In accordance with its Plan, each Fund is authorized to pay an amount up to 0.25% of its average daily net assets each year for certain distribution-related activities. No fees are currently paid by each Fund under the Plan, and there are no current plans to impose these fees. However, in the event Rule 12b-1 fees were charged, over time they would increase the cost of an investment in each Fund.
105
ADVISORSHARES
TRUST
Notes to Financial Statements (Continued)
December 31, 2020 (Unaudited)
| 4. | Creation and Redemption Transactions |
The Funds issue and redeem shares on a continuous basis at NAV in groups of 25,000 shares, at minimum, called ‘‘Creation Units.’’ Except when aggregated in Creation Units, shares are not redeemable securities of a Fund. Only ‘‘Authorized Participants’’ may purchase or redeem shares directly from each Fund. An Authorized Participant is either (i) a broker-dealer or other participant in the clearing process through the Continuous Net Settlement System of the National Securities Clearing Corporation or (ii) a DTC participant and, in each case, must have executed a Participant Agreement with the Distributor. Most retail investors will not qualify as Authorized Participants or have the resources to buy and sell whole Creation Units. Therefore, they will be unable to purchase or redeem the shares directly from the Fund. Rather, most retail investors will purchase shares in the secondary market with the assistance of a broker and will be subject to customary brokerage commissions or fees.
| 5. | Summary of Fair Value Disclosure |
The Financial Accounting Standard Board’s (‘‘FASB’’) Accounting Standards Codification (‘‘ASC’’) 820-10, Fair Value Measurements and Disclosures, defines fair value, establishes an authoritative framework for measuring fair value in accordance with generally accepted accounting principles, and expands disclosure about fair value measurements. Various inputs are used in determining the value of the Fund’s investments. These inputs are summarized in the three broad levels listed below:
| • | Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities that the company has the ability to access. |
| • | Level 2 — Observable inputs other than quoted prices included in Level 1 that are observable for the asset or liability either directly or indirectly. These inputs may include quoted prices for the identical instrument on an inactive market, prices for similar instruments, interest rates, prepayment speeds, credit risk, yield curves, default rates, and similar data. |
| • | Level 3 — Unobservable inputs for the asset or liability to the extent that relevant observable inputs are not available, representing the company’s own assumptions about the assumptions that a market participant would use in valuing the asset or liability, and that would be based on the best information available. |
Investments that use Level 2 or Level 3 inputs may include, but are not limited to: (i) an unlisted security related to corporate actions; (ii) a restricted security (e.g., one that may not be publicly sold without registration under the Securities Act of 1933 as amended); (iii) a security whose trading has been suspended or which has been de-listed from its primary trading exchange; (iv) a security that is thinly traded; (v) a security in default or bankruptcy proceedings for which there is no current market quotation; (vi) a security affected by currency controls or restrictions; and (vii) a security affected by a significant event (e.g., an event that occurs after the close of the markets on which the security is traded but before the time as of which a Fund’s net asset value is computed and that may materially affect the value of the Fund’s investment). Examples of events that may be ‘‘significant events’’ are government actions, natural disasters, armed conflicts and acts of terrorism. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.
For more detailed categories, see the accompanying Schedules of Investments.
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Notes to Financial Statements (Continued)
December 31, 2020 (Unaudited)
| 6. | Derivative Instruments |
The Funds have adopted authoritative standards of accounting for derivative instruments which establish enhanced disclosure requirements. These standards improve financial reporting for derivative instruments by requiring enhanced disclosures that enables investors to understand how and why a fund uses derivative instruments, how derivative instruments are accounted for and how derivative instruments affect a fund’s financial position and results of operations. The Funds use derivative instruments as part of their principal investment strategy to achieve their investment objective.
At December 31, 2020, the fair values of derivative instruments were as follows:
Statements of Assets and Liabilities:
| Fund | Asset Derivatives | Equity Risk | ||||
| Pure US Cannabis ETF | Unrealized Appreciation on Swaps Contracts | $ | 9,433 | |||
| Fund | Liability Derivatives | Equity Risk | ||||
| Pure Cannabis ETF | Unrealized Depreciation on Swaps Contracts | $ | (54,132 | ) | ||
| Pure US Cannabis ETF | Unrealized Depreciation on Swaps Contracts | (112,338 | ) | |||
| STAR Global Buy-Write ETF | Options Written, at value | (9,805 | ) |
Transactions in derivative instruments during the period ended December 31, 2020, were as follows:
Statements of Operations:
| Fund | Realized Gain (Loss) | Equity Risk | Credit Risk | |||||||
| Pure Cannabis ETF | Swaps | $ | 19,525,040 | $ | — | |||||
| Pure US Cannabis ETF | Swaps | 28,186,107 | — | |||||||
| STAR Global Buy-Write ETF | Options Written | (2,200 | ) | — | ||||||
| Fund | Change in Unrealized Gain (Loss) | Equity Risk | Credit Risk | |||||||
| Pure Cannabis ETF | Swaps | $ | (314,954 | ) | $ | — | ||||
| Pure US Cannabis ETF | Swaps | (102,905 | ) | — | ||||||
| STAR Global Buy-Write ETF | Options Written | (13,450 | ) | — |
For the period ended December 31, 2020, the average volume of the derivatives opened by the Funds was as follows:
| Pure Cannabis ETF | Pure US Cannabis ETF | STAR
Global Buy-Write ETF | ||||||||||
| Futures Contracts | $ | — | $ | — | $ | — | ||||||
| Long Swaps Contracts | 28,459,010 | 90,941,361 | — | |||||||||
| Purchased Options Contracts | — | — | 20,038 | |||||||||
| Written Options Contracts | — | — | 13,514 | |||||||||
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Notes to Financial Statements (Continued)
December 31, 2020 (Unaudited)
| 7. | Federal Income Tax |
Each Fund intends to qualify as a ‘‘regulated investment company’’ under Sub-chapter M of the Internal Revenue Code of 1986, as amended. If so qualified, the Funds will not be subject to Federal income tax to the extent it distributes substantially all of its net investment income and net capital gains to its shareholders. Accounting for Uncertainty in Income Taxes provides guidance for how uncertain tax positions should be recognized, measured, presented and disclosed in the financial statements, and requires the evaluation of tax positions taken or expected to be taken in the course of preparing a Fund’s tax returns to determine whether the tax positions are ‘‘more-likely-than-not’’ of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-than-likely-than-not threshold would be recorded as a tax benefit or expense in the current year. Interest and penalty related to income taxes would be recorded as income tax expense. Management of the Funds is required to analyze all open tax years (2017 – 2019), as defined by IRS statute of limitations, for all major jurisdictions, including federal tax authorities and certain state tax authorities. As of June 30, 2020, the Funds did not have a liability for any unrecognized tax benefits. The Funds have no examination in progress and is not aware of any tax positions for which it is reasonably possible that the amounts of unrecognized tax benefits will significantly change in the next twelve months.
