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: June 30, 2023
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
Annual Report
June 30, 2023
TABLE OF CONTENTS
Letter from the CEO of AdvisorShares Investments, LLC
June 30, 2023
For our fiscal year ended June 30, 2023, equity markets experienced a significant comeback late in the fiscal year. This was despite the ongoing war in Ukraine, a continuing recovery from COVID-19 lockdowns, soaring inflation, and rising consumer prices. In the US, the market mostly struggled through the second half of 2022, recovering early in 2023 and providing steady gains throughout the first half of 2023. Across the board, most asset classes were up for the fiscal year, including gold, international equities, and Bitcoin. One area that struggled was the fixed income market, as we saw the Federal Reserve aggressively increase interest rates, driving yields higher and bond prices lower. While this was difficult for bond investors, thankfully, it appears that these interest rate increases are achieving the goal of easing inflation.
Certainly, this year, our most challenging investment category was cannabis. Investors continue to eagerly anticipate federal cannabis reforms. Initially, regulatory changes were expected to occur early in the Biden presidency — given the President’s proclamation during the primaries that he would legalize cannabis for medical use, decriminalize cannabis possession, and release incarcerated non-violent cannabis offenders. When that didn’t occur, cannabis reform hopes shifted to the 2022 lame duck session of Congress as Democrats regained control of the House of Representatives. The legislation that many investors are focused on — the SAFE Banking Act — would make it easier for banks to serve legal cannabis businesses. Currently, due to cannabis’ illegal status at the federal level, it is very difficult for legally operating cannabis companies to find banking support. Unfortunately and despite strong support by the House of Representatives, SAFE Banking legislation was not presented for a Senate vote before the 2023 summer recess. As a result of the Senate’s inaction, we saw a significant decline in the prices of Canadian cannabis stocks and outflows in the AdvisorShares Pure US Cannabis ETF (ticker: MSOS). Thankfully, there is continued work and discussion in Congress focused on federal changes in policy regarding cannabis, and we remain optimistic that we will see those changes soon. However, there is no guarantee that these changes will happen as quickly as we would like, or if at all.
It is important to understand our lineup of ETFs and their underlying investment strategies are a bit unique, and we are not likely to move in tandem with the broader markets. For example, while equity markets rose significantly in the first half of 2023, most of our assets in the trust are focused on cannabis stocks, which resulted in an overall decline in our assets under management. However, given the uniqueness of our investment strategies, we have not seen a meaningful reduction in our outstanding shares. This demonstrates to us that our investors are taking a long-term, optimistic view of our ETF strategies. We are also fortunate to have some of our ETFs rank highly in their respective investment categories, which as we know is not an easy feat for active managers.
While it has been a challenging year for the firm, we remain incredibly thankful to our shareholders and appreciate the trust and confidence you have in us. We wish you nothing but health, happiness, and prosperity.
Sincerest regards,
Noah Hamman
CEO, AdvisorShares Investments
1
ADVISORSHARES TRUST
Letter from the CEO of AdvisorShares Investments, LLC (Continued)
June 30, 2023
Bitcoin is a cryptocurrency, a virtual currency designed to act as money and a form of payment outside the control of any one person, group, or entity, thus removing the need for third-party involvement in financial transactions.
For more information on AdvisorShares ETFs, including performance and holdings, please visit www.advisorshares.com.
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 Advisor’s 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.
The views in this report were those of the Advisor’s CEO as of June 30, 2023, 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 Alpha DNA Equity Sentiment ETF (SENT)
The AdvisorShares Alpha DNA Equity Sentiment ETF’s (ticker: SENT) performance for the 12-month period ended June 30, 2023 was +15.89% (NAV) which is above average for hedged equity focused funds. Hedged equity funds are designed to provide index like returns from long equity and bearish returns from hedges that protect against the downside. When markets go up materially, you expect the hedge to drag the overall returns down. When markets go down, you expect the hedges to offer gains to the portfolio and generate upside potential when compared to the indices.
During the 12-month period ending June 30, 2023, the broad market indices were up. The S&P 500 Index (large cap — market cap weighted), Russell 3000 Index (all cap — market cap weighted), and Russell 2000 Index (small cap — market cap weighted) produced one-year returns ending June 30, 2023 of +19.59%, +18.95%, and +12.31%, respectively. The equal weight S&P 500 Index delivered just over +13.5%, demonstrating how the largest mega-cap companies of the market-cap weighted S&P 500 heavily contributed to performance.
SENT’s equity portfolio is equally weighted and all cap — about 30% large cap, 35% mid-cap, and 35% small cap (with modest periodic changes) — and employs a hedging strategy. For the previous 12 months ending June 30, 2023, SENT outperformed the equal weight S&P 500 and was just below the market-cap weighted S&P 500’s returns due to the cost of SENT’s hedging program.
The hedges employed in SENT’s strategy were particularly expensive during this time frame as the 1st half of 2022 saw a -20% decline in the broad markets, causing volatility to spike and driving up the cost of hedging. The 2nd half also had several months of volatile market performance which kept hedging costs elevated as a result.
The Russell 2000 Index measures the performance of the 2,000 smaller companies included in the Russell 3000 Index.
The Russell 3000 Index measures the performance of the largest 3,000 US companies representing approximately 98% of the investable US equity market.
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period February 2, 2021* to June 30, 2023
3
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||
| Inception | ||||||||
| 1 Year | 2/2/2021* | |||||||
| AdvisorShares Alpha DNA Equity Sentiment ETF NAV | 15.89 | % | -2.05 | % | ||||
| AdvisorShares Alpha DNA Equity Sentiment ETF Market Price** | 16.26 | % | -2.08 | % | ||||
| Russell 3000 Index | 18.95 | % | 5.91 | % | ||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.01% and the net expense ratio is 1.01%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 1.35%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The Russell 3000 Index measures the performance of the largest 3,000 US companies representing approximately 98% of the investable US equity market.
4
ADVISORSHARES TRUST
AdvisorShares Dorsey Wright ADR ETF (AADR)
The AdvisorShares Dorsey Wright ADR ETF (ticker: AADR) finished the fiscal year ended June 30, 2023 behind its benchmark, the MSCI EAFE Index. The latter half of 2022 was especially volatile as markets struggled with slowing growth, high inflation, and geopolitical tensions in Russia/Ukraine. The first half of 2023 was a much better period by comparison, but a pronounced laggard rally (where previously poor performing stocks become x-the new darlings) caused a lag in the portfolio.
The second half of 2022 saw international markets perform solidly despite the issues mentioned above. The portfolio outperformed in Q3 as many of the more defensive names in the portfolio helped as markets declined at the end of the quarter. The market bottomed in October though, and that is when the laggard rally began with developed European equities generating explosive returns as fears revolving around the Russian War began to subside. Laggard rallies are always difficult for a momentum portfolio as we invest in stocks with positive relative strength, while laggards are the opposite. The same situation affected returns in Q1 2023, but we saw signs the portfolio was starting to right itself in Q2 2023 as the portfolio outperformed once again.
Despite the fund’s underperformance, we feel it should be short-lived and that AADR is well positioned as the world settles into the new normal and recently established trends begin to show longevity.
The MSCI EAFE Index is an unmanaged free float-adjusted market capitalization index that is designed to measure the equity market performance of developed markets, excluding the U.S. & Canada.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period June 30, 2013 to June 30, 2023
5
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| 1 Year | 3 Year | 5 Year | 10 Year | |||||||||||||
| AdvisorShares Dorsey Wright ADR ETF NAV | 4.69 | % | -0.75 | % | -0.35 | % | 5.20 | % | ||||||||
| AdvisorShares Dorsey Wright ADR ETF Market Price* | 4.55 | % | -0.61 | % | -0.33 | % | 5.19 | % | ||||||||
| MSCI EAFE Index (Net) | 18.77 | % | 8.93 | % | 4.39 | % | 5.41 | % | ||||||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.00% and the net expense ratio is 1.00%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 1.10%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the Nasdaq and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The MSCI EAFE Index is an unmanaged free float-adjusted market capitalization index that is designed to measure the equity market performance of developed markets, excluding the U.S. & Canada. One cannot invest directly in an index.
6
ADVISORSHARES TRUST
AdvisorShares Dorsey Wright FSM All Cap World ETF (DWAW)
During the fiscal year ended June 30, 2023, the AdvisorShares Dorsey Wright FSM All Cap World ETF (ticker: DWAW) lagged its benchmark, the MSCI ACWI Index. Much of the underperformance took place in the first quarter of 2023 as growth, an area DWAW underweighted entering the year, vastly outpaced value. In May, DWAW adjusted its growth position to take advantage of the high relative strength in large cap growth and picked up non-US developed market exposure. The strong start by international developed equities slowed in the second quarter which dragged down DWAW despite the fund picking up large cap growth in May. Most momentum and relative strength strategies have struggled so far in 2023 due to the quick change in leadership that began in late 2022 and became more entrenched early in 2023.
There has been plenty of commentary on the narrowness of market performers this year with just a few names producing most of the major indices’ returns this year. These names also happened to be some of the biggest losers in 2022, so relative strength strategies like DWAW had little to no exposure entering 2023.
Looking ahead, the growth theme has shown no sign of slowing down yet. However, there are still worries that the reliance on so few names, coupled with exceptionally strong performances, will not be able to carry over into the second half. Nonetheless, the market has begun to broaden out on the domestic front over the last month and a half which is a welcome sign moving forward. Even though DWAW picked up some international exposure, it did it at a time when relative strength had peaked. It would not be a shock if this was changed in August, the next evaluation period, if the most recent trends persist.
The MSCI All Country World Index (Net) is an unmanaged free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period December 26, 2019* to June 30, 2023
7
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||||||
| Inception | ||||||||||||
| 1 Year | 3 Year | 12/26/2019* | ||||||||||
| AdvisorShares Dorsey Wright FSM All Cap World ETF NAV | 4.63 | % | 4.74 | % | 7.38 | % | ||||||
| AdvisorShares Dorsey Wright FSM All Cap World ETF Market Price** | 4.71 | % | 4.77 | % | 7.40 | % | ||||||
| MSCI All Country World Index (ACWI) | 16.53 | % | 10.99 | % | 7.32 | % | ||||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.28% and the net expense ratio is 1.28%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the Nasdaq and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The MSCI All Country World Index (Net) is an unmanaged free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. One cannot invest directly in an index.
8
ADVISORSHARES TRUST
AdvisorShares Dorsey Wright FSM US Core ETF (DWUS)
During the fiscal year ended June 30, 2023, the AdvisorShares Dorsey Wright FSM U.S. Core ETF (ticker: DWUS) lagged its benchmark, the S&P 500 Index. Much of the underperformance took place in the first quarter of 2023 as growth, an area DWUS was underweight, vastly outpaced value. In May, DWUS adjusted its growth position to take advantage of the high relative strength in large cap growth. Most momentum and relative strength strategies have struggled so far in 2023 due to the quick change in leadership that began in late 2022 and became more entrenched early in 2023.
There has been plenty of commentary on the narrowness of market performers this year with just a few names producing most of the major indices’ returns this year. These names also happened to be some of the biggest losers in 2022, so relative strength strategies like DWUS had little to no exposure to them entering 2023. This dampened DWUS’s performance going into 2023. However, the portfolio adjusted and added exposure to the new strength in growth that led DWUS to perform much better in the second quarter.
Looking ahead, the growth theme has shown no signs of slowing down yet. However, there are still worries that the reliance on so few names, coupled with exceptionally strong performances, will not be able to carry over into the second half. Nonetheless, the market has begun to broaden over the last month and a half, which is a welcome sign moving forward. While returns may not be as strong as they were in the first half, there have not been any signs that stocks will reverse significantly lower, giving a cautiously optimistic picture for the rest of the year.
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period December 26, 2019* to June 30, 2023
9
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||||||
| Inception | ||||||||||||
| 1 Year | 3 Year | 12/26/2019* | ||||||||||
| AdvisorShares Dorsey Wright FSM US Core ETF NAV | 15.38 | % | 10.69 | % | 11.90 | % | ||||||
| AdvisorShares Dorsey Wright FSM US Core ETF Market Price** | 15.61 | % | 10.74 | % | 11.88 | % | ||||||
| S&P 500 Index | 19.59 | % | 14.60 | % | 11.27 | % | ||||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.17% and the net expense ratio is 1.17%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the Nasdaq and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
10
ADVISORSHARES TRUST
AdvisorShares Dorsey Wright Short ETF (DWSH)
The AdvisorShares Dorsey Wright Short ETF (ticker: DWSH) finished the fiscal year ended June 30, 2023, ahead of its benchmark, the inverse of the S&P 500 Index. The market was close to a bottom at the start of the fiscal year but managed to end the year higher despite the bear market in US equities in 2022.
In the second half of 2022, US Equity markets rose slightly, but endured high volatility as the bear market searched for a bottom. This kind of volatility is tough for a relative strength strategy, and thus we saw the portfolio underperform during this time as leadership changed after the October bottom. In the first half of 2023, our shorts were able to lose less than the S&P 500 gained. Much of this came from shorting high-profile decliners such as Silicon Valley Bank and Signature Bank.
Our asset class rankings show a much-improved picture for equities in 2023, meaning the short fund will have a tougher time going forward, but we still feel like the use of the product as a hedge continues to remain attractive when needed as relative strength can guide the portfolio toward individual names showing pronounced weakness and thus potential outperformance.
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period July 10, 2018* to June 30, 2023
11
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||||||
| Inception | ||||||||||||
| 1 Year | 3 Year | 7/10/2018* | ||||||||||
| AdvisorShares Dorsey Wright Short ETF NAV | -16.31 | % | -23.13 | % | -18.94 | % | ||||||
| AdvisorShares Dorsey Wright Short ETF Market Price** | -16.27 | % | -23.26 | % | -18.99 | % | ||||||
| S&P 500 Index | 19.59 | % | 14.60 | % | 11.75 | % | ||||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 2.69% and the net expense ratio is 2.69%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 1.25%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the Nasdaq and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
12
ADVISORSHARES TRUST
AdvisorShares Dorsey Wright Small Company ETF (DWMC)
The AdvisorShares Dorsey Wright Small Company ETF (ticker: DWMC) finished the fiscal year ended June 30, 2023, ahead of its benchmark, the Russell Micro-Cap Index. Although returns were positive, the path to achieving those returns was fraught with peril. Small/Micro cap stocks were some of the worst hit areas during the many declines, but relative strength was able to guide us toward names that outperformed.
Microcaps rallied strongly off the June 2022 bottom with indications we were heading into a new bull market. It can be tough for a relative strength strategy to perform well off a market bottom as leadership typically changes, and because of that we saw DWMC lag the benchmark during the rally. The September/October decline though was a continuation of the previous downtrend established earlier in the year, and DWMC was able to outperform during the decline as less sensitive areas of the market held up better. Luckily, the October lows proved more durable, and the ensuing rally saw DWMC outpace the benchmark through February 2023. The Silicon Valley Bank collapse in March, though, hit the space especially hard and sent it to new lows by May. Once again though, DWMC bested the benchmark as it was less exposed to some of the harder hit areas.
Given stretched consumer sentiment, we feel the prospects for micro-cap stocks continue to be strong despite the bear market. Valuations for smaller stocks continue to be attractive relative to large caps, with a large valuation gap between the smallest and largest companies. This can persist for long periods but doesn’t last forever. We believe the fund is well-positioned to capitalize on a narrowing valuation gap when it comes.
The Russell Micro-Cap Index measures the performance of the micro cap segment of the U.S. equity market. It includes 1,000 of the smallest securities in the Russell 2000 Index based on a combination of their market cap and current index membership and it also includes up to the next 1,000 stocks.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period July 10, 2018* to June 30, 2023
13
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||||||
| Inception | ||||||||||||
| 1 Year | 3 Year | 7/10/2018* | ||||||||||
| AdvisorShares Dorsey Wright Small Company ETF NAV | 7.94 | % | 15.61 | % | 5.76 | % | ||||||
| AdvisorShares Dorsey Wright Small Company ETF Market Price** | 8.96 | % | 16.21 | % | 5.78 | % | ||||||
| Russell Micro-Cap Index | 6.63 | % | 9.09 | % | 1.52 | % | ||||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.95% and the net expense ratio is 1.95%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 1.25%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the Nasdaq and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The Russell Micro-Cap Index measures the performance of the micro cap segment of the U.S. equity market. It includes 1,000 of the smallest securities in the Russell 2000 Index based on a combination of their market cap and current index membership and it also includes up to the next 1,000 stocks.
14
ADVISORSHARES TRUST
AdvisorShares Focused Equity ETF (CWS)
For the 12 months ended June 30, 2023, the AdvisorShares Focused Equity ETF (ticker: CWS) gained 27.59% (NAV) and 28.10% (market price).
CWS’s performance was greatly helped by the overall market’s turn towards caution. The initial burst of bullish sentiment following COVID-19 gradually gave way to a more conservative and skeptical market. This worked in favor of CWS. The fund was also aided by the generally conservative and high-quality stocks it holds. The portfolio is purposely designed for long-term performance. As such, the near-term fluctuations in the market don’t have a major impact on our investing results. The fund benefited greatly from the overall market’s rally since its low in October 2022. Many of CWS’s holdings have rallied 20% or 30%, and a few have gained much more.
We continue to be optimistic for the fund. A slowing economy in 2024 would have little impact on many of CWS’s holdings since they generally have a defensive posture. Also, most of the holdings have very strong balance sheets that should help them weather whatever comes their way. We’ve designed CWS so that it holds firms we see as having lasting competitive advantages.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period September 20, 2016* to June 30, 2023
15
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||||||||||
| Inception | ||||||||||||||||
| 1 Year | 3 Year | 5 Year | 9/20/2016* | |||||||||||||
| AdvisorShares Focused Equity ETF NAV | 27.59 | % | 14.93 | % | 11.90 | % | 12.63 | % | ||||||||
| AdvisorShares Focused Equity ETF Market Price** | 28.10 | % | 15.90 | % | 11.96 | % | 12.68 | % | ||||||||
| S&P 500 Index | 19.59 | % | 14.60 | % | 12.31 | % | 13.45 | % | ||||||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.09% and the net expense ratio is 1.09%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding the range from 0.65% to 0.85%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
16
ADVISORSHARES TRUST
AdvisorShares Gerber Kawasaki ETF (GK)
The AdvisorShares Gerber Kawasaki ETF (ticker: GK) had very respectable performance for the fiscal year ended June 30, 2023, after completing the bear market cycle. Hitting a new low in December 2022, the fund rebounded dramatically over the last six months, producing positive returns for shareholders for the fiscal year and a dividend paid from income generated from our investments. GK recovered value rapidly: in the first six months of 2023 the fund achieved a 20% return (NAV) which handily beat the S&P 500 Index. Unfortunately, during 2022, growth investments were hammered which included GK and our investment in the consumer, technology, and climate sectors. This trend reversed itself in 2023: these sectors are outperforming and GK’s portfolio investments have done well, as we would expect in a positive economic environment.
In particular, we witnessed a complete turnaround in securities like NVIDIA and Tesla which are top holdings of the fund. In 2022, these stocks lost tremendous value, but have since gained it back in 2023. We’ve seen similar trends in the various sectors that we are invested in.
We are hopeful that in the new economic cycle GK will continue its outperformance as it has in the last six months. During the remainder of 2023, our goal is to recover the value lost by GK in the market decline of 2022. We believe our focus on AI and technology, climate change investments, and the consumer will pay off for our shareholders over the long term and we remain more confident than ever in our multi thematic investment approach. Thank you for your patience during the bear market of 2022. We are excited about the new bull cycle that began in 2023 that, hopefully, will continue for some time.
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period July 2, 2021* to June 30, 2023
17
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||
| Inception | ||||||||
| 1 Year | 7/2/2021* | |||||||
| AdvisorShares Gerber Kawasaki ETF NAV | 11.21 | % | -14.81 | % | ||||
| AdvisorShares Gerber Kawasaki ETF Market Price** | 11.09 | % | -14.82 | % | ||||
| S&P 500 Index | 19.59 | % | 3.12 | % | ||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.43% and the net expense ratio is 1.43%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.75%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
18
ADVISORSHARES TRUST
AdvisorShares Hotel ETF (BEDZ)
The AdvisorShares Hotel ETF (ticker: BEDZ) was launched in the Spring of 2021. During the past fiscal year (July 1, 2022, to June 30, 2023), the Fund achieved a return of +29.33% (NAV), outperforming the S&P 500 Index. BEDZ’s performance closely aligns with the success of the hotel industry, which plays a crucial role in the global travel and tourism sector. This industry encompasses various types of accommodations, including luxury hotels, resorts, budget hotels, boutique hotels, and more. The hotel industry is significantly influenced by economic conditions, travel trends, technological advancements, and global events. Despite concerns of a potential recession, growth has been driven by the strong desire to travel post-pandemic and an increase in corporate travel. Investors considering a focused fund within this industry should have a long-term perspective.
We maintain an optimistic outlook on the future growth of the hotel and travel sector as the world gradually returns to a more normal business travel environment. While we hold a positive view of the overall hotel industry, BEDZ aims to achieve relative outperformance through careful selection of individual securities within the hotel sector and related areas, supported by effective trading techniques.
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period April 20, 2021* to June 30, 2023
19
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||
| Inception | ||||||||
| 1 Year | 4/20/2021* | |||||||
| AdvisorShares Hotel ETF NAV | 29.33 | % | 2.20 | % | ||||
| AdvisorShares Hotel ETF Market Price** | 29.49 | % | 2.15 | % | ||||
| S&P 500 Index | 19.59 | % | 5.05 | % | ||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.33% and the net expense ratio is 1.33%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
20
ADVISORSHARES TRUST
AdvisorShares Insider Advantage ETF (SURE)
The AdvisorShares Insider Advantage ETF (ticker: SURE) was launched in September 2022.* Through June 30, 2023, SURE had 10 months of performance, with a return of 11.38% (NAV) since its inception. The fund’s performance tracks a basket of companies actively repurchasing their outstanding stock and/or paying dividends. With the pace of new stock buybacks and dividends remaining stable, SURE provides investors with a compelling opportunity to capitalize on these shareholder-friendly practices. SURE’s portfolio holds companies that we believe have displayed a commitment to returning value to their shareholders, indicating a strong financial position and management’s confidence in future growth prospects.
Despite a new 1% U.S. federal tax on them, share buybacks set a worldwide record of $1.3 trillion in 2022. And this growth does not appear to be an isolated event: buybacks have nearly tripled in value since 2012. This trend indicates that the management teams of these companies are confident in their growth strategies and believe that returning capital to shareholders is an effective way to demonstrate that confidence. As such, investors who are seeking both stability and the potential for increased returns may find this fund appealing, given its attractive combination of buybacks and dividends from companies with strong fundamentals and a shareholder-friendly approach. We maintain an optimistic outlook for SURE.
| * | On September 1, 2022, the AdvisorShares DoubleLine Value Equity ETF (DBLV) was renamed the AdvisorShares Insider Advantage ETF. DBLV had different portfolio managers and investment strategy than the AdvisorShares Insider Advantage ETF. |
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period June 30, 2013 to June 30, 2023
21
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| 1 Year | 3 Year | 5 Year | 10 Year | |||||||||||||
| AdvisorShares Insider Advantage ETF NAV | 12.78 | % | 14.33 | % | 8.38 | % | 9.86 | % | ||||||||
| AdvisorShares Insider Advantage ETF Market Price* | 12.95 | % | 14.38 | % | 8.38 | % | 9.84 | % | ||||||||
| Russell 1000 Value Total Return | 11.54 | % | 14.30 | % | 8.11 | % | 9.22 | % | ||||||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 0.96% and net expense ratio is 0.96%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.90%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The Russell 1000 Value Total Return Index measures the performance of the large-cap value segment of the U.S. equity market. It includes those Russell 1000 companies with lower price-to-book ratios and lower expected and historical growth rates.
22
ADVISORSHARES TRUST
AdvisorShares Let Bob AI Powered Momentum ETF (LETB)
The AdvisorShares Let Bob AI Momentum ETF (ticker: LETB) finished the fiscal year ended June 30,2023 with a return of -0.36% (market). We maintained a defensive cash position for most of this time frame, as LETB’s tactical investment strategy uses macro technical analysis to identify asset classes expected to perform well in upward trending markets.
Overall, the stock market was very volatile during the fiscal year. The Federal Reserve tightened monetary policy as inflation rose, reaching a 40-year high. The Fed’s unprecedented series of interest rate increases sent stocks into a bear market. The war in Ukraine also led to supply chain disruptions and higher energy prices throughout the global economy.
Investor concerns over rising interest rates, slowing economic growth, and persistently high inflation have subsided in recent months. Markets have started off strong, with the Fed leaving rates unchanged for the first time since March 2022. If the current market conditions persist, we expect LETB’s investment model to continue to signal us to seek opportunities in high momentum names.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period February 9, 2022* to June 30, 2023
23
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||
| Inception | ||||||||
| 1 Year | 2/9/2022* | |||||||
| AdvisorShares Let Bob AI Powered Momentum ETF NAV | -0.50 | % | -5.42 | % | ||||
| AdvisorShares Let Bob AI Powered Momentum ETF Market Price** | -0.36 | % | -5.43 | % | ||||
| S&P 500 Index | 19.59 | % | 0.57 | % | ||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.56% and the net expense ratio is 1.56%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
24
ADVISORSHARES TRUST
AdvisorShares MSOS 2x Daily ETF (MSOX)
The AdvisorShares MSOS 2X Daily ETF (ticker: MSOX) launched August 23, 2022. The Fund seeks to provide two times (2x) the daily exposure of the AdvisorShares Pure US Cannabis ETF (MSOS) in a single trade and is designed for sophisticated investors looking to gain magnified exposure to the U.S. cannabis sector. Since its inception through June 30, 2023, MSOX had a return of -87.08% (NAV).
Due to its exclusive emphasis on the United States and use of leverage, the MSOX is particularly vulnerable to volatility arising from U.S. cannabis legislation and potential modifications to such laws. The Fund’s future performance is anticipated to be influenced by the ongoing expansion of state-by-state cannabis sales in the U.S., and it may also be significantly impacted by expected reforms in federal cannabis laws.
Given the current price levels, we maintain a strongly optimistic outlook on the U.S. cannabis market and the likelihood of favorable changes in U.S. federal cannabis regulations.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period August 24, 2022* to June 30, 2023
25
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||
| Inception | ||||
| 8/24/2022* | ||||
| AdvisorShares MSOS 2x Daily ETF NAV | -87.08 | % | ||
| AdvisorShares MSOS 2x Daily ETF Market Price** | -86.96 | % | ||
| S&P 500 Index | 9.39 | % | ||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.12% and net expense ratio is 1.12%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.95%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
26
ADVISORSHARES TRUST
AdvisorShares Newfleet Multi-Sector Income ETF (MINC)
The AdvisorShares Newfleet Multi-Sector Income ETF (ticker: MINC) posted a return of 1.36%, based on NAV and 1.33%, based on market price as compared to -0.94% for the Bloomberg U.S. Aggregate Bond Index and 0.21% for the BofA Merrill lynch 1-5 Year U.S. Corporate & Government Bond Index for the 1-year period ended June 30, 2023.
Global central banks continued to fight inflation during the second half of 2022 with a series of unusually large policy rate increases. 2023 has been a year of transition. China’s transition from a strict zero-COVID policy to a more broad reopening of its economy brought stronger initial economic data releases that later faded, with new calls for stimulus emerging by the end of the period. In the U.S., we saw the Federal Reserve (Fed) in transition as it opted to hold its federal funds rate steady for the first time in more than a year after raising the target rate at every meeting since March of 2022. Economic growth is transitioning towards a slower pace in some parts of the world and proving more resilient in others. Unfortunately, we have yet to witness a transition towards peace in Eastern Europe. Financial markets continue to take most of these transitions in stride and seem to be embracing the view that any pain related to these changes would be shallow and short-lived. Washington was able to put its differences aside temporarily to address the U.S. debt ceiling, and the stresses in the banking system that emerged at the end of the first quarter have largely abated. Though this is certainly welcome news, it warrants monitoring.
During the one-year period, MINC’s underweight to U.S. Treasuries and allocation to bank loans contributed to the outperformance for the period. A solid technical driven by limited loan supply, hawkish Fed comments and solid economic numbers are resetting rate expectations higher and pushing out recession expectations further into the future. Allocation to and issue selection within asset backed securities had a positive impact on performance. Though a low unemployment rate, high number of job openings, and wage gains mitigate the effects of higher rates on the consumer, excess savings have come down significantly. Issue selection within investment grade corporate bonds positively contributed to performance primarily driven by the Fund’s overweight to BBB securities which outperformed versus higher quality bonds within the sector. The Fund’s higher quality bias within corporate high yield bonds and issue selection within non-agency mortgage-backed securities (RMBS) detracted from performance. The rapid move higher in rates extended the average lives of certain RMBS due to much slower prepayments.
MINC’s multi-sector relative value approach enables the ETF to take advantage of opportunities when events that trigger volatility, such as inflation worries or concerns around the banking industry, affect valuations. In the current environment, we believe some of the best total return and yield opportunities can be found in spread sectors. However, given the risk of a recession, the Fund’s exposure to spread sectors that would typically be more negatively impacted, such as corporate high yield and bank loans, are at historically low levels. Credit selection and positioning remain key. Specific sectors that demonstrate the best relative value for us include out-of-index/off-the-run asset-backed securities (ABS), non-agency RMBS and BBB-rated corporate investment grade bonds.
The Bloomberg U.S. Aggregate Bond Index measures the performance of the U.S. investment grade bond market.
The BofA Merrill Lynch 1-5 Year U.S. Corporate & Government Bond Index tracks the performance of US dollar denominated investment grade debt publicly issued in the US domestic market, including US Treasury, US agency, foreign government, supranational and corporate securities, with a remaining term to final maturity less than 5 years, calculated on a total return basis.
27
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period June 30, 2013 to June 30, 2023
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| 1 Year | 3 Year | 5 Year | 10 Year | |||||||||||||
| AdvisorShares Newfleet Multi-Sector Income ETF NAV | 1.36 | % | -0.24 | % | 1.12 | % | 1.67 | % | ||||||||
| AdvisorShares Newfleet Multi-Sector Income ETF Market Price* | 1.33 | % | -0.27 | % | 1.14 | % | 1.67 | % | ||||||||
| Bloomberg U.S. Aggregate Bond Index | -0.94 | % | -3.96 | % | 0.77 | % | 1.52 | % | ||||||||
| BofA Merrill Lynch 1-5 Year U.S. Corporate & Government Bond Index | 0.21 | % | -1.51 | % | 1.18 | % | 1.18 | % | ||||||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 0.76% and net expense ratio is 0.76%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.75%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The Bloomberg U.S. Aggregate Bond Index measures the performance of the U.S. investment grade bond market. One cannot invest directly in an index.
The BofA Merrill Lynch 1-5 Year U.S. Corporate & Government Bond Index tracks the performance of US dollar denominated investment grade debt publicly issued in the US domestic market, including US Treasury, US agency, foreign government, supranational and corporate securities, with a remaining term to final maturity less than 5 years, calculated on a total return basis. One cannot invest directly in an index.
28
ADVISORSHARES TRUST
AdvisorShares Poseidon Dynamic Cannabis ETF (PSDN)
The AdvisorShares Poseidon Dynamic Cannabis ETF (ticker: PSDN) launched in November of 2021. During the fiscal year ended June 30, 2023, while its performance has been negative, PSDN has experienced new share creations of nearly $1 million of inflows. These inflows were despite incredibly challenging times in cannabis and broader markets. PSDN can actively use moderate levels of leverage, at portfolio management’s discretion, and had an average leverage position of 1.08% during the fiscal year.
The cannabis sector largely peaked in February 2021 and has been mostly negative for 18 months through June 30, 2023. It is our belief that most of the initial decline was attributable to overly optimistic expectations. Declines over the last year are likely from a dwindling of custody access that caused forced selling coupled with continued investor expectations of federal reform, which has failed to materialize. As a result, analyst and investor expectations have repriced lower along with lowering guidance through 2024.
As we enter the second half of 2023, we do not expect any meaningful federal progress on cannabis reform. Our focus remains on more of a bottom-up approach driven by portfolio companies’ management execution, capital allocation, and unlocking profitable growth organically and through strategic merger and acquisition.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period November 17, 2021* to June 30, 2023
29
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||
| Inception | ||||||||
| 1 Year | 11/17/2021* | |||||||
| AdvisorShares Poseidon Dynamic Cannabis ETF NAV | -54.11 | % | -74.08 | % | ||||
| AdvisorShares Poseidon Dynamic Cannabis ETF Market Price** | -53.88 | % | -73.99 | % | ||||
| S&P 500 Index | 19.59 | % | -1.72 | % | ||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 2.59% and the net expense ratio is 2.59%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
30
ADVISORSHARES TRUST
AdvisorShares Psychedelics ETF (PSIL)
The AdvisorShares Psychedelics ETF (ticker: PSIL) was launched on September 15, 2021. The Fund recorded a return of -26.55% (NAV) for the fiscal year ended June 30, 2023. Since its inception, the Fund’s performance has been volatile and predominantly negative. This can be attributed to the fact that the psychedelics market is relatively new and highly concentrated, consisting mainly of micro-cap securities.
Given the nature of the industry, extreme volatility should be expected. The psychedelic sector primarily comprises biotech and pharmaceutical companies focused on mental health. The value of these companies is primarily derived from their intellectual property and drug or treatment pipelines.
Despite the negative performance observed in the past year, we believe psychedelics hold significant potential for long-term investors who are aware of the risks associated with this emerging and nascent industry.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period September 16, 2021* to June 30, 2023
31
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||
| Inception | ||||||||
| 1 Year | 9/16/2021* | |||||||
| AdvisorShares Psychedelics ETF NAV | -26.55 | % | -60.74 | % | ||||
| AdvisorShares Psychedelics ETF Market Price** | -28.45 | % | -60.52 | % | ||||
| S&P 500 Index | 19.59 | % | 1.23 | % | ||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 3.11% and the net expense ratio is 3.11%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
32
ADVISORSHARES TRUST
AdvisorShares Pure Cannabis ETF (YOLO)
The AdvisorShares Pure Cannabis ETF (ticker: YOLO) experienced negative returns during the previous fiscal year, which is reflective of the overall performance of the cannabis sector. From July 1, 2022, to June 30, 2023, YOLO recorded a return of -50.63% (NAV). Following the U.S. elections in February 2021, cannabis stocks reached a peak but have since faced a long decline. This was due to the market’s expectation of some form of cannabis legalization, which has been slow to materialize at the federal level.
It’s important to note that as a specialty sector, cannabis stocks often exhibit low correlation with the broader market. Despite the ongoing sell-off and underperformance in the past year and beyond, we maintain a positive long-term outlook for the cannabis market. We believe the current under-valued prices present growth opportunities, and we anticipate significant legislative reform and market development within the cannabis industry. Many investors believe that the industry’s success hinges on federal law reform in the United States. Given the nature of the cannabis industry, high volatility should be anticipated.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period April 17, 2019* to June 30, 2023
33
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||||||
| Inception | ||||||||||||
| 1 Year | 3 Year | 4/17/2019* | ||||||||||
| AdvisorShares Pure Cannabis ETF NAV | -50.63 | % | -35.40 | % | -39.37 | % | ||||||
| AdvisorShares Pure Cannabis ETF Market Price** | -50.54 | % | -35.37 | % | -39.91 | % | ||||||
| S&P 500 Index | 19.59 | % | 14.60 | % | 12.62 | % | ||||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.02% and net expense ratio is 1.02%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.74%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
34
ADVISORSHARES TRUST
AdvisorShares Pure US Cannabis ETF (MSOS)
The AdvisorShares Pure US Cannabis ETF (ticker: MSOS) launched in September 2020. The Fund recorded a return of -47.04% (NAV) for the fiscal year ended June 30, 2023. Being a focused U.S.-only cannabis fund, MSOS’s performance has been highly volatile since its inception. The decline in cannabis stocks, collectively, can be attributed to slower-than-expected developments in U.S. cannabis law reforms, following a peak in February 2021. The absence of Federal cannabis reform has various impacts on U.S. cannabis stock prices as they trade mostly on secondary exchanges in Canada and over the counter (OTC) in the U.S. and with limited availability for trading in U.S. bank and brokerage firms.
Given its complete focus on the U.S., MSOS is particularly susceptible to volatility stemming from U.S. cannabis laws and potential changes to those laws. Future performance of MSOS is expected to be influenced by the continued growth of state-by-state U.S. cannabis sales and could be significantly affected by anticipated Federal reforms in cannabis laws.
Considering the current price levels, we hold a strong optimistic view on the U.S. cannabis market and the likelihood of positive changes in U.S. Federal laws pertaining to cannabis.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period September 1, 2020* to June 30, 2023
35
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||
| Inception | ||||||||
| 1 Year | 9/1/2020* | |||||||
| AdvisorShares Pure US Cannabis ETF NAV | -47.04 | % | -41.48 | % | ||||
| AdvisorShares Pure US Cannabis ETF Market Price** | -46.48 | % | -41.22 | % | ||||
| S&P 500 Index | 19.59 | % | 10.29 | % | ||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 0.81% and net expense ratio is 0.81%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.74%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
36
ADVISORSHARES TRUST
AdvisorShares Q Dynamic Growth ETF (QPX)
For the twelve-month period ended in June 2023, the AdvisorShares Q Dynamic Growth ETF (ticker: QPX) finished ahead its benchmark, the S&P 500 Index.
The previous twelve months were a banner year in terms of risk management. Virtually all available long-only diversification allocations failed due to liquidity being drained by the Federal Reserve. There was no ‘black-swan’ event either, thus QPX’s proprietary Q Implied Volatility Index™ (QIX)* did not trigger a tactical rebalance towards a defensive allocation. As a result, the QIX was revised in 2023 to include a third ‘partial risk-off’ trigger.
Throughout the period, QPX continued a heavy weighting to large-cap stocks and the technology sector, as this exposure has a significantly higher risk/reward characteristics (as well as the opportunity for asymmetric bets) than other segments of the market. QPX’s investment strategy is purely quantitative in nature and portfolio allocations will reflect what is perceived to be the best long-term risk/reward sectors per QPX’s model.
| * | The QIX is a proprietary indicator designed to tactically and unemotionally identify market volatility. QIX is reviewed daily and determines certain allocation changes. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period December 28, 2020* to June 30, 2023
37
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||
| Inception | ||||||||
| 1 Year | 12/28/2020* | |||||||
| AdvisorShares Q Dynamic Growth ETF NAV | 29.37 | % | 5.36 | % | ||||
| AdvisorShares Q Dynamic Growth ETF Market Price** | 29.44 | % | 5.36 | % | ||||
| S&P 500 Index | 19.59 | % | 8.94 | % | ||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.37% and net expense ratio is 1.37%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 1.45%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
38
ADVISORSHARES TRUST
AdvisorShares Ranger Equity Bear ETF (HDGE)
For the fiscal year ended June 30, 2023, the performance of the AdvisorShares Ranger Equity Bear ETF (ticker: HDGE) was -28.99% (NAV) compared with +19.59% for the S&P 500 Index. The period was characterized by extreme volatility. Interest rates had a historical move from a level of zero and a bear market was followed by a tremendous rally. However, we believe this rally is running out of steam.
Volatility as measured by the Cboe Market Volatility Index (VIX) has subsided to near historical lows. The level of bulls among advisors has crept into extreme levels. Earnings estimates have been declining and earnings growth has been dismal. Margin expansion has been a key driver of earnings growth and margin expansion is ultimately limited. Meanwhile, as interest rates have risen, they have converged with the forward earnings yield with equities. Historically, this convergence had led to poor stock market returns over time.
Our outlook for the next twelve months is very bearish, and HDGE’s goal is to benefit from maximum damage in the equity markets both in terms of portfolio exposure and beta.
The Cboe Volatility Index (“VIX®) is based on real-time prices of options on the S&P 500 Index and is designed to reflect investors’ consensus view of future (30-day) expected stock market volatility.
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period June 30, 2013 to June 30, 2023
39
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| 1 Year | 3 Year | 5 Year | 10 Year | |||||||||||||
| AdvisorShares Ranger Equity Bear ETF NAV | -28.99 | % | -22.48 | % | -21.90 | % | -17.84 | % | ||||||||
| AdvisorShares Ranger Equity Bear ETF Market Price* | -29.19 | % | -22.44 | % | -21.85 | % | -17.83 | % | ||||||||
| S&P 500 Index | 19.59 | % | 14.60 | % | 12.31 | % | 12.86 | % | ||||||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) and net expense ratio is 4.29%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 1.85%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
40
ADVISORSHARES TRUST
AdvisorShares Restaurant ETF (EATZ)
The AdvisorShares Restaurant ETF (ticker: EATZ) was launched in April 2021. During the past fiscal year (July 1, 2022 to June 30, 2023), the Fund achieved a return of +30.59% (NAV). Throughout the past twelve months, EATZ surpassed the overall market performance, driven by the restaurant sector’s resilience and ongoing recovery, despite encountering challenges such as labor shortages and increasing costs. In this dynamic landscape, success in the restaurant industry hinges on adapting to evolving consumer preferences, integrating technology, and prioritizing sustainability. EATZ is designed for long-term investors who possess a forward-looking perspective.
We hold an optimistic outlook regarding the future growth prospects of the restaurant industry, particularly as global economic conditions improve, and issues related to employment and supply chain stability are resolved.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period April 20, 2021* to June 30, 2023
41
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||
| Inception | ||||||||
| 1 Year | 4/20/2021* | |||||||
| AdvisorShares Restaurant NAV | 30.59 | % | -4.74 | % | ||||
| AdvisorShares Restaurant ETF Market Price** | 30.95 | % | -4.72 | % | ||||
| S&P 500 Index | 19.59 | % | 5.05 | % | ||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 2.11% and the net expense ratio is 2.11%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
42
ADVISORSHARES TRUST
AdvisorShares STAR Global Buy-Write ETF (VEGA)
The AdvisorShares STAR Global Buy-Write ETF (ticker: VEGA) performed relatively well during the past fiscal year ended June 30, 2022, with a return of 10.60% (NAV), especially, given the lackluster performance of the fixed-income markets and generally poor market conditions in Q3 2022.
During the previous 12 months, VEGA completed a few tactical shifts, most notably in Q1 2023, when, following the collapse of regional banks, we increased our exposure to U.S. Treasuries, mortgage-backed securities, and developed and emerging market equities, while reducing our allocation to high yield fixed income and small cap equities.
For the past year, VEGA continued to sell covered calls and purchase protective puts. In September and October 2022 we were able to take advantage of the increased volatility by selling and closing calls multiple times to lock in the total premium income received on these option contracts. And, in Q1 2023, all the monthly calls sold during the first quarter expired worthless once again which added an additional source of alternative income to the bottom line. Also, due to the large decrease in market volatility, we began lowering our option coverage on VEGA’s underlying portfolio positions from where we were in Q4 2022. As a reminder, option coverage decreases when the premium received and out-of-moneyness of the targeted strike price warrants allowing more potential upside of the underlying security. This proved advantageous and allowed VEGA to participate in more of the market’s upside movement than would have been possible had more covered call coverage been in place. Protective puts were also employed to help buffer a potential substantial drop in the market; however, at this time since markets have moved upward, that amount of protection has decreased.
Going forward, we continue to emphasize harnessing volatility through VEGAs’ covered calls and protective puts strategies to help reduce the risk of the underlying portfolio.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period June 30, 2013 to June 30, 2023
43
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| 1 Year | 3 Year | 5 Year | 10 Year | |||||||||||||
| AdvisorShares STAR Global Buy-Write ETF NAV | 10.60 | % | 6.22 | % | 4.67 | % | 5.22 | % | ||||||||
| AdvisorShares STAR Global Buy-Write ETF Market Price* | 10.54 | % | 6.16 | % | 4.66 | % | 5.21 | % | ||||||||
| MSCI All Country World Index (Net) | 16.53 | % | 10.99 | % | 8.10 | % | 8.75 | % | ||||||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the einvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 2.00% and the net expense ratio is 2.00%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 1.85%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The MSCI All Country World Index (Net) is an unmanaged free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. One cannot invest directly in an index.
44
ADVISORSHARES TRUST
AdvisorShares Vice ETF (VICE)
During the past fiscal year (July 1, 2022 to June 30, 2023), The AdvisorShares Vice ETF (ticker: VICE) delivered a return of +15.24% (NAV), slightly trailing the performance of the broader market, as indicated by the S&P 500 Index. When considering investments in sectors such as alcohol and tobacco, we typically expect these industries to exhibit lower volatility and stronger resilience in negative markets, as consumers tend to maintain their consumption of these goods and services despite rising prices. Key players in the alcohol, tobacco, and gaming industries continue to prioritize product innovation, market expansion, and adaptation to evolving consumer preferences.
As of mid-2023, with the overall market remaining unpredictable due to factors like inflation, supply chain disruptions, and employment issues, we believe that stocks associated with alcohol, gaming, entertainment, and other vice-oriented sectors remain attractive and possess qualities that are resistant to market fluctuations. We anticipate that VICE will demonstrate less volatility compared to the overall market, and certain vice-oriented stocks are expected to offer positive growth regardless of broader market conditions. While the Fund’s performance is closely tied to the areas of alcohol, gambling, online gaming, and food, we aim to achieve relative outperformance through effective individual security selection and successful trading techniques.
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.
HYPOTHETICAL GROWTH OF $10,000 INVESTMENT
For the period December 12, 2017* to June 30, 2023
45
HISTORICAL PERFORMANCE
Total Return as of June 30, 2023
| Since | ||||||||||||||||
| Inception | ||||||||||||||||
| 1 Year | 3 Year | 5 Year | 12/12/2017* | |||||||||||||
| AdvisorShares VICE ETF NAV | 15.24 | % | 9.16 | % | 3.86 | % | 3.95 | % | ||||||||
| AdvisorShares VICE ETF Market Price** | 15.58 | % | 9.19 | % | 3.80 | % | 3.95 | % | ||||||||
| S&P 500 Index | 19.59 | % | 14.60 | % | 12.31 | % | 11.64 | % | ||||||||
Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.64% and the net expense ratio is 1.64%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.
| * | Commencement of operations. | |
| ** | The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund. |
The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.