At June 30, 2020, the approximate cost of investments, excluding short positions, and net unrealized appreciation (depreciation) for federal income tax purposes was as follows:
| Fund | Cost | Gross Unrealized Appreciation | Gross Unrealized (Depreciation) | Net
Unrealized Appreciation (Depreciation) | Other Derivatives Net Unrealized Appreciation (Depreciation) | |||||||||||||||
| Dorsey Wright ADR ETF | $ | 64,184,696 | $ | 21,035,853 | $ | (529,058 | ) | $ | 20,506,795 | $ | — | |||||||||
| Dorsey Wright Alpha Equal Weight ETF | 36,307,304 | 3,663,778 | (387,053 | ) | 3,276,725 | — | ||||||||||||||
| Dorsey Wright FSM All Cap World ETF | 91,654,706 | 4,360,230 | (4,333 | ) | 4,355,897 | — | ||||||||||||||
| Dorsey Wright FSM US Core ETF | 66,392,226 | 3,499,216 | (252,882 | ) | 3,246,334 | — | ||||||||||||||
| Dorsey Wright Micro-Cap ETF | 1,931,651 | 531,650 | (36,450 | ) | 495,200 | — | ||||||||||||||
| Dorsey Wright Short ETF | 113,954,317 | 27,204,018 | (27,442,898 | ) | (238,880 | ) | (10,807,084 | ) | ||||||||||||
| DoubleLine Value Equity ETF | 41,111,241 | 3,651,967 | (3,298,485 | ) | 353,482 | — | ||||||||||||||
| Focused Equity ETF | 16,404,636 | 4,124,753 | (879,669 | ) | 3,245,084 | — | ||||||||||||||
| FolioBeyond Smart Core Bond ETF | 9,856,460 | (6,969 | ) | (90,693 | ) | (97,662 | ) | — | ||||||||||||
| Newfleet Multi-Sector Income ETF | 58,948,575 | 910,087 | (632,481 | ) | 277,606 | — | ||||||||||||||
| Pure Cannabis ETF | 78,887,088 | 11,451,083 | (38,171,070 | ) | (26,719,987 | ) | 260,828 | |||||||||||||
| Ranger Equity Bear ETF | 187,209,771 | 4,951,518 | (5,700,267 | ) | (748,749 | ) | (8,228,866 | ) | ||||||||||||
| Sage Core Reserves ETF | 102,603,711 | 371,666 | (271,379 | ) | 100,287 | — | ||||||||||||||
| STAR Global Buy-Write ETF | 10,642,894 | 2,281,420 | (13,072 | ) | 2,268,348 | 14,355 | ||||||||||||||
| Vice ETF | 10,045,468 | 1,420,107 | (2,021,537 | ) | (601,430 | ) | — | |||||||||||||
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Notes to Financial Statements (Continued)
December 31, 2020 (Unaudited)
7. Federal Income Tax – (Continued)
Under current tax regulations, capital losses on securities transactions realized after October 31 (‘‘Post-October Losses’’) may be deferred and treated as occurring on the first business day of the following fiscal year. Under the recently enacted Regulated Investment Company Modernization Act of 2010, the Funds will be permitted to defer taxable ordinary income losses incurred after December 31 and treat as occurring on the first business day of the following fiscal year. Post-October losses and ordinary income losses deferred to July 1, 2020 are as follows:
| Fund | Late
Year Ordinary Loss Deferral | Short-Term Capital Post-October Loss | Long-Term Capital Post-October Loss | |||||||||
| Dorsey Wright ADR ETF | $ | 17,599 | $ | — | $ | — | ||||||
| Dorsey Wright Alpha Equal Weight ETF | — | — | — | |||||||||
| Dorsey Wright FSM All Cap World ETF | — | — | — | |||||||||
| Dorsey Wright FSM US Core ETF | — | — | — | |||||||||
| Dorsey Wright Micro-CAP ETF | 2,902 | — | — | |||||||||
| Dorsey Wright Short ETF | 1,126,063 | — | — | |||||||||
| DoubleLine Value Equity ETF | — | — | — | |||||||||
| Focused Equity ETF | — | — | — | |||||||||
| FolioBeyond Smart Core Bond ETF | — | — | — | |||||||||
| Newfleet Multi-Sector Income ETF | — | — | — | |||||||||
| Pure Cannabis ETF | — | — | — | |||||||||
| Ranger Equity Bear ETF | 1,128,571 | — | — | |||||||||
| Sage Core Reserves ETF | — | — | — | |||||||||
| STAR Global Buy-Write ETF | — | — | — | |||||||||
| Vice ETF | — | — | — | |||||||||
The following Funds have capital loss carryforwards available to offset future realized gains of:
| Fund | Short-Term
No Expiration | Long-Term
No Expiration | Total | |||||||||
| Dorsey Wright ADR ETF | $ | 60,038,766 | $ | 2,699,719 | $ | 62,738,485 | ||||||
| Dorsey Wright Alpha Equal Weight ETF | 9,481,255 | — | 9,481,255 | |||||||||
| Dorsey Wright FSM All Cap World ETF | — | — | — | |||||||||
| Dorsey Wright FSM US Core ETF | — | — | — | |||||||||
| Dorsey Wright Micro-CAP ETF | 1,144,343 | 54,096 | 1,198,439 | |||||||||
| Dorsey Wright Short ETF | 27,703,905 | — | 27,703,905 | |||||||||
| DoubleLine Value Equity ETF | 29,810,781 | 1,889,498 | 31,700,279 | |||||||||
| Focused Equity ETF | 252,483 | 443,049 | 695,532 | |||||||||
| FolioBeyond Smart Core Bond ETF | 223,655 | 737,959 | 961,614 | |||||||||
| Newfleet Multi-Sector Income ETF | 1,929,690 | 6,150,681 | 8,080,371 | |||||||||
| Pure Cannabis ETF | 19,940,470 | 323,678 | 20,264,148 | |||||||||
| Ranger Equity Bear ETF | 297,425,011 | 207,216 | 297,632,227 | |||||||||
| Sage Core Reserves ETF | 1,220,340 | 155,181 | 1,375,521 | |||||||||
| STAR Global Buy-Write ETF | — | 663,174 | 663,174 | |||||||||
| Vice ETF | 751,851 | 447,991 | 1,199,842 | |||||||||
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ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
December 31, 2020 (Unaudited)
8. Investment Transactions
Purchases and sales of investments and securities sold short (excluding short term securities) for the period ended December 31, 2020 were as follows:
| Purchases | Sales | ||||||||||||||||||
| Fund | Long Term | U.S. Government |
In-Kind | Long Term | U.S. Government |
In-Kind | |||||||||||||
| Dorsey Wright ADR ETF | $ | 22,112,195 | $ | — | $ | 7,282,392 | $ | 22,302,681 | $ | — | $ | 14,483,801 | |||||||
| Dorsey Wright Alpha Equal Weight ETF | 61,059,102 | — | 17,152,940 | 61,142,065 | — | — | |||||||||||||
| Dorsey Wright FSM All Cap World ETF | 93,578,486 | — | 123,844,431 | 94,559,679 | — | 93,206,480 | |||||||||||||
| Dorsey Wright FSM US Core ETF | 532,305 | — | 14,903,891 | 534,967 | — | 1,501,429 | |||||||||||||
| Dorsey Wright Micro-Cap ETF | 1,824,350 | — | 626,907 | 1,836,305 | — | 535,650 | |||||||||||||
| Dorsey Wright Short ETF | 251,395,512 | — | — | 148,388,048 | — | — | |||||||||||||
| DoubleLine Value Equity ETF | 10,531,717 | — | — | 10,375,075 | — | 3,649,801 | |||||||||||||
| Focused Equity ETF | 5,902,601 | — | 4,299,759 | 6,256,399 | — | 4,076,105 | |||||||||||||
| FolioBeyond Smart Core Bond ETF | 8,344,168 | — | — | 8,356,735 | — | 2,587,878 | |||||||||||||
| Newfleet Multi-Sector Income ETF | 13,256,910 | 1,627,686 | — | 15,926,356 | 2,363,050 | — | |||||||||||||
| Pure Cannabis ETF | 9,065,736 | — | 16,896,045 | 10,453,381 | — | — | |||||||||||||
| Pure US Cannabis ETF | 10,120,898 | — | 20,267,591 | 2,343,387 | — | 463,340 | |||||||||||||
| Q Dynamic Growth ETF | — | — | 1,602,450 | — | — | — | |||||||||||||
| Q Portfolio Blended Allocation ETF | — | — | 1,584,120 | — | — | — | |||||||||||||
| Ranger Equity Bear ETF | 612,761,385 | — | — | 492,589,915 | — | — | |||||||||||||
| Sage Core Reserves ETF | 41,150,581 | 2,501,997 | — | 62,296,557 | 2,469,554 | — | |||||||||||||
| STAR Global Buy-Write ETF | 120,078 | — | — | 547,309 | — | 1,606,299 | |||||||||||||
| Vice ETF | 7,548,726 | — | — | 7,655,651 | — | 1,412,772 | |||||||||||||
9. Risks Involved with Investing in the Funds
As with any investment, an investor could lose all or part of their investment in a Fund and the Fund’s performance could trail that of other investments. A Fund may be subject to the principal risks noted below, any of which may adversely affect the Fund’s NAV, trading price, yield, total return and ability to meet its investment objective. Additional principal risks are disclosed in each Fund’s prospectus. Please refer to each Fund’s currently effective prospectus for the specific list and description of the principal risks of investing in the Fund.
Credit Risk
Credit risk is the risk that an issuer or guarantor of debt instruments or the counterparty to a financial transaction, including derivatives contracts, repurchase agreements or loans of portfolio securities, is unable or unwilling to make timely interest and/or principal payments or to otherwise honor its obligations. The Fund’s, and its affiliates, manage counterparty credit risk by entering into transactions only with counterparties that they believe have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose the Funds to issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of each Fund’s exposure to credit and counterparty risks with respect to those financial assets is approximated by their value recorded in its Statements of Assets and Liabilities. High yield securities may also be subject to greater levels of credit or default risk than higher-rated securities and high yield securities may be less liquid and more difficult to sell at an advantageous time
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ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
December 31, 2020 (Unaudited)
9. Risks Involved with Investing in the Funds – (Continued)
or price or to value than higher-rated securities. In particular, high yield securities are often issued by smaller, less creditworthy companies or by highly leveraged (indebted) companies, which are generally less able than more financially stable companies to make scheduled payments of interest and principal.
Fund of Funds Risk
Some of the Funds’ investment performance, because they are fund of funds, depends on the investment performance of the Underlying ETFs in which they invest. An investment in these Funds is subject to the risk associated with the Underlying ETFs that comprise their Underlying Index. The Funds will indirectly pay a proportional share of the asset-based fees, if any, of the Underlying ETFs in which they invest.
Liquidity Risk
In certain circumstances, it may be difficult for the Fund to purchase and sell particular investments within a reasonable time at a fair price. To the extent that there is not an established retail market for instruments in which the Fund may invest, trading in such instruments may be relatively inactive. Trading in shares may be halted because of market conditions or for reasons that, in the view of the Exchange, make trading in shares inadvisable. In addition, trading in shares is subject to trading halts caused by extraordinary market volatility pursuant to ‘‘circuit breaker’’ rules. There can be no assurance that the requirements necessary to maintain the listing of the shares of the Fund will continue to be met or will remain unchanged.