46
Shareholder Expense Examples (unaudited)
As a shareholder of a Fund, you incur transaction costs 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 a 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 January 1, 2023 and held for the period ended June 30, 2023, 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 1/1/2023 | Ending Account Value 6/30/2023 | Annualized Expense Ratio for the Period | Expenses Paid | ||||||||||||
| AdvisorShares Alpha DNA Equity Sentiment ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,067.00 | 1.13 | % | $ | 5.79 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,019.19 | 1.13 | % | $ | 5.66 | ||||||||
| AdvisorShares Dorsey Wright ADR ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,041.80 | 1.10 | % | $ | 5.57 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,019.34 | 1.10 | % | $ | 5.51 | ||||||||
| AdvisorShares Dorsey Wright FSM All Cap World ETF(2) | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,017.20 | 0.96 | % | $ | 4.83 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,020.01 | 0.96 | % | $ | 4.83 | ||||||||
47
ADVISORSHARES TRUST
Shareholder Expense Examples (unaudited) (continued)
| Fund Name | Beginning Account Value 1/1/2023 | Ending Account Value 6/30/2023 | Annualized Expense Ratio for the Period | Expenses Paid | ||||||||||||
| AdvisorShares Dorsey Wright FSM US Core ETF(2) | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,102.10 | 0.97 | % | $ | 5.04 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,019.99 | 0.97 | % | $ | 4.85 | ||||||||
| AdvisorShares Dorsey Wright Short ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 882.00 | 1.18 | % | $ | 5.51 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,018.94 | 1.18 | % | $ | 5.91 | ||||||||
| AdvisorShares Dorsey Wright Small Company ETF(3) | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 989.10 | 1.25 | % | $ | 6.16 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,018.60 | 1.25 | % | $ | 6.26 | ||||||||
| AdvisorShares Focused Equity ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,133.10 | 0.85 | % | $ | 4.50 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,020.58 | 0.85 | % | $ | 4.26 | ||||||||
| AdvisorShares Gerber Kawasaki ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,199.90 | 0.75 | % | $ | 4.09 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,021.08 | 0.75 | % | $ | 3.75 | ||||||||
| AdvisorShares Hotel ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,109.00 | 0.99 | % | $ | 5.18 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,019.89 | 0.99 | % | $ | 4.96 | ||||||||
| AdvisorShares Insider Advantage ETF(4) | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,112.30 | 0.90 | % | $ | 4.71 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,020.33 | 0.90 | % | $ | 4.51 | ||||||||
| AdvisorShares Let Bob AI Powered Momentum ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,015.50 | 0.99 | % | $ | 4.95 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,019.89 | 0.99 | % | $ | 4.96 | ||||||||
| AdvisorShares MSOS 2x Daily ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 534.10 | 0.95 | % | $ | 3.62 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,020.08 | 0.95 | % | $ | 4.76 | ||||||||
| AdvisorShares Newfleet Multi-Sector Income ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,020.90 | 0.75 | % | $ | 3.76 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,021.08 | 0.75 | % | $ | 3.76 | ||||||||
48
ADVISORSHARES TRUST
Shareholder Expense Examples (unaudited) (continued)
| Fund Name | Beginning Account Value 1/1/2023 | Ending Account Value 6/30/2023 | Annualized Expense Ratio for the Period | Expenses Paid | ||||||||||||
| AdvisorShares Poseidon Dynamic Cannabis ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 729.10 | 0.99 | % | $ | 4.24 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,019.89 | 0.99 | % | $ | 4.96 | ||||||||
| AdvisorShares Psychedelics ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 989.70 | 0.99 | % | $ | 4.88 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,019.89 | 0.99 | % | $ | 4.96 | ||||||||
| AdvisorShares Pure Cannabis ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 718.30 | 0.49 | % | $ | 2.09 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,022.36 | 0.49 | % | $ | 2.46 | ||||||||
| AdvisorShares Pure US Cannabis ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 774.20 | 0.74 | % | $ | 3.26 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,021.12 | 0.74 | % | $ | 3.71 | ||||||||
| AdvisorShares Q Dynamic Growth ETF(2) | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,345.50 | 1.40 | % | $ | 8.11 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,017.88 | 1.40 | % | $ | 6.98 | ||||||||
| AdvisorShares Ranger Equity Bear ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 785.90 | 1.70 | % | $ | 7.54 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,016.35 | 1.70 | % | $ | 8.51 | ||||||||
| AdvisorShares Restaurant ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,189.20 | 0.99 | % | $ | 5.38 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,019.88 | 0.99 | % | $ | 4.97 | ||||||||
| AdvisorShares STAR Global Buy-Write ETF(2) | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,098.70 | 1.29 | % | $ | 6.71 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,018.40 | 1.29 | % | $ | 6.45 | ||||||||
| AdvisorShares Vice ETF | ||||||||||||||||
| Actual | $ | 1,000.00 | $ | 1,077.90 | 0.99 | % | $ | 5.10 | (1) | |||||||
| Hypothetical (assuming a 5% return before expenses) | $ | 1,000.00 | $ | 1,019.89 | 0.99 | % | $ | 4.96 | ||||||||
| (1) | Expenses are calculated using each Fund’s annualized expense ratio, multiplied by the average account value for the period, multiplied by 181/365 (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) | Formerly known as AdvisorShares Dorsey Wright Micro-Cap ETF. | |
| (4) | Formerly known as AdvisorShares DoubleLine Value Equity ETF. |
49
ADVISORSHARES ALPHA DNA EQUITY SENTIMENT ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 98.2% | ||||||||
| Aerospace/Defense — 1.0% | ||||||||
| Hexcel Corp. | 2,303 | $ | 175,074 | |||||
| Airlines — 1.1% | ||||||||
| Sun Country Airlines Holdings, Inc.* | 8,229 | 184,988 | ||||||
| Auto Manufacturers — 2.0% | ||||||||
| PACCAR, Inc. | 2,078 | 173,825 | ||||||
| Wabash National Corp. | 6,154 | 157,788 | ||||||
| Total Auto Manufacturers | 331,613 | |||||||
| Banks — 3.9% | ||||||||
| Bancorp, Inc. (The)* | 5,154 | 168,278 | ||||||
| City Holding Co. | 1,764 | 158,742 | ||||||
| Customers Bancorp, Inc.* | 5,857 | 177,233 | ||||||
| First Financial Bancorp | 8,109 | 165,748 | ||||||
| Total Banks | 670,001 | |||||||
| Beverages — 1.0% | ||||||||
| Molson Coors Beverage Co., Class B | 2,505 | 164,929 | ||||||
| Biotechnology — 5.8% | ||||||||
| ANI Pharmaceuticals, Inc.* | 3,139 | 168,973 | ||||||
| Fate Therapeutics, Inc.* | 33,153 | 157,808 | ||||||
| Legend Biotech Corp.*(a)(b) | 2,244 | 154,903 | ||||||
| NeoGenomics, Inc.* | 9,818 | 157,775 | ||||||
| TG Therapeutics, Inc.*(a) | 6,945 | 172,514 | ||||||
| Zymeworks, Inc.* | 20,454 | 176,723 | ||||||
| Total Biotechnology | 988,696 | |||||||
| Building Materials — 3.0% | ||||||||
| American Woodmark Corp.* | 2,329 | 177,866 | ||||||
| Carrier Global Corp. | 3,367 | 167,373 | ||||||
| Eagle Materials, Inc. | 922 | 171,879 | ||||||
| Total Building Materials | 517,118 | |||||||
| Commercial Services — 3.0% | ||||||||
| GXO Logistics, Inc.* | 2,701 | 169,677 | ||||||
| Progyny, Inc.* | 4,384 | 172,466 | ||||||
| WEX, Inc.* | 943 | 171,692 | ||||||
| Total Commercial Services | 513,835 | |||||||
| Computers — 2.0% | ||||||||
| Fortinet, Inc.* | 2,263 | 171,060 | ||||||
| Zscaler, Inc.* | 1,129 | 165,173 | ||||||
| Total Computers | 336,233 | |||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Cosmetics/Personal Care — 2.0% | ||||||||
| Coty, Inc., Class A* | 13,343 | $ | 163,985 | |||||
| elf Beauty, Inc.* | 1,482 | 169,289 | ||||||
| Total Cosmetics/Personal Care | 333,274 | |||||||
| Distribution/Wholesale — 2.0% | ||||||||
| Watsco, Inc.(a) | 451 | 172,043 | ||||||
| WW Grainger, Inc. | 218 | 171,913 | ||||||
| Total Distribution/Wholesale | 343,956 | |||||||
| Diversified Financial Services — 1.0% | ||||||||
| WisdomTree, Inc. | 23,986 | 164,544 | ||||||
| Electrical Components & Equipment — 2.0% | ||||||||
| AMETEK, Inc. | 1,058 | 171,269 | ||||||
| Emerson Electric Co. | 1,868 | 168,849 | ||||||
| Total Electrical Components & Equipment | 340,118 | |||||||
| Electronics — 3.0% | ||||||||
| Hubbell, Inc. | 507 | 168,101 | ||||||
| nVent Electric PLC | 3,316 | 171,338 | ||||||
| Vontier Corp. | 5,288 | 170,326 | ||||||
| Total Electronics | 509,765 | |||||||
| Entertainment — 3.0% | ||||||||
| Cinemark Holdings, Inc.* | 10,213 | 168,514 | ||||||
| DraftKings, Inc., Class A* | 6,422 | 170,633 | ||||||
| Genius Sports Ltd. (United Kingdom)* | 27,811 | 172,150 | ||||||
| Total Entertainment | 511,297 | |||||||
| Hand/Machine Tools — 1.0% | ||||||||
| Lincoln Electric Holdings, Inc. | 858 | 170,425 | ||||||
| Healthcare — Products — 4.8% | ||||||||
| Edwards Lifesciences Corp.* | 1,819 | 171,586 | ||||||
| Exact Sciences Corp.* | 1,734 | 162,823 | ||||||
| Lantheus Holdings, Inc.* | 1,795 | 150,636 | ||||||
| Penumbra, Inc.* | 493 | 169,622 | ||||||
| SI-BONE, Inc.* | 5,726 | 154,487 | ||||||
| Total Healthcare — Products | 809,154 | |||||||
| Healthcare — Services — 2.0% | ||||||||
| Centene Corp.* | 2,472 | 166,736 | ||||||
| HealthEquity, Inc.* | 2,708 | 170,983 | ||||||
| Total Healthcare — Services | 337,719 | |||||||
See accompanying Notes to Financial Statements.
50
ADVISORSHARES ALPHA DNA EQUITY SENTIMENT ETF
Schedule of Investments (continued)
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Home Builders — 2.0% | ||||||||
| Lennar Corp., Class A | 1,343 | $ | 168,291 | |||||
| Toll Brothers, Inc. | 2,148 | 169,843 | ||||||
| Total Home Builders | 338,134 | |||||||
| Insurance — 1.0% | ||||||||
| Lemonade, Inc.*(a) | 9,744 | 164,186 | ||||||
| Internet — 10.9% | ||||||||
| Cargurus, Inc.* | 7,860 | 177,872 | ||||||
| Fiverr International Ltd.* | 6,333 | 164,721 | ||||||
| Hims & Hers Health, Inc.* | 19,574 | 183,996 | ||||||
| Magnite, Inc.*(a) | 12,121 | 165,452 | ||||||
| Meta Platforms, Inc., Class A* | 573 | 164,439 | ||||||
| Okta, Inc.* | 2,336 | 162,002 | ||||||
| Roku, Inc.* | 2,570 | 164,377 | ||||||
| Shopify, Inc., Class A (Canada)* | 2,533 | 163,632 | ||||||
| Squarespace, Inc., Class A* | 5,784 | 182,427 | ||||||
| Uber Technologies, Inc.* | 3,651 | 157,614 | ||||||
| Wix.com Ltd. (Israel)* | 2,094 | 163,834 | ||||||
| Total Internet | 1,850,366 | |||||||
| Investment Companies — 2.0% | ||||||||
| Owl Rock Capital Corp.(a) | 12,268 | 164,636 | ||||||
| Sixth Street Specialty Lending, Inc. | 9,023 | 168,640 | ||||||
| Total Investment Companies | 333,276 | |||||||
| Leisure Time — 2.1% | ||||||||
| MasterCraft Boat Holdings, Inc.* | 5,635 | 172,713 | ||||||
| OneSpaWorld Holdings Ltd. (Bahamas)* | 14,789 | 178,947 | ||||||
| Total Leisure Time | 351,660 | |||||||
| Machinery — Construction & Mining — 1.0% | ||||||||
| Oshkosh Corp. | 2,015 | 174,479 | ||||||
| Machinery — Diversified — 2.9% | ||||||||
| AGCO Corp. | 1,243 | 163,355 | ||||||
| Rockwell Automation, Inc. | 512 | 168,678 | ||||||
| Xylem, Inc. | 1,480 | 166,678 | ||||||
| Total Machinery — Diversified | 498,711 | |||||||
| Miscellaneous Manufacturing — 2.0% | ||||||||
| Eaton Corp. PLC | 832 | 167,315 | ||||||
| Parker-Hannifin Corp. | 436 | 170,058 | ||||||
| Total Miscellaneous Manufacturing | 337,373 | |||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Oil & Gas Services — 2.0% | ||||||||
| Halliburton Co. | 5,185 | $ | 171,053 | |||||
| Oceaneering International, Inc.* | 9,301 | 173,929 | ||||||
| Total Oil & Gas Services | 344,982 | |||||||
| Pharmaceuticals — 7.7% | ||||||||
| Alkermes PLC* | 5,013 | 156,907 | ||||||
| Ascendis Pharma A/S (Denmark)*(b) | 1,880 | 167,790 | ||||||
| Eli Lilly & Co. | 352 | 165,081 | ||||||
| Harmony Biosciences Holdings, Inc.* | 4,630 | 162,929 | ||||||
| Merck & Co., Inc. | 1,482 | 171,008 | ||||||
| Merus NV (Netherlands)* | 6,474 | 170,460 | ||||||
| Seres Therapeutics, Inc.* | 30,844 | 147,743 | ||||||
| uniQure NV (Netherlands)* | 14,269 | 163,523 | ||||||
| Total Pharmaceuticals | 1,305,441 | |||||||
| REITS — 1.0% | ||||||||
| Ladder Capital Corp. | 15,635 | 169,640 | ||||||
| Retail — 2.0% | ||||||||
| McDonald’s Corp. | 571 | 170,392 | ||||||
| Wingstop, Inc. | 859 | 171,938 | ||||||
| Total Retail | 342,330 | |||||||
| Savings & Loans — 1.0% | ||||||||
| Axos Financial, Inc.* | 4,429 | 174,680 | ||||||
| Semiconductors — 6.0% | ||||||||
| Allegro MicroSystems, Inc. (Japan)* | 3,895 | 175,820 | ||||||
| Applied Materials, Inc. | 1,191 | 172,147 | ||||||
| Cohu, Inc.* | 4,085 | 169,772 | ||||||
| NVIDIA Corp. | 389 | 164,555 | ||||||
| NXP Semiconductors NV (China) | 844 | 172,750 | ||||||
| ON Semiconductor Corp.* | 1,827 | 172,798 | ||||||
| Total Semiconductors | 1,027,842 | |||||||
| Software — 10.0% | ||||||||
| BILL Holdings, Inc.*(a) | 1,468 | 171,536 | ||||||
| Docusign, Inc.* | 3,241 | 165,583 | ||||||
| Five9, Inc.* | 2,121 | 174,876 | ||||||
| Gitlab, Inc., Class A* | 3,336 | 170,503 | ||||||
| HubSpot, Inc.* | 318 | 169,205 | ||||||
| Monday.com Ltd.* | 969 | 165,912 | ||||||
| MongoDB, Inc.* | 422 | 173,438 | ||||||
| Nutanix, Inc., Class A* | 5,994 | 168,132 | ||||||
See accompanying Notes to Financial Statements.
51
ADVISORSHARES ALPHA DNA EQUITY SENTIMENT ETF
Schedule of Investments (continued)
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Software (continued) | ||||||||
| Procore Technologies, Inc.* | 2,558 | $ | 166,449 | |||||
| Samsara, Inc., Class A* | 6,398 | 177,288 | ||||||
| Total Software | 1,702,922 | |||||||
| Telecommunications — 1.0% | ||||||||
| Calix, Inc.* | 3,370 | 168,197 | ||||||
|
Total Common Stocks |
16,686,958 | |||||||
| MONEY MARKET FUNDS — 3.4% | ||||||||
| Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(c)(d) | 328,345 | 328,345 | ||||||
| Dreyfus Institutional Treasury and Agency Cash Advantage Fund, 5.00%(c) | 519 | 519 | ||||||
| Fidelity Investments Money Market Government Portfolio — Class I, 4.74%(c) | 248,024 | 248,024 | ||||||
| Total Money Market Funds (Cost $576,888) |
576,888 | |||||||
| Notional Amount | Contracts | Value | ||||||||||
| PURCHASED PUT OPTIONS — 0.9% | ||||||||||||
| Shares Russell 2000 ETF, expiring 09/15/23, Strike Price $410.00 | $ | 4,592,000 | 112 | $ | 29,288 | |||||||
| SPDR S&P 500 ETF Trust, expiring 09/15/23, Strike Price $175.00 | 10,902,500 | 623 | 124,289 | |||||||||
| Total Purchased Put Options (Cost $255,466) |
153,577 | |||||||||||
| Total Investments — 102.5% (Cost $16,217,040) |
17,417,423 | |||||||||||
| Liabilities in Excess of Other Assets — (2.5%) | (415,608 | ) | ||||||||||
| Net Assets — 100.0% | $ | 17,001,815 | ||||||||||
ETF — Exchange Traded Fund
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 $974,018; the aggregate market value of the collateral held by the fund is $997,123. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $668,778. |
| (b) | American Depositary Receipt. |
| (c) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (d) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
52
ADVISORSHARES ALPHA DNA EQUITY SENTIMENT ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 16,686,958 | $ | — | $ | — | $ | 16,686,958 | ||||||||
| Money Market Funds | 576,888 | — | — | 576,888 | ||||||||||||
| Purchased Put Options | 153,577 | — | — | 153,577 | ||||||||||||
| Total | $ | 17,417,423 | $ | — | $ | — | $ | 17,417,423 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Aerospace/Defense | 1.0 | % | ||
| Airlines | 1.1 | |||
| Auto Manufacturers | 2.0 | |||
| Banks | 3.9 | |||
| Beverages | 1.0 | |||
| Biotechnology | 5.8 | |||
| Building Materials | 3.0 | |||
| Commercial Services | 3.0 | |||
| Computers | 2.0 | |||
| Cosmetics/Personal Care | 2.0 | |||
| Distribution/Wholesale | 2.0 | |||
| Diversified Financial Services | 1.0 | |||
| Electrical Components & Equipment | 2.0 | |||
| Electronics | 3.0 | |||
| Entertainment | 3.0 | |||
| Hand/Machine Tools | 1.0 | |||
| Healthcare — Products | 4.8 | |||
| Healthcare — Services | 2.0 | |||
| Home Builders | 2.0 | |||
SUMMARY OF SCHEDULE OF INVESTMENTS (continued)
| % of Net Assets |
||||
| Insurance | 1.0 | % | ||
| Internet | 10.9 | |||
| Investment Companies | 2.0 | |||
| Leisure Time | 2.1 | |||
| Machinery — Construction & Mining | 1.0 | |||
| Machinery — Diversified | 2.9 | |||
| Miscellaneous Manufacturing | 2.0 | |||
| Oil & Gas Services | 2.0 | |||
| Pharmaceuticals | 7.7 | |||
| Purchased Put Option | 0.9 | |||
| REITS | 1.0 | |||
| Retail | 2.0 | |||
| Savings & Loans | 1.0 | |||
| Semiconductors | 6.0 | |||
| Software | 10.0 | |||
| Telecommunications | 1.0 | |||
| Money Market Funds | 3.4 | |||
| Total Investments | 102.5 | |||
| Liabilities in Excess of Other Assets | (2.5 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
53
ADVISORSHARES DORSEY WRIGHT ADR ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 98.6% | ||||||||
| Aerospace/Defense — 5.0% | ||||||||
| BAE Systems PLC (United Kingdom)(a) | 15,575 | $ | 746,977 | |||||
| Embraer SA (Brazil)*(a) | 44,468 | 687,475 | ||||||
| Total Aerospace/Defense | 1,434,452 | |||||||
| Airlines — 2.9% | ||||||||
| Copa Holdings SA, Class A (Panama) | 7,630 | 843,725 | ||||||
| Apparel — 2.0% | ||||||||
| Hermes International (France)(a) | 2,564 | 557,926 | ||||||
| Banks — 13.9% | ||||||||
| Banco Bilbao Vizcaya Argentaria SA (Spain)(a) | 109,158 | 838,333 | ||||||
| HDFC Bank Ltd. (India)(a) | 9,360 | 652,392 | ||||||
| ING Groep NV (Netherlands)(a) | 49,079 | 661,094 | ||||||
| Mitsubishi UFJ Financial Group, Inc. (Japan)(a) | 126,624 | 933,219 | ||||||
| UBS Group AG (Switzerland) | 44,713 | 906,333 | ||||||
| Total Banks | 3,991,371 | |||||||
| Beverages — 5.7% | ||||||||
| Coca-Cola Femsa SAB de CV (Mexico)(a) | 9,522 | 793,278 | ||||||
| Fomento Economico Mexicano SAB de CV (Mexico)(a) | 7,545 | 836,288 | ||||||
| Total Beverages | 1,629,566 | |||||||
| Biotechnology — 2.2% | ||||||||
| Argenx SE (Netherlands)*(a) | 1,642 | 639,937 | ||||||
| Building Materials — 5.7% | ||||||||
| Cemex SAB de CV (Mexico)*(a) | 122,574 | 867,824 | ||||||
| CRH PLC (Ireland)(a)(b) | 13,905 | 774,925 | ||||||
| Total Building Materials | 1,642,749 | |||||||
| Commercial Services — 5.3% | ||||||||
| New Oriental Education & Technology Group, Inc. (China)*(a) | 16,400 | 647,636 | ||||||
| RELX PLC (United Kingdom)(a) | 25,983 | 868,612 | ||||||
| Total Commercial Services | 1,516,248 | |||||||
| Electric — 3.2% | ||||||||
| Pampa Energia SA (Argentina)*(a) | 21,080 | 913,185 | ||||||
| Electrical Components & Equipment — 3.6% | ||||||||
| ABB Ltd. (Switzerland)(a) | 26,378 | 1,035,336 | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Food Service — 2.5% | ||||||||
| Compass Group PLC (United Kingdom)(a) | 25,200 | $ | 718,704 | |||||
| Internet — 9.0% | ||||||||
| MercadoLibre, Inc. (Brazil)* | 544 | 644,422 | ||||||
| Tencent Music Entertainment Group (China)*(a) | 82,006 | 605,204 | ||||||
| Trip.com Group Ltd. (China)*(a) | 17,284 | 604,940 | ||||||
| Vipshop Holdings Ltd. (China)*(a) | 45,003 | 742,550 | ||||||
| Total Internet | 2,597,116 | |||||||
| Iron/Steel — 4.9% | ||||||||
| POSCO Holdings, Inc. (South Korea)(a)(b) | 11,700 | 865,215 | ||||||
| Ternium SA (Mexico)(a) | 13,572 | 538,130 | ||||||
| Total Iron/Steel | 1,403,345 | |||||||
| Mining — 1.6% | ||||||||
| DRDGOLD Ltd. (South Africa)(a) | 43,876 | 465,963 | ||||||
| Miscellaneous Manufacturing — 2.7% | ||||||||
| Siemens AG (Germany)(a) | 9,205 | 767,789 | ||||||
| Oil & Gas — 4.1% | ||||||||
| YPF SA (Argentina)*(a)(b) | 79,349 | 1,181,507 | ||||||
| Pharmaceuticals — 7.7% | ||||||||
| AstraZeneca PLC (United Kingdom)(a) | 9,629 | 689,148 | ||||||
| Novo Nordisk A/S (Denmark)(a) | 9,463 | 1,531,397 | ||||||
| Total Pharmaceuticals | 2,220,545 | |||||||
| Retail — 2.0% | ||||||||
| Luckin Coffee, Inc. (China)*(a) | 25,120 | 564,949 | ||||||
| Semiconductors — 7.6% | ||||||||
| ASE Technology Holding Co., Ltd. (Taiwan)(a) | 90,788 | 707,239 | ||||||
| ASML Holding NV (Netherlands) | 1,030 | 746,492 | ||||||
| STMicroelectronics NV (Singapore) | 14,620 | 730,854 | ||||||
| Total Semiconductors | 2,184,585 | |||||||
| Telecommunications — 4.8% | ||||||||
| America Movil SAB de CV (Mexico)*(a) | 39,732 | 859,800 | ||||||
| Orange SA (France)(a) | 44,068 | 512,952 | ||||||
| Total Telecommunications | 1,372,752 |
See accompanying Notes to Financial Statements.
54
ADVISORSHARES DORSEY WRIGHT ADR ETF
Schedule of Investments (continued)
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Transportation — 2.2% | ||||||||
| Tsakos Energy Navigation Ltd. (Greece) | 36,091 | $ | 643,142 | |||||
| Total Common Stocks (Cost $25,510,105) |
28,324,892 | |||||||
| MONEY MARKET FUNDS — 9.0% | ||||||||
| Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(c)(d) | 2,144,808 | 2,144,808 | ||||||
| Invesco Government & Agency Portfolio — Private Investment Class, 5.05%(c) | 456,148 | 456,148 | ||||||
| Total Money Market Funds (Cost $2,600,956) |
2,600,956 | |||||||
|
Total Investments — 107.6% |
30,925,848 | |||||||
| Liabilities in Excess of Other Assets — (7.6%) | (2,188,044 | ) | ||||||
| Net Assets — 100.0% | $ | 28,737,804 | ||||||
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 $2,415,964; the aggregate market value of the collateral held by the fund is $2,473,899. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $329,091. |
| (c) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (d) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
55
ADVISORSHARES DORSEY WRIGHT ADR ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 28,324,892 | $ | — | $ | — | $ | 28,324,892 | ||||||||
| Money Market Funds | 2,600,956 | — | — | 2,600,956 | ||||||||||||
| Total | $ | 30,925,848 | $ | — | $ | — | $ | 30,925,848 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Aerospace/Defense | 5.0 | % | ||
| Airlines | 2.9 | |||
| Apparel | 2.0 | |||
| Banks | 13.9 | |||
| Beverages | 5.7 | |||
| Biotechnology | 2.2 | |||
| Building Materials | 5.7 | |||
| Commercial Services | 5.3 | |||
| Electric | 3.2 | |||
| Electrical Components & Equipment | 3.6 | |||
| Food Service | 2.5 | |||
| Internet | 9.0 | |||
| Iron/Steel | 4.9 | |||
| Mining | 1.6 | |||
| Miscellaneous Manufacturing | 2.7 | |||
| Oil & Gas | 4.1 | |||
| Pharmaceuticals | 7.7 | |||
| Retail | 2.0 | |||
| Semiconductors | 7.6 | |||
| Telecommunications | 4.8 | |||
| Transportation | 2.2 | |||
| Money Market Funds | 9.0 | |||
| Total Investments | 107.6 | |||
| Liabilities in Excess of Other Assets | (7.6 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
56
ADVISORSHARES DORSEY WRIGHT FSM ALL CAP WORLD ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| EXCHANGE TRADED FUNDS — 98.9% | ||||||||
| Equity Fund — 98.9% | ||||||||
| First Trust NASDAQ-100 Equal Weighted Index Fund | 419,581 | $ | 44,853,209 | |||||
| iShares MSCI EAFE ETF(a) | 557,023 | 40,384,167 | ||||||
| Total Exchange Traded Funds (Cost $81,262,956) |
85,237,376 | |||||||
| MONEY MARKET FUNDS — 1.3% | ||||||||
| BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(b) | 1,090,609 | 1,090,609 | ||||||
| Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(b)(c) | 118 | 118 | ||||||
| Total Money Market Funds (Cost $1,090,727) |
1,090,727 | |||||||
| Total Investments — 100.2% (Cost $82,353,683) |
86,328,103 | |||||||
| Liabilities in Excess of Other Assets — (0.2%) | (154,277 | ) | ||||||
| Net Assets — 100.0% | $ | 86,173,826 | ||||||
ETF — Exchange Traded Fund
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $39,649,018; the aggregate market value of the collateral held by the fund is $40,044,121. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $40,044,003. |
| (b) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (c) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
57
ADVISORSHARES DORSEY WRIGHT FSM ALL CAP WORLD ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 85,237,376 | $ | — | $ | — | $ | 85,237,376 | ||||||||
| Money Market Funds | 1,090,727 | — | — | 1,090,727 | ||||||||||||
| Total | $ | 86,328,103 | $ | — | $ | — | $ | 86,328,103 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Equity Fund | 98.9 | % | ||
| Money Market Funds | 1.3 | |||
| Total Investments | 100.2 | |||
| Liabilities in Excess of Other Assets | (0.2 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
58
ADVISORSHARES DORSEY WRIGHT FSM US CORE ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| EXCHANGE TRADED FUNDS — 99.2% | ||||||||
| Equity Fund — 99.2% | ||||||||
| Invesco QQQ Trust Series 1(a) | 126,032 | $ | 46,558,741 | |||||
| Invesco S&P 500 Equal Weight ETF(a) | 282,487 | 42,271,355 | ||||||
| Total Exchange Traded Funds (Cost $82,707,302) |
88,830,096 | |||||||
| MONEY MARKET FUNDS — 23.8% | ||||||||
| BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(b) | 809,355 | 809,355 | ||||||
| Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(b)(c) | 20,460,356 | 20,460,356 | ||||||
| Total Money Market Funds (Cost $21,269,711) |
21,269,711 | |||||||
| Total Investments — 123.0% (Cost $103,977,013) |
110,099,807 | |||||||
| Liabilities in Excess of Other Assets — (23.0%) | (20,552,310 | ) | ||||||
| Net Assets — 100.0% | $ | 89,547,497 | ||||||
ETF — Exchange Traded Fund
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $20,358,422; the aggregate market value of the collateral held by the fund is $20,460,356. |
| (b) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (c) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
59
ADVISORSHARES DORSEY WRIGHT FSM US CORE ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 88,830,096 | $ | — | $ | — | $ | 88,830,096 | ||||||||
| Money Market Funds | 21,269,711 | — | — | 21,269,711 | ||||||||||||
| Total | $ | 110,099,807 | $ | — | $ | — | $ | 110,099,807 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Equity Fund | 99.2 | % | ||
| Money Market Funds | 23.8 | |||
| Total Investments | 123.0 | |||
| Liabilities in Excess of Other Assets | (23.0 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
60
ADVISORSHARES DORSEY WRIGHT SHORT ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| MONEY MARKET FUND — 150.4% | ||||||||
| STIT — Government & Agency Portfolio, Institutional Class, 5.05%(a)(b) (Cost $36,227,717) |
36,227,717 | $ | 36,227,717 | |||||
| Total Investments Before Securities Sold, Not Yet Purchased (Cost $36,227,717) |
36,227,717 | |||||||
| Securities Sold, Not Yet Purchased — (99.7)%(c) | ||||||||
| COMMON STOCKS — (99.7)% | ||||||||
| Airlines — (2.0)% | ||||||||
| JetBlue Airways Corp.* | (24,690 | ) | (218,753 | ) | ||||
| Southwest Airlines Co. | (7,319 | ) | (265,021 | ) | ||||
| Total Airlines | (483,774 | ) | ||||||
| Apparel — (2.7)% | ||||||||
| Hanesbrands, Inc. | (46,054 | ) | (209,085 | ) | ||||
| Under Armour, Inc., Class A* | (34,050 | ) | (245,841 | ) | ||||
| VF Corp. | (10,375 | ) | (198,059 | ) | ||||
| Total Apparel | (652,985 | ) | ||||||
| Banks — (10.5)% | ||||||||
| BankUnited, Inc. | (11,593 | ) | (249,829 | ) | ||||
| Comerica, Inc. | (6,312 | ) | (267,376 | ) | ||||
| First Horizon Corp. | (20,600 | ) | (232,162 | ) | ||||
| KeyCorp | (22,130 | ) | (204,481 | ) | ||||
| PacWest Bancorp | (28,903 | ) | (235,560 | ) | ||||
| Pinnacle Financial Partners, Inc. | (4,012 | ) | (227,280 | ) | ||||
| Popular, Inc. (Puerto Rico) | (4,146 | ) | (250,916 | ) | ||||
| Truist Financial Corp. | (7,260 | ) | (220,341 | ) | ||||
| Valley National Bancorp | (30,700 | ) | (237,925 | ) | ||||
| Western Alliance Bancorp | (5,954 | ) | (217,142 | ) | ||||
| Zions Bancorp NA | (7,250 | ) | (194,735 | ) | ||||
| Total Banks | (2,537,747 | ) | ||||||
| Biotechnology — (1.0)% | ||||||||
| Bio-Rad Laboratories, Inc., Class A* | (650 | ) | (246,428 | ) | ||||
| Building Materials — (1.0)% | ||||||||
| Mohawk Industries, Inc.* | (2,215 | ) | (228,499 | ) | ||||
| Chemicals — (2.7)% | ||||||||
| CF Industries Holdings, Inc. | (3,160 | ) | (219,367 | ) | ||||
| International Flavors & Fragrances, Inc. | (2,583 | ) | (205,581 | ) | ||||
| Mosaic Co. (The) | (6,630 | ) | (232,050 | ) | ||||
| Total Chemicals | (656,998 | ) | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Commercial Services — (6.9)% | ||||||||
| 2U, Inc.* | (59,934 | ) | $ | (241,534 | ) | |||
| ASGN, Inc.* | (2,942 | ) | (222,504 | ) | ||||
| Block, Inc.* | (3,734 | ) | (248,572 | ) | ||||
| Global Payments, Inc. | (2,250 | ) | (221,670 | ) | ||||
| PayPal Holdings, Inc.* | (3,828 | ) | (255,443 | ) | ||||
| Sabre Corp.* | (76,048 | ) | (242,593 | ) | ||||
| U-Haul Holding Co. | (3,941 | ) | (218,016 | ) | ||||
| Total Commercial Services | (1,650,332 | ) | ||||||
| Computers — (2.1)% | ||||||||
| EPAM Systems, Inc.* | (1,083 | ) | (243,404 | ) | ||||
| NCR Corp.* | (10,644 | ) | (268,229 | ) | ||||
| Total Computers | (511,633 | ) | ||||||
| Cosmetics/Personal Care — (1.1)% | ||||||||
| Estee Lauder Cos., Inc. (The), Class A | (1,270 | ) | (249,403 | ) | ||||
| Diversified Financial Services — (4.6)% | ||||||||
| Ally Financial, Inc. | (9,221 | ) | (249,059 | ) | ||||
| Bread Financial Holdings, Inc. | (6,405 | ) | (201,053 | ) | ||||
| LendingTree, Inc.* | (9,257 | ) | (204,672 | ) | ||||
| T. Rowe Price Group, Inc. | (1,884 | ) | (211,046 | ) | ||||
| Western Union Co. (The) | (21,323 | ) | (250,119 | ) | ||||
| Total Diversified Financial Services | (1,115,949 | ) | ||||||
| Electric — (1.0)% | ||||||||
| Dominion Energy, Inc. | (4,516 | ) | (233,884 | ) | ||||
| Electronics — (1.1)% | ||||||||
| Trimble, Inc.* | (4,871 | ) | (257,871 | ) | ||||
| Food — (2.0)% | ||||||||
| Hain Celestial Group, Inc. (The)* | (20,020 | ) | (250,450 | ) | ||||
| Tyson Foods, Inc., Class A | (4,502 | ) | (229,782 | ) | ||||
| Total Food | (480,232 | ) | ||||||
| Forest Products & Paper — (1.0)% | ||||||||
| International Paper Co. | (7,570 | ) | (240,802 | ) | ||||
| Gas — (0.9)% | ||||||||
| UGI Corp. | (8,170 | ) | (220,345 | ) | ||||
| Hand/Machine Tools — (1.0)% | ||||||||
| Stanley Black & Decker, Inc. | (2,651 | ) | (248,425 | ) | ||||
See accompanying Notes to Financial Statements.
61
ADVISORSHARES DORSEY WRIGHT SHORT ETF
Schedule of Investments (continued)
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Healthcare — Products — (2.1)% | ||||||||
| Baxter International, Inc. | (5,685 | ) | $ | (259,009 | ) | |||
| Bio-Techne Corp. | (2,993 | ) | (244,318 | ) | ||||
| Total Healthcare — Products | (503,327 | ) | ||||||
| Healthcare — Services — (3.8)% | ||||||||
| Catalent, Inc.* | (4,951 | ) | (214,675 | ) | ||||
| Centene Corp.* | (3,585 | ) | (241,808 | ) | ||||
| Charles River Laboratories International, Inc.* | (1,174 | ) | (246,834 | ) | ||||
| Pediatrix Medical Group, Inc.* | (14,596 | ) | (207,409 | ) | ||||
| Total Healthcare — Services | (910,726 | ) | ||||||
| Housewares — (2.0)% | ||||||||
| Newell Brands, Inc. | (27,623 | ) | (240,320 | ) | ||||
| Scotts Miracle-Gro Co. (The) | (3,900 | ) | (244,491 | ) | ||||
| Total Housewares | (484,811 | ) | ||||||
| Insurance — (1.9)% | ||||||||
| Lincoln National Corp. | (8,028 | ) | (206,801 | ) | ||||
| MetLife, Inc. | (4,400 | ) | (248,732 | ) | ||||
| Total Insurance | (455,533 | ) | ||||||
| Internet — (4.8)% | ||||||||
| Gen Digital, Inc. | (13,230 | ) | (245,416 | ) | ||||
| Snap, Inc., Class A* | (25,034 | ) | (296,403 | ) | ||||
| TripAdvisor, Inc.* | (12,428 | ) | (204,938 | ) | ||||
| Wayfair, Inc., Class A* | (6,275 | ) | (407,938 | ) | ||||
| Total Internet | (1,154,695 | ) | ||||||
| Leisure Time — (1.0)% | ||||||||
| Harley-Davidson, Inc. | (6,786 | ) | (238,935 | ) | ||||
| Media — (8.1)% | ||||||||
| Altice USA, Inc., Class A* | (84,664 | ) | (255,685 | ) | ||||
| Cable One, Inc. | (372 | ) | (244,434 | ) | ||||
| Charter Communications, Inc., Class A* | (661 | ) | (242,831 | ) | ||||
| DISH Network Corp., Class A* | (38,913 | ) | (256,437 | ) | ||||
| Paramount Global, Class B | (15,270 | ) | (242,946 | ) | ||||
| Sirius XM Holdings, Inc. | (56,992 | ) | (258,174 | ) | ||||
| Walt Disney Co. (The)* | (2,494 | ) | (222,664 | ) | ||||
| Warner Bros Discovery, Inc.* | (18,800 | ) | (235,752 | ) | ||||
| Total Media | (1,958,923 | ) | ||||||
| Mining — (0.9)% | ||||||||
| Alcoa Corp. | (6,454 | ) | (218,984 | ) | ||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Miscellaneous Manufacturing — (1.0)% | ||||||||
| 3M Co. | (2,372 | ) | $ | (237,413 | ) | |||
| Oil & Gas — (3.1)% | ||||||||
| Antero Resources Corp.* | (10,137 | ) | (233,455 | ) | ||||
| Helmerich & Payne, Inc. | (6,840 | ) | (242,478 | ) | ||||
| Patterson-UTI Energy, Inc. | (21,920 | ) | (262,383 | ) | ||||
| Total Oil & Gas | (738,316 | ) | ||||||
| Oil & Gas Services — (1.0)% | ||||||||
| NOV, Inc. | (15,400 | ) | (247,016 | ) | ||||
| Packaging & Containers — (2.9)% | ||||||||
| Ball Corp. | (3,997 | ) | (232,665 | ) | ||||
| Sealed Air Corp. | (5,970 | ) | (238,800 | ) | ||||
| Westrock Co. | (7,882 | ) | (229,130 | ) | ||||
| Total Packaging & Containers | (700,595 | ) | ||||||
| Pharmaceuticals — (1.9)% | ||||||||
| CVS Health Corp. | (3,038 | ) | (210,017 | ) | ||||
| Herbalife Nutrition Ltd.* | (19,049 | ) | (252,209 | ) | ||||
| Total Pharmaceuticals | (462,226 | ) | ||||||
| REITS — (12.1)% | ||||||||
| Boston Properties, Inc. | (3,739 | ) | (215,329 | ) | ||||
| Cousins Properties, Inc. | (10,765 | ) | (245,442 | ) | ||||
| Crown Castle, Inc. | (2,117 | ) | (241,211 | ) | ||||
| Douglas Emmett, Inc. | (15,682 | ) | (197,123 | ) | ||||
| Highwoods Properties, Inc. | (9,970 | ) | (238,383 | ) | ||||
| Hudson Pacific Properties, Inc. | (54,482 | ) | (229,914 | ) | ||||
| JBG SMITH Properties | (14,803 | ) | (222,637 | ) | ||||
| Kilroy Realty Corp. | (8,111 | ) | (244,060 | ) | ||||
| Medical Properties Trust, Inc. | (28,170 | ) | (260,854 | ) | ||||
| SBA Communications Corp. | (1,060 | ) | (245,665 | ) | ||||
| SL Green Realty Corp. | (10,501 | ) | (315,555 | ) | ||||
| Vornado Realty Trust | (14,126 | ) | (256,246 | ) | ||||
| Total REITS | (2,912,419 | ) | ||||||
| Retail — (7.0)% | ||||||||
| Advance Auto Parts, Inc. | (3,717 | ) | (261,305 | ) | ||||
| Domino’s Pizza, Inc. | (784 | ) | (264,200 | ) | ||||
| Gap, Inc. (The) | (25,401 | ) | (226,831 | ) | ||||
| Macy’s, Inc. | (14,697 | ) | (235,887 | ) | ||||
| Nordstrom, Inc. | (13,646 | ) | (279,334 | ) | ||||
| Qurate Retail, Inc., Series A* | (204,614 | ) | (202,527 | ) | ||||
| Walgreens Boots Alliance, Inc. | (7,850 | ) | (223,646 | ) | ||||
| Total Retail | (1,693,730 | ) | ||||||
See accompanying Notes to Financial Statements.
62
ADVISORSHARES DORSEY WRIGHT SHORT ETF
Schedule of Investments (continued)
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Software — (2.1)% | ||||||||
| Fidelity National Information Services, Inc. | (4,579 | ) | $ | (250,472 | ) | |||
| Ziff Davis, Inc.* | (3,554 | ) | (248,993 | ) | ||||
| Total Software | (499,465 | ) | ||||||
| Telecommunications — (2.4)% | ||||||||
| CommScope Holding Co., Inc.* | (48,559 | ) | (273,387 | ) | ||||
| Lumen Technologies, Inc. | (133,269 | ) | (301,188 | ) | ||||
| Total Telecommunications | (574,575 | ) | ||||||
| Total Securities Sold, Not Yet Purchased [Proceeds Received $(30,652,738)] | (24,006,996 | ) | ||||||
| Total Investments — 50.7% (Cost $5,574,979) |
12,220,721 | |||||||
| Other Assets in Excess of Liabilities — 49.3% | 11,871,871 | |||||||
| Net Assets — 100.0% | $ | 24,092,592 | ||||||
REITS — Real Estate Investment Trusts
| * | Non-income producing security. |
| (a) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (b) | A portion of this security has been pledged as collateral for securities sold, not yet purchased. |
| (c) | As of June 30, 2022 cash in the amount of $9,225,770 has been segregated as collateral from the broker for securities sold short. |
See accompanying Notes to Financial Statements.
63
ADVISORSHARES DORSEY WRIGHT SHORT ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | ||||||||||||
| Money Market Fund | $ | 36,227,717 | $ | — | $ | — | $ | 36,227,717 | ||||||||
| Liabilities | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Common Stocks | $ | (24,006,996 | ) | $ | — | $ | — | $ | (24,006,996 | ) | ||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Airlines | (2.0 | )% | ||
| Apparel | (2.7 | ) | ||
| Banks | (10.5 | ) | ||
| Biotechnology | (1.0 | ) | ||
| Building Materials | (1.0 | ) | ||
| Chemicals | (2.7 | ) | ||
| Commercial Services | (6.9 | ) | ||
| Computers | (2.1 | ) | ||
| Cosmetics/Personal Care | (1.1 | ) | ||
| Diversified Financial Services | (4.6 | ) | ||
| Electric | (1.0 | ) | ||
| Electronics | (1.1 | ) | ||
| Food | (2.0 | ) | ||
| Forest Products & Paper | (1.0 | ) | ||
| Gas | (0.9 | ) | ||
| Hand/Machine Tools | (1.0 | ) | ||
| Healthcare — Products | (2.1 | ) | ||
| Healthcare — Services | (3.8 | ) | ||
SUMMARY OF SCHEDULE OF INVESTMENTS (continued)
| % of Net Assets |
||||
| Housewares | (2.0 | )% | ||
| Insurance | (1.9 | ) | ||
| Internet | (4.8 | ) | ||
| Leisure Time | (1.0 | ) | ||
| Media | (8.1 | ) | ||
| Mining | (0.9 | ) | ||
| Miscellaneous Manufacturing | (1.0 | ) | ||
| Oil & Gas | (3.1 | ) | ||
| Oil & Gas Services | (1.0 | ) | ||
| Packaging & Containers | (2.9 | ) | ||
| Pharmaceuticals | (1.9 | ) | ||
| REITS | (12.1 | ) | ||
| Retail | (7.0 | ) | ||
| Software | (2.1 | ) | ||
| Telecommunications | (2.4 | ) | ||
| Money Market Fund | 150.4 | |||
| Total Investments | 50.7 | |||
| Other Assets in Excess of Liabilities | 49.3 | |||
| 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 year ended June 30, 2023 were as follows:
| Affiliated Holding Name | Value at 6/30/2022 |
Purchases/ Additions |
Sales/ Reductions |
Realized Gain (Loss) |
Unrealized Gain (Loss) |
Shares at 6/30/2023 |
Value at 6/30/2023 |
Dividend Income |
||||||||||||||||||||||||
| AdvisorShares North Square McKee Core Reserves ETF | $ | 9,738,000 | $ | — | $ | (9,774,492 | ) | $ | (88,488 | ) | $ | 124,980 | — | $ | — | $ | 189,718 | |||||||||||||||
See accompanying Notes to Financial Statements.
64
ADVISORSHARES DORSEY WRIGHT SMALL COMPANY ETF
(formerly AdvisorShares Dorsey Wright Micro-Cap ETF)
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 99.1% | ||||||||
| Aerospace/Defense — 1.2% | ||||||||
| Astronics Corp.* | 1,700 | $ | 33,762 | |||||
| VirTra, Inc.* | 3,000 | 22,830 | ||||||
| Total Aerospace/Defense | 56,592 | |||||||
| Agriculture — 0.4% | ||||||||
| Limoneira Co. | 1,374 | 21,379 | ||||||
| Auto Manufacturers — 0.5% | ||||||||
| Blue Bird Corp.* | 1,100 | 24,728 | ||||||
| Auto Parts & Equipment — 1.0% | ||||||||
| Commercial Vehicle Group, Inc.*(a) | 2,334 | 25,907 | ||||||
| Garrett Motion, Inc. (Switzerland)* | 3,186 | 24,118 | ||||||
| Total Auto Parts & Equipment | 50,025 | |||||||
| Banks — 6.3% | ||||||||
| BayCom Corp. | 1,246 | 20,783 | ||||||
| Byline Bancorp, Inc. | 1,151 | 20,822 | ||||||
| Capital City Bank Group, Inc. | 759 | 23,256 | ||||||
| Carter Bankshares, Inc.* | 1,606 | 23,753 | ||||||
| Esquire Financial Holdings, Inc. | 869 | 39,748 | ||||||
| Mercantile Bank Corp. | 708 | 19,555 | ||||||
| Midland States Bancorp, Inc. | 898 | 17,879 | ||||||
| Northeast Bank | 834 | 34,753 | ||||||
| Northeast Community Bancorp, Inc. | 1,626 | 24,195 | ||||||
| Oak Valley Bancorp | 900 | 22,671 | ||||||
| Parke Bancorp, Inc. | 1,071 | 18,196 | ||||||
| TrustCo Bank Corp. NY | 713 | 20,399 | ||||||
| Unity Bancorp, Inc. | 826 | 19,485 | ||||||
| Total Banks | 305,495 | |||||||
| Biotechnology — 9.4% | ||||||||
| 89bio, Inc.* | 2,900 | 54,955 | ||||||
| Alpine Immune Sciences, Inc.*(a) | 2,351 | 24,168 | ||||||
| Cymabay Therapeutics, Inc.* | 6,162 | 67,474 | ||||||
| Fusion Pharmaceuticals, Inc. (Canada)* | 4,889 | 22,880 | ||||||
| Harvard Bioscience, Inc.* | 4,099 | 22,503 | ||||||
| Inozyme Pharma, Inc.* | 3,445 | 19,189 | ||||||
| Liquidia Corp.* | 3,389 | 26,604 | ||||||
| Merrimack Pharmaceuticals, Inc.* | 2,000 | 24,600 | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Biotechnology (continued) | ||||||||
| MoonLake Immunotherapeutics* | 1,111 | $ | 56,661 | |||||
| Olema Pharmaceuticals, Inc.* | 2,957 | 26,702 | ||||||
| Omeros Corp.*(a) | 3,277 | 17,827 | ||||||
| Rockwell Medical, Inc.* | 5,060 | 27,628 | ||||||
| Tarsus Pharmaceuticals, Inc.* | 1,289 | 23,292 | ||||||
| Tenaya Therapeutics, Inc.*(a) | 3,577 | 20,997 | ||||||
| Zevra Therapeutics, Inc.*(a) | 4,068 | 20,747 | ||||||
| Total Biotechnology | 456,227 | |||||||
| Building Materials — 1.8% | ||||||||
| LSI Industries, Inc. | 2,000 | 25,120 | ||||||
| Modine Manufacturing Co.* | 1,910 | 63,068 | ||||||
| Total Building Materials | 88,188 | |||||||
| Chemicals — 1.2% | ||||||||
| Hawkins, Inc. | 521 | 24,846 | ||||||
| Oil-Dri Corp. of America | 534 | 31,501 | ||||||
| Total Chemicals | 56,347 | |||||||
| Coal — 2.6% | ||||||||
| Alpha Metallurgical Resources, Inc. | 324 | 53,252 | ||||||
| Natural Resource Partners LP(a) | 881 | 46,464 | ||||||
| SunCoke Energy, Inc. | 3,102 | 24,413 | ||||||
| Total Coal | 124,129 | |||||||
| Commercial Services — 6.2% | ||||||||
| Alta Equipment Group, Inc. | 1,853 | 32,112 | ||||||
| Barrett Business Services, Inc. | 310 | 27,032 | ||||||
| CompoSecure, Inc.* | 3,032 | 20,800 | ||||||
| CRA International, Inc. | 318 | 32,436 | ||||||
| Hackett Group, Inc. (The) | 1,301 | 29,077 | ||||||
| HireQuest, Inc.(a) | 1,353 | 35,219 | ||||||
| Lincoln Educational Services Corp.* | 3,010 | 20,287 | ||||||
| Resources Connection, Inc. | 1,032 | 16,213 | ||||||
| Textainer Group Holdings Ltd. (China) | 1,102 | 43,397 | ||||||
| Transcat, Inc.* | 515 | 43,935 | ||||||
| Total Commercial Services | 300,508 | |||||||
| Computers — 0.6% | ||||||||
| Cantaloupe, Inc.* | 3,445 | 27,422 | ||||||
| Distribution/Wholesale — 1.5% | ||||||||
| Veritiv Corp. | 578 | 72,603 | ||||||
See accompanying Notes to Financial Statements.