Market Risk
Investments in securities, in general, are subject to market risks that may cause their prices to fluctuate over time. The Fund’s investments may decline in value due to factors affecting securities markets generally, or particular countries, segments, economic sectors, industries or companies within those markets. The value of a security held in a short position may increase due to general economic and market conditions which are not specifically related to a particular issuer, such as real or perceived positive economic conditions or changes in interest or currency rates. Because the market value of ETF shares may differ from their net asset value, the shares may trade at a premium or discount. An investment in the Fund may lose money.
A novel strain of coronavirus (COVID-19) outbreak was declared a pandemic by the World Health Organization on March 11, 2020. The situation is evolving with various cities and countries around the world responding in different ways to address the outbreak. There are direct and indirect economic effects developing for various industries and individual companies throughout the world. Management will continue to monitor the impact COVID-19 has on the Funds and reflect the consequences as appropriate in the Funds’ accounting and financial reporting. The recent pandemic spread of the novel coronavirus and related geopolitical events could lead to increased market volatility, disruption to U.S. and world economies and markets and may have significant adverse effects on the Funds and their investments.
New Fund Risk
Some of the Funds are new funds. As new funds, there can be no assurance that the Funds will grow to or maintain an economically viable size, than it otherwise would be at higher asset levels or it could ultimately liquidate.
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ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
December 31, 2020 (Unaudited)
| 9. | Risks Involved with Investing in the Funds – (Continued) |
Cannabis-Related Company Risk
Cannabis-related companies are subject to various laws and regulations that may differ at the state/local and federal level. These laws and regulations may (i) significantly affect a cannabis-related company’s ability to secure financing, (ii) impact the market for marijuana industry sales and services, and (iii) set limitations on marijuana use, production, transportation, and storage. Cannabis-related companies may also be required to secure permits and authorizations from government agencies to cultivate or research marijuana. In addition, cannabis-related companies are subject to the risks associated with the greater agricultural industry, including changes to or trends that affect commodity prices, labor costs, weather conditions, and laws and regulations related to environmental protection, health and safety. Cannabis-related companies may also be subject to risks associated with the biotechnology and pharmaceutical industries. These risks include increased government regulation, the use and enforcement of intellectual property rights and patents, technological change and obsolescence, product liability lawsuits, and the risk that research and development may not necessarily lead to commercially successful products.
| 10. | Subsequent Events |
After the close of markets on February 5, 2021, AdvisorShares Ranger Equity Bear ETF performed a reverse stock split (1 for 10) of the Fund’s issued and outstanding shares. A shareholder’s investment value was not affected by the reverse split.
The Funds have evaluated subsequent events through the issuance of the financial statements and determined that no other events have occurred that require additional disclosure.
112
LIQUIDITY RISK MANAGEMENT PROGRAM (UNAUDITED)
Liquidity Risk Management Program
Pursuant to Rule 22e-4 under the Investment Company Act of 1940, AdvisorShares Trust (the “Trust”), on behalf of its series (the “Funds”), has adopted a liquidity risk management program (the “Program”) to govern the Trust’s approach to managing liquidity risk based on factors specific to the circumstances of the Funds. Rule 22e-4 seeks to promote effective liquidity risk management, thereby reducing the risk that a Fund will be unable to meet its redemption obligations without significant dilution of remaining shareholders’ interests. The Board of Trustees of the Trust appointed AdvisorShares Investments, LLC, the Funds’ investment adviser, as the administrator of the Program (the “Program Administrator”).
At the Board’s August 2020 meeting, the Trustees reviewed a written report provided by the Program Administrator addressing the operation of the Program and assessing its adequacy and effectiveness of implementation for the period December 1, 2019 through June 30, 2020. The report did not reflect that any material changes had been made to the Program since its implementation. The report noted that the Program utilizes analysis from a third-party liquidity metrics service provider to assist in liquidity classification, calculation, and monitoring. The Program Administrator concluded in the report that the Program has been adequately designed and effectively implemented to meet the requirements of Rule 22e-4 and the Funds’ liquidity needs.
113
BOARD REVIEW OF INVESTMENT ADVISORY AND SUB-ADVISORY AGREEMENTS
Renewal of the Sub-Advisory Agreements for the AdvisorShares STAR Global Buy-Write ETF, AdvisorShares Ranger Equity Bear ETF, AdvisorShares Dorsey Wright ADR ETF, AdvisorShares Dorsey Wright Micro-Cap ETF, and AdvisorShares Dorsey Wright Short ETF
At meetings of the Board of Trustees (the “Board”) of AdvisorShares Trust (the “Trust”) held on August 17, 2020 and November 12, 2020, the Board, including those trustees who are not “interested persons” of the Trust, as that term is defined in the Investment Company Act of 1940 (the “1940 Act”) (the “Independent Trustees”), considered the approval of the renewal of separate sub-advisory agreements (collectively, the “Sub-Advisory Agreements”) between AdvisorShares Investments, LLC (the “Advisor”) and (1) Dorsey, Wright & Associates, LLC, on behalf of the AdvisorShares Dorsey Wright ADR ETF, AdvisorShares Dorsey Wright Micro-Cap ETF, and AdvisorShares Dorsey Wright Short ETF, (2) DoubleLine Equity LP, on behalf of the AdvisorShares DoubleLine Value Equity ETF, (3) Partnervest Advisory Services, LLC, on behalf of AdvisorShares STAR Global Buy-Write ETF, and (4) Ranger Alternative Management L.P., on behalf of the AdvisorShares Ranger Equity Bear ETF (collectively, the “Sub-Advisors”), pursuant to which the Sub-Advisors perform portfolio management and related services for the Funds.
Pursuant to Section 15 of the 1940 Act and related exemptive relief, to continue after their initial two-year term, the Sub-Advisory Agreements must be approved annually: (i) by the vote of the Board or by a vote of the shareholders of the Funds and (ii) by the vote of a majority of the Independent Trustees cast at a meeting called for the purpose of voting on such approval. Each year, the Board calls and holds meetings to decide whether to renew the Sub-Advisory Agreements for an additional one-year term. In preparation for the meetings, the Board requests and reviews a wide variety of information from the Advisor and Sub-Advisors. The Board uses this information, as well as other information that the Advisor, Sub-Advisors and other service providers may submit to the Board at the meetings and over the course of the prior year, to help evaluate each Sub-Advisor’s fee and other aspects of the Sub-Advisory Agreements and decide whether to renew the Sub-Advisory Agreements for an additional year.
As discussed in further detail below, prior to and at the meetings, the Board, including the Independent Trustees, was presented with additional information to help it evaluate each Sub-Advisor’s fee and other aspects of the Sub-Advisory Agreements. The Board reviewed written materials from the Advisor and each Sub-Advisor regarding, among other things: (i) the nature, extent and quality of the services provided by each Sub-Advisor; (ii) the performance of each Sub-Advisor of its duties; (iii) the investment performance of each Fund; (iv) the costs of the services provided and profits realized by each Sub-Advisor; (v) the potential for economies of scale for the benefit of each Fund’s shareholders; and (vi) any ancillary benefits to each Sub-Advisor. The Board received an overview of each Sub-Advisor’s operations and management of the Funds, including comparative fee data and profitability analysis for each Fund, and was also provided with information with respect to compliance oversight. The Board reviewed the management of each Fund, including the Fund’s strategy, the focus in the markets, the Fund’s positioning in the market, and its attractive and unique offering. The Board reviewed each Sub-Advisor’s overall business generally, including any noteworthy personnel changes.
The Board deliberated on the renewal of the Sub-Advisory Agreements in light of the written materials that it received before the meetings, information it received at the meetings, and information it had received at prior board meetings. In its deliberations, the Board considered the factors and reached the conclusions described below relating to the selection of each Sub-Advisor and the renewal of its Sub-Advisory Agreement. The Board did not identify any single piece of information discussed below that was paramount, controlling or determinative of its decision.
Nature, Extent and Quality of Services. In considering the nature, extent and quality of the services provided by each Sub-Advisor, the Board reviewed the portfolio management services provided to each Fund. The Board also considered, among other things, the professional experience and qualifications of the senior management and key professional personnel of the Sub-Advisors, including those individuals responsible for portfolio management. The Board also considered the Sub-Advisors’ operational
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BOARD REVIEW OF INVESTMENT ADVISORY AND SUB-ADVISORY AGREEMENTS (continued)
capabilities and resources and their experience in managing investment portfolios. The most recent Form ADV for each Sub-Advisor was provided to the Board, as were responses to a detailed series of questions that, among other things, requested information about the Sub-Advisor’s business, services, and compensation. The Board considered each Sub-Advisor’s overall quality of personnel, operations, and financial condition, its investment advisory capabilities, and information concerning its compliance function, operational capabilities, and portfolio management team. Based on its review, within the context of its full deliberations, the Board determined that it was satisfied with the nature, extent and quality of the services provided to the Funds by the Sub-Advisors.
Performance of the Funds. The Board was provided with information regarding each Fund’s performance for various periods, as well as comparative performance information. Each Sub-Advisor provided information regarding factors impacting the performance of the Funds, outlining current market conditions, and explaining its expectations and strategies for the future. Based on this information, the Board concluded that it was satisfied with the investment results that each Sub-Advisor had been able to achieve for its respective Fund.
Cost of Services and Profitability. In considering whether the sub-advisory fee payable with respect to each Fund is reasonable, the Board reviewed the sub-advisory fee paid by the Advisor to each Sub-Advisor, the fee waived and/or expenses reimbursed by each Sub-Advisor over the period, as applicable, the costs and other expenses incurred by each Sub-Advisor in providing the services, and the profitability analysis with respect to each Fund. The Board also reviewed information comparing each Fund’s fee to the fee paid by comparable funds. Based on its review, in the context of its full deliberations, the Board concluded for each Fund that the sub-advisory fee appears to be reasonable in light of the services rendered.
Economies of Scale. The Board considered for each Fund whether economies of scale were realized, noting any fee waivers and/or expense reimbursements by a Sub-Advisor and whether a Sub-Advisor’s fee includes breakpoints. The Board determined to continue to assess on an ongoing basis whether the aggregate advisory fee for each Fund appropriately takes into account any economies of scale that had been realized as a result of any significant asset growth of the Fund.
Ancillary Benefits. The Board noted the potential benefits to be received by each Sub-Advisor as a result of its relationship with a Fund (other than the sub-advisory fee), including the intangible benefits of its association with the Trust generally and any favorable publicity arising in connection with a Fund’s performance.
Conclusion. Based on its deliberations and evaluation of the information described above, the Board, including the Independent Trustees, unanimously: (i) concluded that the terms of each Sub-Advisory Agreement are fair and reasonable; (ii) concluded that each Sub-Advisor’s fee is reasonable in light of the services that it provides to its respective Fund; and (iii) agreed to renew each Sub-Advisory Agreement for another year.
Approval of the Advisory and Sub-Advisory Agreements for AdvisorShares Q Dynamic Growth ETF and AdvisorShares Q Portfolio Blended Allocation ETF
At a meeting held on August 17, 2020, the Board, including the Independent Trustees, considered the approval of the investment advisory agreement (the “Advisory Agreement”) between the Trust and the Advisor on behalf of the AdvisorShares Q Dynamic Growth ETF and AdvisorShares Q Portfolio Blended Allocation ETF (each a “Fund” and together, the “Funds”). The Board noted that the Advisor provides investment advisory services to the other series of the Trust and that an annual in-depth review of the Advisor with respect to those series most recently had been conducted in May 2020. The Board also considered the approval of a separate sub-advisory agreement (the “Sub-Advisory Agreement” and together with the Advisory Agreement, the “Agreements”) between the Advisor and ThinkBetter, LLC (the “Sub-Advisor”), on behalf of each Fund, pursuant to which the Sub-Advisor would perform portfolio management and related services.
115
BOARD REVIEW OF INVESTMENT ADVISORY AND SUB-ADVISORY AGREEMENTS (continued)
In connection with its consideration of the Agreements, the Board, including the Independent Trustees, requested, received and evaluated materials from the Advisor and Sub-Advisor about the Agreements and the services proposed to be provided thereunder, including information about the key features of each Fund and related matters. The Board also reviewed information regarding the proposed investment advisory fee rates and various other materials that it considered relevant to its consideration and approval of the proposed agreements.