65
ADVISORSHARES DORSEY WRIGHT SMALL COMPANY ETF
(formerly AdvisorShares Dorsey Wright Micro-Cap ETF)
Schedule of Investments (continued)
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Diversified Financial Services — 2.5% | ||||||||
| Diamond Hill Investment Group, Inc. | 131 | $ | 22,440 | |||||
| EZCORP, Inc., Class A*(a) | 3,732 | 31,274 | ||||||
| Oppenheimer Holdings, Inc., Class A | 577 | 23,184 | ||||||
| Silvercrest Asset Management Group, Inc., Class A | 1,272 | 25,758 | ||||||
| UWM Holdings Corp. | 3,666 | 20,530 | ||||||
| Total Diversified Financial Services | 123,186 | |||||||
| Electric — 0.8% | ||||||||
| Genie Energy Ltd., Class B | 2,596 | 36,707 | ||||||
| Electrical Components & Equipment — 1.4% | ||||||||
| Pioneer Power Solutions, Inc.* | 3,699 | 31,071 | ||||||
| Powell Industries, Inc. | 620 | 37,566 | ||||||
| Total Electrical Components & Equipment | 68,637 | |||||||
| Electronics — 4.7% | ||||||||
| Allied Motion Technologies, Inc. | 660 | 26,360 | ||||||
| Bel Fuse, Inc., Class B | 1,601 | 91,913 | ||||||
| Ituran Location and Control Ltd. (Israel) | 959 | 22,383 | ||||||
| Kimball Electronics, Inc.* | 1,182 | 32,659 | ||||||
| NVE Corp. | 351 | 34,202 | ||||||
| Stoneridge, Inc.* | 1,000 | 18,850 | ||||||
| Total Electronics | 226,367 | |||||||
| Energy — Alternate Sources — 0.5% | ||||||||
| REX American Resources Corp.* | 646 | 22,487 | ||||||
| Engineering & Construction — 4.5% | ||||||||
| Bowman Consulting Group Ltd.* | 930 | 29,648 | ||||||
| Limbach Holdings, Inc.* | 2,000 | 49,460 | ||||||
| MYR Group, Inc.* | 387 | 53,538 | ||||||
| Star Group LP | 1,900 | 25,954 | ||||||
| Sterling Infrastructure, Inc.* | 1,036 | 57,809 | ||||||
| Total Engineering & Construction | 216,409 | |||||||
| Entertainment — 0.9% | ||||||||
| Golden Entertainment, Inc.* | 1,050 | 43,890 | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Environmental Control — 2.0% | ||||||||
| CECO Environmental Corp.* | 3,230 | $ | 43,153 | |||||
| Heritage-Crystal Clean, Inc.* | 851 | 32,159 | ||||||
| Perma-Fix Environmental Services, Inc.* | 1,938 | 21,279 | ||||||
| Total Environmental Control | 96,591 | |||||||
| Food — 0.6% | ||||||||
| Nathan’s Famous, Inc. | 398 | 31,259 | ||||||
| Gas — 0.7% | ||||||||
| Global Partners LP | 1,031 | 31,683 | ||||||
| Healthcare — Products — 2.5% | ||||||||
| Avita Medical, Inc.* | 1,467 | 24,954 | ||||||
| Tactile Systems Technology, Inc.* | 1,223 | 30,489 | ||||||
| UFP Technologies, Inc.* | 338 | 65,521 | ||||||
| Total Healthcare — Products | 120,964 | |||||||
| Home Builders — 0.7% | ||||||||
| Hovnanian Enterprises, Inc., Class A* | 356 | 35,319 | ||||||
| Home Furnishings — 1.5% | ||||||||
| Daktronics, Inc.* | 4,210 | 26,944 | ||||||
| Ethan Allen Interiors, Inc. | 923 | 26,103 | ||||||
| VOXX International Corp.* | 1,613 | 20,130 | ||||||
| Total Home Furnishings | 73,177 | |||||||
| Insurance — 3.6% | ||||||||
| Ambac Financial Group, Inc.* | 1,666 | 23,724 | ||||||
| Donegal Group, Inc., Class A | 1,302 | 18,788 | ||||||
| Greenlight Capital Re Ltd., Class A* | 2,801 | 29,509 | ||||||
| HCI Group, Inc.(a) | 417 | 25,762 | ||||||
| Heritage Insurance Holdings, Inc.* | 4,968 | 19,127 | ||||||
| Investors Title Co. | 135 | 19,710 | ||||||
| Tiptree, Inc. | 2,526 | 37,915 | ||||||
| Total Insurance | 174,535 | |||||||
| Internet — 0.4% | ||||||||
| Travelzoo* | 2,367 | 18,676 | ||||||
| Investment Companies — 0.9% | ||||||||
| Crescent Capital BDC, Inc. | 1,407 | 21,302 | ||||||
| Runway Growth Finance Corp. | 2,001 | 24,712 | ||||||
| Total Investment Companies | 46,014 | |||||||
See accompanying Notes to Financial Statements.
66
ADVISORSHARES DORSEY WRIGHT SMALL COMPANY ETF
(formerly AdvisorShares Dorsey Wright Micro-Cap ETF)
Schedule of Investments (continued)
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Iron/Steel — 0.7% | ||||||||
| Haynes International, Inc. | 671 | $ | 34,100 | |||||
| Leisure Time — 0.5% | ||||||||
| MasterCraft Boat Holdings, Inc.* | 750 | 22,988 | ||||||
| Machinery — Diversified — 1.3% | ||||||||
| DXP Enterprises, Inc.* | 732 | 26,652 | ||||||
| Thermon Group Holdings, Inc.* | 1,331 | 35,405 | ||||||
| Total Machinery — Diversified | 62,057 | |||||||
| Metal Fabricate/Hardware — 3.0% | ||||||||
| Northwest Pipe Co.* | 735 | 22,226 | ||||||
| Olympic Steel, Inc. | 620 | 30,380 | ||||||
| Steel Partners Holdings LP* | 1,906 | 90,535 | ||||||
| Total Metal Fabricate/Hardware | 143,141 | |||||||
| Mining — 0.4% | ||||||||
| McEwen Mining, Inc. (Canada)* | 2,651 | 19,061 | ||||||
| Miscellaneous Manufacturing — 0.5% | ||||||||
| Park Aerospace Corp. | 1,786 | 24,647 | ||||||
| Oil & Gas — 4.4% | ||||||||
| Amplify Energy Corp.* | 2,601 | 17,609 | ||||||
| Diamond Offshore Drilling, Inc.* | 3,591 | 51,136 | ||||||
| Kimbell Royalty Partners LP | 1,962 | 28,861 | ||||||
| Permian Basin Royalty Trust | 3,508 | 87,454 | ||||||
| Sabine Royalty Trust | 432 | 28,486 | ||||||
| Total Oil & Gas | 213,546 | |||||||
| Oil & Gas Services — 1.6% | ||||||||
| Helix Energy Solutions Group, Inc.* | 5,044 | 37,225 | ||||||
| Oil States International, Inc.* | 2,840 | 21,215 | ||||||
| Ranger Energy Services, Inc.* | 2,034 | 20,828 | ||||||
| Total Oil & Gas Services | 79,268 | |||||||
| Packaging & Containers — 0.4% | ||||||||
| Clearwater Paper Corp.* | 641 | 20,076 | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Pharmaceuticals — 4.2% | ||||||||
| Corbus Pharmaceuticals Holdings, Inc.* | 2,555 | $ | 20,031 | |||||
| CorMedix, Inc.*(a) | 4,668 | 18,509 | ||||||
| Enliven Therapeutics, Inc.*(a) | 1,375 | 28,064 | ||||||
| Longboard Pharmaceuticals, Inc.* | 3,150 | 23,121 | ||||||
| Marinus Pharmaceuticals, Inc.* | 2,446 | 26,563 | ||||||
| Nuvectis Pharma, Inc.* | 1,444 | 23,061 | ||||||
| scPharmaceuticals, Inc.*(a) | 3,300 | 33,627 | ||||||
| Voyager Therapeutics, Inc.* | 2,800 | 32,060 | ||||||
| Total Pharmaceuticals | 205,036 | |||||||
| Pipelines — 0.5% | ||||||||
| NGL Energy Partners LP* | 5,845 | 22,737 | ||||||
| Real Estate — 0.6% | ||||||||
| Legacy Housing Corp.* | 1,157 | 26,831 | ||||||
| REITS — 1.4% | ||||||||
| BRT Apartments Corp. | 1,246 | 24,671 | ||||||
| CTO Realty Growth, Inc. | 1,288 | 22,076 | ||||||
| Whitestone REIT | 2,049 | 19,875 | ||||||
| Total REITS | 66,622 | |||||||
| Retail — 3.3% | ||||||||
| Biglari Holdings, Inc., Class B* | 162 | 31,937 | ||||||
| Caleres, Inc.(a) | 1,091 | 26,107 | ||||||
| Carrols Restaurant Group, Inc.* | 5,001 | 25,205 | ||||||
| Chuy’s Holdings, Inc.* | 740 | 30,207 | ||||||
| Haverty Furniture Cos., Inc. | 712 | 21,517 | ||||||
| Red Robin Gourmet Burgers, Inc.*(a) | 1,668 | 23,068 | ||||||
| Total Retail | 158,041 | |||||||
| Savings & Loans — 0.5% | ||||||||
| FS Bancorp, Inc. | 818 | 24,597 | ||||||
| Semiconductors — 0.8% | ||||||||
| GSI Technology, Inc.* | 2,733 | 15,113 | ||||||
| Vishay Precision Group, Inc.* | 690 | 25,634 | ||||||
| Total Semiconductors | 40,747 | |||||||
| Software — 5.5% | ||||||||
| Augmedix, Inc.* | 5,555 | 26,720 | ||||||
| Computer Programs and Systems, Inc.* | 675 | 16,666 | ||||||
| Digi International, Inc.* | 1,149 | 45,259 | ||||||
See accompanying Notes to Financial Statements.
67
ADVISORSHARES DORSEY WRIGHT SMALL COMPANY ETF
(formerly AdvisorShares Dorsey Wright Micro-Cap ETF)
Schedule of Investments (continued)
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Software (continued) | ||||||||
| Donnelley Financial Solutions, Inc.* | 1,191 | $ | 54,226 | |||||
| Immersion Corp. | 3,400 | 24,072 | ||||||
| Innodata, Inc.* | 2,878 | 32,608 | ||||||
| Inspired Entertainment, Inc.* | 2,000 | 29,420 | ||||||
| Weave Communications, Inc.* | 3,132 | 34,796 | ||||||
| Total Software | 263,767 | |||||||
| Telecommunications — 1.7% | ||||||||
| Aviat Networks, Inc.* | 750 | 25,028 | ||||||
| Preformed Line Products Co. | 372 | 58,069 | ||||||
| Total Telecommunications | 83,097 | |||||||
| Transportation — 5.4% | ||||||||
| Capital Product Partners LP (Greece) | 2,140 | 29,361 | ||||||
| Covenant Logistics Group, Inc. | 962 | 42,164 | ||||||
| Daseke, Inc.* | 2,835 | 20,214 | ||||||
| Dorian LPG Ltd. | 1,717 | 44,041 | ||||||
| Pangaea Logistics Solutions Ltd. | 3,778 | 25,577 | ||||||
| Teekay Corp. (Bermuda)* | 5,650 | 34,126 | ||||||
| Teekay Tankers Ltd., Class A (Canada) | 976 | 37,313 | ||||||
| Tsakos Energy Navigation Ltd. (Greece) | 1,726 | 30,757 | ||||||
| Total Transportation | 263,553 | |||||||
| Venture Capital — 0.5% | ||||||||
| Chicago Atlantic Real Estate Finance, Inc. | 1,462 | 22,149 | ||||||
| Water — 1.0% | ||||||||
| Consolidated Water Co. Ltd. (Cayman Islands) | 1,097 | 26,580 | ||||||
| York Water Co. (The) | 562 | 23,194 | ||||||
| Total Water | 49,774 | |||||||
| Total Common Stocks (Cost $4,140,872) |
4,795,379 | |||||||
| RIGHTS — 0.0%** | ||||||||
| Pharmaceuticals — 0.0%** | ||||||||
| IMARA INC., CVR*(b) (Cost $0) |
5,500 | 0 | ||||||
| Investments | Shares | Value | ||||||
| MONEY MARKET FUNDS — 8.4% | ||||||||
| Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(c)(d) | 304,948 | $ | 304,948 | |||||
| STIT — Government & Agency Portfolio, Institutional Class, 5.05%(c) | 99,420 | 99,420 | ||||||
| Total Money Market Funds (Cost $404,368) |
404,368 | |||||||
| Total Investments — 107.5% (Cost $4,545,240) |
5,199,747 | |||||||
| Liabilities in Excess of Other Assets — (7.5%) | (363,565 | ) | ||||||
| Net Assets — 100.0% | $ | 4,836,182 | ||||||
CVR — Contingent Value Rights
LP — Limited Partnership
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 $321,886; the aggregate market value of the collateral held by the fund is $328,882. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $23,934. |
| (b) | Fair valued using significant unobservable inputs. See note 2 regarding fair value measurements. |
| (c) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (d) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
68
ADVISORSHARES DORSEY WRIGHT SMALL COMPANY ETF
(formerly AdvisorShares Dorsey Wright Micro-Cap ETF)
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 4,795,379 | $ | — | $ | — | $ | 4,795,379 | ||||||||
| Rights | — | — | — | * | — | |||||||||||
| Money Market Funds | 404,368 | — | — | 404,368 | ||||||||||||
| Total | $ | 5,199,747 | $ | — | $ | — | * | $ | 5,199,747 | |||||||
| * | Less than $1. |
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Aerospace/Defense | 1.2 | % | ||
| Agriculture | 0.4 | |||
| Auto Manufacturers | 0.5 | |||
| Auto Parts & Equipment | 1.0 | |||
| Banks | 6.3 | |||
| Biotechnology | 9.4 | |||
| Building Materials | 1.8 | |||
| Chemicals | 1.2 | |||
| Coal | 2.6 | |||
| Commercial Services | 6.2 | |||
| Computers | 0.6 | |||
| Distribution/Wholesale | 1.5 | |||
| Diversified Financial Services | 2.5 | |||
| Electric | 0.8 | |||
| Electrical Components & Equipment | 1.4 | |||
| Electronics | 4.7 | |||
| Energy — Alternate Sources | 0.5 | |||
| Engineering & Construction | 4.5 | |||
| Entertainment | 0.9 | |||
| Environmental Control | 2.0 | |||
| Food | 0.6 | |||
| Gas | 0.7 | |||
| Healthcare — Products | 2.5 | |||
| Home Builders | 0.7 | |||
| Home Furnishings | 1.5 | |||
| Insurance | 3.6 | |||
SUMMARY OF SCHEDULE OF INVESTMENTS (continued)
| % of Net Assets |
||||
| Internet | 0.4 | % | ||
| Investment Companies | 0.9 | |||
| Iron/Steel | 0.7 | |||
| Leisure Time | 0.5 | |||
| Machinery — Diversified | 1.3 | |||
| Metal Fabricate/Hardware | 3.0 | |||
| Mining | 0.4 | |||
| Miscellaneous Manufacturing | 0.5 | |||
| Oil & Gas | 4.4 | |||
| Oil & Gas Services | 1.6 | |||
| Packaging & Containers | 0.4 | |||
| Pharmaceuticals | 4.2 | |||
| Pipelines | 0.5 | |||
| Real Estate | 0.6 | |||
| REITS | 1.4 | |||
| Retail | 3.3 | |||
| Savings & Loans | 0.5 | |||
| Semiconductors | 0.8 | |||
| Software | 5.5 | |||
| Telecommunications | 1.7 | |||
| Transportation | 5.4 | |||
| Venture Capital | 0.5 | |||
| Water | 1.0 | |||
| Money Market Funds | 8.4 | |||
| Total Investments | 107.5 | |||
| Liabilities in Excess of Other Assets | (7.5 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
69
ADVISORSHARES FOCUSED EQUITY ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 99.6% | ||||||||
| Aerospace/Defense — 4.1% | ||||||||
| HEICO Corp. | 16,155 | $ | 2,858,466 | |||||
| Auto Parts & Equipment — 4.7% | ||||||||
| Miller Industries, Inc. | 93,726 | 3,324,461 | ||||||
| Building Materials — 9.7% | ||||||||
| Carrier Global Corp. | 59,579 | 2,961,672 | ||||||
| Trex Co., Inc.* | 58,712 | 3,849,159 | ||||||
| Total Building Materials | 6,810,831 | |||||||
| Chemicals — 7.1% | ||||||||
| Celanese Corp. | 23,679 | 2,742,028 | ||||||
| Stepan Co. | 22,972 | 2,195,204 | ||||||
| Total Chemicals | 4,937,232 | |||||||
| Commercial Services — 4.4% | ||||||||
| Moody’s Corp. | 8,884 | 3,089,144 | ||||||
| Computers — 3.6% | ||||||||
| Science Applications International Corp. | 22,626 | 2,544,973 | ||||||
| Diversified Financial Services — 3.8% | ||||||||
| Intercontinental Exchange, Inc. | 23,771 | 2,688,025 | ||||||
| Food — 3.8% | ||||||||
| Hershey Co. (The) | 10,708 | 2,673,788 | ||||||
| Healthcare — Products — 14.5% | ||||||||
| Abbott Laboratories | 22,679 | 2,472,465 | ||||||
| Danaher Corp. | 9,370 | 2,248,800 | ||||||
| Stryker Corp. | 10,186 | 3,107,647 | ||||||
| Thermo Fisher Scientific, Inc. | 4,414 | 2,303,004 | ||||||
| Total Healthcare — Products | 10,131,916 | |||||||
| Insurance — 3.5% | ||||||||
| Aflac, Inc. | 34,887 | 2,435,113 | ||||||
| Leisure Time — 4.2% | ||||||||
| Polaris, Inc. | 24,451 | 2,956,859 | ||||||
| Machinery — Diversified — 7.9% | ||||||||
| Middleby Corp. (The)* | 18,175 | 2,686,810 | ||||||
| Otis Worldwide Corp. | 31,581 | 2,811,025 | ||||||
| Total Machinery — Diversified | 5,497,835 | |||||||
| Media — 3.5% | ||||||||
| FactSet Research Systems, Inc. | 6,064 | 2,429,542 | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Packaging & Containers — 3.2% | ||||||||
| Silgan Holdings, Inc. | 47,899 | $ | 2,245,984 | |||||
| Pharmaceuticals — 4.1% | ||||||||
| AmerisourceBergen Corp. | 14,868 | 2,861,049 | ||||||
| Software — 17.5% | ||||||||
| Broadridge Financial Solutions, Inc. | 18,256 | 3,023,741 | ||||||
| Fair Isaac Corp.* | 3,995 | 3,232,794 | ||||||
| Fiserv, Inc.* | 24,754 | 3,122,717 | ||||||
| Intuit, Inc. | 6,276 | 2,875,601 | ||||||
| Total Software | 12,254,853 | |||||||
| Total Common Stocks (Cost $59,982,079) |
69,740,071 | |||||||
| MONEY MARKET FUND — 0.5% | ||||||||
| BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(a) (Cost $339,690) |
339,690 | 339,690 | ||||||
| Total Investments — 100.1% (Cost $60,321,769) |
70,079,761 | |||||||
| Liabilities in Excess of Other Assets — (0.1%) | (78,042 | ) | ||||||
| Net Assets — 100.0% | $ | 70,001,719 | ||||||
| * | Non-income producing security. |
| (a) | Rate shown reflects the 7-day yield as of June 30, 2023. |
See accompanying Notes to Financial Statements.
70
ADVISORSHARES FOCUSED EQUITY ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 69,740,071 | $ | — | $ | — | $ | 69,740,071 | ||||||||
| Money Market Fund | 339,690 | — | — | 339,690 | ||||||||||||
| Total | $ | 70,079,761 | $ | — | $ | — | $ | 70,079,761 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Aerospace/Defense | 4.1 | % | ||
| Auto Parts & Equipment | 4.7 | |||
| Building Materials | 9.7 | |||
| Chemicals | 7.1 | |||
| Commercial Services | 4.4 | |||
| Computers | 3.6 | |||
| Diversified Financial Services | 3.8 | |||
| Food | 3.8 | |||
| Healthcare — Products | 14.5 | |||
| Insurance | 3.5 | |||
| Leisure Time | 4.2 | |||
| Machinery — Diversified | 7.9 | |||
| Media | 3.5 | |||
| Packaging & Containers | 3.2 | |||
| Pharmaceuticals | 4.1 | |||
| Software | 17.5 | |||
| Money Market Fund | 0.5 | |||
| Total Investments | 100.1 | |||
| Liabilities in Excess of Other Assets | (0.1 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
71
ADVISORSHARES GERBER KAWASAKI ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 99.7% | ||||||||
| Aerospace/Defense — 3.8% | ||||||||
| Northrop Grumman Corp. | 624 | $ | 284,419 | |||||
| Raytheon Technologies Corp. | 3,850 | 377,146 | ||||||
| Total Aerospace/Defense | 661,565 | |||||||
| Apparel — 3.7% | ||||||||
| LVMH Moet Hennessy Louis Vuitton SE (France)(a) | 1,934 | 365,217 | ||||||
| NIKE, Inc., Class B | 2,615 | 288,617 | ||||||
| Total Apparel | 653,834 | |||||||
| Auto Manufacturers — 9.5% | ||||||||
| Polestar Automotive Holding UK PLC, Class A (Hong Kong)*(a)(b) | 42,021 | 160,520 | ||||||
| Tesla, Inc.* | 5,728 | 1,499,419 | ||||||
| Total Auto Manufacturers | 1,659,939 | |||||||
| Auto Parts & Equipment — 0.8% | ||||||||
| Luminar Technologies, Inc.*(b) | 21,060 | 144,893 | ||||||
| Computers — 5.9% | ||||||||
| Apple, Inc. | 5,334 | 1,034,636 | ||||||
| Diversified Financial Services — 4.7% | ||||||||
| LPL Financial Holdings, Inc. | 3,779 | 821,668 | ||||||
| Electric — 0.4% | ||||||||
| NextEra Energy, Inc. | 1,020 | 75,684 | ||||||
| Energy — Alternate Sources — 2.7% | ||||||||
| Enphase Energy, Inc.* | 1,522 | 254,904 | ||||||
| SolarEdge Technologies, Inc.* | 834 | 224,388 | ||||||
| Total Energy — Alternate Sources | 479,292 | |||||||
| Entertainment — 1.9% | ||||||||
| Cinemark Holdings, Inc.* | 20,396 | 336,534 | ||||||
| Healthcare — Products — 0.6% | ||||||||
| Thermo Fisher Scientific, Inc. | 204 | 106,437 | ||||||
| Home Builders — 3.0% | ||||||||
| Lennar Corp., Class A | 4,250 | 532,568 | ||||||
| Internet — 8.1% | ||||||||
| Alphabet, Inc., Class C* | 5,348 | 646,947 | ||||||
| Netflix, Inc.* | 1,779 | 783,632 | ||||||
| Total Internet | 1,430,579 | |||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Iron/Steel — 1.6% | ||||||||
| Steel Dynamics, Inc. | 2,642 | $ | 287,793 | |||||
| Lodging — 10.9% | ||||||||
| Las Vegas Sands Corp.* | 12,137 | 703,946 | ||||||
| MGM Resorts International | 27,628 | 1,213,422 | ||||||
| Total Lodging | 1,917,368 | |||||||
| Machinery — Diversified — 3.6% | ||||||||
| Deere & Co. | 1,578 | 639,390 | ||||||
| Media — 3.8% | ||||||||
| Walt Disney Co. (The)* | 7,368 | 657,815 | ||||||
| Mining — 1.1% | ||||||||
| MP Materials Corp.*(b) | 8,312 | 190,179 | ||||||
| Pharmaceuticals — 4.2% | ||||||||
| Novo Nordisk A/S (Denmark)(a) | 2,434 | 393,894 | ||||||
| Zoetis, Inc. | 2,039 | 351,136 | ||||||
| Total Pharmaceuticals | 745,030 | |||||||
| REITS — 3.8% | ||||||||
| Prologis, Inc. | 716 | 87,803 | ||||||
| VICI Properties, Inc., Class A | 18,385 | 577,841 | ||||||
| Total REITS | 665,644 | |||||||
| Retail — 1.0% | ||||||||
| Home Depot, Inc. (The) | 559 | 173,648 | ||||||
| Semiconductors — 13.0% | ||||||||
| ASML Holding NV (Netherlands) | 734 | 531,966 | ||||||
| NVIDIA Corp. | 2,489 | 1,052,897 | ||||||
| ON Semiconductor Corp.* | 7,337 | 693,934 | ||||||
| Total Semiconductors | 2,278,797 | |||||||
| Software — 10.8% | ||||||||
| Activision Blizzard, Inc.* | 1,764 | 148,705 | ||||||
| Microsoft Corp. | 3,419 | 1,164,306 | ||||||
| Oracle Corp. | 1,588 | 189,115 | ||||||
| ROBLOX Corp., Class A* | 9,917 | 399,655 | ||||||
| Total Software | 1,901,781 | |||||||
| Venture Capital — 0.8% | ||||||||
| Blackstone, Inc. | 1,522 | 141,500 | ||||||
| Total Common Stocks (Cost $17,415,625) |
|
|
|
|
|
|
17,536,574 |
|
See accompanying Notes to Financial Statements.
72
ADVISORSHARES GERBER KAWASAKI ETF
Schedule of Investments (continued)
June 30, 2023
| Investments | Shares | Value | ||||||
| MONEY MARKET FUNDS — 2.1% | ||||||||
| BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(c) | 92,642 | $ | 92,642 | |||||
| Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(c)(d) | 277,178 | 277,178 | ||||||
| Total Money Market Funds (Cost $369,820) |
|
|
|
|
|
369,820 |
| |
| Total Investments — 101.8% (Cost $17,785,445) |
|
|
|
|
|
|
17,906,394 |
|
| Liabilities in Excess of Other Assets — (1.8%) | (328,558 | ) | ||||||
| Net Assets — 100.0% | $ | 17,577,836 | ||||||
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 $453,135; the aggregate market value of the collateral held by the fund is $465,756. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $188,578. |
| (c) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (d) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
73
ADVISORSHARES GERBER KAWASAKI ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 17,536,574 | $ | — | $ | — | $ | 17,536,574 | ||||||||
| Money Market Funds | 369,820 | — | — | 369,820 | ||||||||||||
| Total | $ | 17,906,394 | $ | — | $ | — | $ | 17,906,394 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Aerospace/Defense | 3.8 | % | ||
| Apparel | 3.7 | |||
| Auto Manufacturers | 9.5 | |||
| Auto Parts & Equipment | 0.8 | |||
| Computers | 5.9 | |||
| Diversified Financial Services | 4.7 | |||
| Electric | 0.4 | |||
| Energy — Alternate Sources | 2.7 | |||
| Entertainment | 1.9 | |||
| Healthcare — Products | 0.6 | |||
| Home Builders | 3.0 | |||
| Internet | 8.1 | |||
| Iron/Steel | 1.6 | |||
| Lodging | 10.9 | |||
| Machinery — Diversified | 3.6 | |||
| Media | 3.8 | |||
| Mining | 1.1 | |||
| Pharmaceuticals | 4.2 | |||
| REITS | 3.8 | |||
| Retail | 1.0 | |||
| Semiconductors | 13.0 | |||
| Software | 10.8 | |||
| Venture Capital | 0.8 | |||
| Money Market Funds | 2.1 | |||
| Total Investments | 101.8 | |||
| Liabilities in Excess of Other Assets | (1.8) | |||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
74
ADVISORSHARES HOTEL ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 99.0% | ||||||||
| Commercial Services — 3.8% | ||||||||
| Target Hospitality Corp.* | 11,701 | $ | 157,028 | |||||
| Entertainment — 4.1% | ||||||||
| Marriott Vacations Worldwide Corp. | 371 | 45,529 | ||||||
| Monarch Casino & Resort, Inc. | 1,082 | 76,227 | ||||||
| Red Rock Resorts, Inc., Class A | 1,109 | 51,879 | ||||||
| Total Entertainment | 173,635 | |||||||
| Internet — 12.4% | ||||||||
| Airbnb, Inc., Class A* | 1,475 | 189,036 | ||||||
| Booking Holdings, Inc.* | 86 | 232,228 | ||||||
| Expedia Group, Inc.* | 882 | 96,482 | ||||||
| Total Internet | 517,746 | |||||||
| Leisure Time — 5.0% | ||||||||
| Royal Caribbean Cruises Ltd.* | 2,000 | 207,480 | ||||||
| Lodging — 49.7% | ||||||||
| Bluegreen Vacations Holding Corp. | 7,514 | 267,874 | ||||||
| Boyd Gaming Corp. | 3,246 | 225,175 | ||||||
| Choice Hotels International, Inc. | 338 | 39,722 | ||||||
| GreenTree Hospitality Group Ltd. (China)*(a) | 45,034 | 233,276 | ||||||
| Hilton Grand Vacations, Inc.* | 4,344 | 197,391 | ||||||
| Hilton Worldwide Holdings, Inc. | 1,373 | 199,840 | ||||||
| Hyatt Hotels Corp., Class A | 1,700 | 194,786 | ||||||
| InterContinental Hotels Group PLC (United Kingdom)(a)(b) | 3,041 | 214,239 | ||||||
| Marriott International, Inc., Class A | 1,284 | 235,858 | ||||||
| Playa Hotels & Resorts NV* | 21,803 | 177,476 | ||||||
| Wyndham Hotels & Resorts, Inc. | 1,380 | 94,627 | ||||||
| Total Lodging | 2,080,264 | |||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| REITS — 24.0% | ||||||||
| Apple Hospitality REIT, Inc. | 8,741 | $ | 132,076 | |||||
| Gaming and Leisure Properties, Inc. | 1,937 | 93,867 | ||||||
| Host Hotels & Resorts, Inc. | 4,658 | 78,394 | ||||||
| Park Hotels & Resorts, Inc. | 11,167 | 143,161 | ||||||
| Ryman Hospitality Properties, Inc. | 2,100 | 195,132 | ||||||
| Service Properties Trust | 22,724 | 197,472 | ||||||
| VICI Properties, Inc., Class A | 5,251 | 165,039 | ||||||
| Total REITS | 1,005,141 | |||||||
| Total Common Stocks (Cost $3,830,485) |
|
|
|
|
|
|
4,141,294 |
|
| MONEY MARKET FUNDS — 5.3% | ||||||||
| BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(c) | 88,142 | 88,142 | ||||||
| Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(c)(d) | 134,900 | 134,900 | ||||||
| Total Money Market Funds (Cost $223,042) |
|
|
|
|
|
|
223,042 |
|
| Total Investments — 104.3% (Cost $4,053,527) |
|
|
|
|
|
|
4,364,336 |
|
| Liabilities in Excess of Other Assets — (4.3%) | (178,321 | ) | ||||||
| Net Assets — 100.0% | $ | 4,186,015 | ||||||
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 $133,855; the aggregate market value of the collateral held by the fund is $134,900. |
| (c) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (d) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
75
ADVISORSHARES HOTEL ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 4,141,294 | $ | — | $ | — | $ | 4,141,294 | ||||||||
| Money Market Funds | 223,042 | — | — | 223,042 | ||||||||||||
| Total | $ | 4,364,336 | $ | — | $ | — | $ | 4,364,336 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Commercial Services | 3.8 | % | ||
| Entertainment | 4.1 | |||
| Internet | 12.4 | |||
| Leisure Time | 5.0 | |||
| Lodging | 49.7 | |||
| REITS | 24.0 | |||
| Money Market Funds | 5.3 | |||
| Total Investments | 104.3 | |||
| Liabilities in Excess of Other Assets | (4.3 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
76
ADVISORSHARES INSIDER ADVANTAGE ETF
(formerly AdvisorShares DoubleLine Value Equity ETF)
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 99.7% | ||||||||
| Apparel — 4.0% | ||||||||
| Carter’s, Inc.(a) | 6,131 | $ | 445,110 | |||||
| Ralph Lauren Corp. | 3,659 | 451,155 | ||||||
| Steven Madden Ltd. | 12,243 | 400,224 | ||||||
| Tapestry, Inc. | 9,790 | 419,012 | ||||||
| Total Apparel | 1,715,501 | |||||||
| Auto Parts & Equipment — 1.1% | ||||||||
| Allison Transmission Holdings, Inc. | 7,911 | 446,655 | ||||||
| Building Materials — 2.8% | ||||||||
| Eagle Materials, Inc. | 3,076 | 573,428 | ||||||
| Owens Corning | 4,604 | 600,822 | ||||||
| Total Building Materials | 1,174,250 | |||||||
| Chemicals — 3.3% | ||||||||
| CF Industries Holdings, Inc. | 6,329 | 439,359 | ||||||
| Mosaic Co. (The) | 6,999 | 244,965 | ||||||
| NewMarket Corp. | 989 | 397,697 | ||||||
| Orion SA (Germany) | 15,822 | 335,743 | ||||||
| Total Chemicals | 1,417,764 | |||||||
| Coal — 1.0% | ||||||||
| Alpha Metallurgical Resources, Inc. | 2,468 | 405,641 | ||||||
| Commercial Services — 3.9% | ||||||||
| Medifast, Inc. | 3,135 | 288,922 | ||||||
| Textainer Group Holdings Ltd. (China)(a) | 10,383 | 408,882 | ||||||
| Triton International Ltd. (Bermuda) | 5,712 | 475,581 | ||||||
| Verisk Analytics, Inc. | 2,034 | 459,745 | ||||||
| Total Commercial Services | 1,633,130 | |||||||
| Computers — 3.3% | ||||||||
| Apple, Inc. | 2,901 | 562,707 | ||||||
| Cognizant Technology Solutions Corp., Class A | 6,552 | 427,714 | ||||||
| HP, Inc. | 12,856 | 394,808 | ||||||
| Total Computers | 1,385,229 | |||||||
| Distribution/Wholesale — 1.1% | ||||||||
| WW Grainger, Inc. | 593 | 467,634 | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Diversified Financial Services — 7.6% | ||||||||
| Affiliated Managers Group, Inc. | 2,675 | $ | 400,956 | |||||
| BlackRock, Inc. | 494 | 341,423 | ||||||
| Capital One Financial Corp. | 3,758 | 411,012 | ||||||
| Discover Financial Services | 3,766 | 440,057 | ||||||
| LPL Financial Holdings, Inc. | 1,978 | 430,077 | ||||||
| Mastercard, Inc., Class A | 989 | 388,974 | ||||||
| SEI Investments Co. | 6,823 | 406,787 | ||||||
| Visa, Inc., Class A(a) | 1,682 | 399,441 | ||||||
| Total Diversified Financial Services | 3,218,727 | |||||||
| Electric — 1.0% | ||||||||
| Vistra Corp. | 15,822 | 415,328 | ||||||
| Electrical Components & Equipment — 1.0% | ||||||||
| Encore Wire Corp. | 2,395 | 445,302 | ||||||
| Electronics — 2.0% | ||||||||
| CTS Corp. | 8,706 | 371,137 | ||||||
| Vontier Corp. | 14,474 | 466,207 | ||||||
| Total Electronics | 837,344 | |||||||
| Food — 2.8% | ||||||||
| Hershey Co. (The) | 1,483 | 370,305 | ||||||
| John B Sanfilippo & Son, Inc. | 4,256 | 499,101 | ||||||
| Tootsie Roll Industries, Inc. | 9,094 | 322,019 | ||||||
| Total Food | 1,191,425 | |||||||
| Forest Products & Paper — 0.8% | ||||||||
| Sylvamo Corp. | 8,223 | 332,620 | ||||||
| Healthcare — Products — 0.9% | ||||||||
| Bruker Corp. | 4,988 | 368,713 | ||||||
| Healthcare — Services — 1.2% | ||||||||
| HCA Healthcare, Inc. | 1,740 | 528,055 | ||||||
| Home Builders — 4.8% | ||||||||
| D.R. Horton, Inc. | 4,256 | 517,913 | ||||||
| KB Home | 11,028 | 570,258 | ||||||
| Lennar Corp., Class A | 3,966 | 496,979 | ||||||
| PulteGroup, Inc. | 5,868 | 455,826 | ||||||
| Total Home Builders | 2,040,976 | |||||||
See accompanying Notes to Financial Statements.
77
ADVISORSHARES INSIDER ADVANTAGE ETF
(formerly AdvisorShares DoubleLine Value Equity ETF)
Schedule of Investments (continued)
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Insurance — 3.2% | ||||||||
| American Equity Investment Life Holding Co. | 9,691 | $ | 504,998 | |||||
| Aon PLC, Class A | 1,187 | 409,752 | ||||||
| MGIC Investment Corp. | 26,781 | 422,872 | ||||||
| Total Insurance | 1,337,622 | |||||||
| Internet — 1.0% | ||||||||
| eBay, Inc. | 9,098 | 406,590 | ||||||
| Iron/Steel — 2.0% | ||||||||
| Nucor Corp. | 2,807 | 460,292 | ||||||
| Steel Dynamics, Inc. | 3,570 | 388,880 | ||||||
| Total Iron/Steel | 849,172 | |||||||
| Leisure Time — 1.0% | ||||||||
| Polaris, Inc. | 3,590 | 434,139 | ||||||
| Lodging — 1.0% | ||||||||
| Marriott International, Inc., Class A | 2,419 | 444,346 | ||||||
| Machinery — Diversified — 1.0% | ||||||||
| Nordson Corp. | 1,780 | 441,760 | ||||||
| Media — 3.2% | ||||||||
| Comcast Corp., Class A | 9,790 | 406,775 | ||||||
| Nexstar Media Group, Inc. | 1,982 | 330,102 | ||||||
| Scholastic Corp. | 9,098 | 353,821 | ||||||
| Sinclair, Inc.(a) | 20,538 | 283,835 | ||||||
| Total Media | 1,374,533 | |||||||
| Metal Fabricate / Hardware — 1.0% | ||||||||
| Advanced Drainage Systems, Inc. | 3,857 | 438,850 | ||||||
| Miscellaneous Manufacturing — 2.0% | ||||||||
| A.O. Smith Corp. | 6,032 | 439,009 | ||||||
| Carlisle Cos., Inc. | 1,646 | 422,248 | ||||||
| Total Miscellaneous Manufacturing | 861,257 | |||||||
| Oil & Gas — 11.6% | ||||||||
| APA Corp. | 10,363 | 354,104 | ||||||
| California Resources Corp. | 9,790 | 443,389 | ||||||
| ConocoPhillips | 3,307 | 342,638 | ||||||
| Coterra Energy, Inc. | 14,622 | 369,936 | ||||||
| Exxon Mobil Corp. | 3,788 | 406,263 | ||||||
| Helmerich & Payne, Inc. | 11,867 | 420,685 | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Oil & Gas (continued) | ||||||||
| HF Sinclair Corp. | 7,816 | $ | 348,672 | |||||
| Marathon Petroleum Corp. | 3,247 | 378,600 | ||||||
| Occidental Petroleum Corp. | 5,522 | 324,694 | ||||||
| Patterson-UTI Energy, Inc. | 32,078 | 383,974 | ||||||
| PBF Energy, Inc., Class A | 9,287 | 380,210 | ||||||
| PDC Energy, Inc. | 5,436 | 386,717 | ||||||
| Valero Energy Corp. | 3,254 | 381,694 | ||||||
| Total Oil & Gas | 4,921,576 | |||||||
| Pharmaceuticals — 1.0% | ||||||||
| McKesson Corp. | 989 | 422,610 | ||||||
| Pipelines — 0.9% | ||||||||
| Cheniere Energy, Inc. | 2,542 | 387,299 | ||||||
| Real Estate — 1.0% | ||||||||
| Marcus & Millichap, Inc. | 12,856 | 405,093 | ||||||
| REITS — 2.0% | ||||||||
| Empire State Realty Trust, Inc., Class A | 61,310 | 459,212 | ||||||
| Simon Property Group, Inc. | 3,483 | 402,217 | ||||||
| Total REITS | 861,429 | |||||||
| Retail — 8.2% | ||||||||
| Best Buy Co., Inc. | 5,282 | 432,860 | ||||||
| Dillard’s, Inc., Class A | 1,282 | 418,291 | ||||||
| FirstCash Holdings, Inc. | 3,956 | 369,213 | ||||||
| Home Depot, Inc. (The) | 1,286 | 399,483 | ||||||
| Murphy USA, Inc. | 1,509 | 469,465 | ||||||
| Patrick Industries, Inc. | 5,805 | 464,400 | ||||||
| Penske Automotive Group, Inc.(a) | 3,006 | 500,890 | ||||||
| Williams-Sonoma, Inc.(a) | 3,228 | 403,952 | ||||||
| Total Retail | 3,458,554 | |||||||
| Semiconductors — 8.8% | ||||||||
| Analog Devices, Inc. | 2,077 | 404,620 | ||||||
| Applied Materials, Inc. | 3,654 | 528,149 | ||||||
| KLA Corp. | 1,064 | 516,061 | ||||||
| Kulicke & Soffa Industries, Inc. (Singapore) | 7,707 | 458,181 | ||||||
| Lam Research Corp. | 772 | 496,288 | ||||||
| Microchip Technology, Inc. | 5,380 | 481,994 | ||||||
| QUALCOMM, Inc. | 3,362 | 400,213 | ||||||
| Teradyne, Inc. | 3,857 | 429,400 | ||||||
| Total Semiconductors | 3,714,906 | |||||||
See accompanying Notes to Financial Statements.
78
ADVISORSHARES INSIDER ADVANTAGE ETF
(formerly AdvisorShares DoubleLine Value Equity ETF)
Schedule of Investments (continued)
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Software — 0.9% | ||||||||
| Electronic Arts, Inc. | 2,967 | $ | 384,820 | |||||
| Telecommunications — 2.2% | ||||||||
| Cisco Systems, Inc. | 7,713 | 399,071 | ||||||
| InterDigital, Inc. | 5,672 | 547,631 | ||||||
| Total Telecommunications | 946,702 | |||||||
| Transportation — 5.1% | ||||||||
| ArcBest Corp. | 4,159 | 410,909 | ||||||
| Expeditors International of Washington, Inc. | 3,702 | 448,423 | ||||||
| International Seaways, Inc. | 10,383 | 397,046 | ||||||
| Matson, Inc.(a) | 6,376 | 495,607 | ||||||
| Scorpio Tankers, Inc. (Monaco) | 8,406 | 397,015 | ||||||
| Total Transportation | 2,149,000 | |||||||
| Total Common Stocks (Cost $38,068,501) |
|
|
|
|
|
42,264,552 |
| |
| MONEY MARKET FUND — 0.1% | ||||||||
| Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(b)(c) | ||||||||
| (Cost $57,580) | 57,580 | 57,580 | ||||||
| Total Investments — 99.8% (Cost $38,126,081) |
|
|
|
|
|
|
42,322,132 |
|
| Other Assets in Excess of Liabilities — 0.2% | 58,699 | |||||||
| Net Assets — 100.0% | $ | 42,380,831 | ||||||
PLC — Public Limited Company
REITS — Real Estate Investment Trusts
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $1,781,420; the aggregate market value of the collateral held by the fund is $1,800,332. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $1,742,752. |
| (b) | Collateral received from brokers for securities lending was invested in these short-term investments. |
| (c) | Rate shown reflects the 7-day yield as of June 30, 2023. |
See accompanying Notes to Financial Statements.
79
ADVISORSHARES INSIDER ADVANTAGE ETF
(formerly AdvisorShares DoubleLine Value Equity ETF)
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 42,264,552 | $ | — | $ | — | $ | 42,264,552 | ||||||||
| Money Market Fund | 57,580 | — | — | 57,580 | ||||||||||||
| Total | $ | 42,322,132 | $ | — | $ | — | $ | 42,322,132 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Apparel | 4.0 | % | ||
| Auto Parts & Equipment | 1.1 | |||
| Building Materials | 2.8 | |||
| Chemicals | 3.3 | |||
| Coal | 1.0 | |||
| Commercial Services | 3.9 | |||
| Computers | 3.3 | |||
| Distribution/Wholesale | 1.1 | |||
| Diversified Financial Services | 7.6 | |||
| Electric | 1.0 | |||
| Electrical Components & Equipment | 1.0 | |||
| Electronics | 2.0 | |||
| Food | 2.8 | |||
| Forest Products & Paper | 0.8 | |||
| Healthcare — Products | 0.9 | |||
| Healthcare — Services | 1.2 | |||
| Home Builders | 4.8 | |||
| Insurance | 3.2 | |||
| Internet | 1.0 | |||
| Iron/Steel | 2.0 | |||
SUMMARY OF SCHEDULE OF INVESTMENTS (continued)
| % of Net Assets |
||||
| Leisure Time | 1.0 | % | ||
| Lodging | 1.0 | |||
| Machinery — Diversified | 1.0 | |||
| Media | 3.2 | |||
| Metal Fabricate / Hardware | 1.0 | |||
| Miscellaneous Manufacturing | 2.0 | |||
| Oil & Gas | 11.6 | |||
| Pharmaceuticals | 1.0 | |||
| Pipelines | 0.9 | |||
| Real Estate | 1.0 | |||
| REITS | 2.0 | |||
| Retail | 8.2 | |||
| Semiconductors | 8.8 | |||
| Software | 0.9 | |||
| Telecommunications | 2.2 | |||
| Transportation | 5.1 | |||
| Money Market Fund | 0.1 | |||
| Total Investments | 99.8 | |||
| Other Assets in Excess of Liabilities | 0.2 | |||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
80
ADVISORSHARES LET BOB AI POWERED MOMENTUM ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 15.7% | ||||||||
| Aerospace/Defense — 1.3% | ||||||||
| Triumph Group, Inc.* | 28,480 | $ | 352,298 | |||||
| Diversified Financial Services — 1.3% | ||||||||
| Capital One Financial Corp. | 3,100 | 339,047 | ||||||
| Electronics — 1.2% | ||||||||
| Napco Security Technologies, Inc. | 9,039 | 313,201 | ||||||
| Leisure Time — 1.2% | ||||||||
| Global Business Travel Group I* | 44,850 | 324,265 | ||||||
| Miscellaneous Manufacturing — 1.4% | ||||||||
| Fabrinet (Thailand)* | 2,730 | 354,572 | ||||||
| Retail — 2.7% | ||||||||
| Abercrombie & Fitch Co., Class A* | 10,000 | 376,800 | ||||||
| Chuy’s Holdings, Inc.* | 8,200 | 334,724 | ||||||
| Total Retail | 711,524 | |||||||
| Software — 5.1% | ||||||||
| Appian Corp., Class A* | 7,030 | 334,628 | ||||||
| Asana, Inc., Class A* | 15,300 | 337,212 | ||||||
| Procore Technologies, Inc.* | 5,200 | 338,364 | ||||||
| UiPath, Inc., Class A* | 19,600 | 324,772 | ||||||
| Total Software | 1,334,976 | |||||||
| Telecommunications — 1.5% | ||||||||
| Extreme Networks, Inc.* | 15,175 | 395,309 | ||||||
| Total Common Stocks (Cost $4,171,310) |
|
|
|
|
|
|
4,125,192 |
|
| MONEY MARKET FUND — 84.2% | ||||||||
| BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(a) | ||||||||
| (Cost $22,162,269) | 22,162,269 | 22,162,269 | ||||||
| Total Investments — 99.9% (Cost $26,333,579) |
|
|
|
|
|
|
26,287,461 |
|
| Other Assets in Excess of Liabilities — 0.1% | 32,597 | |||||||
| Net Assets — 100.0% | $ | 26,320,058 | ||||||
| * | Non-income producing security. |
| (a) | Rate shown reflects the 7-day yield as of June 30, 2023. |
See accompanying Notes to Financial Statements.
81
ADVISORSHARES LET BOB AI POWERED MOMENTUM ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 4,125,192 | $ | — | $ | — | $ | 4,125,192 | ||||||||
| Money Market Fund | 22,162,269 | — | — | 22,162,269 | ||||||||||||
| Total | $ | 26,287,461 | $ | — | $ | — | $ | 26,287,461 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
|
% of Net Assets |
||||
| Aerospace/Defense | 1.3 | % | ||
| Diversified Financial Services | 1.3 | |||
| Electronics | 1.2 | |||
| Leisure Time | 1.2 | |||
| Miscellaneous Manufacturing | 1.4 | |||
| Retail | 2.7 | |||
| Software | 5.1 | |||
| Telecommunications | 1.5 | |||
| Money Market Fund | 84.2 | |||
| Total Investments | 99.9 | |||
| Other Assets in Excess of Liabilities | 0.1 | |||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
82
ADVISORSHARES MSOS 2X DAILY ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| MONEY MARKET FUND — 100.5% | ||||||||
| BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(a) | ||||||||
| (Cost $7,010,606) | 7,010,606 | $ | 7,010,606 | |||||
| Total Investments — 100.5% (Cost $7,010,606) |
7,010,606 | |||||||
| Liabilities in Excess of Other Assets — (0.5%) | 21,606 | |||||||
| Net Assets — 100.0% | $ | 7,032,212 | ||||||
ETF — Exchange Traded Fund
SOFR — Secured Overnight Financing Rate
| (a) | Rate shown reflects the 7-day yield as of June 30, 2023. |
See accompanying Notes to Financial Statements.
83
ADVISORSHARES MSOS 2X DAILY ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | ||||||||||||
| Money Market Fund | $ | 7,010,606 | $ | — | $ | — | $ | 7,010,606 | ||||||||
| Swap† | $ | — | $ | 44,172 | $ | — | $ | 44,172 | ||||||||
| Total | $ | 7,010,606 | $ | 44,172 | $ | — | $ | 7,054,778 | ||||||||
| † | Derivative instruments, including swap contracts, are valued at the net unrealized gain (loss) on the instrument. |
SUMMARY OF SCHEDULE OF INVESTMENTS
|
% of Net Assets |
||||
| Money Market Fund | 100.5 | % | ||
| Total Investments | 100.5 | |||
| Liabilities in Excess of Other Assets | (0.5 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
84
ADVISORSHARES MSOS 2X DAILY ETF
Schedule of Investments (continued)
June 30, 2023
Total Return Swap contracts outstanding as of June 30, 2023:
| Reference Entity | Annual Financing Rate Paid |
Payment Frequency |
Termination Date |
Notional Amounts |
Fair Value |
Unrealized Appreciation/ (Depreciation) |
||||||||||||
| AdvisorShares Pure US Cannabis ETF | SOFR + 1.00% | Monthly | 11/20/2026 | $ | 14,173,019 | $ | 14,217,191 | $ | 44,172 | |||||||||
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.
See accompanying Notes to Financial Statements.
85
ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments
June 30, 2023
| Investments | Principal | Value | ||||||
| ASSET BACKED SECURITIES — 30.3% | ||||||||
| Accelerated LLC, Class A, Series 2021-1H, 1.35%, 10/20/40‡ | $ | 129,694 | $ | 116,770 | ||||
| Aqua Finance Trust, Class B, Series 2020-AA, 2.79%, 07/17/46‡ | 335,000 | 291,365 | ||||||
| Arivo Acceptance Auto Loan Receivables Trust, Class A, Series 2021-1A, 1.19%, 01/15/27‡ | 69,509 | 67,802 | ||||||
| Avant Credit Card Master Trust, Class A, Series 2021-1A, 1.37%, 04/15/27‡ | 260,000 | 243,518 | ||||||
| Bankers Healthcare Group Securitization Trust, Class A, Series 2020-A, 2.56%, 09/17/31‡ | 25,188 | 24,700 | ||||||
| BHG Securitization Trust, Class B, Series 2021-B, 1.67%, 10/17/34‡ | 210,000 | 185,543 | ||||||
| BRE Grand Islander Timeshare Issuer LLC, Class A, Series 2017-1A, 2.94%, 05/25/29‡ | 90,312 | 87,887 | ||||||
| Business Jet Securities LLC, Class A, Series 2020-1A, 2.98%, 11/15/35‡ | 22,770 | 21,530 | ||||||
| BXG Receivables Note Trust, Class A, Series 2022-A, 4.12%, 09/28/37‡ | 130,432 | 123,682 | ||||||
| Carvana Auto Receivables Trust, Class E, Series 2019-3A, 4.60%, 07/15/26‡ | 235,000 | 230,557 | ||||||
| CCG Receivables Trust, Class A2, Series 2023-1, 5.82%, 09/16/30‡ | 200,000 | 200,351 | ||||||
| CCG Receivables Trust, Class C, Series 2021-1, 0.84%, 06/14/27‡ | 270,000 | 253,885 | ||||||
| CFMT Issuer Trust, Class A, Series 2021-GRN1, 1.10%, 03/20/41‡ | 132,306 | 122,411 | ||||||
| Commonbond Student Loan Trust, Class A, Series 2020-1, 1.69%, 10/25/51‡ | 60,093 | 53,091 | ||||||
| Credito Real USA Auto Receivables Trust, Class A, Series 2021-1A, 1.35%, 02/16/27‡ | 34,902 | 34,438 | ||||||
| Dext ABS LLC, Class A, Series 2020-1, 1.46%, 02/16/27‡ | 7,905 | 7,889 | ||||||
| Foundation Finance Trust, Class A, Series 2021-1A, 1.27%, 05/15/41‡ | 145,441 | 127,859 | ||||||
| Investments | Principal | Value | ||||||
| ASSET BACKED SECURITIES (continued) | ||||||||
| GLS Auto Receivables Issuer Trust, Class B, Series 2023-1A, 6.19%, 06/15/27‡ | $ | 100,000 | $ | 99,840 | ||||
| GLS Auto Receivables Issuer Trust, Class D, Series 2019-4A, 4.09%, 08/17/26‡ | 110,000 | 106,920 | ||||||
| GLS Auto Receivables Issuer Trust, Class D, Series 2022-2A, 6.15%, 04/17/28‡ | 190,000 | 187,522 | ||||||
| Gold Key Resorts LLC, Class A, Series 2014-A, 3.22%, 03/17/31‡ | 4,563 | 4,520 | ||||||
| Hertz Vehicle Financing III LLC, Class C, Series 2022-1A, 2.63%, 06/25/26‡ | 295,000 | 270,185 | ||||||
| Hin Timeshare Trust, Class C, Series 2020-A, 3.42%, 10/09/39‡ | 122,445 | 112,096 | ||||||
| Lendbuzz Securitization Trust, Class A, Series 2022-1A, 4.22%, 05/17/27‡ | 164,381 | 159,412 | ||||||
| Lendingpoint Asset Securitization Trust, Class B, Series 2022-A, 2.41%, 06/15/29‡ | 236,037 | 234,056 | ||||||
| Lobel Automobile Receivables Trust, Class A, Series 2023-1, 6.97%, 07/15/26‡ | 45,005 | 44,755 | ||||||
| Mariner Finance Issuance Trust, Class A, Series 2019-AA, 2.96%, 07/20/32‡ | 19,730 | 19,589 | ||||||
| Mercury Financial Credit Card Master Trust, Class A, Series 2022-1A, 2.50%, 09/21/26‡ | 145,000 | 137,033 | ||||||
| Navient Private Education Refi Loan Trust, Class A, Series 2021-EA, 0.97%, 12/16/69‡ | 216,077 | 182,761 | ||||||
| NMEF Funding LLC, Class B, Series 2022-A, 3.35%, 10/16/28‡ | 195,000 | 184,835 | ||||||
| Octane Receivables Trust, Class A, Series 2020-1A, 1.71%, 02/20/25‡ | 5,537 | 5,515 | ||||||
| Orange Lake Timeshare Trust, Class B, Series 2019-A, 3.36%, 04/09/38‡ | 170,390 | 162,584 | ||||||
| Pawnee Equipment Receivables Series, Class A, Series 2020-1, 1.37%, 11/17/25‡ | 1,992 | 1,987 | ||||||
| Post Road Equipment Finance, Class B, Series 2022-1A, 5.15%, 01/16/29‡ | 185,000 | 178,451 | ||||||
See accompanying Notes to Financial Statements.
86
ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)
June 30, 2023
| Investments | Principal | Value | ||||||
| ASSET BACKED SECURITIES (continued) | ||||||||
| Sierra Timeshare Receivables Funding LLC, Class C, Series 2022-2A, 6.36%, 06/20/40‡ | $ | 92,370 | $ | 89,679 | ||||
| Sofi Consumer Loan Program Trust, Class A, Series 2022-1S, 6.21%, 04/15/31‡ | 40,027 | 40,054 | ||||||
| Tricolor Auto Securitization Trust, Class C, Series 2022-1A, 4.71%, 08/15/25‡ | 235,000 | 230,826 | ||||||
| Upstart Securitization Trust, Class B, Series 2021-2, 1.75%, 06/20/31‡ | 240,000 | 234,709 | ||||||
| VFI ABS LLC, Class B, Series 2022-1A, 3.04%, 07/24/28‡ | 320,000 | 302,297 | ||||||
| Westgate Resorts LLC, Class B, Series 2022-1A, 2.29%, 08/20/36‡ | 120,749 | 113,349 | ||||||
| Total Asset Backed Securities (Cost $5,627,483) |
5,296,253 | |||||||
| CORPORATE BONDS — 17.4% | ||||||||
| Communication Services — 0.7% | ||||||||
| Level 3 Financing, Inc., 4.25%, 07/01/28‡ | 70,000 | 45,171 | ||||||
| Sprint Capital Corp., 6.88%, 11/15/28 | 40,000 | 42,463 | ||||||
| Warnermedia Holdings, Inc., 3.76%, 03/15/27 | 35,000 | 32,648 | ||||||
| Total Communication Services | 120,282 | |||||||
| Energy — 0.1% | ||||||||
| Civitas Resources, Inc., 8.38%, 07/01/28‡ | 15,000 | 15,173 | ||||||
| Financials — 7.5% | ||||||||
| Bank of America Corp., 1.73%, (SOFR + 0.96%), 07/22/27@ | 30,000 | 26,770 | ||||||
| Bank of America Corp., 2.55%, (SOFR + 1.05%), 02/04/28@ | 105,000 | 94,823 | ||||||
| Bank of New York Mellon Corp. (The), 5.80%, (SOFR Index + 1.80%), 10/25/28@ | 40,000 | 40,779 | ||||||
| Blackstone Private Credit Fund, 2.63%, 12/15/26 | 86,000 | 73,191 | ||||||
| Capital One Financial Corp., 6.31%, (SOFR + 2.64%), 06/08/29@ | 30,000 | 29,815 | ||||||
| Charles Schwab Corp. (The), Series H, 4.00%, (US 10 Year CMT T-Note + 3.08%)#@ | 60,000 | 43,860 | ||||||
| Citadel LP, 4.88%, 01/15/27‡ | 45,000 | 43,128 | ||||||
| Citigroup, Inc., 4.40%, 06/10/25 | 75,000 | 72,876 | ||||||
| Investments | Principal | Value | ||||||
| CORPORATE BONDS (continued) | ||||||||
| Financials (continued) | ||||||||
| Citigroup, Inc., 3.20%, 10/21/26 | $ | 20,000 | $ | 18,722 | ||||
| Citigroup, Inc., 6.37%, (SOFR + 1.28%), 02/24/28@ | 20,000 | 20,128 | ||||||
| Corebridge Financial, Inc., 6.88%, (US 5 Year CMT T-Note + 3.85%), 12/15/52@ | 107,000 | 102,564 | ||||||
| Fifth Third Bancorp, 4.06%, (SOFR + 1.36%), 04/25/28@ | 30,000 | 27,640 | ||||||
| Goldman Sachs Group, Inc. (The), 3.85%, 01/26/27 | 40,000 | 38,023 | ||||||
| Goldman Sachs Group, Inc. (The), 4.48%, (SOFR + 1.73%), 08/23/28@ | 30,000 | 29,010 | ||||||
| Huntington Bancshares, Inc., 2.63%, 08/06/24 | 30,000 | 28,708 | ||||||
| JPMorgan Chase & Co., 4.32%, (SOFR + 1.56%), 04/26/28@ | 115,000 | 110,984 | ||||||
| Liberty Mutual Group, Inc., 4.13%, (US 5 Year CMT T-Note + 3.32%), 12/15/51@‡ | 190,000 | 149,672 | ||||||
| Morgan Stanley, 5.12%, (SOFR + 1.73%), 02/01/29@ | 80,000 | 78,927 | ||||||
| Spirit Realty LP, 4.45%, 09/15/26 | 46,429 | 43,757 | ||||||
| State Street Corp., 5.82%, (SOFR + 1.72%), 11/04/28@ | 40,000 | 40,994 | ||||||
| Synchrony Financial, 4.88%, 06/13/25 | 10,000 | 9,505 | ||||||
| Synchrony Financial, 3.70%, 08/04/26 | 13,000 | 11,672 | ||||||
| Texas Capital Bancshares, Inc., 4.00%, (US 5 Year CMT T-Note + 3.15%), 05/06/31@ | 135,000 | 97,993 | ||||||
| Wells Fargo & Co., 3.53%, (SOFR + 1.51%), 03/24/28@ | 90,000 | 84,055 | ||||||
| Total Financials | 1,317,596 | |||||||
| Health Care — 2.0% | ||||||||
| CVS Health Corp., 4.30%, 03/25/28 | 55,000 | 53,050 | ||||||
| DENTSPLY Sirona, Inc., 3.25%, 06/01/30 | 55,000 | 47,590 | ||||||
| HCA, Inc., 5.20%, 06/01/28 | 17,000 | 16,860 | ||||||
| Illumina, Inc., 5.75%, 12/13/27 | 40,000 | 40,176 | ||||||
| Royalty Pharma PLC, 1.75%, 09/02/27 | 45,000 | 38,606 | ||||||
| Universal Health Services, Inc., 1.65%, 09/01/26 | 120,000 | 104,931 | ||||||
| Viatris, Inc., 2.30%, 06/22/27 | 50,000 | 43,700 | ||||||
| Viatris, Inc., 2.30%, 06/22/27‡ | 157 | 137 | ||||||
| Total Health Care | 345,050 | |||||||
See accompanying Notes to Financial Statements.
87
ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)
June 30, 2023
| Investments | Principal | Value | ||||||
| CORPORATE BONDS (continued) | ||||||||
| Industrials — 2.8% | ||||||||
| Alaska Airlines Pass-Through Trust, Class A, Series 2020-1, 4.80%, 08/15/27‡ | $ | 196,987 | $ | 189,430 | ||||
| Boeing Co. (The), 5.04%, 05/01/27 | 40,000 | 39,522 | ||||||
| CoStar Group, Inc., 2.80%, 07/15/30‡ | 50,000 | 41,286 | ||||||
| General Electric Co., Series D, 8.88%, (3-Month USD LIBOR + 3.33%)#@ | 52,000 | 52,195 | ||||||
| Hexcel Corp., 4.20%, 02/15/27 | 40,000 | 37,676 | ||||||
| Huntington Ingalls Industries, Inc., 2.04%, 08/16/28 | 66,000 | 55,447 | ||||||
| Penske Truck Leasing Co. LP / PTL Finance Corp., 5.75%, 05/24/26‡ | 15,000 | 14,860 | ||||||
| Penske Truck Leasing Co. LP / PTL Finance Corp., 6.20%, 06/15/30‡ | 12,000 | 12,040 | ||||||
| Regal Rexnord Corp., 6.05%, 02/15/26‡ | 13,000 | 13,019 | ||||||
| Regal Rexnord Corp., 6.05%, 04/15/28‡ | 18,000 | 17,843 | ||||||
| Regal Rexnord Corp., 6.30%, 02/15/30‡ | 20,000 | 19,945 | ||||||
| Total Industrials | 493,263 | |||||||
| Information Technology — 0.7% | ||||||||
| CDW LLC / CDW Finance Corp., 3.28%, 12/01/28 | 98,000 | 85,087 | ||||||
| Dell International LLC / EMC Corp., 4.90%, 10/01/26 | 45,000 | 44,686 | ||||||
| Total Information Technology | 129,773 | |||||||
| Materials — 0.4% | ||||||||
| Bayport Polymers LLC, 4.74%, 04/14/27‡ | 60,000 | 55,838 | ||||||
| Knife River Corp., 7.75%, 05/01/31‡ | 5,000 | 5,069 | ||||||
| Total Materials | 60,907 | |||||||
| Real Estate — 1.7% | ||||||||
| EPR Properties, 4.95%, 04/15/28 | 90,000 | 80,576 | ||||||
| GLP Capital LP / GLP Financing II, Inc., 5.25%, 06/01/25 | 30,000 | 29,412 | ||||||
| Office Properties Income Trust, 4.50%, 02/01/25 | 50,000 | 43,251 | ||||||
| Office Properties Income Trust, 2.65%, 06/15/26 | 105,000 | 77,489 | ||||||
| VICI Properties LP / VICI Note Co., Inc., 4.63%, 06/15/25‡ | 75,000 | 72,536 | ||||||
| Total Real Estate | 303,264 | |||||||
| Investments | Principal | Value | ||||||
| CORPORATE BONDS (continued) | ||||||||
| Utilities — 1.5% | ||||||||
| American Electric Power Co., Inc., 5.70%, 08/15/25 | $ | 39,000 | $ | 38,785 | ||||
| Exelon Corp., 5.15%, 03/15/28(a) | 40,000 | 39,797 | ||||||
| NextEra Energy Capital Holdings, Inc., 6.05%, 03/01/25 | 41,000 | 41,164 | ||||||
| Southern Co. (The), Series 21-A, 3.75%, (US 5 Year CMT T-Note + 2.92%), 09/15/51@ | 164,000 | 139,974 | ||||||
| Total Utilities | 259,720 | |||||||
| Total Corporate Bonds (Cost $3,326,817) |
3,045,028 | |||||||
| U.S. TREASURY NOTES — 17.2% | ||||||||
| U.S. Treasury Note, 0.13%, 08/31/23(a) | 970,000 | 962,056 | ||||||
| U.S. Treasury Note, 2.50%, 04/30/24 | 340,000 | 331,858 | ||||||
| U.S. Treasury Note, 4.25%, 09/30/24 | 640,000 | 631,550 | ||||||
| U.S. Treasury Note, 4.13%, 01/31/25 | 410,000 | 403,586 | ||||||
| U.S. Treasury Note, 4.25%, 05/31/25(a) | 175,000 | 172,782 | ||||||
| U.S. Treasury Note, 0.25%, 05/31/25 | 95,000 | 86,942 | ||||||
| U.S. Treasury Note, 0.63%, 12/31/27 | 490,000 | 418,653 | ||||||
| Total U.S. Treasury Notes (Cost $3,024,921) |
3,007,427 | |||||||
| MORTGAGE BACKED SECURITIES — 17.0% | ||||||||
| Commercial Mortgage Backed Securities — 3.1% | ||||||||
| BPR Trust, Class A, Series 2022-OANA, 7.12%, (SOFR + 1.90%), 04/15/37@‡ | 90,000 | 87,498 | ||||||
| Extended Stay America Trust, Class C, Series 2021-ESH, 7.04%, (SOFR + 1.81%), 07/15/38@‡ | 173,473 | 169,093 | ||||||
| Velocity Commercial Capital Loan Trust, Class AFX, Series 2020-1, 2.61%, 02/25/50@‡* | 63,449 | 55,651 | ||||||
| WFRBS Commercial Mortgage Trust, Class AS, Series 2014-C24, 3.93%, 11/15/47 | 250,000 | 237,108 | ||||||
| Total Commercial Mortgage Backed Securities | 549,350 | |||||||
See accompanying Notes to Financial Statements.
88
ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)
June 30, 2023
| Investments | Principal | Value | ||||||
| MORTGAGE BACKED SECURITIES (continued) | ||||||||
| Mortgage Backed Security — 0.5% | ||||||||
| CIM Trust, Class A1, Series 2022-R2, 3.75%, 12/25/61@‡* | $ | 85,977 | $ | 79,149 | ||||
| Residential Mortgage Backed Securities — 13.4% | ||||||||
| Angel Oak SB Commercial Mortgage Trust, Class A1, Series 2020-SBC1, 2.07%, 05/25/50@‡* | 50,361 | 45,676 | ||||||
| Arroyo Mortgage Trust, Class A1, Series 2019-2, 3.35%, 04/25/49@‡* | 48,604 | 45,043 | ||||||
| Bravo Residential Funding Trust, Class A1, Series 2021-NQM3, 1.70%, 04/25/60@‡* | 102,296 | 90,258 | ||||||
| Citigroup Mortgage Loan Trust, Inc., Class A1, Series 2015-PS1, 3.75%, 09/25/42@‡* | 25,776 | 23,754 | ||||||
| Ellington Financial Mortgage Trust, Class A3, Series 2019-2, 3.05%, 11/25/59@‡* | 19,130 | 17,513 | ||||||
| Ellington Financial Mortgage Trust, Class A1, Series 2020-2, 1.18%, 10/25/65@‡* | 116,934 | 104,556 | ||||||
| Ellington Financial Mortgage Trust, Class A2, Series 2021-1, 1.00%, 02/25/66@‡* | 68,044 | 56,400 | ||||||
| Galton Funding Mortgage Trust, Class A21, Series 2017-1, 3.50%, 07/25/56@‡* | 38,876 | 35,309 | ||||||
| JPMorgan Mortgage Trust, Class AM, Series 2014-2, 3.34%, 06/25/29@‡* | 107,920 | 103,042 | ||||||
| JPMorgan Mortgage Trust, Class 2A2, Series 2014-2, 3.50%, 06/25/29@‡* | 49,978 | 48,025 | ||||||
| JPMorgan Mortgage Trust, Class A2, Series 2015-5, 6.35%, 05/25/45@‡* | 59,710 | 58,726 | ||||||
| Lhome Mortgage Trust, Class A1, Series 2021-RTL2, 2.09%, 06/25/26‡ | 205,000 | 199,387 | ||||||
| MFA Trust, Class A1, Series 2020-NQM3, 1.01%, 01/26/65@‡* | 163,190 | 146,045 | ||||||
| New Residential Mortgage Loan Trust, Class A1, Series 2021-NQ2R, 0.94%, 10/25/58@‡* | 135,442 | 120,452 | ||||||
| NYMT Loan Trust, Class A1, Series 2021-CP1, 2.04%, 07/25/61‡ | 69,478 | 62,267 | ||||||
| Investments | Principal | Value | ||||||
| MORTGAGE BACKED SECURITIES (continued) | ||||||||
| Residential Mortgage Backed Securities (continued) | ||||||||
| OBX Trust, Class A3, Series 2019-INV1, 4.50%, 11/25/48@‡* | $ | 23,978 | $ | 22,762 | ||||
| Progress Residential Trust, Class B, Series 2019-SFR3, 2.57%, 09/17/36‡ | 290,000 | 277,298 | ||||||
| Provident Funding Mortgage Trust, Class A2, Series 2019-1, 3.00%, 12/25/49@‡* | 30,550 | 25,992 | ||||||
| PRPM LLC, Class A1, Series 2021-RPL2, 1.46%, 10/25/51@‡* | 73,910 | 64,440 | ||||||
| RCKT Mortgage Trust, Class A1, Series 2020-1, 3.00%, 02/25/50@‡* | 36,751 | 31,189 | ||||||
| SG Residential Mortgage Trust, Class A1, Series 2019-3, 2.70%, 09/25/59@‡* | 35,277 | 34,194 | ||||||
| Starwood Mortgage Residential Trust, Class A2, Series 2021-3, 1.40%, 06/25/56@‡* | 78,082 | 62,801 | ||||||
| Starwood Mortgage Residential Trust, Class A1, Series 2020-3, 1.49%, 04/25/65@‡* | 211,878 | 195,036 | ||||||
| Towd Point HE Trust, Class M1, Series 2021-HE1, 1.50%, 02/25/63@‡* | 63,578 | 59,528 | ||||||
| Visio Trust, Class A2, Series 2019-2, 2.92%, 11/25/54@‡* | 124,208 | 117,021 | ||||||
| Visio Trust, Class A1, Series 2021-1R, 1.28%, 05/25/56‡ | 204,146 | 185,083 | ||||||
| Wells Fargo Mortgage Backed Securities Trust, Class 1A2, Series 2004-K, 5.62%, 07/25/34@* | 38,908 | 40,150 | ||||||
| Wells Fargo Mortgage Backed Securities Trust, Class 2A12, Series 2004-K, 5.62%, 07/25/34@* | 14,760 | 14,997 | ||||||
| Wells Fargo Mortgage Backed Securities Trust, Class A1, Series 2004-U, 4.52%, 10/25/34@* | 54,249 | 51,770 | ||||||
| Total Residential Mortgage Backed Securities | 2,338,714 | |||||||
| Total Mortgage Backed Securities (Cost $3,188,671) |
2,967,213 | |||||||
See accompanying Notes to Financial Statements.
89
ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)
June 30, 2023
| Investments | Principal | Value | ||||||
| FOREIGN BONDS — 7.0% | ||||||||
| Consumer Staples — 1.0% | ||||||||
| Bacardi Ltd. (Bermuda), 4.70%, 05/15/28‡ | $ | 110,000 | $ | 106,417 | ||||
| BAT Capital Corp. (United Kingdom), 2.26%, 03/25/28 | 85,000 | 72,825 | ||||||
| Total Consumer Staples | 179,242 | |||||||
| Energy — 1.2% | ||||||||
| BP Capital Markets PLC (United Kingdom), 4.88%, (US 5 Year CMT T-Note + 4.40%)#@ | 80,000 | 72,970 | ||||||
| Enbridge, Inc. (Canada), 7.38%, (US 5 Year CMT T-Note + 3.71%), 01/15/83@ | 50,000 | 49,151 | ||||||
| Petroleos Mexicanos (Mexico), 6.50%, 03/13/27 | 95,000 | 84,589 | ||||||
| Total Energy | 206,710 | |||||||
| Financials — 1.0% | ||||||||
| AerCap Ireland Capital DAC / AerCap Global Aviation Trust (Ireland), 3.00%, 10/29/28 | 155,000 | 134,101 | ||||||
| Brookfield Finance, Inc. (Canada), 3.90%, 01/25/28 | 45,000 | 41,715 | ||||||
| Total Financials | 175,816 | |||||||
| Industrials — 1.0% | ||||||||
| British Airways Pass-Through Trust, Class A, Series 2021-1 (United Kingdom), 2.90%, 03/15/35‡ | 205,273 | 169,624 | ||||||
| Materials — 0.5% | ||||||||
| NOVA Chemicals Corp. (Canada), 5.00%, 05/01/25‡ | 100,000 | 95,785 | ||||||
| Sovereign Government — 2.2% | ||||||||
| Dominican Republic International Bond (Dominican Republic), 5.50%, 02/22/29‡ | 195,000 | 182,949 | ||||||
| Republic of South Africa Government International Bond (South Africa), 5.88%, 09/16/25 | 200,000 | 197,963 | ||||||
| Total Sovereign Government | 380,912 | |||||||
| Investments | Principal | Value | ||||||
| FOREIGN BONDS (continued) | ||||||||
| Utilities — 0.1% | ||||||||
| National Grid PLC (United Kingdom), 5.60%, 06/12/28 | $ | 18,000 | $ | 18,071 | ||||
| Total Foreign Bonds (Cost $1,362,140) |
1,226,160 | |||||||
| EXCHANGE TRADED FUND — 3.3% | ||||||||
| Debt Fund — 3.3% | ||||||||
|
Invesco Senior Loan ETF(a) |
27,004 | 568,164 | ||||||
| FEDERAL HOME LOAN MORTGAGE CORPORATION — 3.1% | ||||||||
| Federal National Mortgage Association, 5.00%, 10/01/52 | 490,948 | 481,821 | ||||||
|
Federal National Mortgage Association, 5.00%, 11/01/52 |
64,411 | 63,248 | ||||||
| Total Federal Home Loan Mortgage Corporation (Cost $556,144) |
545,069 | |||||||
| MONEY MARKET FUNDS — 8.6% | ||||||||
| Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class 5.07%(b)(c) | 617,967 | 617,967 | ||||||
| JPMorgan U.S. Government Money Market Fund — Institutional Class 4.96%(b) | 877,360 | 877,360 | ||||||
| Total Money Market Funds (Cost $1,495,327) |
1,495,327 | |||||||
| Total Investments — 103.9% (Cost $19,149,397) |
18,150,641 | |||||||
| Liabilities in Excess of Other Assets — (3.9%) | (673,524 | ) | ||||||
| Net Assets — 100.0% | $ | 17,477,117 | ||||||
CMT — Constant Maturity Treasury Index
ETF — Exchange Traded Fund
LIBOR — London Interbank Offered Rate
LP — Limited Partnership
PLC — Public Limited Company
SOFR — Secured Overnight Financing Rate
USD — United States Dollar
| # | Perpetual security with no stated maturity date. |
| @ | Variable rate instrument. The interest rate shown reflects the rate in effect at June 30, 2023. |
| * | 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. |
See accompanying Notes to Financial Statements.
90
ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)
June 30, 2023
| ‡ | 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 $1,739,153; the aggregate market value of the collateral held by the fund is $1,776,119. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $1,158,152. |
| (b) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (c) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
91
ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | — | $ | 5,296,253 | $ | — | $ | 5,296,253 | ||||||||
| Corporate Bonds | — | 3,045,028 | — | 3,045,028 | ||||||||||||
| U.S. Treasury Notes | — | 3,007,427 | — | 3,007,427 | ||||||||||||
| Mortgage Backed Securities | — | 2,967,213 | — | 2,967,213 | ||||||||||||
| Foreign Bonds | — | 1,226,160 | — | 1,226,160 | ||||||||||||
| Exchange Traded Fund | 568,164 | — | — | 568,164 | ||||||||||||
| Federal Home Loan Mortgage Corporation | — | 545,069 | — | 545,069 | ||||||||||||
| Money Market Funds | 1,495,327 | — | — | 1,495,327 | ||||||||||||
| Total | $ | 2,063,491 | $ | 16,087,150 | $ | — | $ | 18,150,641 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Asset Backed Securities | 30.3 | % | ||
| Commercial Mortgage Backed Securities | 3.1 | |||
| Communication Services | 0.7 | |||
| Consumer Staples | 1.0 | |||
| Debt Fund | 3.3 | |||
| Energy | 1.3 | |||
| Financials | 8.5 | |||
| Health Care | 2.0 | |||
| Industrials | 3.8 | |||
| Information Technology | 0.7 | |||
| Materials | 0.9 | |||
| Mortgage Backed Security | 0.5 | |||
| Mortgage Securities | 3.1 | |||
| Real Estate | 1.7 | |||
| Residential Mortgage Backed Securities | 13.4 | |||
| Sovereign Government | 2.2 | |||
| U.S. Treasury Notes | 17.2 | |||
| Utilities | 1.6 | |||
| Money Market | 8.6 | |||
| Total Investments | 103.9 | |||
| Liabilities in Excess of Other Assets | (3.9 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
92
ADVISORSHARES POSEIDON DYNAMIC CANNABIS ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 6.1% | ||||||||
| Agriculture — 0.7% | ||||||||
| Village Farms International, Inc. (Canada)* | 34,540 | $ | 20,682 | |||||
| Pharmaceuticals — 5.4% | ||||||||
| Intercure Ltd. (Israel)* | 15,227 | 25,886 | ||||||
| Organigram Holdings, Inc. (Canada)* | 47,374 | 18,476 | ||||||
| SNDL, Inc. (Canada)* | 86,107 | 117,967 | ||||||
| Total Pharmaceuticals | 162,329 | |||||||
| Total Common Stocks (Cost $282,465) |
183,011 | |||||||
| MONEY MARKET FUND — 35.0% | ||||||||
| BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(a) | ||||||||
| (Cost $1,050,431) | 1,050,431 | 1,050,431 | ||||||
| Total Investments — 41.1% (Cost $1,332,896) |
1,233,442 | |||||||
| Other Assets in Excess of Liabilities — 58.9% | 1,770,764 | |||||||
| Net Assets — 100.0% | $ | 3,004,206 | ||||||
SOFR — Secured Overnight Financing Rate
| * | Non-income producing security. |
| (a) | Rate shown reflects the 7-day yield as of June 30, 2023. |
See accompanying Notes to Financial Statements.
93
ADVISORSHARES POSEIDON DYNAMIC CANNABIS ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 183,011 | $ | — | $ | — | $ | 183,011 | ||||||||
| Money Market Fund | 1,050,431 | — | — | 1,050,431 | ||||||||||||
| Total | $ | 1,233,442 | $ | — | $ | — | $ | 1,233,442 | ||||||||
| Liabilities | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Swaps† | $ | — | $ | (14,379 | ) | $ | — | $ | (14,379 | ) | ||||||
| † | Derivative instruments, including swap contracts, are valued at the net unrealized gain (loss) on the instrument. |
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Agriculture | 0.7 | % | ||
| Pharmaceuticals | 5.4 | |||
| Money Market Fund | 35.0 | |||
| Total Investments | 41.1 | |||
| Other Assets in Excess of Liabilities | 58.9 | |||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
94
ADVISORSHARES POSEIDON DYNAMIC CANNABIS ETF
Schedule of Investments (continued)
June 30, 2023
Total Return Swap contracts outstanding as of June 30, 2023:
| Reference Entity | Annual Financing Rate Paid |
Payment Frequency |
Termination Date |
Notional Amounts |
Fair Value |
Unrealized Appreciation/ (Depreciation) |
||||||||||||
| Ascend Well | SOFR + 1.25% | Monthly | 11/20/2026 | $ | 355,336 | $ | 353,421 | $ | (1,915 | ) | ||||||||
| Columbia Care ORD | SOFR + 1.25% | Monthly | 11/20/2026 | 70,489 | 70,116 | (373 | ) | |||||||||||
| Cresco Labs ORD | SOFR + 1.25% | Monthly | 11/20/2026 | 71,049 | 70,667 | (382 | ) | |||||||||||
| Curaleaf Holdings SUB VOT | SOFR + 1.25% | Monthly | 11/20/2026 | 515,721 | 513,285 | (2,436 | ) | |||||||||||
| Green Thumb Industries SUB VOT | SOFR + 1.25% | Monthly | 11/20/2026 | 1,197,839 | 1,192,012 | (5,827 | ) | |||||||||||
| Planet 13 Holdings ORD | SOFR + 1.25% | Monthly | 11/20/2026 | 32,370 | 32,212 | (158 | ) | |||||||||||
| Terrascend | SOFR + 1.25% | Monthly | 11/20/2026 | 141,715 | 141,086 | (629 | ) | |||||||||||
| Trulieve Cannabis | SOFR + 1.25% | Monthly | 11/20/2026 | 208,132 | 207,098 | (1,034 | ) | |||||||||||
| Verano Holdings | SOFR + 1.25% | Monthly | 11/20/2026 | 594,814 | 593,189 | (1,625 | ) | |||||||||||
| Net Unrealized Depreciation | $ | (14,379 | ) | |||||||||||||||
Nomura 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 June 30, 2023, cash in the amount of $1,902,470 has been segregated as collateral from the broker for Swap contracts.
See accompanying Notes to Financial Statements.
95
ADVISORSHARES PSYCHEDELICS ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 93.2% | ||||||||
| Biotechnology — 53.8% | ||||||||
| ATAI Life Sciences NV (Germany)* | 159,897 | $ | 275,023 | |||||
| Bright Minds Biosciences, Inc. (Canada)* | 515,315 | 293,781 | ||||||
| Clearmind Medicine, Inc. (Canada)* | 123,257 | 57,943 | ||||||
| Cybin, Inc. (Canada)* | 2,162,636 | 817,476 | ||||||
| Enveric Biosciences, Inc.* | 100,429 | 338,446 | ||||||
| GH Research PLC (Ireland)* | 45,129 | 535,456 | ||||||
| Intra-Cellular Therapies, Inc.* | 4,715 | 298,554 | ||||||
| Mind Medicine MindMed, Inc.* | 91,364 | 326,169 | ||||||
| PsyBio Therapeutics Corp.* | 2,800,225 | 56,004 | ||||||
| Sage Therapeutics, Inc.* | 5,227 | 245,774 | ||||||
| Seelos Therapeutics, Inc.* | 295,202 | 352,766 | ||||||
| Small Pharma, Inc. (Canada)* | 2,169,096 | 115,613 | ||||||
| Total Biotechnology | 3,713,005 | |||||||
| Healthcare — Services — 16.0% | ||||||||
| Field Trip Health & Wellness Ltd. (Canada)*(a) | 1,058,415 | 0 | ||||||
| Greenbrook TMS, Inc. (Canada)* | 260,307 | 174,562 | ||||||
| Lucy Scientific Discovery, Inc. (Canada)* | 284,724 | 327,432 | ||||||
| Numinus Wellness, Inc. (Canada)* | 1,677,935 | 291,961 | ||||||
| Reunion Neuroscience, Inc. (Canada)*(b) | 271,329 | 306,602 | ||||||
| Total Healthcare — Services | 1,100,557 | |||||||
| Pharmaceuticals — 23.4% | ||||||||
| Alkermes PLC* | 9,797 | 306,646 | ||||||
| Compass Pathways PLC (United Kingdom)*(b)(c) | 89,498 | 741,044 | ||||||
| FSD Pharma, Inc., Class B (Canada)* | 249,305 | 286,701 | ||||||
| Relmada Therapeutics, Inc.* | 112,898 | 277,729 | ||||||
| Total Pharmaceuticals | 1,612,120 | |||||||
| Total Common Stocks (Cost $9,868,754) |
6,425,682 | |||||||
| Investments | Shares | Value | ||||||
| MONEY MARKET FUNDS — 17.4% | ||||||||
| BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(d) | 490,322 | $ | 490,322 | |||||
| Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(d)(e) | 704,803 | 704,803 | ||||||
| Total Money Market Funds (Cost $1,195,125) |
1,195,125 | |||||||
| Total Investments — 110.6% (Cost $11,063,879) |
7,620,807 | |||||||
| Liabilities in Excess of Other Assets — (10.6%) | (727,290 | ) | ||||||
| Net Assets — 100.0% | $ | 6,893,517 | ||||||
PLC — Public Limited Company
| * | Non-income producing security. |
| (a) | Fair valued using significant unobservable inputs. See note 2 regarding fair value measurements. |
| (b) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $708,694; the aggregate market value of the collateral held by the fund is $704,803. |
| (c) | American Depositary Receipt. |
| (d) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (e) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
96
ADVISORSHARES PSYCHEDELICS ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 6,425,682 | $ | — | $ | — | * | $ | 6,425,682 | |||||||
| Money Market Funds | 1,195,125 | — | — | 1,195,125 | ||||||||||||
| Total | $ | 7,620,807 | $ | — | $ | — | * | $ | 7,620,807 | |||||||
| * | Less than $1. |
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Biotechnology | 53.8 | % | ||
| Healthcare — Services | 16.0 | |||
| Pharmaceuticals | 23.4 | |||
| Money Market Funds | 17.4 | |||
| Total Investments | 110.6 | |||
| Liabilities in Excess of Other Assets | (10.6 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
97
ADVISORSHARES PURE CANNABIS ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| EXCHANGE TRADED FUND — 56.5% | ||||||||
| Equity Fund — 56.5% | ||||||||
| AdvisorShares Pure US Cannabis ETF*† (Cost $67,702,302) |
3,467,708 | $ | 19,211,102 | |||||
| COMMON STOCKS — 43.2% | ||||||||
| Agriculture — 6.2% | ||||||||
| Village Farms International, Inc. (Canada)* | 3,521,730 | 2,108,812 | ||||||
| Distributors — 5.0% | ||||||||
| High Tide, Inc. (Canada)*(a) | 1,374,062 | 1,703,837 | ||||||
| Investment Company — 1.3% | ||||||||
| RIV Capital, Inc. (Canada)* | 4,975,540 | 432,410 | ||||||
| Pharmaceuticals — 20.2% | ||||||||
| Canopy Growth Corp. (Canada)* | 679,743 | 263,672 | ||||||
| Cardiol Therapeutics, Inc., Class A (Canada)*(a) | 1,219,738 | 1,085,567 | ||||||
| cbdMD, Inc.*(a) | 16,659 | 23,323 | ||||||
| Charlottes Web Holdings, Inc.*(a) | 2,164,915 | 376,294 | ||||||
| Clever Leaves Holdings, Inc. (Canada)* | 1,064,648 | 215,591 | ||||||
| Hempfusion Wellness, Inc. (Canada)* | 1,762,927 | 2 | ||||||
| IM Cannabis Corp. (Canada)* | 233,590 | 211,749 | ||||||
| Intercure Ltd. (Israel)* | 233,775 | 397,417 | ||||||
| Jazz Pharmaceuticals PLC* | 12,422 | 1,539,955 | ||||||
| Organigram Holdings, Inc. (Canada)* | 2,097,776 | 818,133 | ||||||
| PharmaCielo Ltd. (Canada)*(a) | 347,102 | 52,462 | ||||||
| SNDL, Inc. (Canada)*(a) | 628,360 | 860,853 | ||||||
| Tilray Brands, Inc. (Canada)*(a) | 670,294 | 1,045,659 | ||||||
| Total Pharmaceuticals | 6,890,677 | |||||||
| REITS — 6.5% | ||||||||
| AFC Gamma, Inc. | 38,060 | 473,847 | ||||||
| Chicago Atlantic Real Estate Finance, Inc. | 75,409 | 1,142,446 | ||||||
| Innovative Industrial Properties, Inc. | 7,220 | 527,132 | ||||||
| Power REIT* | 36,615 | 60,049 | ||||||
| Total REITS | 2,203,474 | |||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Software — 0.2% | ||||||||
| WM Technology, Inc.* | 101,830 | $ | 85,283 | |||||
| Specialty Retail — 3.8% | ||||||||
| GrowGeneration Corp.* | 377,864 | 1,284,738 | ||||||
| Total Common Stocks (Cost $102,540,322) |
14,709,231 | |||||||
| MONEY MARKET FUNDS — 4.6% | ||||||||
| BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(b) | 13,147 | 13,147 | ||||||
| Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(b)(c) | 1,560,210 | 1,560,210 | ||||||
| Total Money Market Funds (Cost $1,573,357) |
1,573,357 | |||||||
| Total Investments — 104.3% (Cost $171,815,981) |
35,493,690 | |||||||
| Liabilities in Excess of Other Assets — (4.3%) | (1,471,708 | ) | ||||||
| Net Assets — 100.0% | $ | 34,021,982 | ||||||
ETF — Exchange Traded Fund
PLC — Public Limited Company
REITS — Real Estate Investment Trusts
| * | Non-income producing security. |
| † | Affiliated Company. |
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $1,402,404; the aggregate market value of the collateral held by the fund is $1,560,210. |
| (b) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (c) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
98
ADVISORSHARES PURE CANNABIS ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 19,211,102 | $ | — | $ | — | $ | 19,211,102 | ||||||||
| Common Stocks | 14,709,231 | — | — | 14,709,231 | ||||||||||||
| Money Market Funds | 1,573,357 | — | — | 1,573,357 | ||||||||||||
| Total | $ | 35,493,690 | $ | — | $ | — | $ | 35,493,690 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Agriculture | 6.2 | % | ||
| Distributors | 5.0 | |||
| Equity Fund | 56.5 | |||
| Investment Company | 1.3 | |||
| Pharmaceuticals | 20.2 | |||
| REITS | 6.5 | |||
| Software | 0.2 | |||
| Specialty Retail | 3.8 | |||
| Money Market Funds | 4.6 | |||
| Total Investments | 104.3 | |||
| Liabilities in Excess of Other Assets | (4.3 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
99
ADVISORSHARES PURE CANNABIS ETF
Schedule of Investments (continued)
June 30, 2023
Affiliated holdings are funds which are managed by the Trust or an affiliate of the Trust. Transactions with affiliated companies during the year ended June 30, 2023 were as follows:
| Affiliated Holding Name | Value at 6/30/2022 |
Purchases/ Additions |
Sales/ Reductions |
Realized Gain (Loss) |
Unrealized Gain (Loss) |
Shares at 6/30/2023 |
Value at 6/30/2023 |
Dividend Income |
||||||||||||||||||||||||
| AdvisorShares Pure US Cannabis ETF | $ | 24,719,940 | $ | 9,360,821 | $ | (4,030,482 | ) | $ | (5,138,840 | ) | $ | (5,700,337 | ) | 3,467,708 | $ | 19,211,102 | $ | — | ||||||||||||||
| Village Farms International Inc.* | $ | 12,647,619 | $ | 693,610 | $ | (2,541,852 | ) | $ | (23,785,182 | ) | $ | 15,094,617 | 3,521,730 | $ | 2,108,812 | $ | — | |||||||||||||||
| Total | $ | 37,367,559 | $ | 10,054,431 | $ | (6,572,334 | ) | $ | (28,924,022 | ) | $ | 9,394,280 | 6,989,438 | $ | 21,319,914 | $ | — | |||||||||||||||
| * | Security is no longer an affiliated company at year end; therefore, the change in unrealized gain (loss) will not match the Statement of Operations. |
See accompanying Notes to Financial Statements.