In considering each of the Agreements, the Board considered and discussed information and analysis provided by the Advisor and Sub-Advisor. In its deliberations, the Board did not identify any single piece of information that was paramount or controlling and individual trustees may have attributed different weights to various factors.
Nature, Extent and Quality of Services. In considering the nature, extent and quality of the services to be provided by the Advisor and Sub-Advisor to each Fund, the Board reviewed the services to be provided by the Advisor and Sub-Advisor, noting that these services include, among other things, furnishing a continuous investment program for the Fund, including arranging for, or implementing, the purchase and sale of portfolio securities, the provision of related services such as portfolio management compliance services, and the preparation and filing of certain reports on behalf of the Trust. The Trustees reviewed the extensive responsibilities that the Advisor will have as investment advisor to each Fund, including the oversight of the activities and operations of the Sub-Advisor and other service providers, oversight of general fund compliance with federal and state laws, and the implementation of Board directives as they relate to the Fund. The Board received the most recent Form ADV for the Sub-Advisor as well as responses to a detailed series of questions that, among other things, requested information about the Sub-Advisor’s business, services, and financial condition. The Board considered, among other things, the professional experience and qualifications of the senior management and key professional personnel of the Advisor and Sub-Advisor, including those individuals responsible for portfolio management. The Board also considered the Advisor’s and Sub-Advisor’s operational capabilities and resources and their experience in managing investment portfolios. The Board concluded that, within the context of its full deliberations, it was satisfied with the nature, extent and quality of the services expected to be provided to each Fund by the Advisor and the Sub-Advisor.
Performance. In connection with the assessment of the ability of each of the Advisor and Sub-Advisor to perform its duties under its Agreement, the Board considered its investment performance and experience generally and whether it has the resources necessary to carry out its functions. The Board concluded that each of the Advisor and Sub-Advisor has the resources necessary to perform its obligations under its Agreement.
Cost of Services and Profitability. The Board considered the cost of the services to be provided by the Advisor and Sub-Advisor, reviewed the fees to be paid pursuant to the Agreements, and considered the estimated profitability projected by each of the Advisor and Sub-Advisor from its relationship with the Funds. The Board noted that the proposed advisory and sub-advisory fees include a fulcrum fee component, which is intended to align the Advisor’s and Sub-Advisor’s incentives with those of the Fund, and reviewed the structure of the arrangement. In addition, the Board discussed the fee arrangement between the Advisor and Sub-Advisor, noting that the Advisor would pay the Sub-Advisor out of the advisory fee it receives from each Fund. The Board also reviewed information provided by the Advisor regarding advisory fees of comparable funds and evaluated the proposed fee arrangements in light of this information and the factors that judicial decisions have specified as pertinent generally. The Board also considered the Advisor’s contractual arrangement to waive its advisory fee and/or reimburse expenses in an effort to control the expense ratio of each Fund. Based on its review, within the context of its full deliberations, the Board determined that the fees proposed to be paid to the Advisor and Sub-Advisor appear to be reasonable in light of the services to be provided.
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BOARD REVIEW OF INVESTMENT ADVISORY AND SUB-ADVISORY AGREEMENTS (continued)
Economies of Scale. The Board considered the potential for economies of scale and determined that it would reconsider this factor at an appropriate time in the future. In the event there were to be significant asset growth in a Fund, the Board determined to reassess whether the investment advisory and sub-advisory fees appropriately took into account any economies of scale that had been realized as a result of that growth. The Board also considered the Advisor’s willingness to enter into a contractual expense limitation agreement for each Fund, noting that this would protect shareholders from high operational costs.
Ancillary Benefits. The Board noted the potential benefits to be received by each of the Advisor and Sub-Advisor as a result of its relationship with the Funds (other than the advisory or sub-advisory fee), including the intangible benefits of its association with the Trust generally and any favorable publicity arising in connection with each Fund’s performance.
Conclusion. Based on its deliberations and evaluation of the information described above, the Board, including the Independent Trustees, unanimously: (i) concluded that the terms of the Agreements are fair and reasonable; (ii) concluded that the fees to be paid to the Advisor are fair and reasonable in light of the services that it will provide to Funds; (iii) concluded that the fees to be paid to the Sub-Advisor are fair and reasonable in light of the services that the Sub-Advisor will provide to the Funds; and (iv) agreed to approve each of the Agreements for an initial term of two years.
Approval of the Advisory Agreement for AdvisorShares Pure US Cannabis ETF
At a meeting held on November 21, 2019, the Board, including the Independent Trustees, considered the approval of the investment advisory agreement (the “Advisory Agreement”) between the Trust and the Advisor on behalf of the AdvisorShares Pure US Cannabis ETF (the “Fund”). The Board noted that the Advisor provides investment advisory services to the other series of the Trust and that an annual in-depth review of the Advisor with respect to those series most recently had been conducted in May 2019.
In connection with its consideration of the Advisory Agreement, the Board, including the Independent Trustees, requested, received and evaluated materials from the Advisor about the services proposed to be provided thereunder, including information about the key features of the Fund and related matters. The Board also reviewed information regarding the proposed investment advisory fee rate and various other materials that it considered relevant to its consideration and approval of the proposed agreement.
In considering the Advisory Agreement, the Board considered and discussed information and analysis provided by the Advisor. In its deliberations, the Board did not identify any single piece of information that was paramount or controlling and individual trustees may have attributed different weights to various factors.
Nature, Extent and Quality of Services. In considering the nature, extent and quality of the services to be provided by the Advisor to the Fund, the Board reviewed the services to be provided by the Advisor, noting that these services include, among other things, furnishing a continuous investment program for the Fund, including arranging for, or implementing, the purchase and sale of portfolio securities, the provision of related services such as portfolio management compliance services, and the preparation and filing of certain reports on behalf of the Trust. The Trustees reviewed the extensive responsibilities that the Advisor will have as investment advisor to the Fund, including the oversight of service providers, oversight of general fund compliance with federal and state laws, and the implementation of Board directives as they relate to the Fund. The Board also considered, among other things, the professional experience and qualifications of the senior management and key professional personnel of the Advisor, including those individuals responsible for portfolio management. The Board also considered the Advisor’s operational capabilities and resources and its experience in managing investment portfolios. The Board concluded that, within the context of its full deliberations, it was satisfied with the nature, extent and quality of the services expected to be provided to the Fund by the Advisor.