100
ADVISORSHARES PURE US CANNABIS ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 0.6% | ||||||||
| Investment Company — 0.1% | ||||||||
| RIV Capital, Inc. (Canada)* | 4,294,850 | $ | 373,254 | |||||
| Machinery — 0.2% | ||||||||
| Urban-GRO, Inc.*† | 579,947 | 684,337 | ||||||
| Pharmaceuticals — 0.0%** | ||||||||
| Hempfusion Wellness, Inc. (Canada)* | 7,964,631 | 8 | ||||||
| REITS — 0.3% | ||||||||
| AFC Gamma, Inc. | 9,840 | 122,508 | ||||||
| Innovative Industrial Properties, Inc. | 10,085 | 736,306 | ||||||
| Power REIT*† | 232,259 | 380,905 | ||||||
| Total REITS | 1,239,719 | |||||||
| Specialty Retail — 0.0%** | ||||||||
| GrowGeneration Corp.* | 16,678 | 56,705 | ||||||
| Total Common Stocks (Cost $32,712,815) |
2,354,023 | |||||||
| MONEY MARKET FUND — 13.6% | ||||||||
| BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(a) (Cost $46,691,522) |
46,691,522 | 46,691,522 | ||||||
| Total Investments — 14.2% (Cost $79,404,337) |
49,045,545 | |||||||
| Other Assets in Excess of Liabilities — 85.8% | 294,339,602 | |||||||
| Net Assets — 100.0% | $ | 343,385,147 | ||||||
REITS — Real Estate Investment Trusts
SOFR — Secured Overnight Financing Rate
| * | Non-income producing security. |
| ** | Less than 0.05%. |
| † | Affiliated Company. |
| (a) | Rate shown reflects the 7-day yield as of June 30, 2023. |
See accompanying Notes to Financial Statements.
101
ADVISORSHARES PURE US CANNABIS ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 2,354,023 | $ | — | $ | — | $ | 2,354,023 | ||||||||
| Money Market Fund | 46,691,522 | — | — | 46,691,522 | ||||||||||||
| Swaps† | — | 8,683 | — | 8,683 | ||||||||||||
| Total | $ | 49,045,545 | $ | 8,683 | $ | — | $ | 49,054,228 | ||||||||
| Liabilities | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Swaps† | $ | — | $ | (1,689,144 | ) | $ | — | $ | (1,689,144 | ) | ||||||
| † | Derivative instruments, including swap contracts, are valued at the net unrealized gain (loss) on the instrument. |
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Investment Company | 0.1 | % | ||
| Machinery | 0.2 | |||
| Pharmaceuticals | 0.0 | ** | ||
| REITS | 0.3 | |||
| Specialty Retail | 0.0 | ** | ||
| Money Market Fund | 13.6 | |||
| Total Investments | 14.2 | |||
| Other Assets in Excess of Liabilities | 85.8 | |||
| Net Assets | 100.0 | % | ||
| ** | Less than 0.05%. |
See accompanying Notes to Financial Statements.
102
ADVISORSHARES PURE US CANNABIS ETF
Schedule of Investments (continued)
June 30, 2023
Total Return Swap contracts outstanding as of June 30, 2023:
| Reference Entity | Annual Financing Rate Paid |
Payment Frequency |
Termination Date |
Notional Amounts |
Fair Value |
Unrealized Appreciation/ (Depreciation) |
||||||||||||
| 4Front Ventures ORD | SOFR + 1.25% | Monthly | 11/20/2026 | $ | 3,870,129 | $ | 3,850,120 | $ | (20,009 | ) | ||||||||
| Acreage Holdings FX SUB VOT CL E ORD | SOFR + 1.25% | Monthly | 11/20/2026 | 419,022 | 415,784 | (3,238 | ) | |||||||||||
| AYR Wellness | SOFR + 1.25% | Monthly | 11/20/2026 | 4,978,568 | 4,949,857 | (28,711 | ) | |||||||||||
| AYR Wellness | SOFR + 0.90% | Monthly | 11/20/2026 | 174,575 | 171,000 | (3,575 | ) | |||||||||||
| C21 Investments ORD | SOFR + 1.25% | Monthly | 8/25/2026 | 2,337,565 | 2,327,908 | (9,657 | ) | |||||||||||
| Columbia Care ORD | SOFR + 1.25% | Monthly | 11/20/2026 | 10,165,010 | 10,112,207 | (52,803 | ) | |||||||||||
| Cresco Labs ORD | SOFR + 1.25% | Monthly | 11/20/2026 | 26,326,963 | 26,181,764 | (145,199 | ) | |||||||||||
| Cresco Labs ORD | SOFR + 0.90% | Monthly | 9/2/2023 | 92,970 | 93,611 | 641 | ||||||||||||
| Curaleaf Holdings SUB VOT | SOFR + 1.25% | Monthly | 11/20/2026 | 69,591,664 | 69,277,017 | (314,647 | ) | |||||||||||
| Curaleaf Holdings SUB VOT ORD | SOFR + 0.90% | Monthly | 11/20/2026 | 310,119 | 309,200 | (919 | ) | |||||||||||
| Glass House Brands | SOFR + 1.25% | Monthly | 11/20/2026 | 8,299,355 | 8,254,251 | (45,104 | ) | |||||||||||
| Glass House Brands | SOFR + 0.90% | Monthly | 9/2/2023 | 162,200 | 162,200 | — | ||||||||||||
| Goodness Growth Hold | SOFR + 1.25% | Monthly | 11/20/2026 | 750,033 | 746,778 | (3,255 | ) | |||||||||||
| Gramf Tpco ORD | SOFR + 0.90% | Monthly | 9/22/2024 | 731,271 | 727,809 | (3,462 | ) | |||||||||||
| Green Thumb Industries SUB VOT | SOFR + 1.25% | Monthly | 11/20/2026 | 90,256,985 | 89,814,235 | (442,750 | ) | |||||||||||
| Jushi Holdings CL B SUB VOT ORD | SOFR + 1.25% | Monthly | 11/20/2026 | 7,006,005 | 6,972,140 | (33,865 | ) | |||||||||||
| Jushi Holdings CL B SUB VOT ORD | SOFR + 0.90% | Monthly | 9/2/2026 | 23,780 | 24,000 | 220 | ||||||||||||
| Lowell Farms ORD | SOFR + 1.25% | Monthly | 11/20/2026 | 178,389 | 177,614 | (775 | ) | |||||||||||
| Marimed ORD | SOFR + 1.25% | Monthly | 11/20/2026 | 803,378 | 799,500 | (3,878 | ) | |||||||||||
| Marimed ORD | SOFR + 0.90% | Monthly | 11/20/2026 | 46,181 | 50,430 | 4,249 | ||||||||||||
| Planet 13 Holdings ORD | SOFR + 1.25% | Monthly | 11/20/2026 | 4,423,024 | 4,401,563 | (21,461 | ) | |||||||||||
| Terrascend ORD | SOFR + 1.25% | Monthly | 11/20/2026 | 32,574,629 | 32,427,716 | (146,913 | ) | |||||||||||
| Terrascend ORD | SOFR + 0.90% | Monthly | 11/20/2026 | 610,198 | 613,771 | 3,573 | ||||||||||||
| Trulieve Cannabis ORD | SOFR + 1.25% | Monthly | 11/20/2026 | 38,132,595 | 37,929,720 | (202,875 | ) | |||||||||||
| Vapen Mj Ventures ORD | SOFR + 1.25% | Monthly | 8/25/2026 | 986,206 | 981,339 | (4,867 | ) | |||||||||||
| Verano Holdings ORD | SOFR + 1.25% | Monthly | 11/20/2026 | 41,215,724 | 41,014,543 | (201,181 | ) | |||||||||||
| Net Unrealized Depreciation | $ | (1,680,461 | ) | |||||||||||||||
Nomura and Clear Street act as the counterparties 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 June 30, 2023, cash in the amount of $298,970,000 has been segregated as collateral from the broker for Swap contracts.
See accompanying Notes to Financial Statements.
103
ADVISORSHARES PURE US CANNABIS ETF
Schedule of Investments (continued)
June 30, 2023
Affiliated holdings are funds which are managed by the Trust or an affiliate of the Trust. Transactions with affiliated companies during the year ended June 30, 2023 were as follows:
| Affiliated Holding Name | Value at 6/30/2022 |
Purchases/ Additions |
Sales/ Reductions |
Realized Gain (Loss) |
Change in Unrealized Gain (Loss) |
Number of Shares at 6/30/2023 |
Value at 6/30/2023 |
Dividend Income |
||||||||||||||||||||||||
| Power REIT | $ | 3,673,522 | $ | 43,439 | $ | (368,645 | ) | $ | (3,434,819 | ) | $ | 467,408 | 232,259 | $ | 380,905 | $ | — | |||||||||||||||
| Urban-GRO, Inc. | 2,976,915 | 627,211 | (605,552 | ) | (1,164,309 | ) | (1,149,928 | ) | 579,947 | 684,337 | ||||||||||||||||||||||
| Total | $ | 6,650,437 | $ | 670,650 | $ | (974,197 | ) | $ | (4,599,128 | ) | $ | (682,520 | ) | 812,206 | $ | 1,065,242 | $ | — | ||||||||||||||
| GrowGeneration Corp.* | $ | 12,977,764 | $ | 1,935,729 | $ | (17,026,512 | ) | $ | (53,861,565 | ) | $ | 56,031,289 | 16,678 | $ | 56,705 | $ | — | |||||||||||||||
| Total | $ | 19,628,201 | $ | 2,606,379 | $ | (18,000,709 | ) | $ | (58,460,693 | ) | $ | 55,348,769 | 828,884 | $ | 1,121,947 | $ | — | |||||||||||||||
| * | Security is no longer an affiliated company at year end; therefore, the change in unrealized gain (loss) will not match the Statement of Operations. |
See accompanying Notes to Financial Statements.
104
ADVISORSHARES Q DYNAMIC GROWTH ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| EXCHANGE TRADED FUNDS — 98.5% | ||||||||
| Commodity Fund — 3.2% | ||||||||
| SPDR Gold Shares* | 5,007 | $ | 892,598 | |||||
| Equity Fund — 95.3% | ||||||||
| Invesco QQQ Trust Series 1 | 30,420 | 11,237,756 | ||||||
| iShares Core S&P Small-Cap ETF | 7,117 | 709,209 | ||||||
| iShares Russell 2000 Growth ETF | 539 | 130,794 | ||||||
| iShares US Technology ETF | 46,349 | 5,046,016 | ||||||
| Technology Select Sector SPDR Fund | 50,949 | 8,857,993 | ||||||
| Vanguard Real Estate ETF | 618 | 51,640 | ||||||
| Vanguard Total Stock Market ETF | 4,523 | 996,326 | ||||||
| Total Equity Fund | 27,029,734 | |||||||
| Total Exchange Traded Funds (Cost $27,332,789) |
27,922,332 | |||||||
| MONEY MARKET FUND — 1.8% | ||||||||
| Fidelity Investments Money Market Government Portfolio — Class I, 4.74%(a) (Cost $499,290) |
499,290 | 499,290 | ||||||
| Total Investments — 100.3% (Cost $27,832,079) |
28,421,622 | |||||||
| Liabilities in Excess of Other Assets — (0.3%) | (72,828 | ) | ||||||
| Net Assets — 100.0% | $ | 28,348,794 | ||||||
ETF — Exchange Traded Fund
| * | Non-income producing security. |
| (a) | Rate shown reflects the 7-day yield as of June 30, 2023. |
See accompanying Notes to Financial Statements.
105
ADVISORSHARES Q DYNAMIC GROWTH ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 27,922,332 | $ | — | $ | — | $ | 27,922,332 | ||||||||
| Money Market Fund | 499,290 | — | — | 499,290 | ||||||||||||
| Total | $ | 28,421,622 | $ | — | $ | — | $ | 28,421,622 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Commodity Fund | 3.2 | % | ||
| Equity Fund | 95.3 | |||
| Money Market Fund | 1.8 | |||
| Total Investments | 100.3 | |||
| Liabilities in Excess of Other Assets | (0.3 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
106
ADVISORSHARES RANGER EQUITY BEAR ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| MONEY MARKET FUNDS — 114.7% | ||||||||
| BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 4.99%(a)(b) | 55,885,350 | $ | 55,885,350 | |||||
| Fidelity Institutional Money Market Government Portfolio — Class III, 4.74%(a) | 84,782,675 | 84,782,675 | ||||||
| Total Money Market Funds (Cost $140,668,025) |
140,668,025 | |||||||
| Total Investments Before Securities Sold, Not Yet Purchased (Cost $140,668,025) |
140,668,025 | |||||||
| Securities Sold, Not Yet Purchased — (109.5)%(c) | ||||||||
| COMMON STOCKS — (109.5)% | ||||||||
| Aerospace/Defense — (1.1)% | ||||||||
| Mercury Systems, Inc.* | (40,000 | ) | (1,383,600 | ) | ||||
| Apparel — (1.6)% | ||||||||
| VF Corp. | (100,000 | ) | (1,909,000 | ) | ||||
| Banks — (11.0)% | ||||||||
| Cadence Bank | (80,000 | ) | (1,571,200 | ) | ||||
| Comerica, Inc. | (39,886 | ) | (1,689,571 | ) | ||||
| Cullen/Frost Bankers, Inc. | (12,500 | ) | (1,344,125 | ) | ||||
| M&T Bank Corp. | (15,000 | ) | (1,856,400 | ) | ||||
| Regions Financial Corp. | (150,000 | ) | (2,673,000 | ) | ||||
| Texas Capital Bancshares, Inc.* | (50,000 | ) | (2,575,000 | ) | ||||
| Western Alliance Bancorp | (50,000 | ) | (1,823,500 | ) | ||||
| Total Banks | (13,532,796 | ) | ||||||
| Biotechnology — (2.9)% | ||||||||
| Guardant Health, Inc.* | (100,000 | ) | (3,580,000 | ) | ||||
| Commercial Services — (6.5)% | ||||||||
| Dlocal Ltd. (Uruguay)* | (150,000 | ) | (1,830,750 | ) | ||||
| Global Payments, Inc. | (20,000 | ) | (1,970,400 | ) | ||||
| Paylocity Holding Corp.* | (12,000 | ) | (2,214,360 | ) | ||||
| Service Corp. International | (30,000 | ) | (1,937,700 | ) | ||||
| Total Commercial Services | (7,953,210 | ) | ||||||
| Computers — (1.5)% | ||||||||
| EPAM Systems, Inc.* | (8,000 | ) | (1,798,000 | ) | ||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Diversified Financial Services — (12.4)% | ||||||||
| Ally Financial, Inc. | (100,000 | ) | $ | (2,701,000 | ) | |||
| Bread Financial Holdings, Inc. | (100,000 | ) | (3,139,000 | ) | ||||
| Coinbase Global, Inc., Class A* | (15,000 | ) | (1,073,250 | ) | ||||
| Credit Acceptance Corp.* | (9,000 | ) | (4,571,370 | ) | ||||
| Synchrony Financial | (110,000 | ) | (3,731,200 | ) | ||||
| Total Diversified Financial Services | (15,215,820 | ) | ||||||
| Electronics — (4.3)% | ||||||||
| Plexus Corp.* | (20,000 | ) | (1,964,800 | ) | ||||
| TD SYNNEX Corp. | (35,000 | ) | (3,290,000 | ) | ||||
| Total Electronics | (5,254,800 | ) | ||||||
| Energy — Alternate Sources — (9.2)% | ||||||||
| Enphase Energy, Inc.* | (10,000 | ) | (1,674,800 | ) | ||||
| Sunnova Energy International, Inc.* | (250,000 | ) | (4,577,500 | ) | ||||
| Sunrun, Inc.* | (280,000 | ) | (5,000,800 | ) | ||||
| Total Energy — Alternate Sources | (11,253,100 | ) | ||||||
| Entertainment — (2.7)% | ||||||||
| Marriott Vacations Worldwide Corp. | (15,000 | ) | (1,840,800 | ) | ||||
| Penn Entertainment, Inc.* | (60,000 | ) | (1,441,800 | ) | ||||
| Total Entertainment | (3,282,600 | ) | ||||||
| Food — (0.7)% | ||||||||
| Utz Brands, Inc. | (50,000 | ) | (818,000 | ) | ||||
| Healthcare — Products — (1.5)% | ||||||||
| Danaher Corp. | (7,500 | ) | (1,800,000 | ) | ||||
| Home Furnishings — (2.4)% | ||||||||
| Leggett & Platt, Inc. | (100,000 | ) | (2,962,000 | ) | ||||
| Housewares — (1.9)% | ||||||||
| Newell Brands, Inc. | (275,000 | ) | (2,392,500 | ) | ||||
| Insurance — (4.7)% | ||||||||
| Allstate Corp. (The) | (20,000 | ) | (2,180,800 | ) | ||||
| Mercury General Corp. | (60,000 | ) | (1,816,200 | ) | ||||
| Prudential Financial, Inc. | (20,000 | ) | (1,764,400 | ) | ||||
| Total Insurance | (5,761,400 | ) | ||||||
See accompanying Notes to Financial Statements.
107
ADVISORSHARES RANGER EQUITY BEAR ETF
Schedule of Investments (continued)
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Internet — (7.4)% | ||||||||
| CDW Corp. | (20,000 | ) | $ | (3,670,000 | ) | |||
| F5, Inc.* | (15,000 | ) | (2,193,900 | ) | ||||
| GoDaddy, Inc., Class A* | (20,000 | ) | (1,502,600 | ) | ||||
| TripAdvisor, Inc.* | (100,000 | ) | (1,649,000 | ) | ||||
| Total Internet | (9,015,500 | ) | ||||||
| Media — (2.0)% | ||||||||
| Nexstar Media Group, Inc. | (15,000 | ) | (2,498,250 | ) | ||||
| Office/Business Equipment — (1.5)% | ||||||||
| Xerox Holdings Corp. | (120,000 | ) | (1,786,800 | ) | ||||
| Real Estate — (1.3)% | ||||||||
| Kennedy-Wilson Holdings, Inc. | (100,000 | ) | (1,633,000 | ) | ||||
| REITS — (11.4)% | ||||||||
| Acadia Realty Trust | (150,000 | ) | (2,158,500 | ) | ||||
| Corporate Office Properties Trust | (95,000 | ) | (2,256,250 | ) | ||||
| Digital Realty Trust, Inc. | (25,000 | ) | (2,846,750 | ) | ||||
| NETSTREIT Corp. | (150,000 | ) | (2,680,500 | ) | ||||
| Realty Income Corp. | (35,000 | ) | (2,092,650 | ) | ||||
| SITE Centers Corp. | (150,000 | ) | (1,983,000 | ) | ||||
| Total REITS | (14,017,650 | ) | ||||||
| Retail — (7.2)% | ||||||||
| Brinker International, Inc.* | (50,000 | ) | (1,830,000 | ) | ||||
| CarMax, Inc.* | (30,000 | ) | (2,511,000 | ) | ||||
| Freshpet, Inc.* | (22,443 | ) | (1,476,974 | ) | ||||
| Lithia Motors, Inc. | (10,000 | ) | (3,041,100 | ) | ||||
| Total Retail | (8,859,074 | ) | ||||||
| Semiconductors — (2.9)% | ||||||||
| SiTime Corp.* | (16,000 | ) | (1,887,520 | ) | ||||
| Wolfspeed, Inc.* | (30,000 | ) | (1,667,700 | ) | ||||
| Total Semiconductors | (3,555,220 | ) | ||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| Software — (9.5)% | ||||||||
| E2open Parent Holdings, Inc.* | (300,000 | ) | $ | (1,680,000 | ) | |||
| Five9, Inc.* | (40,000 | ) | (3,298,000 | ) | ||||
| Gitlab, Inc., Class A* | (75,000 | ) | (3,833,250 | ) | ||||
| Paycor HCM, Inc.* | (60,000 | ) | (1,420,200 | ) | ||||
| Sprout Social, Inc., Class A* | (30,000 | ) | (1,384,800 | ) | ||||
| Total Software | (11,616,250 | ) | ||||||
| Venture Capital — (1.9)% | ||||||||
| Brookfield Corp. (Canada) | (70,000 | ) | (2,355,500 | ) | ||||
| Total Common Stocks (Cost $(125,899,483)) |
(134,234,070 | ) | ||||||
| Total Securities Sold, Not Yet Purchased [Proceeds Received $(125,899,483)] | (134,234,070 | ) | ||||||
| Total Investments — 5.2% (Cost $14,768,542) |
6,433,955 | |||||||
| Other Assets in Excess of Liabilities — 94.8% | 116,198,214 | |||||||
| Net Assets — 100.0% | $ | 122,632,169 | ||||||
ETF — Exchange Traded Fund
REITS — Real Estate Investment Trusts
| * | Non-income producing security. |
| (a) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (b) | A portion of this security has been pledged as collateral for securities sold, not yet purchased. |
| (c) | As of June 30, 2023 cash in the amount of $122,696,175 has been segregated as collateral from the broker for securities sold short. |
See accompanying Notes to Financial Statements.
108
ADVISORSHARES RANGER EQUITY BEAR ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | ||||||||||||
| Money Market Funds | $ | 140,668,025 | $ | — | $ | — | $ | 140,668,025 | ||||||||
| Total | $ | 140,668,025 | $ | — | $ | — | $ | 140,668,025 | ||||||||
| Liabilities | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Common Stocks | $ | (134,234,070 | ) | $ | — | $ | — | $ | (134,234,070 | ) | ||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Aerospace/Defense | (1.1 | )% | ||
| Apparel | (1.6 | ) | ||
| Banks | (11.0 | ) | ||
| Biotechnology | (2.9 | ) | ||
| Commercial Services | (6.5 | ) | ||
| Computers | (1.5 | ) | ||
| Diversified Financial Services | (12.4 | ) | ||
| Electronics | (4.3 | ) | ||
| Energy — Alternate Sources | (9.2 | ) | ||
| Entertainment | (2.7 | ) | ||
| Food | (0.7 | ) | ||
| Healthcare — Products | (1.5 | ) | ||
| Home Furnishings | (2.4 | ) | ||
| Housewares | (1.9 | ) | ||
| Insurance | (4.7 | ) | ||
| Internet | (7.4 | ) | ||
| Media | (2.0 | ) | ||
| Office/Business Equipment | (1.5 | ) | ||
| Real Estate | (1.3 | ) | ||
| REITS | (11.4 | ) | ||
| Retail | (7.2 | ) | ||
| Semiconductors | (2.9 | ) | ||
| Software | (9.5 | ) | ||
| Venture Capital | (1.9 | ) | ||
| Money Market Funds | 114.7 | |||
| Total Investments | 5.2 | |||
| Other Assets in Excess of Liabilities | 94.8 | |||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
109
ADVISORSHARES RANGER EQUITY BEAR ETF
Schedule of Investments (continued)
June 30, 2023
Affiliated holdings are funds which are managed by the Trust or an affiliate of the Trust. Transactions with affiliated companies during the year ended June 30, 2023 were as follows:
| Affiliated Holding Name | Value at 6/30/2022 |
Purchases/ Additions |
Sales/ Reductions |
Realized Gain (Loss) |
Change in Unrealized Gain (Loss) |
Number of Shares at 6/30/2023 |
Value at 6/30/2023 |
Dividend Income |
||||||||||||||||||||||||
| AdvisorShares North Square McKee Core Reserves ETF | $ | 19,476,000 | $ | — | $ | (19,548,984 | ) | $ | (337,016 | ) | $ | 410,000 | — | $ | — | $ | 379,436 | |||||||||||||||
See accompanying Notes to Financial Statements.
110
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 99.4% | ||||||||
| Retail — 99.4% | ||||||||
| Arcos Dorados Holdings, Inc., Class A (Brazil) | 16,206 | $ | 166,111 | |||||
| BJ’s Restaurants, Inc.* | 3,840 | 122,112 | ||||||
| Bloomin’ Brands, Inc. | 5,777 | 155,344 | ||||||
| Brinker International, Inc.* | 2,688 | 98,381 | ||||||
| Carrols Restaurant Group, Inc.* | 24,700 | 124,488 | ||||||
| Casey’s General Stores, Inc. | 507 | 123,647 | ||||||
| Chipotle Mexican Grill, Inc.* | 69 | 147,591 | ||||||
| Chuy’s Holdings, Inc.* | 3,380 | 137,972 | ||||||
| Darden Restaurants, Inc. | 797 | 133,163 | ||||||
| Dave & Buster’s Entertainment, Inc.* | 2,642 | 117,727 | ||||||
| Dine Brands Global, Inc. | 1,536 | 89,134 | ||||||
| Domino’s Pizza, Inc. | 344 | 115,925 | ||||||
| Dutch Bros, Inc., Class A*(a) | 1,883 | 53,571 | ||||||
| Jack in the Box, Inc. | 1,300 | 126,789 | ||||||
| McDonald’s Corp. | 418 | 124,735 | ||||||
| Papa John’s International, Inc. | 59 | 4,356 | ||||||
| Restaurant Brands International, Inc. (Canada) | 1,385 | 107,365 | ||||||
| Shake Shack, Inc., Class A* | 269 | 20,907 | ||||||
| Starbucks Corp. | 1,076 | 106,589 | ||||||
| Texas Roadhouse, Inc. | 1,021 | 114,638 | ||||||
| Wendy’s Co. (The) | 936 | 20,358 | ||||||
| Wingstop, Inc. | 672 | 134,507 | ||||||
| Yum China Holdings, Inc. (China) | 2,016 | 113,904 | ||||||
| Yum! Brands, Inc. | 906 | 125,526 | ||||||
| Total Retail | 2,584,840 | |||||||
| Total Common Stocks (Cost $2,241,032) |
2,584,840 | |||||||
| Investments | Shares | Value | ||||||
| MONEY MARKET FUNDS — 4.7% | ||||||||
| BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(b) | 98,592 | $ | 98,592 | |||||
| Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(b)(c) | 24,505 | 24,505 | ||||||
| Total Money Market Funds (Cost $123,097) |
123,097 | |||||||
| Total Investments — 104.1% (Cost $2,364,129) |
2,707,937 | |||||||
| Liabilities in Excess of Other Assets — (4.1%) | (108,257 | ) | ||||||
| Net Assets — 100.0% | $ | 2,599,680 | ||||||
| * | Non-income producing security. |
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $24,040; the aggregate market value of the collateral held by the fund is $24,505. |
| (b) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (c) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
111
ADVISORSHARES RESTAURANT ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 2,584,840 | $ | — | $ | — | $ | 2,584,840 | ||||||||
| Money Market Funds | 123,097 | — | — | 123,097 | ||||||||||||
| Total | $ | 2,707,937 | $ | — | $ | — | $ | 2,707,937 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Retail | 99.4 | % | ||
| Money Market Funds | 4.7 | |||
| Total Investments | 104.1 | |||
| Liabilities in Excess of Other Assets | (4.1 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
112
ADVISORSHARES STAR GLOBAL BUY-WRITE ETF
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| EXCHANGE TRADED FUNDS — 95.0% | ||||||||
| Debt Fund — 24.9% | ||||||||
| iShares 10-20 Year Treasury Bond ETF | 6,729 | $ | 745,371 | |||||
| iShares Core Total USD Bond Market ETF(a)(b) | 155,374 | 7,064,856 | ||||||
| iShares MBS ETF | 32,210 | 3,004,066 | ||||||
| iShares U.S. Treasury Bond ETF | 90,458 | 2,071,488 | ||||||
| SPDR Bloomberg Barclays Short Term High Yield Bond ETF | 19,403 | 479,254 | ||||||
| Total Debt Fund | 13,365,035 | |||||||
| Equity Fund — 70.1% | ||||||||
| iShares MSCI EAFE ETF(a) | 106,877 | 7,748,582 | ||||||
| iShares MSCI Emerging Markets ETF | 79,918 | 3,161,556 | ||||||
| iShares MSCI USA Momentum Factor ETF | 4,680 | 675,090 | ||||||
| iShares Russell 2000 ETF | 2,202 | 412,369 | ||||||
| iShares Russell Mid-Cap Growth ETF(a) | 45,851 | 4,430,582 | ||||||
| SPDR S&P 500 ETF Trust(a)(b) | 47,882 | 21,225,133 | ||||||
| Total Equity Fund | 37,653,312 | |||||||
| Total Exchange Traded Funds (Cost $49,824,619) |
51,018,347 | |||||||
| MONEY MARKET FUNDS — 10.6% | ||||||||
| BlackRock Liquidity Funds T-Fund Portfolio, Institutional Class, 4.98%(c) | 2,761,179 | 2,761,179 | ||||||
| Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(c)(d) | 2,962,076 | 2,962,076 | ||||||
| Total Money Market Funds (Cost $5,723,255) |
5,723,255 | |||||||
| Notional Amount | Contracts | Value | ||||||||||
| PURCHASED PUT OPTION — 0.0%** | ||||||||||||
| SPDR S&P 500 ETF Trust, expiring 09/15/23, Strike Price $330.00 (Cost $89,134) |
$ | 9,999,000 | 303 | $ | 12,575 | |||||||
| Total Investments Before Written Options — 105.6% (Cost $55,637,008) |
56,754,177 | |||||||||||
| WRITTEN CALL OPTION — (0.0)%** | ||||||||||||
| SPDR S&P 500 ETF Trust, expiring 07/21/23, Strike Price $455.00 [Premium Received $(21,581)] |
$ | (10,874,500 | ) | (239 | ) | (19,598 | ) | |||||
| Total Investments — 105.6% (Cost $55,615,427) |
56,734,579 | |||||||||||
| Liabilities in Excess of Other Assets — (5.6%) | (3,010,010 | ) | ||||||||||
| Net Assets — 100.0% | $ | 53,724,569 | ||||||||||
ETF — Exchange Traded Fund
| ** | Less than 0.05%. |
| (a) | All or a portion of security is on loan. The aggregate market value of the securities on loan is $13,435,307; the aggregate market value of the collateral held by the fund is $13,563,729. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $10,601,653. |
| (b) | All or a portion of this security has been pledged as collateral for option contracts. The aggregate market value of the collateral was $1,798,499 as of June 30, 2023. |
| (c) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (d) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
113
ADVISORSHARES STAR GLOBAL BUY-WRITE ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 51,018,347 | $ | — | $ | — | $ | 51,018,347 | ||||||||
| Money Market Funds | 5,723,255 | — | — | 5,723,255 | ||||||||||||
| Purchased Put Option | 12,575 | — | — | 12,575 | ||||||||||||
| Total | $ | 56,754,177 | $ | — | $ | — | $ | 56,754,177 | ||||||||
| Liabilities | Level 1 | Level 2 | Level 3 | Total | ||||||||||||
| Written Call Option | $ | (19,598 | ) | $ | — | $ | — | $ | (19,598 | ) | ||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Debt Fund | 24.9 | % | ||
| Equity Fund | 70.1 | |||
| Purchased Put Option | 0.0 | ** | ||
| Written Call Option | (0.0 | )** | ||
| Money Market Funds | 10.6 | |||
| Total Investments | 105.6 | |||
| Liabilities in Excess of Other Assets | (5.6 | ) | ||
| Net Assets | 100.0 | % | ||
| ** | Less than 0.05%. |
See accompanying Notes to Financial Statements.
114
Schedule of Investments
June 30, 2023
| Investments | Shares | Value | ||||||
| COMMON STOCKS — 98.3% | ||||||||
| Agriculture — 20.0% | ||||||||
| Altria Group, Inc. | 1,890 | $ | 85,617 | |||||
| British American Tobacco PLC (United Kingdom)(a) | 12,003 | 398,500 | ||||||
| Imperial Brands PLC (United Kingdom)(a) | 16,717 | 375,130 | ||||||
| Philip Morris International, Inc. | 1,029 | 100,451 | ||||||
| Turning Point Brands, Inc. | 19,626 | 471,220 | ||||||
| Vector Group Ltd. | 41,251 | 528,425 | ||||||
| Total Agriculture | 1,959,343 | |||||||
| Apparel — 4.9% | ||||||||
| LVMH Moet Hennessy Louis Vuitton SE (France)(a) | 2,537 | 479,087 | ||||||
| Beverages — 23.3% | ||||||||
| Anheuser-Busch InBev SA/NV (Belgium)(a)(b) | 1,648 | 93,475 | ||||||
| Carlsberg A/S (Denmark)(a) | 7,046 | 225,683 | ||||||
| Cia Cervecerias Unidas SA (Chile)(a) | 29,465 | 478,217 | ||||||
| Diageo PLC (United Kingdom)(a) | 465 | 80,668 | ||||||
| Duckhorn Portfolio, Inc. (The)* | 10,861 | 140,867 | ||||||
| Heineken NV (Netherlands)(a) | 3,830 | 197,168 | ||||||
| Kirin Holdings Co., Ltd. (Japan)(a) | 13,660 | 198,753 | ||||||
| MGP Ingredients, Inc. | 2,056 | 218,512 | ||||||
| Molson Coors Beverage Co., Class B | 6,293 | 414,331 | ||||||
| Pernod Ricard SA (France)(a) | 5,161 | 226,568 | ||||||
| Total Beverages | 2,274,242 | |||||||
| Entertainment — 5.5% | ||||||||
| Everi Holdings, Inc.* | 23,080 | 333,737 | ||||||
| International Game Technology PLC | 6,430 | 205,053 | ||||||
| Total Entertainment | 538,790 | |||||||
| Food — 2.1% | ||||||||
| Hershey Co. (The) | 819 | 204,504 | ||||||
| Lodging — 9.9% | ||||||||
| Boyd Gaming Corp. | 7,231 | 501,614 | ||||||
| MGM Resorts International | 10,600 | 465,552 | ||||||
| Total Lodging | 967,166 | |||||||
| Investments | Shares | Value | ||||||
| COMMON STOCKS (continued) | ||||||||
| REITS — 4.7% | ||||||||
| Gaming and Leisure Properties, Inc. | 7,255 | $ | 351,577 | |||||
| VICI Properties, Inc. | 3,280 | 103,091 | ||||||
| Total REITS | 454,668 | |||||||
| Retail — 14.3% | ||||||||
| BJ’s Restaurants, Inc.* | 13,797 | 438,745 | ||||||
| Dave & Buster’s Entertainment, Inc.* | 11,318 | 504,330 | ||||||
| Wingstop, Inc. | 2,300 | 460,368 | ||||||
| Total Retail | 1,403,443 | |||||||
| Semiconductors — 4.3% | ||||||||
| NVIDIA Corp. | 1,000 | 423,020 | ||||||
| Software — 9.3% | ||||||||
| Inspired Entertainment, Inc.* | 31,165 | 458,437 | ||||||
| NetEase, Inc. (China)(a)(b) | 4,700 | 454,443 | ||||||
| Total Software | 912,880 | |||||||
| Total Common Stocks (Cost $8,770,082) |
9,617,143 | |||||||
| MONEY MARKET FUNDS — 2.9% | ||||||||
| BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(c) | 220,076 | 220,076 | ||||||
| Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(c)(d) | 63,503 | 63,503 | ||||||
| Total Money Market Funds (Cost $283,579) |
283,579 | |||||||
| Total Investments — 101.2% (Cost $9,053,661) |
9,900,722 | |||||||
| Liabilities in Excess of Other Assets — (1.2%) | (118,815 | ) | ||||||
| Net Assets — 100.0% | $ | 9,781,907 | ||||||
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 $508,824; the aggregate market value of the collateral held by the fund is $524,942. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $461,439. |
| (c) | Rate shown reflects the 7-day yield as of June 30, 2023. |
| (d) | Collateral received from brokers for securities lending was invested in these short-term investments. |
See accompanying Notes to Financial Statements.
115
ADVISORSHARES VICE ETF
Schedule of Investments (continued)
June 30, 2023
Fair Value Measurements
The following is a summary of the inputs used, as of June 30, 2023, 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 | $ | 9,617,143 | $ | — | $ | — | $ | 9,617,143 | ||||||||
| Money Market Funds | 283,579 | — | — | 283,579 | ||||||||||||
| Total | $ | 9,900,722 | $ | — | $ | — | $ | 9,900,722 | ||||||||
SUMMARY OF SCHEDULE OF INVESTMENTS
| % of Net Assets |
||||
| Agriculture | 20.0 | % | ||
| Apparel | 4.9 | |||
| Beverages | 23.3 | |||
| Entertainment | 5.5 | |||
| Food | 2.1 | |||
| Lodging | 9.9 | |||
| REITS | 4.7 | |||
| Retail | 14.3 | |||
| Semiconductors | 4.3 | |||
| Software | 9.3 | |||
| Money Market Funds | 2.9 | |||
| Total Investments | 101.2 | |||
| Liabilities in Excess of Other Assets | (1.2 | ) | ||
| Net Assets | 100.0 | % | ||
See accompanying Notes to Financial Statements.
116
Statements of Assets and Liabilities
June 30, 2023
|
AdvisorShares |
AdvisorShares |
AdvisorShares World ETF |
AdvisorShares |
|||||||||||||
| ASSETS | ||||||||||||||||
| Investments, at Cost | $ | 16,217,040 | $ | 28,111,061 | $ | 82,353,683 | $ | 103,977,013 | ||||||||
| Total Cost of Investments | 16,217,040 | 28,111,061 | 82,353,683 | 103,977,013 | ||||||||||||
| Investments, at Market Value (including securities on loan) (Note 2)(a) | 17,417,423 | 30,925,848 | 86,328,103 | 110,099,807 | ||||||||||||
| Total Market Value of Investments | 17,417,423 | 30,925,848 | 86,328,103 | 110,099,807 | ||||||||||||
| Dividends and Interest Receivable | 21,832 | 56,151 | 15,631 | 72,421 | ||||||||||||
| Receivable from Securities Sold | — | — | 156,122 | — | ||||||||||||
| Reclaim Receivable | — | 19,579 | — | — | ||||||||||||
| Prepaid CCO Fees | 534 | 391 | 1,103 | 1,080 | ||||||||||||
| Prepaid Expenses | 5 | 218 | 767 | 697 | ||||||||||||
| Total Assets | 17,439,794 | 31,002,187 | 86,501,726 | 110,174,005 | ||||||||||||
| LIABILITIES | ||||||||||||||||
| Cash collateral for securities on loan(b) | 328,345 | 2,144,808 | 118 | 20,460,356 | ||||||||||||
| Advisory Fees Payable | 15,363 | 20,615 | 52,238 | 53,012 | ||||||||||||
| Trustee Fees Payable | 2,038 | 2,067 | 1,740 | 1,831 | ||||||||||||
| Capital Shares Payable | — | — | 157,821 | — | ||||||||||||
| Due to Custodian | 355 | — | — | — | ||||||||||||
| Accrued Expenses | 91,878 | 96,893 | 115,983 | 111,309 | ||||||||||||
| Total Liabilities | 437,979 | 2,264,383 | 327,900 | 20,626,508 | ||||||||||||
| NET ASSETS | $ | 17,001,815 | $ | 28,737,804 | $ | 86,173,826 | $ | 89,547,497 | ||||||||
| COMPONENTS OF NET ASSETS | ||||||||||||||||
| Capital Stock at Zero Par Value | $ | 34,538,720 | $ | 81,134,363 | $ | 107,865,790 | $ | 86,620,962 | ||||||||
| Total Distributable Earnings/Accumulated (Loss) | (17,536,905 | ) | (52,396,559 | ) | (21,691,964 | ) | 2,926,535 | |||||||||
| NET ASSETS | $ | 17,001,815 | $ | 28,737,804 | $ | 86,173,826 | $ | 89,547,497 | ||||||||
| SHARES ISSUED AND OUTSTANDING | ||||||||||||||||
| Shares Outstanding (Unlimited Shares Authorized) | 705,000 | 580,000 | 2,730,000 | 2,435,000 | ||||||||||||
| Net Asset Value (NAV) Per Share | $ | 24.12 | $ | 49.55 | $ | 31.57 | $ | 36.78 | ||||||||
| (a) Market value of securities on loan | $ | 974,018 | $ | 2,415,964 | $ | 39,649,018 | $ | 20,358,422 | ||||||||
| (b) Non-cash collateral for securities on loan | $ | 668,778 | $ | 329,091 | $ | 40,044,003 | $ | — | ||||||||
See accompanying Notes to Financial Statements.
117
ADVISORSHARES TRUST
Statements of Assets and Liabilities
June 30, 2023
|
AdvisorShares |
AdvisorShares |
AdvisorShares |
AdvisorShares |
|||||||||||||
| ASSETS | ||||||||||||||||
| Investments, at Cost | $ | 36,227,717 | $ | 4,545,240 | $ | 60,321,769 | $ | 17,785,445 | ||||||||
| Total Cost of Investments | 36,227,717 | 4,545,240 | 60,321,769 | 17,785,445 | ||||||||||||
| Investments, at Market Value (including securities on loan) (Note 2)(a) | 36,227,717 | 5,199,747 | 70,079,761 | 17,906,394 | ||||||||||||
| Total Market Value of Investments | 36,227,717 | 5,199,747 | 70,079,761 | 17,906,394 | ||||||||||||
| Cash collateral held at brokers | 9,225,770 | — | — | — | ||||||||||||
| Dividends and Interest Receivable | 173,611 | 4,620 | 38,110 | 12,614 | ||||||||||||
| Receivable from Securities Sold | 3,760,111 | 84,339 | — | — | ||||||||||||
| Capital Shares Receivable | — | 478,565 | — | 353,499 | ||||||||||||
| Due from Investment Advisor | — | 4,637 | — | — | ||||||||||||
| Prepaid CCO Fees | 383 | 53 | 789 | 209 | ||||||||||||
| Prepaid Expenses | 1,346 | — | 184 | — | ||||||||||||
| Total Assets | 49,388,938 | 5,771,961 | 70,118,844 | 18,272,716 | ||||||||||||
| LIABILITIES | ||||||||||||||||
| Cash collateral for securities on loan(b) | — | 304,948 | — | 277,178 | ||||||||||||
| Advisory Fees Payable | 14,072 | — | 34,505 | 2,421 | ||||||||||||
| Trustee Fees Payable | 2,107 | 2,090 | 1,349 | 1,380 | ||||||||||||
| Securities Sold, Not Yet Purchased(c) | 24,006,996 | — | — | — | ||||||||||||
| Payable for Securities Purchased | 1,125,904 | 547,632 | — | 352,597 | ||||||||||||
| Due to Custodian | — | — | 253 | — | ||||||||||||
| Dividend Payable on Securities Sold, Not Yet Purchased | 39,028 | — | — | — | ||||||||||||
| Accrued Expenses | 108,239 | 81,109 | 81,018 | 61,304 | ||||||||||||
| Total Liabilities | 25,296,346 | 935,779 | 117,125 | 694,880 | ||||||||||||
| NET ASSETS | $ | 24,092,592 | $ | 4,836,182 | $ | 70,001,719 | $ | 17,577,836 | ||||||||
| COMPONENTS OF NET ASSETS | ||||||||||||||||
| Capital Stock at Zero Par Value | $ | 111,525,600 | $ | 7,152,839 | $ | 61,046,983 | $ | 25,859,289 | ||||||||
| Total Distributable Earnings/Accumulated (Loss) | (87,433,008 | ) | (2,316,657 | ) | 8,954,736 | (8,281,453 | ) | |||||||||
| NET ASSETS | $ | 24,092,592 | $ | 4,836,182 | $ | 70,001,719 | $ | 17,577,836 | ||||||||
| SHARES ISSUED AND OUTSTANDING | ||||||||||||||||
| Shares Outstanding (Unlimited Shares Authorized) | 2,745,000 | 150,000 | 1,305,000 | 980,000 | ||||||||||||
| Net Asset Value (NAV) Per Share | $ | 8.78 | $ | 32.24 | $ | 53.64 | $ | 17.94 | ||||||||
| (a) Market value of securities on loan | $ | — | $ | 321,886 | $ | — | $ | 453,135 | ||||||||
| (b) Non-cash collateral for securities on loan | $ | — | $ | 23,934 | $ | — | $ | 188,578 | ||||||||
| (c) Proceeds Received from Securities Sold, Not Yet Purchased | $ | 30,652,738 | $ | — | $ | — | $ | — | ||||||||
| (1) | Formerly known as AdvisorShares Dorsey Wright Micro-Cap ETF. |
See accompanying Notes to Financial Statements.
118
ADVISORSHARES TRUST
Statements of Assets and Liabilities
June 30, 2023
| AdvisorShares Hotel ETF |
AdvisorShares Insider Advantage ETF(1) |
AdvisorShares Let Bob AI Powered Momentum ETF |
AdvisorShares MSOS 2X Daily ETF |
|||||||||||||
| ASSETS | ||||||||||||||||
| Investments, at Cost | $ | 4,053,527 | $ | 38,126,081 | $ | 26,333,579 | $ | 7,010,606 | ||||||||
| Total Cost of Investments | 4,053,527 | 38,126,081 | 26,333,579 | 7,010,606 | ||||||||||||
| Investments, at Market Value (including securities on loan) (Note 2)(a) | 4,364,336 | 42,322,132 | 26,287,461 | 7,010,606 | ||||||||||||
| Total Market Value of Investments | 4,364,336 | 42,322,132 | 26,287,461 | 7,010,606 | ||||||||||||
| Cash | — | 181,118 | — | — | ||||||||||||
| Unrealized Appreciation on OTC Swap Contracts | — | — | — | 44,172 | ||||||||||||
| Dividends and Interest Receivable | 8,166 | 32,002 | 95,414 | 28,450 | ||||||||||||
| Reclaim Receivable | — | 8,891 | — | — | ||||||||||||
| Due from Investment Advisor | 5,859 | — | — | 12,772 | ||||||||||||
| Prepaid CCO Fees | 37 | 524 | 818 | 81 | ||||||||||||
| Prepaid Organizational Fees | — | — | — | 1,794 | ||||||||||||
| Prepaid Expenses | 5 | 206 | — | — | ||||||||||||
| Total Assets | 4,378,403 | 42,544,873 | 26,383,693 | 7,097,875 | ||||||||||||
| LIABILITIES | ||||||||||||||||
| Cash collateral for securities on loan(b) | 134,900 | 57,580 | — | — | ||||||||||||
| Advisory Fees Payable | — | 17,604 | 11,626 | — | ||||||||||||
| Trustee Fees Payable | 2,080 | 1,502 | 1,951 | 1,333 | ||||||||||||
| Due to Broker | — | — | — | 13,886 | ||||||||||||
| Accrued Expenses | 55,408 | 87,356 | 50,058 | 50,444 | ||||||||||||
| Total Liabilities | 192,388 | 164,042 | 63,635 | 65,663 | ||||||||||||
| NET ASSETS | $ | 4,186,015 | $ | 42,380,831 | $ | 26,320,058 | $ | 7,032,212 | ||||||||
| COMPONENTS OF NET ASSETS | ||||||||||||||||
| Capital Stock at Zero Par Value | $ | 5,285,303 | $ | 66,052,653 | $ | 28,337,292 | $ | 18,405,192 | ||||||||
| Total Distributable Earnings/Accumulated (Loss) | (1,099,288 | ) | (23,671,822 | ) | (2,017,234 | ) | (11,372,980 | ) | ||||||||
| NET ASSETS | $ | 4,186,015 | $ | 42,380,831 | $ | 26,320,058 | $ | 7,032,212 | ||||||||
| SHARES ISSUED AND OUTSTANDING | ||||||||||||||||
| Shares Outstanding (Unlimited Shares Authorized) | 165,000 | 445,000 | 1,145,000 | 2,180,000 | ||||||||||||
| Net Asset Value (NAV) Per Share | $ | 25.37 | $ | 95.24 | $ | 22.99 | $ | 3.23 | ||||||||
| (a) Market value of securities on loan | $ | 133,855 | $ | 1,781,420 | $ | — | $ | — | ||||||||
| (b) Non-cash collateral for securities on loan | $ | — | $ | 1,742,752 | $ | — | $ | — | ||||||||
| (1) | Formerly known as AdvisorShares DoubleLine Value Equity ETF. |
See accompanying Notes to Financial Statements.
119
ADVISORSHARES TRUST
Statements of Assets and Liabilities
June 30, 2023
| AdvisorShares Newfleet Multi- Sector Income ETF |
AdvisorShares Poseidon Dynamic Cannabis ETF |
AdvisorShares Psychedelics ETF |
AdvisorShares Pure Cannabis ETF |
|||||||||||||
| ASSETS | ||||||||||||||||
| Investments, at Cost | $ | 19,149,397 | $ | 1,332,896 | $ | 11,063,879 | $ | 104,113,679 | ||||||||
| Investments in Affiliates, at Cost (Note 8) | — | — | — | 67,702,302 | ||||||||||||
| Total Cost of Investments | 19,149,397 | 1,332,896 | 11,063,879 | 171,815,981 | ||||||||||||
| Investments, at Market Value (including securities on loan) (Note 2)(a) | 18,150,641 | 1,233,442 | 7,620,807 | 16,282,588 | ||||||||||||
| Investments in Affiliates, at Market Value (Note 8) | — | — | — | 19,211,102 | ||||||||||||
| Total Market Value of Investments | 18,150,641 | 1,233,442 | 7,620,807 | 35,493,690 | ||||||||||||
| Cash collateral held at brokers | — | 1,902,470 | — | — | ||||||||||||
| Dividends and Interest Receivable | 81,646 | 4,203 | 11,807 | 77,313 | ||||||||||||
| Due from Investment Advisor | 3,449 | 10,607 | 11,906 | 40,669 | ||||||||||||
| Prepaid CCO Fees | 12 | 41 | 70 | 474 | ||||||||||||
| Prepaid Organizational Fees | — | 551 | — | — | ||||||||||||
| Prepaid Expenses | 523 | 5 | 5 | 14,355 | ||||||||||||
| Total Assets | 18,236,271 | 3,151,319 | 7,644,595 | 35,626,501 | ||||||||||||
| LIABILITIES | ||||||||||||||||
| Unrealized Depreciation on OTC Swap Contracts | — | 14,379 | — | — | ||||||||||||
| Cash collateral for securities on loan(b) | 617,967 | — | 704,803 | 1,560,210 | ||||||||||||
| Trustee Fees Payable | 2,549 | 1,335 | 2,053 | 1,383 | ||||||||||||
| Due to Broker | — | 102,441 | — | — | ||||||||||||
| Accrued Expenses | 138,638 | 28,958 | 44,222 | 42,926 | ||||||||||||
| Total Liabilities | 759,154 | 147,113 | 751,078 | 1,604,519 | ||||||||||||
| NET ASSETS | $ | 17,477,117 | $ | 3,004,206 | $ | 6,893,517 | $ | 34,021,982 | ||||||||
| COMPONENTS OF NET ASSETS | ||||||||||||||||
| Capital Stock at Zero Par Value | $ | 32,068,237 | $ | 14,762,218 | $ | 18,344,138 | $ | 310,415,590 | ||||||||
| Total Distributable Earnings/Accumulated (Loss) | (14,591,120 | ) | (11,758,012 | ) | (11,450,621 | ) | (276,393,608 | ) | ||||||||
| NET ASSETS | $ | 17,477,117 | $ | 3,004,206 | $ | 6,893,517 | $ | 34,021,982 | ||||||||
| SHARES ISSUED AND OUTSTANDING | ||||||||||||||||
| Shares Outstanding (Unlimited Shares Authorized) | 390,000 | 2,690,000 | 3,745,000 | 13,160,000 | ||||||||||||
| Net Asset Value (NAV) Per Share | $ | 44.81 | $ | 1.12 | $ | 1.84 | $ | 2.59 | ||||||||
| (a) Market value of securities on loan | $ | 1,739,153 | $ | — | $ | 708,694 | $ | 1,402,404 | ||||||||
| (b) Non-cash collateral for securities on loan | $ | 1,158,152 | $ | — | $ | — | $ | — | ||||||||
See accompanying Notes to Financial Statements.
120
ADVISORSHARES TRUST
Statements of Assets and Liabilities
June 30, 2023
|
AdvisorShares |
AdvisorShares Growth ETF |
AdvisorShares |
AdvisorShares |
|||||||||||||
| ASSETS | ||||||||||||||||
| Investments, at Cost | $ | 65,097,317 | $ | 27,832,079 | $ | 140,668,025 | $ | 2,364,129 | ||||||||
| Investments in Affiliates, at Cost (Note 8) | 14,307,020 | — | — | — | ||||||||||||
| Total Cost of Investments | 79,404,337 | 27,832,079 | 140,668,025 | 2,364,129 | ||||||||||||
| Investments, at Market Value (including securities on loan) (Note 2)(a) | 47,980,303 | 28,421,622 | 140,668,025 | 2,707,937 | ||||||||||||
| Investments in Affiliates, at Market Value (Note 8) | 1,065,242 | — | — | — | ||||||||||||
| Total Market Value of Investments | 49,045,545 | 28,421,622 | 140,668,025 | 2,707,937 | ||||||||||||
| Cash collateral held at brokers | 298,970,000 | — | 122,696,175 | — | ||||||||||||
| Unrealized Appreciation on OTC Swap Contracts | 8,683 | — | — | — | ||||||||||||
| Dividends and Interest Receivable | 202,416 | 17,865 | 939,893 | 2,151 | ||||||||||||
| Receivable from Securities Sold | — | — | 5,200,046 | 14,324 | ||||||||||||
| Capital Shares Receivable | 1,102,284 | — | — | — | ||||||||||||
| Reclaim Receivable | — | — | — | 76 | ||||||||||||
| Due from Investment Advisor | — | — | — | 6,928 | ||||||||||||
| Prepaid CCO Fees | 4,348 | 317 | 1,924 | 40 | ||||||||||||
| Prepaid Expenses | 4,814 | 2,157 | 1,241 | 6 | ||||||||||||
| Total Assets | 349,338,090 | 28,441,961 | 269,507,304 | 2,731,462 | ||||||||||||
| LIABILITIES | ||||||||||||||||
| Unrealized Depreciation on OTC Swap Contracts | 1,689,144 | — | — | — | ||||||||||||
| Cash collateral for securities on loan | — | — | — | 24,505 | ||||||||||||
| Advisory Fees Payable | 163,204 | 22,503 | 162,470 | — | ||||||||||||
| Trustee Fees Payable | 3,473 | 1,458 | 2,000 | 2,079 | ||||||||||||
| Securities Sold, Not Yet Purchased(b) | — | — | 134,234,070 | — | ||||||||||||
| Payable for Securities Purchased | 3,488 | — | 6,286,978 | 48,598 | ||||||||||||
| Capital Shares Payable | — | — | 5,767,378 | — | ||||||||||||
| Due to Custodian – Foreign Currency | 30 | — | — | — | ||||||||||||
| Due to Broker | 3,746,118 | — | — | — | ||||||||||||
| Dividend Payable on Securities Sold, Not Yet Purchased | — | — | 307,411 | — | ||||||||||||
| Accrued Expenses | 347,486 | 69,206 | 114,828 | 56,600 | ||||||||||||
| Total Liabilities | 5,952,943 | 93,167 | 146,875,135 | 131,782 | ||||||||||||
| NET ASSETS | $ | 343,385,147 | $ | 28,348,794 | $ | 122,632,169 | $ | 2,599,680 | ||||||||
| COMPONENTS OF NET ASSETS | ||||||||||||||||
| Capital Stock at Zero Par Value | $ | 1,929,357,566 | $ | 33,276,849 | $ | 513,606,276 | $ | 3,345,550 | ||||||||
| Total Distributable Earnings/Accumulated (Loss) | (1,585,972,419 | ) | (4,928,055 | ) | (390,974,107 | ) | (745,870 | ) | ||||||||
| NET ASSETS | $ | 343,385,147 | $ | 28,348,794 | $ | 122,632,169 | $ | 2,599,680 | ||||||||
| SHARES ISSUED AND OUTSTANDING | ||||||||||||||||
| Shares Outstanding (Unlimited Shares Authorized) | 62,665,000 | 995,000 | 5,422,500 | 120,000 | ||||||||||||
| Net Asset Value (NAV) Per Share | $ | 5.48 | $ | 28.49 | $ | 22.62 | $ | 21.66 | ||||||||
| (a) Market value of securities on loan | $ | — | $ | — | $ | — | $ | 24,040 | ||||||||
| (b) Proceeds Received from Securities Sold, Not Yet Purchased | $ | — | $ | — | $ | 125,899,483 | $ | — | ||||||||
See accompanying Notes to Financial Statements.
121
ADVISORSHARES TRUST
Statements of Assets and Liabilities
June 30, 2023
|
AdvisorShares |
AdvisorShares |
|||||||
| ASSETS | ||||||||
| Investments, at Cost | $ | 55,637,008 | $ | 9,053,661 | ||||
| Total Cost of Investments | 55,637,008 | 9,053,661 | ||||||
| Investments, at Market Value (including securities on loan) (Note 2)(a) | 56,754,177 | 9,900,722 | ||||||
| Total Market Value of Investments | 56,754,177 | 9,900,722 | ||||||
| Dividends and Interest Receivable | 91,320 | 18,345 | ||||||
| Reclaim Receivable | — | 2,222 | ||||||
| Due from Investment Advisor | — | 1,464 | ||||||
| Prepaid CCO Fees | 682 | 122 | ||||||
| Prepaid Expenses | 229 | 61 | ||||||
| Total Assets | 56,846,408 | 9,922,936 | ||||||
| LIABILITIES | ||||||||
| Cash collateral for securities on loan(b) | 2,962,076 | 63,503 | ||||||
| Advisory Fees Payable | 36,376 | — | ||||||
| Trustee Fees Payable | 1,473 | 1,352 | ||||||
| Options Written, at value(c) | 19,598 | — | ||||||
| Due to Broker | 18,594 | — | ||||||
| Accrued Expenses | 83,722 | 76,174 | ||||||
| Total Liabilities | 3,121,839 | 141,029 | ||||||
| NET ASSETS | $ | 53,724,569 | $ | 9,781,907 | ||||
| COMPONENTS OF NET ASSETS | ||||||||
| Capital Stock at Zero Par Value | $ | 53,978,383 | $ | 10,079,128 | ||||
| Total Distributable Earnings/Accumulated (Loss) | (253,814 | ) | (297,221 | ) | ||||
| NET ASSETS | $ | 53,724,569 | $ | 9,781,907 | ||||
| SHARES ISSUED AND OUTSTANDING | ||||||||
| Shares Outstanding (Unlimited Shares Authorized) | 1,430,000 | 340,000 | ||||||
| Net Asset Value (NAV) Per Share | $ | 37.57 | $ | 28.77 | ||||
| (a) Market value of securities on loan | $ | 13,435,307 | $ | 508,824 | ||||
| (b) Non-cash collateral for securities on loan | $ | 10,601,653 | $ | 461,439 | ||||
| (c) Premiums received for options written | $ | 21,581 | $ | — | ||||
See accompanying Notes to Financial Statements.
122
Statements of Operations
Year Ended June 30, 2023
| AdvisorShares Alpha DNA Equity Sentiment ETF |
AdvisorShares Dorsey Wright ADR ETF |
AdvisorShares Dorsey Wright FSM All Cap World ETF |
AdvisorShares Dorsey Wright FSM US Core ETF |
|||||||||||||
| INVESTMENT INCOME: | ||||||||||||||||
| Dividend Income | $ | 735,408 | $ | 1,278,920 | $ | 2,357,168 | $ | 1,438,641 | ||||||||
| Securities lending income (net) (Note 2) | 14,245 | 64,656 | 146,007 | 113,533 | ||||||||||||
| Foreign withholding tax | (1,285 | ) | (90,112 | ) | — | — | ||||||||||
| Total Investment Income | 748,368 | 1,253,464 | 2,503,175 | 1,552,174 | ||||||||||||
| EXPENSES: | ||||||||||||||||
| Advisory Fees | 342,237 | 259,518 | 658,982 | 604,756 | ||||||||||||
| Accounting & Administration Fees | 58,282 | 70,707 | 75,523 | 72,033 | ||||||||||||
| Audit & Tax Fees | 24,868 | 18,767 | 20,050 | 20,050 | ||||||||||||
| Legal Fees | 9,947 | 6,813 | 18,011 | 17,804 | ||||||||||||
| Exchange Listing Fees | 8,245 | 4,966 | 3,865 | 3,656 | ||||||||||||
| Custody Fees | 12,874 | 4,525 | 8,616 | 7,829 | ||||||||||||
| Report to Shareholders | 10,126 | 8,217 | 20,123 | 21,030 | ||||||||||||
| Trustee Fees | 6,772 | 6,647 | 7,436 | 7,396 | ||||||||||||
| CCO Fees | 6,088 | 4,606 | 11,197 | 10,222 | ||||||||||||
| Pricing Fees | — | — | 3,499 | 4,018 | ||||||||||||
| Transfer Agent Fees | 3,378 | 2,596 | 6,591 | 6,048 | ||||||||||||
| Insurance Fees | 1,977 | 1,439 | 3,396 | 2,984 | ||||||||||||
| Registration Fees | — | — | — | 14 | ||||||||||||
| Miscellaneous Fees | 3,472 | 10,228 | 4,068 | 4,995 | ||||||||||||
| Total Expenses | 488,266 | 399,029 | 841,357 | 782,835 | ||||||||||||
| Advisory Fees Waived/Recoupment | (609 | ) | (18,402 | ) | 17,600 | 6,546 | ||||||||||
| Net Expenses | 487,657 | 380,627 | 858,957 | 789,381 | ||||||||||||
| Net Investment Income (Loss) | 260,711 | 872,837 | 1,644,218 | 762,793 | ||||||||||||
| REALIZED AND UNREALIZED GAIN (LOSS) ON: | ||||||||||||||||
| Net Realized Gain (Loss) on: | ||||||||||||||||
| Investments | (519,124 | ) | (4,495,990 | ) | (8,665,473 | ) | (1,883,422 | ) | ||||||||
| In-Kind Redemptions | 2,748,091 | 850,492 | (130,513 | ) | (5,986 | ) | ||||||||||
| Options Written | (3,133,950 | ) | — | — | — | |||||||||||
| Net Change in Unrealized Appreciation (Depreciation) on: | ||||||||||||||||
| Investments | 7,263,967 | 4,298,903 | 10,656,650 | 13,180,154 | ||||||||||||
| Net Realized and Unrealized Gain (Loss) | 6,358,984 | 653,405 | 1,860,664 | 11,290,746 | ||||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 6,619,695 | $ | 1,526,242 | $ | 3,504,882 | $ | 12,053,539 | ||||||||
See accompanying Notes to Financial Statements.
123
ADVISORSHARES TRUST
Statements of Operations
Year Ended June 30, 2023
AdvisorShares Dorsey Wright Short ETF |
AdvisorShares Dorsey Wright Small Company ETF(1) |
AdvisorShares Focused Equity ETF |
AdvisorShares Gerber Kawasaki ETF |
|||||||||||||
| INVESTMENT INCOME: | ||||||||||||||||
| Dividend Income | $ | 1,382,303 | $ | 118,187 | $ | 492,083 | $ | 191,113 | ||||||||
| Dividend Income from Affiliates | 189,718 | — | — | — | ||||||||||||
| Interest Income | 806,857 | — | — | — | ||||||||||||
| Securities lending income (net) (Note 2) | — | 8,965 | 301 | 91,513 | ||||||||||||
| Foreign withholding tax | 302 | (930 | ) | — | (16,282 | ) | ||||||||||
| Total Investment Income | 2,379,180 | 126,222 | 492,384 | 266,344 | ||||||||||||
| EXPENSES: | ||||||||||||||||
| Advisory Fees | 279,374 | 40,927 | 328,863 | 120,118 | ||||||||||||
| Accounting & Administration Fees | 70,682 | 74,490 | 67,249 | 41,828 | ||||||||||||
| Audit & Tax Fees | 16,050 | 20,050 | 19,048 | 20,050 | ||||||||||||
| Legal Fees | 707 | 7,334 | 7,342 | 3,737 | ||||||||||||
| Exchange Listing Fees | 4,093 | 2,461 | 8,245 | 3,647 | ||||||||||||
| Custody Fees | 5,050 | 4,408 | 4,032 | 3,495 | ||||||||||||
| Report to Shareholders | 15,024 | 3,850 | 15,684 | 8,923 | ||||||||||||
| Trustee Fees | 6,727 | 6,009 | 5,884 | 5,523 | ||||||||||||
| CCO Fees | 2,941 | 751 | 4,420 | 1,884 | ||||||||||||
| Transfer Agent Fees | 2,794 | 409 | 2,919 | 1,201 | ||||||||||||
| Insurance Fees | 1,863 | 101 | 1,064 | 215 | ||||||||||||
| Registration Fees | 1,146 | 40 | 178 | 1,963 | ||||||||||||
| Dividend Expense | 542,782 | — | — | — | ||||||||||||
| Miscellaneous Fees | 6,119 | 1,110 | 1,391 | 931 | ||||||||||||
| Total Expenses | 955,352 | 161,940 | 466,319 | 213,515 | ||||||||||||
| Advisory Fees Waived/Recoupment | 17,978 | (40,927 | ) | (137,790 | ) | (93,397 | ) | |||||||||
| Expense Reimbursement | — | (52,800 | ) | — | — | |||||||||||
| Net Expenses | 973,330 | 68,213 | 328,529 | 120,118 | ||||||||||||
| Net Investment Income (Loss) | 1,405,850 | 58,009 | 163,855 | 146,226 | ||||||||||||
| REALIZED AND UNREALIZED GAIN (LOSS) ON: | ||||||||||||||||
| Net Realized Gain (Loss) on: | ||||||||||||||||
| Investments | (912 | ) | (960,171 | ) | (490,559 | ) | (4,556,488 | ) | ||||||||
| Investments in Affiliates | (88,488 | ) | — | — | — | |||||||||||
| In-Kind Redemptions | — | 164,056 | 2,230,105 | 167,998 | ||||||||||||
| Short Sales | (6,012,369 | ) | — | — | — | |||||||||||
| Net Change in Unrealized Appreciation (Depreciation) on: | ||||||||||||||||
| Investments | — | 975,284 | 7,913,050 | 6,071,863 | ||||||||||||
| Investments in Affiliates | 124,980 | — | — | — | ||||||||||||
| Short Sales | (5,050,776 | ) | — | — | — | |||||||||||
| Net Realized and Unrealized Gain (Loss) | (11,027,565 | ) | 179,169 | 9,652,596 | 1,683,373 | |||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | (9,621,715 | ) | $ | 237,178 | $ | 9,816,451 | $ | 1,829,599 | |||||||
| (1) | Formerly known as AdvisorShares Dorsey Wright Micro-Cap ETF. |
See accompanying Notes to Financial Statements.
124
ADVISORSHARES TRUST
Statements of Operations
Year Ended June 30, 2023
AdvisorShares Hotel ETF |
AdvisorShares Insider Advantage ETF |
AdvisorShares Let Bob AI Powered Momentum ETF |
AdvisorShares MSOS 2X Daily ETF(1) |
|||||||||||||
| INVESTMENT INCOME: | ||||||||||||||||
| Dividend Income | $ | 95,257 | $ | 1,063,566 | $ | 893,500 | $ | 171,588 | ||||||||
| Securities lending income (net) (Note 2) | 861 | 7,545 | 26 | — | ||||||||||||
| Total Investment Income | 96,118 | 1,071,111 | 893,526 | 171,588 | ||||||||||||
| EXPENSES: | ||||||||||||||||
| Advisory Fees | 30,270 | 311,017 | 179,355 | 33,234 | ||||||||||||
| Accounting & Administration Fees | 44,200 | 76,166 | 26,684 | 12,374 | ||||||||||||
| Audit & Tax Fees | 26,050 | 19,300 | 22,955 | 34,125 | ||||||||||||
| Legal Fees | 1,190 | 14,582 | 6,993 | 43,968 | ||||||||||||
| Exchange Listing Fees | 8,245 | 10,568 | 8,268 | 11,277 | ||||||||||||
| Custody Fees | 1,859 | 4,618 | 4,480 | 2,315 | ||||||||||||
| Report to Shareholders | 1,365 | 11,575 | 6,766 | 2,691 | ||||||||||||
| Trustee Fees | 5,989 | 6,266 | 6,300 | 5,215 | ||||||||||||
| CCO Fees | 403 | 5,714 | 2,404 | 403 | ||||||||||||
| Transfer Agent Fees | 378 | 3,333 | 1,922 | 299 | ||||||||||||
| Insurance Fees | 67 | 1,871 | 275 | 1,675 | ||||||||||||
| Registration Fees | — | 236 | 1,979 | — | ||||||||||||
| Organizational Fees | — | — | 11,316 | 29,822 | ||||||||||||
| Miscellaneous Fees | 884 | 2,067 | 1,384 | 259 | ||||||||||||
| Total Expenses | 120,900 | 467,313 | 281,081 | 177,657 | ||||||||||||
| Advisory Fees Waived/Recoupment | (30,270 | ) | (67,433 | ) | (27,421 | ) | (33,234 | ) | ||||||||
| Expense Reimbursement | (40,685 | ) | — | — | (107,351 | ) | ||||||||||
| Net Expenses | 49,945 | 399,880 | 253,660 | 37,072 | ||||||||||||
| Net Investment Income (Loss) | 46,173 | 671,231 | 639,866 | 134,516 | ||||||||||||
| REALIZED AND UNREALIZED GAIN (LOSS) ON: | ||||||||||||||||
| Net Realized Gain (Loss) on: | ||||||||||||||||
| Investments | (1,117,652 | ) | (4,780,155 | ) | (785,010 | ) | — | |||||||||
| In-Kind Redemptions | 435,202 | 6,362,845 | — | — | ||||||||||||
| Swaps | — | — | — | (11,579,539 | ) | |||||||||||
| Net Change in Unrealized Appreciation (Depreciation) on: | ||||||||||||||||
| Investments | 1,885,589 | 2,929,681 | 44,275 | — | ||||||||||||
| Swaps | — | — | — | 44,172 | ||||||||||||
| Net Realized and Unrealized Gain (Loss) | 1,203,139 | 4,512,371 | (740,735 | ) | (11,535,367 | ) | ||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 1,249,312 | $ | 5,183,602 | $ | (100,869 | ) | $ | (11,400,851 | ) | ||||||
| (1) | Represents the period August 24, 2022 (commencement of operations) to June 30, 2023. |
See accompanying Notes to Financial Statements.
125
ADVISORSHARES TRUST
Statements of Operations
Year Ended June 30, 2023
| AdvisorShares Newfleet Multi- Sector Income ETF |
AdvisorShares Poseidon Dynamic Cannabis ETF |
AdvisorShares Psychedelics ETF |
AdvisorShares Pure Cannabis ETF |
|||||||||||||
| INVESTMENT INCOME: | ||||||||||||||||
| Dividend Income | $ | 24,632 | $ | 109,469 | $ | 149,557 | $ | 354,119 | ||||||||
| Interest Income | 1,165,421 | — | — | — | ||||||||||||
| Securities lending income (net) (Note 2) | 6,074 | 2,780 | 78,859 | 414,983 | ||||||||||||
| Total Investment Income | 1,196,127 | 112,249 | 228,416 | 769,102 | ||||||||||||
| EXPENSES: | ||||||||||||||||
| Advisory Fees | 185,949 | 32,334 | 41,793 | 332,221 | ||||||||||||
| Accounting & Administration Fees | 123,372 | 20,441 | 27,378 | 70,712 | ||||||||||||
| Audit & Tax Fees | 20,100 | 15,050 | 20,050 | 15,152 | ||||||||||||
| Legal Fees | 26,597 | 17,155 | 76,746 | 8,591 | ||||||||||||
| Exchange Listing Fees | 8,245 | 8,245 | 8,245 | 7,719 | ||||||||||||
| Custody Fees | 16,493 | 1,693 | 4,134 | 5,440 | ||||||||||||
| Report to Shareholders | 13,414 | 1,229 | 15,805 | 111,332 | ||||||||||||
| Trustee Fees | 7,289 | 5,222 | 5,993 | 6,679 | ||||||||||||
| CCO Fees | 6,462 | 266 | 806 | 7,342 | ||||||||||||
| Pricing Fees | 459 | — | — | — | ||||||||||||
| Transfer Agent Fees | 2,790 | 303 | 522 | 4,152 | ||||||||||||
| Insurance Fees | 3,117 | 74 | 67 | 3,631 | ||||||||||||
| Registration Fees | — | 1,012 | 1,071 | — | ||||||||||||
| Organizational Fees | — | 25,368 | 6,164 | — | ||||||||||||
| Miscellaneous Fees | 2,555 | 515 | 682 | 2,898 | ||||||||||||
| Total Expenses | 416,842 | 128,907 | 209,456 | 575,869 | ||||||||||||
| Advisory Fees Waived/Recoupment | (137,918 | ) | (32,334 | ) | (41,793 | ) | (293,853 | ) | ||||||||
| Expense Reimbursement | — | (56,560 | ) | (98,705 | ) | — | ||||||||||
| Net Expenses | 278,924 | 40,013 | 68,958 | 282,016 | ||||||||||||
| Net Investment Income (Loss) | 917,203 | 72,236 | 159,458 | 487,086 | ||||||||||||
| REALIZED AND UNREALIZED GAIN (LOSS) ON: | ||||||||||||||||
| Net Realized Gain (Loss) on: | ||||||||||||||||
| Investments | (4,971,322 | ) | (426,849 | ) | (5,950,191 | ) | (31,423,399 | ) | ||||||||
| Investments in Affiliates | — | — | — | (28,986,945 | ) | |||||||||||
| In-Kind Redemptions | — | — | — | (139,344 | ) | |||||||||||
| In-Kind Redemptions in Affiliates | — | — | — | 62,923 | ||||||||||||
| Swaps | — | (2,726,358 | ) | (578,930 | ) | (23,853,312 | ) | |||||||||
| Foreign Currency Transactions | — | — | — | (13,027 | ) | |||||||||||
| Net Change in Unrealized Appreciation (Depreciation) on: | ||||||||||||||||
| Investments | 4,189,853 | 36,678 | 3,077,838 | (6,863,749 | ) | |||||||||||
| Investments in Affiliates | — | — | — | 32,792,285 | ||||||||||||
| Swaps | — | (2,817 | ) | 493,154 | 21,822,874 | |||||||||||
| Foreign Currency Translations | — | — | — | 875 | ||||||||||||
| Net Realized and Unrealized Gain (Loss) | (781,469 | ) | (3,119,346 | ) | (2,958,129 | ) | (36,600,819 | ) | ||||||||
| NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 135,734 | $ | (3,047,110 | ) | $ | (2,798,671 | ) | $ | (36,113,733 | ) | |||||
See accompanying Notes to Financial Statements.
126
ADVISORSHARES TRUST
Statements of Operations
Year Ended June 30, 2023
| AdvisorShares Pure US Cannabis ETF |
AdvisorShares Q Dynamic Growth ETF |
AdvisorShares Ranger Equity Bear ETF |
AdvisorShares Restaurant ETF |
|||||||||||||
| INVESTMENT INCOME: | ||||||||||||||||
| Dividend Income | $ | 8,568,831 | $ | 258,248 | $ | 2,156,691 | $ | 47,277 | ||||||||
| Dividend Income from Affiliates | — | — | 379,436 | — | ||||||||||||
| Interest Income | — | — | 5,829,768 | — | ||||||||||||
| Securities lending income (net) (Note 2) | 4,617 | 13,776 | — | 10,218 | ||||||||||||
| Foreign withholding tax | — | — | — | (570 | ) | |||||||||||
| Total Investment Income | 8,573,448 | 272,024 | 8,365,895 | 56,925 | ||||||||||||
| EXPENSES: | ||||||||||||||||
| Advisory Fees | 3,024,716 | 285,715 | 2,188,224 | 15,580 | ||||||||||||
| Accounting & Administration Fees | 248,463 | 51,221 | 77,230 | 44,087 | ||||||||||||
| Audit & Tax Fees | 31,053 | 25,829 | 19,300 | 25,453 | ||||||||||||
| Legal Fees | 94,478 | 7,332 | 40,290 | 266 | ||||||||||||
| Exchange Listing Fees | 8,685 | 8,245 | 8,245 | 8,245 | ||||||||||||
| Custody Fees | 41,591 | 3,851 | 13,647 | 1,331 | ||||||||||||
| Report to Shareholders | 189,452 | 9,701 | 57,545 | 964 | ||||||||||||
| Trustee Fees | 17,382 | 5,975 | 9,038 | 5,766 | ||||||||||||
| CCO Fees | 67,778 | 3,751 | 18,618 | 388 | ||||||||||||
| Pricing Fees | — | — | 3,977 | — | ||||||||||||
| Transfer Agent Fees | 37,813 | 2,324 | 10,940 | 195 | ||||||||||||
| Insurance Fees | 22,824 | 1,579 | 5,736 | 34 | ||||||||||||
| Registration Fees | 58,515 | — | — | — | ||||||||||||
| Dividend Expense | — | — | 2,486,108 | — | ||||||||||||
| Miscellaneous Fees | 23,933 | 1,632 | 12,699 | 573 | ||||||||||||
| Total Expenses | 3,866,683 | 407,155 | 4,951,597 | 102,882 | ||||||||||||
| Advisory Fees Waived/Recoupment | (136,205 | ) | 1,010 | — | (15,580 | ) | ||||||||||
| Expense Reimbursement | — | — | — | (61,594 | ) | |||||||||||
| Net Expenses | 3,730,478 | 408,165 | 4,951,597 | 25,708 | ||||||||||||
| Net Investment Income (Loss) | 4,842,970 | (136,141 | ) | 3,414,298 | 31,217 | |||||||||||
| REALIZED AND UNREALIZED GAIN (LOSS) ON: | ||||||||||||||||
| Net Realized Gain (Loss) on: | ||||||||||||||||
| Investments | (73,722,270 | ) | (576,349 | ) | (8 | ) | (251,002 | ) | ||||||||
| Investments in Affiliates | (58,245,383 | ) | — | (337,016 | ) | — | ||||||||||
| In-Kind Redemptions | (134,479 | ) | (3,026,409 | ) | — | (2,344 | ) | |||||||||
| In-Kind Redemptions in Affiliates | (215,310 | ) | — | — | — | |||||||||||
| Swaps | (734,588,984 | ) | — | — | — | |||||||||||
| Short Sales | — | — | (41,128,173 | ) | — | |||||||||||
| Foreign Currency Transactions | (105 | ) | — | — | — | |||||||||||
| Net Change in Unrealized Appreciation (Depreciation) on: | ||||||||||||||||
| Investments | 64,577,307 | 10,839,811 | 173,271 | 892,606 | ||||||||||||
| Investments in Affiliates | 55,386,598 | — | 410,000 | — | ||||||||||||
| Short Sales | — | — | (18,891,165 | ) | — | |||||||||||
| Swaps | 385,622,141 | — | — | — | ||||||||||||
| Foreign Currency Translations | (1 | ) | — | — | — | |||||||||||
| Net Realized and Unrealized Gain (Loss) | (361,320,486 | ) | 7,237,053 | (59,773,091 | ) | 639,260 | ||||||||||
| NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | (356,477,516 | ) | $ | 7,100,912 | $ | (56,358,793 | ) | $ | 670,477 | ||||||
See accompanying Notes to Financial Statements.
127
ADVISORSHARES TRUST
Statements of Operations
Year Ended June 30, 2023
| AdvisorShares STAR Global Buy-Write ETF |
AdvisorShares Vice ETF |
|||||||
| INVESTMENT INCOME: | ||||||||
| Dividend Income | $ | 962,807 | $ | 240,043 | ||||
| Securities lending income (net) (Note 2) | 15,416 | 2,618 | ||||||
| Foreign withholding tax | — | (5,443 | ) | |||||
| Total Investment Income | 978,223 | 237,218 | ||||||
| EXPENSES: | ||||||||
| Advisory Fees | 420,266 | 53,958 | ||||||
| Accounting & Administration Fees | 71,038 | 71,917 | ||||||
| Audit & Tax Fees | 20,100 | 20,050 | ||||||
| Legal Fees | 17,889 | 825 | ||||||
| Exchange Listing Fees | 8,245 | 8,245 | ||||||
| Custody Fees | 4,693 | 2,112 | ||||||
| Report to Shareholders | 18,696 | 6,132 | ||||||
| Trustee Fees | 6,205 | 5,348 | ||||||
| CCO Fees | 5,339 | 1,063 | ||||||
| Transfer Agent Fees | 3,272 | 674 | ||||||
| Insurance Fees | 1,343 | 328 | ||||||
| Registration Fees | 1,879 | — | ||||||
| Miscellaneous Fees | 1,904 | 476 | ||||||
| Total Expenses | 580,869 | 171,128 | ||||||
| Advisory Fees Waived/Recoupment | 88,851 | (53,958 | ) | |||||
| Expense Reimbursement | — | (28,140 | ) | |||||
| Net Expenses | 669,720 | 89,030 | ||||||
| Net Investment Income (Loss) | 308,503 | 148,188 | ||||||
| REALIZED AND UNREALIZED GAIN (LOSS) ON: | ||||||||
| Net Realized Gain (Loss) on: | ||||||||
| Investments | (1,150,134 | ) | (678,111 | ) | ||||
| In-Kind Redemptions | — | 135,647 | ||||||
| Options Written | (18,438 | ) | — | |||||
| Net Change in Unrealized Appreciation (Depreciation) on: | ||||||||
| Investments | 5,421,114 | 1,628,296 | ||||||
| Options Written | (26,166 | ) | — | |||||
| Net Realized and Unrealized Gain (Loss) | 4,226,376 | 1,085,832 | ||||||
| NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS | $ | 4,534,879 | $ | 1,234,020 | ||||
See accompanying Notes to Financial Statements.
128
Statements of Changes in Net Assets
| AdvisorShares Alpha DNA Equity Sentiment ETF |
AdvisorShares Dorsey Wright ADR ETF |
|||||||||||||||
| Year ended June 30, 2023 |
Year ended June 30, 2022 |
Year ended June 30, 2023 |
Year ended June 30, 2022 |
|||||||||||||
| INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
| OPERATIONS | ||||||||||||||||
| Net Investment Income (Loss) | $ | 260,711 | $ | (39,604 | ) | $ | 872,837 | $ | 1,811,453 | |||||||
| Net Realized Gain (Loss) | (904,983 | ) | (9,674,922 | ) | (3,645,498 | ) | 1,889,719 | |||||||||
| Net Change in Unrealized Appreciation (Depreciation) | 7,263,967 | (8,507,113 | ) | 4,298,903 | (20,545,915 | ) | ||||||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | 6,619,695 | (18,221,639 | ) | 1,526,242 | (16,844,743 | ) | ||||||||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||||||||||
| Distributions | — | — | (830,502 | ) | (1,200,067 | ) | ||||||||||
| Total Distributions | — | — | (830,502 | ) | (1,200,067 | ) | ||||||||||
| CAPITAL STOCK TRANSACTIONS | ||||||||||||||||
| Proceeds from Shares Issued | 332,860 | 40,215,570 | 3,234,714 | — | ||||||||||||
| Value of Shares Redeemed | (40,524,072 | ) | (41,327,340 | ) | (17,130,470 | ) | (28,853,838 | ) | ||||||||
| Net Increase (Decrease) From Capital Stock Transactions | (40,191,212 | ) | (1,111,770 | ) | (13,895,756 | ) | (28,853,838 | ) | ||||||||
| Net Increase (Decrease) in Net Assets | (33,571,517 | ) | (19,333,409 | ) | (13,200,016 | ) | (46,898,648 | ) | ||||||||
| Net Assets: | ||||||||||||||||
| Beginning of Year/Period | 50,573,332 | 69,906,741 | 41,937,820 | 88,836,468 | ||||||||||||
| End of Year/Period | $ | 17,001,815 | $ | 50,573,332 | $ | 28,737,804 | $ | 41,937,820 | ||||||||
| Changes in Shares Outstanding | ||||||||||||||||
| Shares Outstanding, Beginning of Year/Period | 2,430,000 | 2,535,000 | 865,000 | 1,335,000 | ||||||||||||
| Shares Sold | 15,000 | 1,445,000 | 65,000 | — | ||||||||||||
| Shares Repurchased | (1,740,000 | ) | (1,550,000 | ) | (350,000 | ) | (470,000 | ) | ||||||||
| Shares Outstanding, End of Year/Period | 705,000 | 2,430,000 | 580,000 | 865,000 | ||||||||||||
See accompanying Notes to Financial Statements.
129
ADVISORSHARES TRUST
Statements of Changes in Net Assets
| AdvisorShares Dorsey Wright FSM All Cap World ETF |
AdvisorShares Dorsey Wright FSM US Core ETF |
|||||||||||||||
|
Year ended 2023 |
Year ended June 30, 2022 |
Year ended June 30, 2023 |
Year ended June 30, 2022 |
|||||||||||||
| INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
| OPERATIONS | ||||||||||||||||
| Net Investment Income (Loss) | $ | 1,644,218 | $ | 20,265 | $ | 762,793 | $ | 267,581 | ||||||||
| Net Realized Gain (Loss) | (8,795,986 | ) | (17,005,868 | ) | (1,889,408 | ) | 7,670,452 | |||||||||
| Net Change in Unrealized Appreciation (Depreciation) | 10,656,650 | (2,715,526 | ) | 13,180,154 | (21,632,697 | ) | ||||||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | 3,504,882 | (19,701,129 | ) | 12,053,539 | (13,694,664 | ) | ||||||||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||||||||||
| Distributions | (459,135 | ) | (2,192,696 | ) | (703,469 | ) | (367,102 | ) | ||||||||
| Total Distributions | (459,135 | ) | (2,192,696 | ) | (703,469 | ) | (367,102 | ) | ||||||||
| CAPITAL STOCK TRANSACTIONS | ||||||||||||||||
| Proceeds from Shares Issued | 12,774,890 | 86,954,010 | 5,428,998 | 48,884,270 | ||||||||||||
| Value of Shares Redeemed | (13,823,487 | ) | (136,556,384 | ) | (6,995,099 | ) | (48,707,954 | ) | ||||||||
| Net Increase (Decrease) From Capital Stock Transactions | (1,048,597 | ) | (49,602,374 | ) | (1,566,101 | ) | 176,316 | |||||||||
| Net Increase (Decrease) in Net Assets | 1,997,150 | (71,496,199 | ) | 9,783,969 | (13,885,450 | ) | ||||||||||
| Net Assets: | ||||||||||||||||
| Beginning of Year/Period | 84,176,676 | 155,672,875 | 79,763,528 | 93,648,978 | ||||||||||||
| End of Year/Period | $ | 86,173,826 | $ | 84,176,676 | $ | 89,547,497 | $ | 79,763,528 | ||||||||
| Changes in Shares Outstanding | ||||||||||||||||
| Shares Outstanding, Beginning of Year/Period | 2,775,000 | 4,250,000 | 2,480,000 | 2,525,000 | ||||||||||||
| Shares Sold | 405,000 | 2,270,000 | 160,000 | 1,355,000 | ||||||||||||
| Shares Repurchased | (450,000 | ) | (3,745,000 | ) | (205,000 | ) | (1,400,000 | ) | ||||||||
| Shares Outstanding, End of Year/Period | 2,730,000 | 2,775,000 | 2,435,000 | 2,480,000 | ||||||||||||
See accompanying Notes to Financial Statements.
130
ADVISORSHARES TRUST
Statements of Changes in Net Assets
| AdvisorShares Dorsey Wright Short ETF |
AdvisorShares Dorsey Wright Small Company ETF(1) |
|||||||||||||||
| Year ended June 30, 2023 |
Year ended June 30, 2022 |
Year ended June 30, 2023 |
Year ended June 30, 2022 |
|||||||||||||
| INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
| OPERATIONS | ||||||||||||||||
| Net Investment Income (Loss) | $ | 1,405,850 | $ | (731,788 | ) | $ | 58,009 | $ | 40,920 | |||||||
| Net Realized Gain (Loss) | (6,101,769 | ) | (4,319,311 | ) | (796,115 | ) | 194,942 | |||||||||
| Net Change in Unrealized Appreciation (Depreciation) | (4,925,796 | ) | 11,883,100 | 975,284 | (2,235,824 | ) | ||||||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | (9,621,715 | ) | 6,832,001 | 237,178 | (1,999,962 | ) | ||||||||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||||||||||
| Distributions | — | — | (38,414 | ) | (38,855 | ) | ||||||||||
| Distributions – Return on capital | — | — | — | (9,609 | ) | |||||||||||
| Total Distributions | — | — | (38,414 | ) | (48,464 | ) | ||||||||||
| CAPITAL STOCK TRANSACTIONS | ||||||||||||||||
| Proceeds from Shares Issued | 48,998,000 | 31,836,759 | 645,576 | 6,397,157 | ||||||||||||
| Value of Shares Redeemed | (62,282,952 | ) | (16,833,886 | ) | (3,383,702 | ) | (5,872,501 | ) | ||||||||
| Net Increase (Decrease) From Capital Stock Transactions | (13,284,952 | ) | 15,002,873 | (2,738,126 | ) | 524,656 | ||||||||||
| Net Increase (Decrease) in Net Assets | (22,906,667 | ) | 21,834,874 | (2,539,362 | ) | (1,523,770 | ) | |||||||||
| Net Assets: | ||||||||||||||||
| Beginning of Year/Period | 46,999,259 | 25,164,385 | 7,375,544 | 8,899,314 | ||||||||||||
| End of Year/Period | $ | 24,092,592 | $ | 46,999,259 | $ | 4,836,182 | $ | 7,375,544 | ||||||||
| Changes in Shares Outstanding | ||||||||||||||||
| Shares Outstanding, Beginning of Year/Period | 4,480,000 | 2,930,000 | 245,000 | 235,000 | ||||||||||||
| Shares Sold | 5,110,000 | 3,390,000 | 20,000 | 170,000 | ||||||||||||
| Shares Repurchased | (6,845,000 | ) | (1,840,000 | ) | (115,000 | ) | (160,000 | ) | ||||||||
| Shares Outstanding, End of Year/Period | 2,745,000 | 4,480,000 | 150,000 | 245,000 | ||||||||||||
| (1) | Formerly known as AdvisorShares Dorsey Wright Micro-Cap ETF. |
See accompanying Notes to Financial Statements.
131
ADVISORSHARES TRUST
Statements of Changes in Net Assets
| AdvisorShares Focused Equity ETF |
AdvisorShares Gerber Kawasaki ETF |
|||||||||||||||
| Year ended June 30, 2023 |
Year ended June 30, 2022 |
Year ended 2023 |
For the Period 2022 |
|||||||||||||
| INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
| OPERATIONS | ||||||||||||||||
| Net Investment Income (Loss) | $ | 163,855 | $ | 112,077 | $ | 146,226 | $ | 54,600 | ||||||||
| Net Realized Gain (Loss) | 1,739,546 | 3,192,990 | (4,388,490 | ) | (3,952,421 | ) | ||||||||||
| Net Change in Unrealized Appreciation (Depreciation) | 7,913,050 | (6,401,532 | ) | 6,071,863 | (5,950,914 | ) | ||||||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | 9,816,451 | (3,096,465 | ) | 1,829,599 | (9,848,735 | ) | ||||||||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||||||||||
| Distributions | (155,922 | ) | (52,120 | ) | (185,487 | ) | (9,594 | ) | ||||||||
| Total Distributions | (155,922 | ) | (52,120 | ) | (185,487 | ) | (9,594 | ) | ||||||||
| CAPITAL STOCK TRANSACTIONS | ||||||||||||||||
| Proceeds from Shares Issued | 39,967,140 | 11,183,176 | 3,211,361 | 28,966,567 | ||||||||||||
| Value of Shares Redeemed | (7,723,911 | ) | (8,857,828 | ) | (3,123,864 | ) | (3,262,011 | ) | ||||||||
| Net Increase (Decrease) From Capital Stock Transactions | 32,243,229 | 2,325,348 | 87,497 | 25,704,556 | ||||||||||||
| Net Increase (Decrease) in Net Assets | 41,903,758 | (823,237 | ) | 1,731,609 | 15,846,227 | |||||||||||
| Net Assets: | ||||||||||||||||
| Beginning of Year/Period | 28,097,961 | 28,921,198 | 15,846,227 | — | ||||||||||||
| End of Year/Period | $ | 70,001,719 | $ | 28,097,961 | $ | 17,577,836 | $ | 15,846,227 | ||||||||
| Changes in Shares Outstanding | ||||||||||||||||
| Shares Outstanding, Beginning of Year/Period | 665,000 | 620,000 | 970,000 | — | ||||||||||||
| Shares Sold | 805,000 | 215,000 | 185,000 | 1,125,000 | ||||||||||||
| Shares Repurchased | (165,000 | ) | (170,000 | ) | (175,000 | ) | (155,000 | ) | ||||||||
| Shares Outstanding, End of Year/Period | 1,305,000 | 665,000 | 980,000 | 970,000 | ||||||||||||
| * | Commencement of operations. |
See accompanying Notes to Financial Statements.
132
ADVISORSHARES TRUST
Statements of Changes in Net Assets
| AdvisorShares Hotel ETF | AdvisorShares Insider Advantage ETF | |||||||||||||||
| Year ended June 30, 2023 |
Year ended June 30, 2022 |
Year ended June 30, 2023 |
Year ended June 30, 2022 |
|||||||||||||
| INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
| OPERATIONS | ||||||||||||||||
| Net Investment Income (Loss) | $ | 46,173 | $ | (6,108 | ) | $ | 671,231 | $ | 553,143 | |||||||
| Net Realized Gain (Loss) | (682,450 | ) | 23,624 | 1,582,690 | 5,815,533 | |||||||||||
| Net Change in Unrealized Appreciation (Depreciation) | 1,885,589 | (1,292,991 | ) | 2,929,681 | (10,804,313 | ) | ||||||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | 1,249,312 | (1,275,475 | ) | 5,183,602 | (4,435,637 | ) | ||||||||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||||||||||
| Distributions | (9,873 | ) | (32,154 | ) | (693,692 | ) | (520,610 | ) | ||||||||
| Total Distributions | (9,873 | ) | (32,154 | ) | (693,692 | ) | (520,610 | ) | ||||||||
| CAPITAL STOCK TRANSACTIONS | ||||||||||||||||
| Proceeds from Shares Issued | 515,916 | 5,342,715 | 29,857,485 | 6,473,012 | ||||||||||||
| Value of Shares Redeemed | (3,466,291 | ) | (5,861,734 | ) | (38,344,744 | ) | (3,381,200 | ) | ||||||||
| Net Increase (Decrease) From Capital Stock Transactions | (2,950,375 | ) | (519,019 | ) | (8,487,259 | ) | 3,091,812 | |||||||||
| Net Increase (Decrease) in Net Assets | (1,710,936 | ) | (1,826,648 | ) | (3,997,349 | ) | (1,864,435 | ) | ||||||||
| Net Assets: | ||||||||||||||||
| Beginning of Year/Period | 5,896,951 | 7,723,599 | 46,378,180 | 48,242,615 | ||||||||||||
| End of Year/Period | $ | 4,186,015 | $ | 5,896,951 | $ | 42,380,831 | $ | 46,378,180 | ||||||||
| Changes in Shares Outstanding | ||||||||||||||||
| Shares Outstanding, Beginning of Year/Period | 300,000 | 315,000 | 540,000 | 505,000 | ||||||||||||
| Shares Sold | 20,000 | 220,000 | 345,000 | 70,000 | ||||||||||||
| Shares Repurchased | (155,000 | ) | (235,000 | ) | (440,000 | ) | (35,000 | ) | ||||||||
| Shares Outstanding, End of Year/Period | 165,000 | 300,000 | 445,000 | 540,000 | ||||||||||||
See accompanying Notes to Financial Statements.