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BOARD REVIEW OF INVESTMENT ADVISORY AND SUB-ADVISORY AGREEMENTS (continued)
Performance. In connection with the assessment of the ability of the Advisor to perform its duties under the Advisory Agreement, the Board considered its investment performance and experience generally and whether it has the resources necessary to carry out its functions. The Board concluded that the Advisor has the resources necessary to perform its obligations under the Advisory Agreement.
Cost of Services and Profitability. The Board considered the cost of the services to be provided by the Advisor, reviewed the fee to be paid pursuant to the Advisory Agreement, and considered the estimated profitability projected by the Advisor from its relationship with the Fund. The Board also reviewed information provided by the Advisor regarding advisory fees of comparable funds and evaluated the proposed fee arrangement in light of this information and the factors that judicial decisions have specified as pertinent generally. The Board also considered the Advisor’s contractual arrangement to waive its advisory fee and/or reimburse expenses in an effort to control the expense ratio of the Fund. Based on its review, within the context of its full deliberations, the Board determined that the fee proposed to be paid to the Advisor appears to be reasonable in light of the services to be provided.
Economies of Scale. The Board considered the potential for economies of scale and determined that it would reconsider this factor at an appropriate time in the future. In the event there were to be significant asset growth in the Fund, the Board determined to reassess whether the investment advisory fee appropriately took into account any economies of scale that had been realized as a result of that growth. The Board also considered the Advisor’s willingness to enter into a contractual expense limitation agreement for the Fund, noting that this would protect shareholders from high operational costs.
Ancillary Benefits. The Board noted the potential benefits to be received by the Advisor as a result of its relationship with the Fund (other than the advisory or sub-advisory fee), including the intangible benefits of its association with the Trust generally and any favorable publicity arising in connection with the Fund’s performance.
Conclusion. Based on its deliberations and evaluation of the information described above, the Board, including the Independent Trustees, unanimously: (i) concluded that the terms of the Advisory Agreement are fair and reasonable; (ii) concluded that the fee to be paid to the Advisor is fair and reasonable in light of the services that it will provide to the Fund; and (iii) agreed to approve the Advisory Agreement for an initial term of two years.
Approval of New Sub-Advisory Agreement for AdvisorShares STAR Global Buy-Write ETF
On October 1, 2020, Partnervest Financial Group, LLC, the parent company of Partnervest Advisory Services, LLC (“Partnervest”), the investment sub-advisor to the AdvisorShares STAR Global Buy-Write ETF (the “Fund”), concluded a transaction with ChangePath, LLC (“ChangePath”) pursuant to which ChangePath acquired substantially all of the assets of Partnervest Financial Group, LLC.
Accordingly, at a meeting held on October 29, 2020, the Board, including a majority of the Trustees who are not “interested persons” of the Trust as defined by the 1940 Act (the “Independent Trustees”), approved a new investment sub-advisory agreement between the Adviser and ChangePath (the “New Sub-Advisory Agreement”), which contains substantially the same terms as the sub-advisory agreement with Partnervest including the rate of compensation. Effective November 25, 2020, ChangePath replaced Partnervest as the sub-advisor to the Fund.
At the meeting, the Board noted that it most recently had considered and approved the annual renewal of the sub-advisory agreement with Partnervest at its August 2020 meeting. In considering whether to approve the New Sub-Advisory Agreement, the Board reviewed and discussed information and analysis provided by ChangePath and the Adviser. In its deliberations, the Board did not identify any single factor that was paramount or controlling and individual trustees may have attributed different weights to various factors.
118
BOARD REVIEW OF INVESTMENT ADVISORY AND SUB-ADVISORY AGREEMENTS (continued)
Nature, Extent and Quality of the Services to be Provided. In considering the nature, extent and quality of the services to be provided by ChangePath, the Board reviewed the services to be provided by ChangePath, noting that these services include, among other things, furnishing a continuous investment program for the Fund, including arranging for, or implementing, the purchase and sale of portfolio securities. The Board further noted that these services are the same as the services currently provided by Partnervest. The Board received the most recent Form ADV for ChangePath as well as responses to a detailed series of questions that, among other things, requested information about ChangePath’s business, services, and financial condition. The Board considered, among other things, the organizational structure and professional experience of the senior management and key professional personnel of ChangePath, the firm’s operational capabilities and its compliance program. The Board noted that the Fund’s current portfolio managers would continue to manage the Fund as ChangePath employees. Based on its review, the Board concluded that it was satisfied with the nature, extent and quality of the services to be provided to the Fund by ChangePath.
Performance. In connection with the assessment of the ability of ChangePath to perform its duties under its Agreement, the Board considered its investment performance and experience generally and whether it has the resources necessary to carry out its functions. The Board concluded that ChangePath has the resources necessary to perform its obligations under the New Sub-Advisory Agreement.
Cost of Services and Profitability. The Board considered the cost of the services to be provided by ChangePath, reviewed the fee to be paid pursuant to the New Sub-Advisory Agreement, and considered the estimated profitability projected by ChangePath from its relationship with the Fund. The Board noted that the proposed fee under the New Sub-Advisory Agreement is the same as the sub-advisory fee paid to Partnervest. The Board also reviewed information provided by ChangePath regarding advisory fees of comparable accounts and evaluated the proposed fee arrangements in light of this information and the factors that judicial decisions have specified as pertinent generally. Based on its review, within the context of its full deliberations, the Board concluded that the fee appeared reasonable in light of the services to be rendered.
Economies of Scale. The Board considered whether economies of scale would be realized by the Fund at higher asset levels and determined to reassess in the future whether the Fund’s advisory fees appropriately took into account any economies of scale that may be realized as a result of significant growth of assets of the Fund.