133
ADVISORSHARES TRUST
Statements of Changes in Net Assets
| AdvisorShares Let Bob AI Powered Momentum ETF |
AdvisorShares Daily ETF |
|||||||||||
| Year ended June 30, 2023 |
For the period February 9, 2022* to June 30, 2022 |
For the period August 24, 2022* to June 30, 2023 |
||||||||||
| INCREASE (DECREASE) IN NET ASSETS | ||||||||||||
| OPERATIONS | ||||||||||||
| Net Investment Income (Loss) | $ | 639,866 | $ | (36,771 | ) | $ | 134,516 | |||||
| Net Realized Gain (Loss) | (785,010 | ) | (1,625,071 | ) | (11,579,539 | ) | ||||||
| Net Change in Unrealized Appreciation (Depreciation) | 44,275 | (90,393 | ) | 44,172 | ||||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | (100,869 | ) | (1,752,235 | ) | (11,400,851 | ) | ||||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||||||
| Distributions | (164,137 | ) | — | — | ||||||||
| Total Distributions | (164,137 | ) | — | — | ||||||||
| CAPITAL STOCK TRANSACTIONS | ||||||||||||
| Proceeds from Shares Issued | 4,105,874 | 25,935,550 | 18,433,063 | |||||||||
| Value of Shares Redeemed | (1,704,125 | ) | — | — | ||||||||
| Net Increase (Decrease) From Capital Stock Transactions | 2,401,749 | 25,935,550 | 18,433,063 | |||||||||
| Net Increase (Decrease) in Net Assets | 2,136,743 | 24,183,315 | 7,032,212 | |||||||||
| Net Assets: | ||||||||||||
| Beginning of Year/Period | 24,183,315 | — | — | |||||||||
| End of Year/Period | $ | 26,320,058 | $ | 24,183,315 | $ | 7,032,212 | ||||||
| Changes in Shares Outstanding | ||||||||||||
| Shares Outstanding, Beginning of Year/Period | 1,040,000 | — | — | |||||||||
| Shares Sold | 180,000 | 1,040,000 | 2,180,000 | |||||||||
| Shares Repurchased | (75,000 | ) | — | — | ||||||||
| Shares Outstanding, End of Year/Period | 1,145,000 | 1,040,000 | 2,180,000 | |||||||||
| * | Commencement of operations. |
See accompanying Notes to Financial Statements.
134
ADVISORSHARES TRUST
Statements of Changes in Net Assets
| AdvisorShares Newfleet Multi-Sector Income ETF |
AdvisorShares Poseidon Dynamic Cannabis ETF |
|||||||||||||||
| Year ended June 30, 2023 |
Year ended June 30, 2022 |
Year ended June 30, 2023 |
For the period November 17, 2021* to June 30, 2022 |
|||||||||||||
| INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
| OPERATIONS | ||||||||||||||||
| Net Investment Income (Loss) | $ | 917,203 | $ | 1,301,513 | $ | 72,236 | $ | (37,558 | ) | |||||||
| Net Realized Gain (Loss) | (4,971,322 | ) | (606,602 | ) | (3,153,207 | ) | (8,707,938 | ) | ||||||||
| Net Change in Unrealized Appreciation (Depreciation) | 4,189,853 | (5,873,888 | ) | 33,861 | (147,694 | ) | ||||||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | 135,734 | (5,178,977 | ) | (3,047,110 | ) | (8,893,190 | ) | |||||||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||||||||||
| Distributions | (1,018,031 | ) | (1,469,967 | ) | — | — | ||||||||||
| Total Distributions | (1,018,031 | ) | (1,469,967 | ) | — | — | ||||||||||
| CAPITAL STOCK TRANSACTIONS | ||||||||||||||||
| Proceeds from Shares Issued | — | 8,066,264 | 1,694,541 | 13,802,346 | ||||||||||||
| Value of Shares Redeemed | (65,322,186 | ) | (14,694,308 | ) | — | (552,381 | ) | |||||||||
| Net Increase (Decrease) From Capital Stock Transactions | (65,322,186 | ) | (6,628,044 | ) | 1,694,541 | 13,249,965 | ||||||||||
| Net Increase (Decrease) in Net Assets | (66,204,483 | ) | (13,276,988 | ) | (1,352,569 | ) | 4,356,775 | |||||||||
| Net Assets: | ||||||||||||||||
| Beginning of Year/Period | 83,681,600 | 96,958,588 | 4,356,775 | — | ||||||||||||
| End of Year/Period | $ | 17,477,117 | $ | 83,681,600 | $ | 3,004,206 | $ | 4,356,775 | ||||||||
| Changes in Shares Outstanding | ||||||||||||||||
| Shares Outstanding, Beginning of Year/Period | 1,835,000 | 1,985,000 | 1,780,000 | — | ||||||||||||
| Shares Sold | — | 165,000 | 910,000 | 1,995,000 | ||||||||||||
| Shares Repurchased | (1,445,000 | ) | (315,000 | ) | — | (215,000 | ) | |||||||||
| Shares Outstanding, End of Year/Period | 390,000 | 1,835,000 | 2,690,000 | 1,780,000 | ||||||||||||
| * | Commencement of operations. |
See accompanying Notes to Financial Statements.
135
ADVISORSHARES TRUST
Statements of Changes in Net Assets
| AdvisorShares Psychedelics ETF |
AdvisorShares Pure Cannabis ETF |
|||||||||||||||
| Year ended June 30, 2023 |
For the period September 16, 2021* to June 30, 2022 |
Year ended June 30, 2023 |
Year ended June 30, 2022 |
|||||||||||||
| INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
| OPERATIONS | ||||||||||||||||
| Net Investment Income (Loss) | $ | 159,458 | $ | (22,971 | ) | $ | 487,086 | $ | 213,406 | |||||||
| Net Realized Gain (Loss) | (6,529,121 | ) | (1,462,994 | ) | (84,353,104 | ) | (50,275,886 | ) | ||||||||
| Net Change in Unrealized Appreciation (Depreciation) | 3,570,992 | (7,014,064 | ) | 47,752,285 | (177,754,807 | ) | ||||||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | (2,798,671 | ) | (8,500,029 | ) | (36,113,733 | ) | (227,817,287 | ) | ||||||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||||||||||
| Distributions | (160,462 | ) | — | (305,589 | ) | (7,501,781 | ) | |||||||||
| Return of Capital | — | — | — | (252,376 | ) | |||||||||||
| Total Distributions | (160,462 | ) | — | (305,589 | ) | (7,754,157 | ) | |||||||||
| CAPITAL STOCK TRANSACTIONS | ||||||||||||||||
| Proceeds from Shares Issued | 4,343,946 | 14,008,733 | 472,085 | 1,430,696 | ||||||||||||
| Value of Shares Redeemed | — | — | (1,847,333 | ) | (48,450,969 | ) | ||||||||||
| Net Increase (Decrease) From Capital Stock Transactions | 4,343,946 | 14,008,733 | (1,375,248 | ) | (47,020,273 | ) | ||||||||||
| Net Increase (Decrease) in Net Assets | 1,384,813 | 5,508,704 | (37,794,570 | ) | (282,591,717 | ) | ||||||||||
| Net Assets: | ||||||||||||||||
| Beginning of Year/Period | 5,508,704 | — | 71,816,552 | 354,408,269 | ||||||||||||
| End of Year/Period | $ | 6,893,517 | $ | 5,508,704 | $ | 34,021,982 | $ | 71,816,552 | ||||||||
| Changes in Shares Outstanding | ||||||||||||||||
| Shares Outstanding, Beginning of Year/Period | 2,155,000 | — | 13,605,000 | 16,755,000 | ||||||||||||
| Shares Sold | 1,590,000 | 2,155,000 | 80,000 | 210,000 | ||||||||||||
| Shares Repurchased | — | — | (525,000 | ) | (3,360,000 | ) | ||||||||||
| Shares Outstanding, End of Year/Period | 3,745,000 | 2,155,000 | 13,160,000 | 13,605,000 | ||||||||||||
| * | Commencement of operations. |
See accompanying Notes to Financial Statements.
136
ADVISORSHARES TRUST
Statements of Changes in Net Assets
| AdvisorShares Pure US Cannabis ETF |
AdvisorShares Q Dynamic Growth ETF |
|||||||||||||||
| Year ended June 30, 2023 |
Year ended 2022 |
Year ended June 30, 2023 |
Year ended June 30, 2022 |
|||||||||||||
| INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
| OPERATIONS | ||||||||||||||||
| Net Investment Income (Loss) | $ | 4,842,970 | $ | (3,686,647 | ) | $ | (136,141 | ) | $ | (474,657 | ) | |||||
| Net Realized Gain (Loss) | (866,906,531 | ) | (722,687,915 | ) | (3,602,758 | ) | (4,864,676 | ) | ||||||||
| Net Change in Unrealized Appreciation (Depreciation) | 505,586,045 | (472,948,355 | ) | 10,839,811 | (15,140,779 | ) | ||||||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | (356,477,516 | ) | (1,199,322,917 | ) | 7,100,912 | (20,480,112 | ) | |||||||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||||||||||
| Distributions | — | (3,055,414 | ) | — | — | |||||||||||
| Total Distributions | — | (3,055,414 | ) | — | — | |||||||||||
| CAPITAL STOCK TRANSACTIONS | ||||||||||||||||
| Proceeds from Shares Issued | 262,950,333 | 968,257,354 | 3,311,679 | 55,320,778 | ||||||||||||
| Value of Shares Redeemed | (77,778,692 | ) | (201,882,496 | ) | (22,362,830 | ) | (63,304,550 | ) | ||||||||
| Net Increase (Decrease) From Capital Stock Transactions | 185,171,641 | 766,374,858 | (19,051,151 | ) | (7,983,772 | ) | ||||||||||
| Net Increase (Decrease) in Net Assets | (171,305,875 | ) | (436,003,473 | ) | (11,950,239 | ) | (28,463,884 | ) | ||||||||
| Net Assets: | ||||||||||||||||
| Beginning of Year/Period | 514,691,022 | 950,694,495 | 40,299,033 | 68,762,917 | ||||||||||||
| End of Year/Period | $ | 343,385,147 | $ | 514,691,022 | $ | 28,348,794 | $ | 40,299,033 | ||||||||
| Changes in Shares Outstanding | ||||||||||||||||
| Shares Outstanding, Beginning of Year/Period | 49,740,000 | 23,640,000 | 1,830,000 | 2,445,000 | ||||||||||||
| Shares Sold | 24,030,000 | 34,520,000 | 135,000 | 1,885,000 | ||||||||||||
| Shares Repurchased | (11,105,000 | ) | (8,420,000 | ) | (970,000 | ) | (2,500,000 | ) | ||||||||
| Shares Outstanding, End of Year/Period | 62,665,000 | 49,740,000 | 995,000 | 1,830,000 | ||||||||||||
See accompanying Notes to Financial Statements.
137
ADVISORSHARES TRUST
Statements of Changes in Net Assets
| AdvisorShares Ranger Equity Bear ETF |
AdvisorShares Restaurant ETF |
|||||||||||||||
| Year ended June 30, 2023 |
Year ended June 30, 2022 |
Year ended June 30, 2023 |
Year ended June 30, 2022 |
|||||||||||||
| INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
| OPERATIONS | ||||||||||||||||
| Net Investment Income (Loss) | $ | 3,414,298 | $ | (3,180,143 | ) | $ | 31,217 | $ | 24,320 | |||||||
| Net Realized Gain (Loss) | (41,465,197 | ) | 26,673,974 | (253,346 | ) | (769,005 | ) | |||||||||
| Net Change in Unrealized Appreciation (Depreciation) | (18,307,894 | ) | 11,102,644 | 892,606 | (517,861 | ) | ||||||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | (56,358,793 | ) | 34,596,475 | 670,477 | (1,262,546 | ) | ||||||||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||||||||||
| Distributions | — | — | (53,627 | ) | (6,358 | ) | ||||||||||
| Total Distributions | — | — | (53,627 | ) | (6,358 | ) | ||||||||||
| CAPITAL STOCK TRANSACTIONS | ||||||||||||||||
| Proceeds from Shares Issued | 193,612,444 | 131,971,269 | — | — | ||||||||||||
| Value of Shares Redeemed | (180,806,225 | ) | (51,038,274 | ) | (648,016 | ) | (2,088,536 | ) | ||||||||
| Net Increase (Decrease) From Capital Stock Transactions | 12,806,219 | 80,932,995 | (648,016 | ) | (2,088,536 | ) | ||||||||||
| Net Increase (Decrease) in Net Assets | (43,552,574 | ) | 115,529,470 | (31,166 | ) | (3,357,440 | ) | |||||||||
| Net Assets: | ||||||||||||||||
| Beginning of Year/Period | 166,184,743 | 50,655,273 | 2,630,846 | 5,988,286 | ||||||||||||
| End of Year/Period | $ | 122,632,169 | $ | 166,184,743 | $ | 2,599,680 | $ | 2,630,846 | ||||||||
| Changes in Shares Outstanding | ||||||||||||||||
| Shares Outstanding, Beginning of Year/Period | 5,217,500 | 2,202,500 | 155,000 | 245,000 | ||||||||||||
| Shares Sold | 6,900,000 | 4,975,000 | — | — | ||||||||||||
| Shares Repurchased | (6,695,000 | ) | (1,960,000 | ) | (35,000 | ) | (90,000 | ) | ||||||||
| Shares Outstanding, End of Year/Period | 5,422,500 | 5,217,500 | 120,000 | 155,000 | ||||||||||||
See accompanying Notes to Financial Statements.
138
ADVISORSHARES TRUST
Statements of Changes in Net Assets
| AdvisorShares STAR Global Buy-Write ETF |
AdvisorShares Vice ETF |
|||||||||||||||
| Year ended June 30, 2023 |
Year ended June 30, 2022 |
Year ended June 30, 2023 |
Year ended June 30, 2022 |
|||||||||||||
| INCREASE (DECREASE) IN NET ASSETS | ||||||||||||||||
| OPERATIONS | ||||||||||||||||
| Net Investment Income (Loss) | $ | 308,503 | $ | 94,014 | $ | 148,188 | $ | 66,995 | ||||||||
| Net Realized Gain (Loss) | (1,168,572 | ) | 520,125 | (542,464 | ) | (126,093 | ) | |||||||||
| Net Change in Unrealized Appreciation (Depreciation) | 5,394,948 | (5,826,783 | ) | 1,628,296 | (3,846,483 | ) | ||||||||||
| Net Increase (Decrease) In Net Assets Resulting From Operations | 4,534,879 | (5,212,644 | ) | 1,234,020 | (3,905,581 | ) | ||||||||||
| DISTRIBUTIONS TO SHAREHOLDERS | ||||||||||||||||
| Distributions | (717,637 | ) | (166,381 | ) | (80,580 | ) | (118,472 | ) | ||||||||
| Total Distributions | (717,637 | ) | (166,381 | ) | (80,580 | ) | (118,472 | ) | ||||||||
| CAPITAL STOCK TRANSACTIONS | ||||||||||||||||
| Proceeds from Shares Issued | 12,360,292 | 25,014,673 | 854,944 | — | ||||||||||||
| Value of Shares Redeemed | — | (411,757 | ) | (921,036 | ) | (1,170,108 | ) | |||||||||
| Net Increase (Decrease) From Capital Stock Transactions | 12,360,292 | 24,602,916 | (66,092 | ) | (1,170,108 | ) | ||||||||||
| Net Increase (Decrease) in Net Assets | 16,177,534 | 19,223,891 | 1,087,348 | (5,194,161 | ) | |||||||||||
| Net Assets: | ||||||||||||||||
| Beginning of Year/Period | 37,547,035 | 18,323,144 | 8,694,559 | 13,888,720 | ||||||||||||
| End of Year/Period | $ | 53,724,569 | $ | 37,547,035 | $ | 9,781,907 | $ | 8,694,559 | ||||||||
| Changes in Shares Outstanding | ||||||||||||||||
| Shares Outstanding, Beginning of Year/Period | 1,085,000 | 460,000 | 345,000 | 385,000 | ||||||||||||
| Shares Sold | 345,000 | 635,000 | 30,000 | — | ||||||||||||
| Shares Repurchased | — | (10,000 | ) | (35,000 | ) | (40,000 | ) | |||||||||
| Shares Outstanding, End of Year/Period | 1,430,000 | 1,085,000 | 340,000 | 345,000 | ||||||||||||
See accompanying Notes to Financial Statements.
139
Financial Highlights
| Years Ended June 30, |
For the period 2021* to |
|||||||||||
| AdvisorShares Alpha DNA Equity Sentiment ETF | 2023 | 2022 | 2021 | |||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 20.81 | $ | 27.58 | $ | 25.35 | ||||||
| Investment Operations | ||||||||||||
| Net Investment Income (Loss)(1) | 0.13 | (0.01 | ) | (0.07 | ) | |||||||
| Net Realized and Unrealized Gain (Loss) | 3.18 | (6.76 | ) | 2.30 | ||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2) | 3.31 | (6.77 | ) | 2.23 | ||||||||
| Net Asset Value, End of Year/Period | $ | 24.12 | $ | 20.81 | $ | 27.58 | ||||||
| Market Value, End of Year/Period | $ | 24.10 | $ | 20.73 | $ | 27.58 | ||||||
| Total Return | ||||||||||||
| Total Investment Return Based on Net Asset Value(3) | 15.89 | % | (24.53 | )% | 8.78 | % | ||||||
| Total Investment Return Based on Market(3) | 16.26 | % | (24.84 | )% | 8.80 | % | ||||||
| Ratios/Supplemental Data | ||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 17,002 | $ | 50,573 | $ | 69,907 | ||||||
| Ratio to Average Net Assets of: | ||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 1.08 | % | 0.98 | % | 1.08 | % | ||||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 1.08 | % | 0.98 | % | 1.08 | % | ||||||
| Net Investment Income (Loss)(4) | 0.58 | % | (0.06 | )% | (0.67 | )% | ||||||
| Portfolio Turnover Rate(5) | 538 | % | 537 | % | 244 | % | ||||||
| Years Ended June 30, | ||||||||||||||||||||
| AdvisorShares Dorsey Wright ADR ETF | 2023 | 2022 | 2021 | 2020 | 2019 | |||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 48.48 | $ | 66.54 | $ | 53.25 | $ | 49.75 | $ | 53.34 | ||||||||||
| Investment Operations | ||||||||||||||||||||
| Net Investment Income (Loss)(1) | 1.22 | 1.62 | 0.27 | (0.03 | ) | 0.23 | ||||||||||||||
| Net Realized and Unrealized Gain (Loss) | 0.97 | (18.48 | ) | 13.23 | 3.54 | (3.51 | ) | |||||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2) | 2.19 | (16.86 | ) | 13.50 | 3.51 | (3.28 | ) | |||||||||||||
| Distributions from Net Investment Income | (1.12 | ) | (1.20 | ) | (0.21 | ) | (0.01 | ) | (0.31 | ) | ||||||||||
| Total Distributions | (1.12 | ) | (1.20 | ) | (0.21 | ) | (0.01 | ) | (0.31 | ) | ||||||||||
| Net Asset Value, End of Year/Period | $ | 49.55 | $ | 48.48 | $ | 66.54 | $ | 53.25 | $ | 49.75 | ||||||||||
| Market Value, End of Year/Period | $ | 49.47 | $ | 48.47 | $ | 66.49 | $ | 52.97 | $ | 49.69 | ||||||||||
| Total Return | ||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(3) | 4.69 | % | (25.51 | )% | 25.39 | % | 7.06 | % | (6.16 | )% | ||||||||||
| Total Investment Return Based on Market(3) | 4.55 | % | (25.45 | )% | 25.95 | % | 6.62 | % | (6.00 | )% | ||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 28,738 | $ | 41,938 | $ | 88,836 | $ | 75,879 | $ | 108,198 | ||||||||||
| Ratio to Average Net Assets of: | ||||||||||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 1.10 | % | 0.99 | % | 1.10 | % | 1.02 | % | 0.88 | % | ||||||||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 1.15 | % | 1.00 | % | 0.96 | % | 0.97 | % | 1.07 | % | ||||||||||
| Net Investment Income (Loss)(4) | 2.52 | % | 2.59 | % | 0.44 | % | (0.06 | )% | 0.47 | % | ||||||||||
| Portfolio Turnover Rate(5) | 101 | % | 79 | % | 85 | % | 48 | % | 120 | % | ||||||||||
| * | Commencement of operations. |
| (1) | Based on average shares outstanding. |
| (2) | 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. |
| (3) | 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. |
| (4) | Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds. |
| (5) | 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. |
See accompanying Notes to Financial Statements.
140
ADVISORSHARES TRUST
Financial Highlights
| Years Ended June 30, | For the period December 26, 2019* to June 30, |
|||||||||||||||
| AdvisorShares Dorsey Wright FSM All Cap World ETF | 2023 | 2022 | 2021 | 2020 | ||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 30.33 | $ | 36.63 | $ | 28.07 | $ | 25.12 | ||||||||
| Investment Operations | ||||||||||||||||
| Net Investment Income (Loss)(1) | 0.58 | 0.01 | (0.12 | ) | (0.02 | ) | ||||||||||
| Net Realized and Unrealized Gain (Loss) | 0.82 | (5.76 | ) | 8.74 | 2.97 | |||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2) | 1.40 | (5.75 | ) | 8.62 | 2.95 | |||||||||||
| Distributions from Net Investment Income | (0.16 | ) | — | — | — | |||||||||||
| Distributions from Realized Capital Gains | — | (0.55 | ) | (0.06 | ) | — | ||||||||||
| Total Distributions | (0.16 | ) | (0.55 | ) | (0.06 | ) | — | |||||||||
| Net Asset Value, End of Year/Period | $ | 31.57 | $ | 30.33 | $ | 36.63 | $ | 28.07 | ||||||||
| Market Value, End of Year/Period | $ | 31.60 | $ | 30.34 | $ | 36.67 | $ | 28.07 | ||||||||
| Total Return | ||||||||||||||||
| Total Investment Return Based on Net Asset Value(3) | 4.63 | % | (15.98 | )% | 30.70 | % | 11.76 | % | ||||||||
| Total Investment Return Based on Market(3) | 4.71 | % | (16.06 | )% | 30.85 | % | 11.74 | % | ||||||||
| Ratios/Supplemental Data | ||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 86,174 | $ | 84,177 | $ | 155,673 | $ | 73,685 | ||||||||
| Ratio to Average Net Assets of:(4) | ||||||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(5) | 0.98 | % | 0.91 | % | 0.88 | % | 0.99 | % | ||||||||
| Expenses, prior to expense waivers and reimbursements or recapture(5) | 0.96 | % | 0.94 | % | 0.86 | % | 1.12 | % | ||||||||
| Net Investment Income (Loss)(5) | 1.87 | % | 0.02 | % | (0.34 | )% | (0.17 | )% | ||||||||
| Portfolio Turnover Rate(6) | 151 | % | 244 | % | 209 | % | 46 | % | ||||||||
| Years Ended June 30, | For the period December 26, 2019* to June 30, |
|||||||||||||||
| AdvisorShares Dorsey Wright FSM US Core ETF | 2023 | 2022 | 2021 | 2020 | ||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 32.16 | $ | 37.09 | $ | 27.51 | $ | 25.14 | ||||||||
| Investment Operations | ||||||||||||||||
| Net Investment Income (Loss)(1) | 0.32 | 0.11 | (0.07 | ) | 0.05 | |||||||||||
| Net Realized and Unrealized Gain (Loss) | 4.60 | (4.90 | ) | 9.72 | 2.32 | |||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2) | 4.92 | (4.79 | ) | 9.65 | 2.37 | |||||||||||
| Distributions from Net Investment Income | (0.30 | ) | — | (0.03 | ) | — | ||||||||||
| Distributions from Realized Capital Gains | — | (0.14 | ) | (0.04 | ) | — | ||||||||||
| Total Distributions | (0.30 | ) | (0.14 | ) | (0.07 | ) | — | |||||||||
| Net Asset Value, End of Year/Period | $ | 36.78 | $ | 32.16 | $ | 37.09 | $ | 27.51 | ||||||||
| Market Value, End of Year/Period | $ | 36.76 | $ | 32.08 | $ | 37.16 | $ | 27.46 | ||||||||
| Total Return | ||||||||||||||||
| Total Investment Return Based on Net Asset Value(3) | 15.38 | % | (12.97 | )% | 35.08 | % | 9.43 | % | ||||||||
| Total Investment Return Based on Market(3) | 15.61 | % | (13.36 | )% | 35.59 | % | 9.23 | % | ||||||||
| Ratios/Supplemental Data | ||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 89,547 | $ | 79,764 | $ | 93,649 | $ | 46,767 | ||||||||
| Ratio to Average Net Assets of:(4) | ||||||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(5) | 0.98 | % | 0.93 | % | 0.92 | % | 0.99 | % | ||||||||
| Expenses, prior to expense waivers and reimbursements or recapture(5) | 0.97 | % | 0.95 | % | 0.89 | % | 1.15 | % | ||||||||
| Net Investment Income (Loss)(5) | 0.95 | % | 0.28 | % | (0.22 | )% | 0.37 | % | ||||||||
| Portfolio Turnover Rate(6) | 103 | % | 50 | % | 64 | % | 53 | % | ||||||||
| * | Commencement of operations. |
| (1) | Based on average shares outstanding. |
| (2) | 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. |
| (3) | 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. |
| (4) | The Fund invests in other funds and indirectly bear their proportionate shares of fees and expenses incurred by the funds in which the Fund is invested. These ratios do not include these indirect fees and expenses. |
| (5) | Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds. |
| (6) | 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. |
See accompanying Notes to Financial Statements.
141
ADVISORSHARES TRUST
Financial Highlights
| Years Ended June 30, | For the period July 11, 2018* to June 30, |
|||||||||||||||||||
| AdvisorShares Dorsey Wright Short ETF | 2023 | 2022 | 2021 | 2020 | 2019 | |||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 10.49 | $ | 8.59 | $ | 19.33 | $ | 24.90 | $ | 25.00 | ||||||||||
| Investment Operations | ||||||||||||||||||||
| Net Investment Income (Loss)(1) | 0.36 | (0.21 | ) | (0.46 | ) | (0.65 | ) | 0.13 | ||||||||||||
| Net Realized and Unrealized Gain (Loss) | (2.07 | ) | 2.11 | (10.28 | ) | (4.89 | ) | (0.19 | ) | |||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2) | (1.71 | ) | 1.90 | (10.74 | ) | (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 | $ | 8.78 | $ | 10.49 | $ | 8.59 | $ | 19.33 | $ | 24.90 | ||||||||||
| Market Value, End of Year/Period | $ | 8.75 | $ | 10.45 | $ | 8.56 | $ | 19.36 | $ | 24.93 | ||||||||||
| Total Return | ||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(3) | (16.31 | )% | 22.15 | % | (55.58 | )% | (22.26 | )% | (0.27 | )% | ||||||||||
| Total Investment Return Based on Market(3) | (16.27 | )% | 22.08 | % | (55.79 | )% | (22.24 | )% | (0.18 | )% | ||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 24,093 | $ | 46,999 | $ | 25,164 | $ | 113,098 | $ | 24,281 | ||||||||||
| Ratio to Average Net Assets of: | ||||||||||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 2.61 | %(5) | 2.71 | %(5) | 3.48 | %(5) | 3.56 | %(5) | 2.70 | %(5) | ||||||||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 2.56 | %(5) | 2.63 | %(5) | 3.55 | %(5) | 3.56 | %(5) | 3.26 | %(5) | ||||||||||
| Net Investment Income (Loss)(4) | 3.77 | % | (2.35 | )% | (3.18 | )% | (2.58 | )% | 0.53 | % | ||||||||||
| Portfolio Turnover Rate(6) | 263 | % | 190 | % | 243 | % | 555 | % | 357 | % | ||||||||||
| Years Ended June 30, | For the period July 11, 2018* to June 30, |
|||||||||||||||||||
| AdvisorShares Dorsey Wright Small Company ETF(7) | 2023 | 2022 | 2021 | 2020 | 2019 | |||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 30.10 | $ | 37.87 | $ | 21.12 | $ | 23.04 | $ | 24.71 | ||||||||||
| Investment Operations | ||||||||||||||||||||
| Net Investment Income (Loss)(1) | 0.34 | 0.16 | (0.04 | ) | (0.01 | ) | (0.02 | ) | ||||||||||||
| Net Realized and Unrealized Gain (Loss) | 2.06 | (7.77 | ) | 16.79 | (1.89 | ) | (1.65 | ) | ||||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2) | 2.40 | (7.61 | ) | 16.75 | (1.90 | ) | (1.67 | ) | ||||||||||||
| Distributions from Net Investment Income | (0.26 | ) | (0.13 | ) | — | (0.02 | ) | — | ||||||||||||
| Return of capital | — | (0.03 | ) | — | — | — | ||||||||||||||
| Total Distributions | (0.26 | ) | (0.16 | ) | — | (0.02 | ) | — | ||||||||||||
| Net Asset Value, End of Year/Period | $ | 32.24 | $ | 30.10 | $ | 37.87 | $ | 21.12 | $ | 23.04 | ||||||||||
| Market Value, End of Year/Period | $ | 32.26 | $ | 29.84 | $ | 37.92 | $ | 20.80 | $ | 23.02 | ||||||||||
| Total Return | ||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(3) | 7.94 | % | (20.17 | )% | 79.33 | % | (8.26 | )% | (6.79 | )% | ||||||||||
| Total Investment Return Based on Market(3) | 8.96 | % | (20.99 | )% | 82.31 | % | (9.58 | )% | (6.86 | )% | ||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 4,836 | $ | 7,376 | $ | 8,899 | $ | 2,112 | $ | 2,304 | ||||||||||
| Ratio to Average Net Assets of: | ||||||||||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 1.25 | % | 1.25 | % | 1.25 | % | 1.17 | % | 0.99 | % | ||||||||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 2.97 | % | 1.95 | % | 3.17 | % | 4.98 | % | 4.79 | % | ||||||||||
| Net Investment Income (Loss)(4) | 1.06 | % | 0.45 | % | (0.12 | )% | (0.05 | )% | (0.11 | )% | ||||||||||
| Portfolio Turnover Rate(6) | 100 | % | 104 | % | 163 | % | 119 | % | 103 | % | ||||||||||
| * | Commencement of operations. |
| (1) | Based on average shares outstanding. |
| (2) | 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. |
| (3) | 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. |
| (4) | Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds. |
| (5) | The expense ratio includes interest and dividend expenses on short sales of 1.45%, 1.46%, 2.46%, 2.47% and 1.71% for the period ended June 30, 2023, June 30, 2022, June 30, 2021, June 30, 2020 and June 30, 2019, respectively. |
| (6) | 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. |
| (7) | Formerly known as AdvisorShares Dorsey Wright Micro-Cap ETF. |
See accompanying Notes to Financial Statements.
142
ADVISORSHARES TRUST
Financial Highlights
| Years Ended June 30, | ||||||||||||||||||||
| AdvisorShares Focused Equity ETF | 2023 | 2022 | 2021 | 2020 | 2019 | |||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 42.25 | $ | 46.65 | $ | 35.67 | $ | 34.42 | $ | 31.80 | ||||||||||
| Investment Operations | ||||||||||||||||||||
| Net Investment Income(1) | 0.20 | 0.17 | 0.10 | 0.14 | 0.16 | |||||||||||||||
| Net Realized and Unrealized Gain (Loss) | 11.43 | (4.49 | ) | 11.00 | 1.26 | 3.21 | ||||||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2) | 11.63 | (4.32 | ) | 11.10 | 1.40 | 3.37 | ||||||||||||||
| Distributions from Net Investment Income | (0.24 | ) | (0.08 | ) | (0.12 | ) | (0.15 | ) | (0.16 | ) | ||||||||||
| Distributions from Realized Capital Gains | — | — | — | — | (0.59 | ) | ||||||||||||||
| Total Distributions | (0.24 | ) | (0.08 | ) | (0.12 | ) | (0.15 | ) | (0.75 | ) | ||||||||||
| Net Asset Value, End of Year/Period | $ | 53.64 | $ | 42.25 | $ | 46.65 | $ | 35.67 | $ | 34.42 | ||||||||||
| Market Value, End of Year/Period | $ | 53.80 | $ | 42.21 | $ | 46.68 | $ | 34.88 | $ | 34.31 | ||||||||||
| Total Return | ||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(3) | 27.59 | % | (9.28 | )% | 31.15 | % | 4.02 | % | 11.09 | % | ||||||||||
| Total Investment Return Based on Market(3) | 28.10 | % | (9.44 | )% | 34.20 | % | 2.06 | % | 10.74 | % | ||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 70,002 | $ | 28,098 | $ | 28,921 | $ | 19,616 | $ | 17,211 | ||||||||||
| Ratio to Average Net Assets of: | ||||||||||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 0.84 | % | 0.65 | % | 0.66 | % | 0.77 | % | 0.72 | % | ||||||||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 1.20 | % | 1.09 | % | 1.19 | % | 1.43 | % | 1.63 | % | ||||||||||
| Net Investment Income(4) | 0.42 | % | 0.36 | % | 0.24 | % | 0.41 | % | 0.49 | % | ||||||||||
| Portfolio Turnover Rate(5) | 18 | % | 24 | % | 25 | % | 23 | % | 19 | % | ||||||||||
| AdvisorShares Gerber Kawasaki ETF | Year ended June 30, 2023 |
For the period July 2, 2021* to June 30, 2022 |
||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||
| Net Asset Value, Beginning of Year/Period | $ | 16.34 | $ | 25.03 | ||||
| Investment Operations | ||||||||
| Net Investment Income(1) | 0.15 | 0.07 | ||||||
| Net Realized and Unrealized Gain (Loss) | 1.65 | (8.75 | ) | |||||
| Distributions of Net Realized Gains by other investment companies | — | 0.00 | (6) | |||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2) | 1.80 | (8.68 | ) | |||||
| Distributions from Net Investment Income | (0.20 | ) | (0.01 | ) | ||||
| Total Distributions | (0.20 | ) | (0.01 | ) | ||||
| Net Asset Value, End of Year/Period | $ | 17.94 | $ | 16.34 | ||||
| Market Value, End of Year/Period | $ | 17.93 | $ | 16.35 | ||||
| Total Return | ||||||||
| Total Investment Return Based on Net Asset Value(3) | 11.21 | % | (34.71 | )% | ||||
| Total Investment Return Based on Market(3) | 11.09 | % | (34.65 | )% | ||||
| Ratios/Supplemental Data | ||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 17,578 | $ | 15,846 | ||||
| Ratio to Average Net Assets of: | ||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 0.75 | % | 0.75 | % | ||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 1.33 | % | 1.37 | % | ||||
| Net Investment Income(4) | 0.91 | % | 0.31 | % | ||||
| Portfolio Turnover Rate(5) | 48 | % | 66 | % | ||||
| * | Commencement of operations. |
| (1) | Based on average shares outstanding. |
| (2) | 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. |
| (3) | 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. |
| (4) | Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds. |
| (5) | 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. |
| (6) | Amount represents less than $0.005 or 0.005%. |
See accompanying Notes to Financial Statements.
143
ADVISORSHARES TRUST
Financial Highlights
| Years Ended June 30, | For the period April 20, 2021* to June 30, | |||||||||||
| AdvisorShares Hotel ETF | 2023 | 2022 | 2021 | |||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 19.66 | $ | 24.52 | $ | 24.32 | ||||||
| Investment Operations | ||||||||||||
| Net Investment Income (Loss)(1) | 0.21 | (0.02 | ) | 0.13 | ||||||||
| Net Realized and Unrealized Gain (Loss) | 5.55 | (4.75 | ) | 0.07 | ||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2) | 5.76 | (4.77 | ) | 0.20 | ||||||||
| Distributions from Net Investment Income | (0.05 | ) | (0.09 | ) | — | |||||||
| Total Distributions | (0.05 | ) | (0.09 | ) | — | |||||||
| Net Asset Value, End of Year/Period | $ | 25.37 | $ | 19.66 | $ | 24.52 | ||||||
| Market Value, End of Year/Period | $ | 25.34 | $ | 19.61 | $ | 24.56 | ||||||
| Total Return | ||||||||||||
| Total Investment Return Based on Net Asset Value(3) | 29.33 | % | (19.54 | )% | 0.81 | % | ||||||
| Total Investment Return Based on Market(3) | 29.49 | % | (19.87 | )% | 0.99 | % | ||||||
| Ratios/Supplemental Data | ||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 4,186 | $ | 5,897 | $ | 7,724 | ||||||
| Ratio to Average Net Assets of: | ||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 0.99 | % | 0.99 | % | 0.99 | % | ||||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 2.40 | % | 1.33 | % | 6.60 | % | ||||||
| Net Investment Income (Loss)(4) | 0.92 | % | (0.07 | )% | 2.70 | % | ||||||
| Portfolio Turnover Rate(5) | 120 | % | 74 | % | 21 | % | ||||||
| Years Ended June 30, | ||||||||||||||||||||
| AdvisorShares Insider Advantage ETF | 2023 | 2022 | 2021 | 2020 | 2019 | |||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 85.89 | $ | 95.53 | $ | 66.37 | $ | 68.21 | $ | 67.88 | ||||||||||
| Investment Operations | ||||||||||||||||||||
| Net Investment Income(1) | 1.34 | 1.10 | 0.95 | 0.82 | 0.62 | |||||||||||||||
| Net Realized and Unrealized Gain (Loss) | 9.49 | (9.68 | ) | 29.23 | (1.84 | ) | 0.45 | |||||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2) | 10.83 | (8.58 | ) | 30.18 | (1.02 | ) | 1.07 | |||||||||||||
| Distributions from Net Investment Income | (1.48 | ) | (1.06 | ) | (1.02 | ) | (0.82 | ) | (0.74 | ) | ||||||||||
| Total Distributions | (1.48 | ) | (1.06 | ) | (1.02 | ) | (0.82 | ) | (0.74 | ) | ||||||||||
| Net Asset Value, End of Year/Period | $ | 95.24 | $ | 85.89 | $ | 95.53 | $ | 66.37 | $ | 68.21 | ||||||||||
| Market Value, End of Year/Period | $ | 95.24 | $ | 85.78 | $ | 95.41 | $ | 66.28 | $ | 68.13 | ||||||||||
| Total Return | ||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(3) | 12.78 | % | (9.12 | )% | 45.78 | % | (1.63 | )% | 1.74 | % | ||||||||||
| Total Investment Return Based on Market(3) | 12.95 | % | (9.12 | )% | 45.79 | % | (1.65 | )% | 1.63 | % | ||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 42,381 | $ | 46,378 | $ | 48,243 | $ | 41,483 | $ | 61,386 | ||||||||||
| Ratio to Average Net Assets of: | ||||||||||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 0.90 | % | 0.90 | % | 0.90 | % | 0.90 | % | 0.90 | % | ||||||||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 1.05 | % | 0.96 | % | 1.05 | % | 1.07 | % | 1.17 | % | ||||||||||
| Net Investment Income(4) | 1.51 | % | 1.15 | % | 1.18 | % | 1.18 | % | 0.93 | % | ||||||||||
| Portfolio Turnover Rate(5) | 278 | % | 32 | % | 40 | % | 93 | % | 218 | % | ||||||||||
| * | Commencement of operations. |
| (1) | Based on average shares outstanding. |
| (2) | 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. |
| (3) | 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. |
| (4) | Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds. |
| (5) | 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. |
See accompanying Notes to Financial Statements.
144
ADVISORSHARES TRUST
Financial Highlights
| AdvisorShares Let Bob AI Powered Momentum ETF | Year ended June 30, 2023 |
For the period February 9, 2022* to June 30, 2022 |
||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||
| Net Asset Value, Beginning of Year/Period | $ | 23.25 | $ | 25.00 | ||||
| Investment Operations | ||||||||
| Net Investment Income (Loss)(1) | 0.57 | (0.04 | ) | |||||
| Net Realized and Unrealized Loss | (0.69 | ) | (1.71 | ) | ||||
| Net Decrease in Net Assets Resulting from Investment Operations(2) | (0.12 | ) | (1.75 | ) | ||||
| Distributions from Net Investment Income | (0.14 | ) | — | |||||
| Total Distributions | (0.14 | ) | — | |||||
| Net Asset Value, End of Year/Period | $ | 22.99 | $ | 23.25 | ||||
| Market Value, End of Year/Period | $ | 22.99 | $ | 23.22 | ||||
| Total Return | ||||||||
| Total Investment Return Based on Net Asset Value(3) | (0.50 | )% | (6.99 | )% | ||||
| Total Investment Return Based on Market(3) | (0.36 | )% | (7.12 | )% | ||||
| Ratios/Supplemental Data | ||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 26,320 | $ | 24,183 | ||||
| Ratio to Average Net Assets of: | ||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 0.99 | % | 0.99 | % | ||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 1.10 | % | 1.48 | % | ||||
| Net Investment Income (Loss)(4) | 2.50 | % | (0.43 | )% | ||||
| Portfolio Turnover Rate(5) | 821 | % | 497 | % | ||||
| AdvisorShares MSOS 2X Daily ETF | For the period August 24, 2022* to June 30, 2023 |
|||
| Selected Data for a Share of Capital Stock Outstanding | ||||
| Net Asset Value, Beginning of Year/Period | $ | 25.00 | ||
| Investment Operations | ||||
| Net Investment Income(1) | 0.15 | |||
| Net Realized and Unrealized Loss | (21.92 | ) | ||
| Net Decrease in Net Assets Resulting from Investment Operations(2) | (21.77 | ) | ||
| Net Asset Value, End of Year/Period | $ | 3.23 | ||
| Market Value, End of Year/Period | $ | 3.26 | ||
| Total Return | ||||
| Total Investment Return Based on Net Asset Value(3) | (87.08 | )% | ||
| Total Investment Return Based on Market(3) | (86.96 | )% | ||
| Ratios/Supplemental Data | ||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 7,032 | ||
| Ratio to Average Net Assets of: | ||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 0.95 | % | ||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 4.54 | % | ||
| Net Investment Income(4) | 3.44 | % | ||
| Portfolio Turnover Rate(5) | 0 | % | ||
| * | Commencement of operations. |
| (1) | Based on average shares outstanding. |
| (2) | 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. |
| (3) | 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. |
| (4) | Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds. |
| (5) | 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. |
See accompanying Notes to Financial Statements.
145
ADVISORSHARES TRUST
Financial Highlights
| Years Ended June 30, | ||||||||||||||||||||
| AdvisorShares Newfleet Multi-Sector Income ETF | 2023 | 2022 | 2021 | 2020 | 2019 | |||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 45.60 | $ | 48.85 | $ | 48.14 | $ | 48.44 | $ | 47.86 | ||||||||||
| Investment Operations | ||||||||||||||||||||
| Net Investment Income(1) | 1.12 | 0.63 | 0.78 | 1.21 | 1.35 | |||||||||||||||
| Net Realized and Unrealized Gain (Loss) | (0.51 | ) | (3.17 | ) | 0.83 | (0.22 | ) | 0.65 | ||||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2) | 0.61 | (2.54 | ) | 1.61 | 0.99 | 2.00 | ||||||||||||||
| Distributions from Net Investment Income | (1.40 | ) | (0.71 | ) | (0.90 | ) | (1.29 | ) | (1.42 | ) | ||||||||||
| Total Distributions | (1.40 | ) | (0.71 | ) | (0.90 | ) | (1.29 | ) | (1.42 | ) | ||||||||||
| Net Asset Value, End of Year/Period | $ | 44.81 | $ | 45.60 | $ | 48.85 | $ | 48.14 | $ | 48.44 | ||||||||||
| Market Value, End of Year/Period | $ | 44.80 | $ | 45.61 | $ | 48.83 | $ | 48.17 | $ | 48.38 | ||||||||||
| Total Return | ||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(3) | 1.36 | % | (5.24 | )% | 3.36 | % | 2.10 | % | 4.27 | % | ||||||||||
| Total Investment Return Based on Market(3) | 1.33 | % | (5.19 | )% | 3.27 | % | 2.28 | % | 4.29 | % | ||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 17,477 | $ | 83,682 | $ | 96,959 | $ | 57,767 | $ | 75,080 | ||||||||||
| Ratio to Average Net Assets of: | ||||||||||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 0.75 | % | 0.75 | % | 0.75 | % | 0.75 | % | 0.75 | % | ||||||||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 1.12 | % | 0.76 | % | 0.78 | % | 0.82 | % | 0.96 | % | ||||||||||
| Net Investment Income(4) | 2.47 | % | 1.32 | % | 1.61 | % | 2.51 | % | 2.81 | % | ||||||||||
| Portfolio Turnover Rate(5) | 40 | % | 54 | % | 95 | % | 63 | % | 40 | % | ||||||||||
| AdvisorShares Poseidon Dynamic Cannabis ETF | Year ended June 30, 2023 |
For the period November 17, 2021* to June 30, 2022 |
||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||
| Net Asset Value, Beginning of Year/Period | $ | 2.45 | $ | 10.00 | ||||
| Investment Operations | ||||||||
| Net Investment Income (Loss)(1) | 0.03 | (0.03 | ) | |||||
| Net Realized and Unrealized Loss | (1.36 | ) | (7.52 | ) | ||||
| Net Decrease in Net Assets Resulting from Investment Operations(2) | (1.33 | ) | (7.55 | ) | ||||
| Net Asset Value, End of Year/Period | $ | 1.12 | $ | 2.45 | ||||
| Market Value, End of Year/Period | $ | 1.13 | $ | 2.45 | ||||
| Total Return | ||||||||
| Total Investment Return Based on Net Asset Value(3) | (54.11 | )% | (75.52 | )% | ||||
| Total Investment Return Based on Market(3) | (53.88 | )% | (75.50 | )% | ||||
| Ratios/Supplemental Data | ||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 3,004 | $ | 4,357 | ||||
| Ratio to Average Net Assets of: | ||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 0.99 | % | 0.99 | % | ||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 3.19 | % | 2.57 | % | ||||
| Net Investment Income (Loss)(4) | 1.79 | % | (0.90 | )% | ||||
| Portfolio Turnover Rate(5) | 247 | % | 159 | % | ||||
| * | Commencement of operations. |
| (1) | Based on average shares outstanding. |
| (2) | 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. |
| (3) | 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. |
| (4) | Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds. |
| (5) | 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. |
See accompanying Notes to Financial Statements.