Ancillary Benefits. The Board noted the potential benefits to be received by ChangePath as a result of its relationship with the Fund (other than the sub-advisory fee), including the intangible benefits of its association with the Trust generally and any favorable publicity arising in connection with the Fund’s performance.
Conclusion. Based on its deliberations, the Board, including the Independent Trustees, unanimously concluded that the terms of the New Sub-Advisory Agreement, including the fee, are fair and reasonable in light of the services to be provided to the Fund and approved the New Sub-Advisory Agreement for an initial term of two years.
119
Quarterly Portfolio Holdings Information
The Funds are required to file their complete schedule of portfolio holdings with the SEC for their first and third quarters as an exhibit to their its reports on Form N-PORT. Copies of the filings are available without charge on the SEC’s website at www.sec.gov.
Proxy Voting Information
A description of the Funds proxy voting policies and procedures, as well as a record of how the Funds voted proxies during the most recent 12-month period ended June 30, is available without charge upon request by calling 1-877-843-3831. This information is also available on the SEC’s website at www.sec.gov.
Premium/Discount Information
Information about the differences between the daily market price on the secondary market for the shares of a Fund and the Fund’s net asset value may be found on the Fund’s website at www.advisorshares.com.
120
ADVISORSHARES TRUST
Investment Advisor
AdvisorShares
Investments, LLC
4800 Montgomery Lane, Suite 150
Bethesda, MD 20814
Sub-Advisors
ChangePath, LLC
11460
Tomahawk Creek Parkway, Suite 200
Leawood, KS 66211
Dorsey, Wright & Associates, LLC
3300
W. Leigh Street
Richmond, VA 23230
DoubleLine Equity LP
505
N. Brand Boulevard, Suite 860
Glendale, CA 91203
Newfleet Asset Management, LLC
1
Financial Plaza
Hartford, CT 06103
Ranger Alternative Management, L.P.
2828
N. Harwood Street, Suite 1900
Dallas, TX 75201
Sage Advisory Services, Ltd. Co.
5900
Southwest Parkway, Building I
Austin, TX 78735
ThinkBetter, LLC
1549
Ringling Boulevard, Suite 510
Sarasota, FL 34236
Distributor
Foreside
Fund Services, LLC
Three Canal Plaza, Suite 100
Portland, ME 04101
Custodian/Fund Administrator/Transfer Agent
The
Bank of New York Mellon
240 Greenwich Street
New York, NY 10286
Legal Counsel
Morgan,
Lewis & Bockius LLP
1111 Pennsylvania Avenue, NW
Washington, D.C. 20004
Independent Registered Public Accounting Firm
Tait,
Weller & Baker LLP
50 South 16th Street, Suite 2900
Philadelphia, PA 19102
This report is submitted for the general information of the shareholders of each Fund. It is not authorized for distribution to prospective investors unless preceded or accompanied by an effective prospectus, which includes information regarding a Fund’s risks, objectives, fees and expenses, experience of management and other information.
| (b) | Not applicable. |
Item 2. Code of Ethics.
Not Applicable for the semi-annual reporting period.
Item 3. Audit Committee Financial Expert.
Not Applicable for the semi-annual reporting period.
Item 4. Principal Accountant Fees and Services.
Not Applicable for the semi-annual reporting period.
Item 5. Audit Committee of Listed Registrants.
Not Applicable for the semi-annual reporting period.
Item 6. Investments.
| (a) | Schedule of Investments in securities of unaffiliated issuers as of the close of the reporting period is included as part of the report to shareholders filed under Item 1(a) of this form. |
| (b) | Not applicable. |
Item 7. Disclosure of Proxy Voting Policies and Procedures for Closed-End Management Investment Companies.
Not applicable.
Item 8. Portfolio Managers of Closed-End Management Investment Companies.
Not applicable.
Item 9. Purchases of Equity Securities by Closed-End Management Investment Company and Affiliated Purchasers.
Not applicable.
Item 10. Submission of Matters to a Vote of Security Holders.
Not applicable.
Item 11. Controls and Procedures.
| (a) | The registrant’s principal executive and principal financial officers, or persons performing similar functions, have concluded that the registrant’s disclosure controls and procedures (as defined in Rule 30a-3(c) under the Investment Company Act of 1940, as amended (the “1940 Act”) (17 CFR 270.30a-3(c))) are effective, as of a date within 90 days of the filing date of the report that includes the disclosure required by this paragraph, based on their evaluation of these controls and procedures required by Rule 30a-3(b) under the 1940 Act (17 CFR 270.30a-3(b)) and Rules 13a-15(b) or 15d-15(b) under the Securities Exchange Act of 1934, as amended (17 CFR 240.13a-15(b) or 240.15d-15(b)). |
| (b) | There were no changes in the registrant’s internal control over financial reporting (as defined in Rule 30a-3(d) under the 1940 Act (17 CFR 270.30a-3(d))) that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting. |
Item 12. Disclosure of Securities Lending Activities for Closed-End Management Investment Companies.
Not applicable.
Item 13. Exhibits.
| (a)(1) | Not applicable. |
| (a)(2) | Certifications pursuant to Rule 30a-2(a) under the 1940 Act and Section 302 of the Sarbanes-Oxley Act of 2002 are attached hereto. |
| (a)(3) | Not applicable. |
| (a)(4) | Not applicable. |
| (b) | Certifications pursuant to Rule 30a-2(b) under the 1940 Act and Section 906 of the Sarbanes- Oxley Act of 2002 are attached hereto. |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
| (Registrant) | AdvisorShares Trust | |
| By (Signature and Title)* | /s/ Noah Hamman | |
| Noah Hamman, Chief Executive Officer | ||
| (principal executive officer) | ||
| Date | March 1, 2021 | |
| Pursuant to the requirements of the Securities Exchange Act of 1934 and the Investment Company Act of 1940, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated. | ||
| By (Signature and Title)* | /s/ Noah Hamman | |
| Noah Hamman, Chief Executive Officer | ||
| (principal executive officer) | ||
| Date | March 1, 2021 | |
| By (Signature and Title)* | /s/ Dan Ahrens | |
| Dan Ahrens, Treasurer | ||
| (principal financial officer) | ||
| Date | March 1, 2021 | |
* Print the name and title of each signing officer under his or her signature.