146
ADVISORSHARES TRUST
Financial Highlights
| AdvisorShares Psychedelics ETF | Year ended June 30, 2023 |
For the period September 16, 2021* to June 30, 2022 |
||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||
| Net Asset Value, Beginning of Year/Period | $ | 2.56 | $ | 10.00 | ||||
| Investment Operations | ||||||||
| Net Investment Income (Loss)(1) | 0.05 | (0.02 | ) | |||||
| Net Realized and Unrealized Loss | (0.72 | ) | (7.42 | ) | ||||
| Net Decrease in Net Assets Resulting from Investment Operations(2) | (0.67 | ) | (7.44 | ) | ||||
| Distributions from Net Investment Income | (0.05 | ) | — | |||||
| Total Distributions | (0.05 | ) | — | |||||
| Net Asset Value, End of Year/Period | $ | 1.84 | $ | 2.56 | ||||
| Market Value, End of Year/Period | $ | 1.86 | $ | 2.65 | ||||
| Total Return | ||||||||
| Total Investment Return Based on Net Asset Value(3) | (26.55 | )% | (74.44 | )% | ||||
| Total Investment Return Based on Market(3) | (28.45 | )% | (73.50 | )% | ||||
| Ratios/Supplemental Data | ||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 6,894 | $ | 5,509 | ||||
| Ratio to Average Net Assets of: | ||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 0.99 | % | 0.99 | % | ||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 3.01 | % | 3.10 | % | ||||
| Net Investment Income (Loss)(4) | 2.29 | % | (0.52 | )% | ||||
| Portfolio Turnover Rate(5) | 73 | % | 27 | % | ||||
| Years Ended June 30, | For the period April 17, 2019* to June 30, |
|||||||||||||||||||
| AdvisorShares Pure Cannabis ETF | 2023 | 2022 | 2021 | 2020 | 2019 | |||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 5.28 | $ | 21.15 | $ | 10.17 | $ | 22.99 | $ | 25.00 | ||||||||||
| Investment Operations | ||||||||||||||||||||
| Net Investment Income(1) | 0.04 | 0.01 | 0.04 | 0.70 | 0.06 | |||||||||||||||
| Net Realized and Unrealized Gain (Loss) | (2.71 | ) | (15.35 | ) | 11.05 | (12.75 | ) | (2.07 | ) | |||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2) | (2.67 | ) | (15.34 | ) | 11.09 | (12.05 | ) | (2.01 | ) | |||||||||||
| Distributions from Net Investment Income | (0.02 | ) | — | (0.11 | ) | (0.70 | ) | — | ||||||||||||
| Distributions from Realized Capital Gains | — | (0.51 | ) | — | (0.07 | ) | — | |||||||||||||
| Return of capital | — | (0.02 | ) | — | — | — | ||||||||||||||
| Total Distributions | (0.02 | ) | (0.53 | ) | (0.11 | ) | (0.77 | ) | — | |||||||||||
| Net Asset Value, End of Year/Period | $ | 2.59 | $ | 5.28 | $ | 21.15 | $ | 10.17 | $ | 22.99 | ||||||||||
| Market Value, End of Year/Period | $ | 2.59 | $ | 5.28 | $ | 21.12 | $ | 10.18 | $ | 23.02 | ||||||||||
| Total Return | ||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(3) | (50.63 | )% | (73.99 | )% | 109.96 | % | (52.76 | )% | (8.06 | )% | ||||||||||
| Total Investment Return Based on Market(3) | (50.54 | )% | (73.93 | )% | 109.35 | % | (52.70 | )% | (7.92 | )% | ||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 34,022 | $ | 71,817 | $ | 354,408 | $ | 45,503 | $ | 59,762 | ||||||||||
| Ratio to Average Net Assets of: | ||||||||||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 0.51 | % | 0.65 | % | 0.74 | % | 0.74 | % | 0.74 | % | ||||||||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 1.04 | % | 0.88 | % | 0.69 | % | 1.17 | % | 1.10 | % | ||||||||||
| Net Investment Income(4) | 0.88 | % | 0.11 | % | 0.21 | % | 5.67 | % | 1.35 | % | ||||||||||
| Portfolio Turnover Rate(5) | 40 | % | 28 | % | 46 | % | 59 | % | 26 | % | ||||||||||
| * | Commencement of operations. |
| (1) | Based on average shares outstanding. |
| (2) | 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. |
| (3) | 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. |
| (4) | Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds. |
| (5) | 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. |
See accompanying Notes to Financial Statements.
147
ADVISORSHARES TRUST
Financial Highlights
| Years Ended June 30, | For the period September 1, 2020* to June 30, |
|||||||||||
| AdvisorShares Pure US Cannabis ETF | 2023 | 2022 | 2021 | |||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 10.35 | $ | 40.22 | $ | 25.00 | ||||||
| Investment Operations | ||||||||||||
| Net Investment Income (Loss)(1) | 0.08 | (0.09 | ) | (0.17 | ) | |||||||
| Net Realized and Unrealized Gain (Loss) | (4.95 | ) | (29.71 | ) | 15.39 | |||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2) | (4.87 | ) | (29.80 | ) | 15.22 | |||||||
| Distributions from Realized Capital Gains | — | (0.07 | ) | — | ||||||||
| Total Distributions | — | (0.07 | ) | — | ||||||||
| Net Asset Value, End of Year/Period | $ | 5.48 | $ | 10.35 | $ | 40.22 | ||||||
| Market Value, End of Year/Period | $ | 5.55 | $ | 10.37 | $ | 40.08 | ||||||
| Total Return | ||||||||||||
| Total Investment Return Based on Net Asset Value(3) | (47.04 | )% | (74.20 | )% | 60.86 | % | ||||||
| Total Investment Return Based on Market(3) | (46.48 | )% | (74.06 | )% | 60.32 | % | ||||||
| Ratios/Supplemental Data | ||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 343,385 | $ | 514,691 | $ | 950,694 | ||||||
| Ratio to Average Net Assets of: | ||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 0.74 | % | 0.72 | % | 0.69 | % | ||||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 0.77 | % | 0.75 | % | 0.69 | % | ||||||
| Net Investment Income (Loss)(4) | 0.96 | % | (0.40 | )% | (0.49 | )% | ||||||
| Portfolio Turnover Rate(5) | 13 | % | 48 | % | 68 | % | ||||||
| Years Ended June 30, | For the period December 28, 2020* to June 30, |
|||||||||||
| AdvisorShares Q Dynamic Growth ETF | 2023 | 2022 | 2021 | |||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 22.02 | $ | 28.12 | $ | 25.00 | ||||||
| Investment Operations | ||||||||||||
| Net Investment Loss(1) | (0.10 | ) | (0.15 | ) | (0.09 | ) | ||||||
| Net Realized and Unrealized Gain (Loss) | 6.57 | (5.95 | ) | 3.21 | ||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2) | 6.47 | (6.10 | ) | 3.12 | ||||||||
| Net Asset Value, End of Year/Period | $ | 28.49 | $ | 22.02 | $ | 28.12 | ||||||
| Market Value, End of Year/Period | $ | 28.49 | $ | 22.01 | $ | 28.13 | ||||||
| Total Return | ||||||||||||
| Total Investment Return Based on Net Asset Value(3) | 29.37 | % | (21.70 | )% | 12.50 | % | ||||||
| Total Investment Return Based on Market(3) | 29.44 | % | (21.76 | )% | 12.52 | % | ||||||
| Ratios/Supplemental Data | ||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 28,349 | $ | 40,299 | $ | 68,763 | ||||||
| Ratio to Average Net Assets of:(6) | ||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(4) | 1.32 | % | 1.14 | % | 1.43 | % | ||||||
| Expenses, prior to expense waivers and reimbursements or recapture(4) | 1.31 | % | 1.13 | % | 1.49 | % | ||||||
| Net Investment Loss(4) | (0.44 | )% | (0.52 | )% | (0.65 | )% | ||||||
| Portfolio Turnover Rate(5) | 57 | % | 106 | % | 61 | % | ||||||
| * | Commencement of operations. |
| (1) | Based on average shares outstanding. |
| (2) | 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. |
| (3) | 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. |
| (4) | Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds. |
| (5) | 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. |
| (6) | The Fund invests in other funds and indirectly bear their proportionate shares of fees and expenses incurred by the funds in which the Fund is invested. These ratios do not include these indirect fees and expenses. |
See accompanying Notes to Financial Statements.
148
ADVISORSHARES TRUST
Financial Highlights
| Years Ended June 30, | ||||||||||||||||||||
| AdvisorShares Ranger Equity Bear ETF | 2023 | 2022 | 2021(1) | 2020(1) | 2019(1) | |||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 31.85 | $ | 23.00 | $ | 48.55 | $ | 63.84 | $ | 78.01 | ||||||||||
| Investment Operations | ||||||||||||||||||||
| Net Investment Income (Loss)(2) | 0.63 | (0.97 | ) | (1.59 | ) | (0.64 | ) | 0.13 | ||||||||||||
| Net Realized and Unrealized Gain (Loss) | (9.86 | ) | 9.82 | (23.96 | ) | (14.55 | ) | (14.30 | ) | |||||||||||
| Distributions of Net Realized Gains by other investment companies | — | — | 0.00 | (3) | — | — | ||||||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(4) | (9.23 | ) | 8.85 | (25.55 | ) | (15.19 | ) | (14.17 | ) | |||||||||||
| Distributions from Net Investment Income | — | — | — | (0.10 | ) | — | ||||||||||||||
| Total Distributions | — | — | — | (0.10 | ) | — | ||||||||||||||
| Net Asset Value, End of Year/Period | $ | 22.62 | $ | 31.85 | $ | 23.00 | $ | 48.55 | $ | 63.84 | ||||||||||
| Market Value, End of Year/Period | $ | 22.63 | $ | 31.96 | $ | 23.00 | $ | 48.50 | $ | 63.90 | ||||||||||
| Total Return | ||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(5) | (28.99 | )% | 38.48 | % | (52.62 | )% | (23.79 | )% | (18.16 | )% | ||||||||||
| Total Investment Return Based on Market(5) | (29.19 | )% | 38.96 | % | (52.58 | )% | (23.94 | )% | (17.87 | )% | ||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 122,632 | $ | 166,185 | $ | 50,655 | $ | 162,019 | $ | 135,814 | ||||||||||
| Ratio to Average Net Assets of: | ||||||||||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(6) | 3.39 | %(7) | 4.15 | %(7) | 4.90 | %(7) | 3.10 | %(7) | 2.94 | %(7) | ||||||||||
| Expenses, prior to expense waivers and reimbursements or recapture(6) | 3.39 | %(7) | 4.15 | %(7) | 4.90 | %(7) | 3.10 | %(7) | 2.94 | %(7) | ||||||||||
| Net Investment Income (Loss)(6) | 2.34 | % | (3.70 | )% | (4.49 | )% | (1.07 | )% | 0.18 | % | ||||||||||
| Portfolio Turnover Rate(8) | 1001 | % | 1462 | % | 669 | % | 593 | % | 338 | % | ||||||||||
| Years Ended June 30, | For the period April 20, 2021* to June 30, |
|||||||||||
| AdvisorShares Restaurant ETF | 2023 | 2022 | 2021 | |||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 16.97 | $ | 24.44 | $ | 24.69 | ||||||
| Investment Operations | ||||||||||||
| Net Investment Income(2) | 0.23 | 0.13 | 0.00 | (3) | ||||||||
| Net Realized and Unrealized Gain (Loss) | 4.89 | (7.56 | ) | (0.25 | ) | |||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(4) | 5.12 | (7.43 | ) | (0.25 | ) | |||||||
| Distributions from Net Investment Income | (0.43 | ) | (0.04 | ) | — | |||||||
| Total Distributions | (0.43 | ) | (0.04 | ) | — | |||||||
| Net Asset Value, End of Year/Period | $ | 21.66 | $ | 16.97 | $ | 24.44 | ||||||
| Market Value, End of Year/Period | $ | 21.66 | $ | 16.93 | $ | 24.44 | ||||||
| Total Return | ||||||||||||
| Total Investment Return Based on Net Asset Value(5) | 30.59 | % | (30.46 | )% | (1.01 | )% | ||||||
| Total Investment Return Based on Market(5) | 30.95 | % | (30.62 | )% | (1.01 | )% | ||||||
| Ratios/Supplemental Data | ||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 2,600 | $ | 2,631 | $ | 5,988 | ||||||
| Ratio to Average Net Assets of: | ||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(6) | 0.99 | % | 0.99 | % | 0.99 | % | ||||||
| Expenses, prior to expense waivers and reimbursements or recapture(6) | 3.97 | % | 2.11 | % | 7.93 | % | ||||||
| Net Investment Income (Loss)(6) | 1.20 | % | 0.57 | % | (0.03 | )% | ||||||
| Portfolio Turnover Rate(8) | 113 | % | 86 | % | 26 | % | ||||||
| * | Commencement of operations. |
| (1) | After the close of business on February 5, 2021, the Fund’s applicable class underwent a reverse stock split. The per share data presented here has been retroactively adjusted to reflect this split. See Note 1 of the Notes to Financial Statements. |
| (2) | Based on average shares outstanding. |
| (3) | Amount represents less than $0.005 or 0.005%. |
| (4) | 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. |
| (5) | 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. |
| (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 1.70% 1.69%, 2.47%, 3.14%, 1.42%, and 1.22% for the periods ended June 30, 2023, June 30, 2022, June 30, 2021, June 30, 2020, and June 30, 2019, respectively. |
| (8) | 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. |
See accompanying Notes to Financial Statements.
149
ADVISORSHARES TRUST
Financial Highlights
| Years Ended June 30, | ||||||||||||||||||||
| AdvisorShares STAR Global Buy-Write ETF | 2023 | 2022 | 2021 | 2020 | 2019 | |||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 34.61 | $ | 39.83 | $ | 32.20 | $ | 32.28 | $ | 30.99 | ||||||||||
| Investment Operations | ||||||||||||||||||||
| Net Investment Income (Loss)(1) | 0.25 | 0.13 | (0.16 | ) | 0.09 | 0.13 | ||||||||||||||
| Net Realized and Unrealized Gain (Loss) | 3.35 | (5.12 | ) | 7.89 | (0.02 | ) | 1.29 | |||||||||||||
| Distributions of Net Realized Gains by other investment companies | — | — | 0.00 | (2) | — | — | ||||||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(3) | 3.60 | (4.99 | ) | 7.73 | 0.07 | 1.42 | ||||||||||||||
| Distributions from Net Investment Income | (0.08 | ) | — | (0.10 | ) | (0.15 | ) | (0.13 | ) | |||||||||||
| Distributions from Realized Capital Gains | (0.56 | ) | (0.23 | ) | — | — | — | |||||||||||||
| Total Distributions | (0.64 | ) | (0.23 | ) | (0.10 | ) | (0.15 | ) | (0.13 | ) | ||||||||||
| Net Asset Value, End of Year/Period | $ | 37.57 | $ | 34.61 | $ | 39.83 | $ | 32.20 | $ | 32.28 | ||||||||||
| Market Value, End of Year/Period | $ | 37.56 | $ | 34.62 | $ | 39.83 | $ | 32.25 | $ | 32.19 | ||||||||||
| Total Return | ||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(4) | 10.60 | % | (12.64 | )% | 24.04 | % | 0.20 | % | 4.62 | % | ||||||||||
| Total Investment Return Based on Market(4) | 10.54 | % | (12.60 | )% | 23.86 | % | 0.63 | % | 4.27 | % | ||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 53,725 | $ | 37,547 | $ | 18,323 | $ | 12,882 | $ | 14,527 | ||||||||||
| Ratio to Average Net Assets of:(5) | ||||||||||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(6) | 1.54 | % | 1.85 | % | 1.85 | % | 1.85 | % | 1.85 | % | ||||||||||
| Expenses, prior to expense waivers and reimbursements or recapture(6) | 1.33 | % | 1.82 | % | 2.48 | % | 2.20 | % | 2.34 | % | ||||||||||
| Net Investment Income (Loss)(6) | 0.71 | % | 0.33 | % | (0.43 | )% | 0.26 | % | 0.43 | % | ||||||||||
| Portfolio Turnover Rate(7) | 23 | % | 41 | % | 55 | % | 47 | % | 49 | % | ||||||||||
| Years Ended June 30, | ||||||||||||||||||||
| AdvisorShares Vice ETF | 2023 | 2022 | 2021 | 2020 | 2019 | |||||||||||||||
| Selected Data for a Share of Capital Stock Outstanding | ||||||||||||||||||||
| Net Asset Value, Beginning of Year/Period | $ | 25.20 | $ | 36.07 | $ | 22.81 | $ | 25.11 | $ | 25.60 | ||||||||||
| Investment Operations | ||||||||||||||||||||
| Net Investment Income(1) | 0.45 | 0.18 | 0.19 | 0.42 | 0.45 | |||||||||||||||
| Net Realized and Unrealized Gain (Loss) | 3.38 | (10.73 | ) | 13.44 | (2.10 | ) | (0.57 | ) | ||||||||||||
| Net Increase (Decrease) in Net Assets Resulting from Investment Operations(3) | 3.83 | (10.55 | ) | 13.63 | (1.68 | ) | (0.12 | ) | ||||||||||||
| Distributions from Net Investment Income | (0.26 | ) | (0.14 | ) | (0.37 | ) | (0.62 | ) | (0.37 | ) | ||||||||||
| Distributions from Realized Capital Gains | — | (0.18 | ) | — | — | — | ||||||||||||||
| Total Distributions | (0.26 | ) | (0.32 | ) | (0.37 | ) | (0.62 | ) | (0.37 | ) | ||||||||||
| Net Asset Value, End of Year/Period | $ | 28.77 | $ | 25.20 | $ | 36.07 | $ | 22.81 | $ | 25.11 | ||||||||||
| Market Value, End of Year/Period | $ | 28.77 | $ | 25.13 | $ | 36.06 | $ | 22.80 | $ | 25.12 | ||||||||||
| Total Return | ||||||||||||||||||||
| Total Investment Return Based on Net Asset Value(4) | 15.24 | % | (29.45 | )% | 59.98 | % | (6.91 | )% | (0.22 | )% | ||||||||||
| Total Investment Return Based on Market(4) | 15.58 | % | (29.62 | )% | 60.05 | % | (6.99 | )% | (0.50 | )% | ||||||||||
| Ratios/Supplemental Data | ||||||||||||||||||||
| Net Assets, End of Year/Period (000’s omitted) | $ | 9,782 | $ | 8,695 | $ | 13,889 | $ | 9,126 | $ | 13,183 | ||||||||||
| Ratio to Average Net Assets of: | ||||||||||||||||||||
| Expenses, after expense waivers and reimbursements or recapture(6) | 0.99 | % | 0.99 | % | 0.99 | % | 0.90 | % | 0.75 | % | ||||||||||
| Expenses, prior to expense waivers and reimbursements or recapture(6) | 1.90 | % | 1.64 | % | 1.71 | % | 1.59 | % | 1.43 | % | ||||||||||
| Net Investment Income(6) | 1.65 | % | 0.59 | % | 0.63 | % | 1.77 | % | 1.79 | % | ||||||||||
| Portfolio Turnover Rate(7) | 147 | % | 83 | % | 125 | % | 41 | % | 76 | % | ||||||||||
| (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 Fund invests in other funds and indirectly bear their proportionate shares of fees and expenses incurred by the funds in which the Fund is 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) | 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. |
See accompanying Notes to Financial Statements.
150
ADVISORSHARES TRUST
Notes to Financial Statements
June 30, 2023
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”). As of June 30, 2023, the Trust is comprised of 22 active funds (the “Funds” or “ETFs” and individually, the “Fund” or “ETF”):
Fund |
|
Ticker |
|
Commencement of Operations |
|
| AdvisorShares Alpha DNA Equity Sentiment ETF | SENT | February 2, 2021 | |||
| AdvisorShares Dorsey Wright ADR ETF | AADR | July 21, 2010 | |||
| 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 Short ETF | DWSH | July 11, 2018 | |||
| AdvisorShares Dorsey Wright Small Company ETF | DWMC | July 11, 2018 | |||
| AdvisorShares Focused Equity ETF | CWS | September 20, 2016 | |||
| AdvisorShares Gerber Kawasaki ETF | GK | July 2, 2021 | |||
| AdvisorShares Hotel ETF | BEDZ | April 20, 2021 | |||
| AdvisorShares Insider Advantage ETF | SURE | October 4, 2011 | |||
| AdvisorShares Let Bob AI Powered Momentum ETF | LETB | February 9, 2022 | |||
| AdvisorShares MSOS 2X Daily ETF | MSOX | August 24, 2022 | |||
| AdvisorShares Newfleet Multi-Sector Income ETF | MINC | March 19, 2013 | |||
| AdvisorShares Poseidon Dynamic Cannabis ETF | PSDN | November 17, 2021 | |||
| AdvisorShares Psychedelics ETF | PSIL | September 16, 2021 | |||
| AdvisorShares Pure Cannabis ETF | YOLO | April 17, 2019 | |||
| AdvisorShares Pure US Cannabis ETF | MSOS | September 1, 2020 | |||
| AdvisorShares Q Dynamic Growth ETF | QPX | December 28, 2020 | |||
| AdvisorShares Ranger Equity Bear ETF | HDGE | January 27, 2011 | |||
| AdvisorShares Restaurant ETF | EATZ | April 20, 2021 | |||
| AdvisorShares STAR Global Buy-Write ETF | VEGA | September 17, 2012 | |||
| AdvisorShares Vice ETF | VICE | December 12, 2017 |
AdvisorShares Alpha DNA Equity Sentiment ETF (“Alpha DNA Equity Sentiment ETF”) seeks to provide long-term capital appreciation.
AdvisorShares Dorsey Wright ADR ETF (“Dorsey Wright ADR ETF”) seeks long-term capital appreciation above international benchmarks such as the MSCI EAFE Index.
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 Short ETF (“Dorsey Wright Short ETF”) seeks capital appreciation through short selling securities.
151
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
1. Organization – (continued)
AdvisorShares Dorsey Wright Small Company ETF (“Dorsey Wright Small Company ETF”) seeks long term capital appreciation.
AdvisorShares Focused Equity ETF (“Focused Equity ETF”) seeks long-term capital appreciation.
AdvisorShares Gerber Kawasaki ETF (“Gerber Kawasaki ETF”) seeks long-term capital appreciation. AdvisorShares Hotel ETF (“Hotel ETF”) seeks to provide long-term capital appreciation.
AdvisorShares Insider Advantage ETF (“Insider Advantage ETF”) seeks long-term capital appreciation.
AdvisorShares Let Bob AI Powered Momentum ETF (“Let Bob AI Powered Momentum ETF”) seeks long-term capital appreciation.
AdvisorShares MSOS 2X Daily ETF (“MSOS Daily 2X Daily ETF”) seeks daily investment results that, before fees and expenses, correspond to two times (2x) the daily total return of the US Cannabis ETF.
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.
AdvisorShares Poseidon Dynamic Cannabis ETF (“Poseidon Dynamic Cannabis ETF”) seeks long-term capital appreciation.
AdvisorShares Psychedelics ETF (“Psychedelics ETF”) seeks long-term capital appreciation.
AdvisorShares Pure Cannabis ETF (“Pure Cannabis ETF”) seeks long-term capital appreciation.
AdvisorShares Pure US Cannabis ETF (“Pure US Cannabis ETF”) seeks long-term capital appreciation.
AdvisorShares Q Dynamic Growth ETF (“Q Dynamic Growth ETF”) seeks to achieve long-term growth.
AdvisorShares Ranger Equity Bear ETF (“Ranger Equity Bear ETF”) seeks capital appreciation through short sales of domestically traded equity securities.
AdvisorShares Restaurant ETF (“Restaurant ETF”) seeks to provide long-term capital appreciation.
AdvisorShares STAR Global Buy-Write ETF (“STAR Global Buy-Write ETF”) seeks consistent repeatable returns across all market cycles.
AdvisorShares Vice ETF (“Vice ETF”) seeks long-term capital appreciation.
Some of the Funds are considered “funds 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.
Each Fund, except the Gerber Kawasaki ETF, Hotel ETF, MSOS 2X Daily ETF, Poseidon Dynamic Cannabis ETF, Psychedelics ETF, Pure Cannabis ETF, Pure US Cannabis ETF, and Restaurant ETF, is a diversified investment company under the Investment Company Act of 1940 (the “1940 Act”).
152
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
1. Organization – (continued)
For the year ended June 30, 2023, 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:
| Fund | Security Name | Market Value as of June 30, 2023 |
% of Fund Net Assets as of June 30, 2023 |
Reference location | |||||||||
| Dorsey Wright FSM All Cap World ETF | First Trust NASDAQ-100 Equal Weighted Index Fund | $ | 44,853,209 | 52.0 | % | https://www.ftportfolios.com | |||||||
| iShares MSCI EAFE ETF | 40,384,167 | 46.9 | https://www.ishares.com | ||||||||||
| Dorsey Wright FSM US Core ETF | Invesco QQQ Trust Series 1 | 46,558,741 | 52.0 | https://www.invesco.com | |||||||||
| Invesco S&P 500 Equal Weight ETF | 42,271,355 | 47.2 | https://www.invesco.com | ||||||||||
| Pure Cannabis ETF | AdvisorShares Pure US Cannabis ETF | 19,211,102 | 56.5 | Contained within this report. | |||||||||
| Q Dynamic Growth ETF | Invesco QQQ Trust Series 1 | 11,237,756 | 39.6 | https://www.invesco.com | |||||||||
| Technology Select Sector SPDR Fund | 8,857,993 | 31.2 | https://www.ssga.com | ||||||||||
| STAR Global Buy-Write ETF | SPDR S&P 500 ETF Trust | 21,225,133 | 39.5 | 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 portfolio investments are generally 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 (“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. When market quotations are not readily available, a portfolio investment’s fair value will be determined and such fair valuations will be used in calculating a Fund’s NAV.
153
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
2. Summary of Significant Accounting Policies – (continued)
The Board of Trustees of the Trust has adopted valuation policies and procedures pursuant to which it has designated AdvisorShares Investments, LLC (the “Advisor”) to determine the fair value of each Fund’s investments, subject to the Board’s oversight, when market prices for those investments are not readily available, including when they are determined to be unreliable. Fair value determinations are made in good faith and in accordance with the fair value methodologies established by the Advisor.
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 the Fund will realize a loss or gain. A Fund 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 a Fund to risk of loss in excess of the amounts shown on the Statements of Assets and Liabilities, up to the notional
154
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
2. Summary of Significant Accounting Policies – (continued)
value of the futures contracts. Use of short futures contracts subjects a Fund to unlimited risk of loss. A Fund may enter 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, a Fund’s 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, does not accurately analyze and predict future market trends, the values of assets or economic factors, a Fund 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 a Fund 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 respective Fund may be delayed or limited.
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 a Fund makes a short sale, it must borrow the security sold short and deliver it to the broker-dealer through which it made the short sale. A Fund 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 a Fund sold the security short, or a loss, unlimited in magnitude, will be recognized upon the termination of a short sale if the market price at termination is less than or greater than, respectively, the proceeds originally received. A Fund also is 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.
155
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
2. Summary of Significant Accounting Policies – (continued)
A Fund is required to pledge cash or securities to the broker as collateral for any securities sold short. Collateral requirements are calculated daily based on the current market value of the short positions. Cash deposited with the 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. A Fund 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 to Ranger Equity Bear ETF for the year ended June 30, 2023 was $4,237,477, which is included as Interest in the Statements of Operations.
Deposits with brokers and segregated cash for securities sold short represent cash balances on deposit with the respective Fund’s prime brokers and custodian. A Fund is subject to credit risk should the prime brokers be unable to meet its obligations to the Fund.
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). A 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.
Short-Term Investments
In addition to repurchase agreements, 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 and U.S. government securities.
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 applicable Fund, 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 Funds’ 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
156
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
2. Summary of Significant Accounting Policies – (continued)
of the securities on loan. Lending securities entails a risk of loss to a Fund 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 a Fund is disclosed on the Statements of Operations.
The value of loaned securities and related collateral outstanding at June 30, 2023 are shown in the Schedules of Investments and Statements of Assets and Liabilities. Non-cash collateral received by a Fund may not be sold or re-pledged except to satisfy a borrower default. Non-cash collateral is included on a Fund’s Schedules of Investments and Statements of Asset and Liabilities.
| Gross Amounts of |
Gross Amounts Offset in the Statements |
Net Amounts Presented in the Statements |
Gross Amounts not offset in the Statements of Assets and Liabilities |
|||||||||||||||||||||
| Fund and Description | Recognized Assets and (Liabilities) |
of Assets and (Liabilities) |
of Assets and (Liabilities) |
Financial Instruments |
Collateral Pledged/ Received |
Net Amount |
||||||||||||||||||
| Alpha DNA Equity Sentiment ETF | ||||||||||||||||||||||||
| Securities Lending | $ | (328,345 | ) | $ | — | $ | (328,345 | ) | $ | 328,345 | (1) | $ | — | $ | — | |||||||||
| Money Market Instruments | 328,345 | — | 328,345 | 328,345 | — | — | ||||||||||||||||||
| Dorsey Wright ADR ETF | ||||||||||||||||||||||||
| Securities Lending | (2,144,808 | ) | — | (2,144,808 | ) | 2,144,808 | (1) | — | — | |||||||||||||||
| Money Market Instruments | 2,144,808 | — | 2,144,808 | 2,144,808 | — | — | ||||||||||||||||||
| Dorsey Wright FSM All Cap World ETF | ||||||||||||||||||||||||
| Securities Lending | (118 | ) | — | (118 | ) | 118 | (1) | — | — | |||||||||||||||
| Money Market Instruments | 118 | — | 118 | 118 | — | — | ||||||||||||||||||
| Dorsey Wright FSM US Core ETF | ||||||||||||||||||||||||
| Securities Lending | (20,460,356 | ) | — | (20,460,356 | ) | 20,460,356 | (1) | — | — | |||||||||||||||
| Money Market Instruments | 20,460,356 | — | 20,460,356 | 20,460,356 | — | — | ||||||||||||||||||
| Dorsey Wright Small Company ETF | ||||||||||||||||||||||||
| Securities Lending | $ | (304,948 | ) | $ | — | $ | (304,948 | ) | $ | 304,948 | (1) | $ | — | $ | — | |||||||||
| Money Market Instruments | 304,948 | — | 304,948 | 304,948 | — | — | ||||||||||||||||||
| Gerber Kawasaki ETF | — | |||||||||||||||||||||||
| Securities Lending | (277,178 | ) | — | (277,178 | ) | 277,178 | (1) | — | — | |||||||||||||||
| Money Market Instruments | 277,178 | — | 277,178 | 277,178 | — | |||||||||||||||||||
| Hotel ETF | ||||||||||||||||||||||||
| Securities Lending | (134,900 | ) | — | (134,900 | ) | 134,900 | (1) | — | — | |||||||||||||||
| Money Market Instruments | 134,900 | — | 134,900 | 134,900 | — | — | ||||||||||||||||||
157
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
2. Summary of Significant Accounting Policies – (continued)
| Gross Amounts of |
Gross Amounts Offset in the Statements |
Net Amounts Presented in the Statements |
Gross Amounts not offset in the Statements of Assets and Liabilities |
|||||||||||||||||||||
| Fund and Description | Recognized Assets and (Liabilities) |
of Assets and (Liabilities) |
of Assets and (Liabilities) |
Financial Instruments |
Collateral Pledged/ Received |
Net Amount |
||||||||||||||||||
| Insider Advantage ETF | ||||||||||||||||||||||||
| Securities Lending | (57,580 | ) | — | (57,580 | ) | 57,580 | (1) | — | — | |||||||||||||||
| Money Market Instruments | 57,580 | — | 57,580 | 57,580 | — | — | ||||||||||||||||||
| MSOS 2X Daily ETF | ||||||||||||||||||||||||
| Swaps | 44,172 | — | 44,172 | — | — | 44,172 | ||||||||||||||||||
| Newfleet Multi-Sector Income ETF | ||||||||||||||||||||||||
| Securities Lending | (617,967 | ) | — | (617,967 | ) | 617,967 | (1) | — | — | |||||||||||||||
| Money Market Instruments | 617,967 | — | 617,967 | 617,967 | — | — | ||||||||||||||||||
| Poseidon Dynamics Cannabis ETF | ||||||||||||||||||||||||
| Swaps | (14,379 | ) | — | (14,379 | ) | — | — | (14,379 | ) | |||||||||||||||
| Psychedelics ETF | ||||||||||||||||||||||||
| Securities Lending | (704,803 | ) | — | (704,803 | ) | 704,803 | (1) | — | — | |||||||||||||||
| Money Market Instruments | 704,803 | — | 704,803 | 704,803 | — | — | ||||||||||||||||||
| Swaps | — | — | — | — | — | — | ||||||||||||||||||
| Pure Cannabis ETF | ||||||||||||||||||||||||
| Securities Lending | (1,560,210 | ) | — | (1,560,210 | ) | 1,560,210 | (1) | — | — | |||||||||||||||
| Money Market Instruments | 1,560,210 | — | 1,560,210 | 1,560,210 | — | — | ||||||||||||||||||
| Swaps | — | — | — | — | — | — | ||||||||||||||||||
| Pure US Cannabis ETF | ||||||||||||||||||||||||
| Swaps | (1,680,461 | ) | — | (1,680,461 | ) | — | — | (1,680,461 | ) | |||||||||||||||
| Restaurant ETF | ||||||||||||||||||||||||
| Securities Lending | (24,505 | ) | — | (24,505 | ) | 24,505 | (1) | — | — | |||||||||||||||
| Money Market Instruments | 24,505 | — | 24,505 | 24,505 | — | — | ||||||||||||||||||
| STAR Global Buy-Write ETF | ||||||||||||||||||||||||
| Securities Lending | (2,962,076 | ) | — | (2,962,076 | ) | 2,962,076 | (1) | — | — | |||||||||||||||
| Money Market Instruments | 2,962,076 | — | 2,962,076 | 2,962,076 | — | — | ||||||||||||||||||
| Vice ETF | ||||||||||||||||||||||||
| Securities Lending | (63,503 | ) | — | (63,503 | ) | 63,503 | (1) | — | — | |||||||||||||||
| Money Market Instruments | 63,503 | — | 63,503 | 63,503 | — | — | ||||||||||||||||||
| (1) | Collateral for securities on loan is included in the Schedules of Investments and consists of Repurchase Agreements and/or shares of Money Market instruments. |
158
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
2. Summary of Significant Accounting Policies – (continued)
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.
Recent Accounting Pronouncement
Tailored Shareholder Reports
In October 2022, the Securities and Exchange Commission (SEC) adopted a final rule relating to Tailored Shareholder Reports for Mutual Funds and Exchange-Traded Funds (ETFs); Fee Information in Investment Company Advertisements. The rule and form amendments will require mutual funds and ETFs to transmit concise and visually engaging shareholder reports that highlight key information. The amendments also will require that funds tag information in a structured data format. In addition, the rule amendments will require that certain more in-depth information be made available online and available for delivery free of charge to investors on request. The amendments became effective January 24, 2023. There is an 18-month transition period after the effective date of the amendment.
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 provide 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, 2024. 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 the Advisor pursuant to which the Advisor serves as the Fund’s investment adviser. Pursuant to the agreement, the Advisor has overall responsibility for the general management and investment of each Fund’s portfolio, and has ultimate responsibility (subject to oversight by the Trust’s Board of Trustees) for investment and operational oversight of a Fund’s sub-adviser, if applicable. For its services, the Advisor is entitled to an annual management fee from each fund, which is calculated daily and paid monthly based on the Fund’s average daily net assets. From time to time, the Advisor may waive all or a portion of its fee for a fund.
159
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
3. Investment Advisory Agreement and Other Agreements – (continued)
The Advisor’s annual management fee for each Fund is as follows:
| Fund | Rate | ||
| Alpha DNA Equity Sentiment ETF | 0.76% | ||
| Dorsey Wright ADR ETF | 0.75% | ||
| Dorsey Wright FSM All Cap World ETF | 0.75% | ||
| Dorsey Wright FSM US Core ETF | 0.75% | ||
| Dorsey Wright Short ETF | 0.75% | ||
| Dorsey Wright Small Company ETF | 0.75% | ||
| Focused Equity ETF | 0.75%* | ||
| Gerber Kawasaki ETF | 0.75% | ||
| Hotel ETF | 0.60% | ||
| Insider Advantage ETF | 0.70% | ||
| Let Bob AI Powered Momentum ETF | 0.70% | ||
| MSOS 2X Daily ETF | 0.85% | ||
| Newfleet Multi-Sector Income ETF | 0.50% | ||
| Poseidon Dynamic Cannabis ETF | 0.80% | ||
| Psychedelics ETF | 0.60% | ||
| Pure Cannabis ETF | 0.60%** | ||
| Pure US Canabis ETF | 0.60% | ||
| Q Dynamic Growth ETF | 1.00%* | ||
| Ranger Equity Bear ETF | 1.50% | ||
| Restaurant ETF | 0.60% | ||
| STAR Global Buy-Write ETF | 0.85%*** | ||
| 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 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 |
|
| Focused Equity ETF | S&P 500 Index | 0.65% to 0.85% | |||
| Q Dynamic Growth ETF | S&P 500 Index | 0.90% to 1.10% |
| ** | The Fund’s advisory fee is 0.60% less the acquired fund fees and expenses related to any investment in AdvisorShares Pure US Cannabis ETF. |
| *** | Effective October 1, 2022, the Fund’s advisory fee was changed from 1.35% to 0.85% of the Fund’s average daily net assets. |
160
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
3. Investment Advisory Agreement and Other Agreements – (continued)
Sub-Advisory Agreements
Each Fund’s investment sub-adviser, as applicable, provides investment advice and management services to its respective Fund(s). The Advisor supervises the day-to-day investment and reinvestment of the assets in each Fund and is responsible for monitoring the Fund’s adherence to its investment mandate. Pursuant to an investment sub-advisory agreement between each sub-adviser and the Advisor, the sub-adviser is entitled to a fee, which is paid by the Advisor and is not an additional expense of the applicable Fund, that 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:
Sub-Advisor |
Sub-Advisory Fee Rate |
|||||
| Alpha DNA Equity Sentiment ETF | Alpha DNA Investment Management LLC | 0.45 | % | |||
| Dorsey Wright ADR ETF | Dorsey, Wright & Associates, LLC | 0.25 | % | |||
| Dorsey Wright Short ETF | Dorsey, Wright & Associates, LLC | 0.25 | % | |||
| Dorsey Wright Small Company ETF | Dorsey, Wright & Associates, LLC | 0.25 | % | |||
| Gerber Kawasaki ETF | Gerber Kawasaki, Inc. | 0.50 | % | |||
| Newfleet Multi-Sector Income ETF | Newfleet Asset Management, LLC | 0.25 | % | |||
| Poseidon Dynamic Cannabis ETF | Poseidon Investment Management, LLC | 0.50 | % | |||
| Ranger Equity Bear ETF | Ranger Alternative Management, L.P. | 1.00 | % | |||
| STAR Global Buy-Write ETF | CreativeOne Wealth, LLC | 0.55 | %* | |||
| * | Effective October 1, 2022, the Fund’s sub-advisory fee was changed from 0.85% to 0.55% of the Fund’s daily net assets. |
From time to time, a sub-adviser may waive all or a portion of its fee for a fund.
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. If at any point it becomes unnecessary for the Advisor to waive fees or reimburse expenses, the Board may permit the Advisor to retain the difference between the Fund’s total annual operating expenses and the expense limitation currently in effect, or, if the current expense limitation is lower, the expense limitation that was in effect at the time of the waiver and/or reimbursement, to recapture
161
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
3. Investment Advisory Agreement and Other Agreements – (continued)
all or a portion of its prior fee waivers or expense reimbursements within three years of the date they were waived or reimbursed. The expense limits in effect for each Fund during the year ended June 30, 2023 were as follows:
| Fund: | Rate: | ||
| Alpha DNA Equity Sentiment ETF | 1.35% | ||
| Dorsey Wright ADR ETF | 1.10% | ||
| Dorsey Wright FSM All Cap World ETF | 0.99% | ||
| Dorsey Wright FSM US Core ETF | 0.99% | ||
| Dorsey Wright Short ETF | 1.25% | ||
| Dorsey Wright Small Company ETF | 1.25% | ||
| Focused Equity ETF | 0.65%-0.85%(a) | ||
| Gerber Kawasaki ETF | 0.75% | ||
| Hotel ETF | 0.99% | ||
| Insider Advantage ETF | 0.90% | ||
| Let Bob AI Powered Momentum ETF | 0.99% | ||
| MSOS 2X Daily ETF | 0.95% | ||
| Newfleet Multi-Sector Income ETF | 0.75% | ||
| Poseidon Dynamic Cannabis ETF | 0.99% | ||
| Psychedelics ETF | 0.99% | ||
| Pure Cannabis ETF | 0.74% | ||
| Pure US Cannabis ETF | 0.74% | ||
| Q Dynamic Growth ETF | 1.45% | ||
| Ranger Equity Bear ETF | 1.85% | ||
| Restaurant ETF | 0.99% | ||
| STAR Global Buy-Write ETF | 1.85% | ||
| Vice ETF | 0.99% |
| (a) | 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%. |
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. 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 |
||||||||
| Alpha DNA Equity Sentiment ETF | $ | 609 | $ | 609 | 6/30/2026 | ||||||
| 609 | 609 | ||||||||||
| Dorsey Wright ADR ETF | 12,898 | 12,898 | 6/30/2025 | ||||||||
| 18,402 | 18,402 | 6/30/2026 | |||||||||
| Total | 31,300 | 31,300 | |||||||||
| Dorsey Wright FSM All Cap World ETF | 32,530 | 14,930 | 6/30/2025 | ||||||||
| 1,457 | — | 6/30/2026 | |||||||||
| Total | 33,987 | 14,930 | |||||||||
162
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
3. Investment Advisory Agreement and Other Agreements – (continued)
| Expenses | Recoupment | Recoupment | |||||||||
| Fund | Reimbursed | Balance | Expiration | ||||||||
| Dorsey Wright FSM US Core ETF | $ | 24,662 | $ | 18,117 | 6/30/2025 | ||||||
| 2,491 | — | 6/30/2026 | |||||||||
| Total | 27,153 | 18,117 | |||||||||
| Dorsey Wright Short ETF | 18,585 | 607 | 6/30/2024 | ||||||||
| 1,223 | — | 6/30/2026 | |||||||||
| Total | 19,808 | 607 | |||||||||
| Dorsey Wright Small Company ETF | 82,864 | 82,864 | 6/30/2024 | ||||||||
| 63,589 | 63,589 | 6/30/2025 | |||||||||
| 93,859 | 93,727 | 6/30/2026 | |||||||||
| Total | 240,312 | 240,180 | |||||||||
| Focused Equity ETF | 125,958 | 125,958 | 6/30/2024 | ||||||||
| 134,742 | 134,742 | 6/30/2025 | |||||||||
| 137,790 | 137,790 | 6/30/2026 | |||||||||
| Total | 398,490 | 398,490 | |||||||||
| Gerber Kawasaki ETF | 110,127 | 110,127 | 6/30/2025 | ||||||||
| 93,397 | 93,397 | 6/30/2026 | |||||||||
| Total | 203,524 | 203,524 | |||||||||
| Hotel ETF | 47,304 | 47,304 | 6/30/2024 | ||||||||
| 28,064 | 28,064 | 6/30/2025 | |||||||||
| 70,955 | 70,955 | 6/30/2026 | |||||||||
| Total | 146,323 | 146,323 | |||||||||
| Insider Advantage ETF | 67,609 | 67,609 | 6/30/2024 | ||||||||
| 31,171 | 31,171 | 6/30/2025 | |||||||||
| 67,433 | 67,433 | 6/30/2026 | |||||||||
| Total | 166,213 | 166,213 | |||||||||
| Let Bob AI Powered Momentum ETF | 42,558 | 42,558 | 6/30/2025 | ||||||||
| 27,421 | 27,421 | 6/30/2026 | |||||||||
| Total | 69,979 | 69,979 | |||||||||
| MSOS 2x Daily ETF | 140,628 | 140,585 | 6/30/2026 | ||||||||
| 140,628 | 140,585 | ||||||||||
| Newfleet Multi-Sector Income ETF | 21,007 | 21,007 | 6/30/2024 | ||||||||
| 13,998 | 13,998 | 6/30/2025 | |||||||||
| 137,918 | 137,918 | 6/30/2026 | |||||||||
| Total | 172,923 | 172,923 | |||||||||
| Poseidon Dynamic Cannabis ETF | 65,585 | 65,585 | 6/30/2025 | ||||||||
| 88,894 | 88,894 | 6/30/2026 | |||||||||
| Total | 154,479 | 154,479 | |||||||||
163
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
3. Investment Advisory Agreement and Other Agreements – (continued)
| Expenses | Recoupment | Recoupment | |||||||||
| Fund | Reimbursed | Balance | Expiration | ||||||||
| Psychedelics ETF | $ | 94,175 | $ | 94,175 | 6/30/2025 | ||||||
| 140,498 | 140,498 | 6/30/2026 | |||||||||
| Total | 234,673 | 234,673 | |||||||||
| Pure Cannabis ETF | 283,232 | 283,232 | 6/30/2025 | ||||||||
| 165,820 | 165,820 | 6/30/2026 | |||||||||
| Total | 449,052 | 449,052 | |||||||||
| Pure US Cannabis ETF | 291,422 | 291,422 | 6/30/2025 | ||||||||
| 145,696 | 136,205 | 6/30/2026 | |||||||||
| Total | 437,118 | 427,627 | |||||||||
| Q Dynamic Growth ETF | 3,158 | — | 6/30/2025 | ||||||||
| 2,148 | 2,148 | 6/30/2026 | |||||||||
| Total | 5,306 | 2,148 | |||||||||
| Restaurant ETF | 47,820 | 47,820 | 6/30/2024 | ||||||||
| 47,970 | 47,970 | 6/30/2025 | |||||||||
| 77,174 | 77,174 | 6/30/2026 | |||||||||
| Total | 172,964 | 172,964 | |||||||||
| STAR Global Buy-Write ETF | 78,833 | 26,516 | 6/30/2024 | ||||||||
| 3,755 | 3,755 | 6/30/2025 | |||||||||
| Total | 82,588 | 30,271 | |||||||||
| Vice ETF | 83,764 | 83,764 | 6/30/2024 | ||||||||
| 73,954 | 73,954 | 6/30/2025 | |||||||||
| 82,098 | 82,098 | 6/30/2026 | |||||||||
| Total | 239,816 | 239,816 | |||||||||
Administrator, Custodian, Fund Accountant and Transfer Agent
The Bank of New York Mellon (“BNYM”) serves as the Funds’ administrator, fund accountant, custodian, and transfer agent pursuant to a Fund Administration and Accounting Agreement, a Custody Agreement and a Transfer Agency and Service Agreement, as the case may be.
Distribution Arrangement
Foreside Fund Services, LLC (the “Distributor”) serves as the distributor of Creation Units (defined below) for each Fund pursuant to a 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 fee is currently paid by any Fund under the Plan, and there are no current plans to impose the fee. However, in the event a Fund were to charge a Rule 12b-1 fee, over time it would increase the cost of an investment in the Fund.
164
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
4. Creation and Redemption Transactions
The Funds issue and redeem shares on a continuous basis at NAV in groups of shares 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 “participating party”, i.e., 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 with respect to creations and redemptions of Creation Units. 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 a 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 each 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.
165
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
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. Certain Funds use derivative instruments as part of their principal investment strategies to seek to achieve their investment objective.
At June 30, 2023, the fair values of derivative instruments were as follows:
Statements of Assets and Liabilities:
| Fund | Asset Derivatives | Equity Risk | ||||
| Alpha DNA Equity Sentiment ETF | Investments, Market Value(1) | $ | 153,577 | |||
| MSOS 2X Daily ETF | Unrealized Appreciation on OTC Swap Contracts | 44,172 | ||||
| Pure US Cannabis ETF | Unrealized Appreciation on OTC Swap Contracts | 8,683 | ||||
| STAR Global Buy-Write ETF | Investments, Market Value(1) | 12,575 | ||||
| Fund | Liability Derivatives | Equity Risk | ||||
| Poseidon Dynamic Cannabis ETF | Unrealized Depreciation on OTC Swap Contracts | $ | 14,379 | |||
| Pure US Cannabis ETF | Unrealized Depreciation on Swaps Contracts | 1,689,144 | ||||
| STAR Global Buy-Write ETF | Options Written, at value | 19,598 | ||||
| (1) | Purchased options are included in Investments, at Market Value. |
Transactions in derivative instruments during the year ended June 30, 2023, were as follows:
Statements of Operations:
| Fund | Realized Gain (Loss) | Equity Risk | ||||
| Alpha DNA Equity Sentiment ETF | Purchased Options | $ | (3,133,300 | ) | ||
| MSOS 2X Daily ETF | Swaps | (11,579,539 | ) | |||
| Poseidon Dynamic Cannabis ETF | Swaps | (2,726,358 | ) | |||
| Psychedelics ETF | Swaps | (578,930 | ) | |||
| Pure Cannabis ETF | Swaps | (23,853,312 | ) | |||
| Pure US Cannabis ETF | Swaps | (734,588,984 | ) | |||
| STAR Global Buy-Write ETF | Options Written | (18,438 | ) | |||
| Fund | Change in Unrealized Gain (Loss) | Equity Risk | ||||
| Alpha DNA Equity Sentiment ETF | Purchased Options | $ | (544,300 | ) | ||
| MSOS 2X Daily ETF | Swaps | 44,172 | ||||
| Poseidon Dynamic Cannabis ETF | Swaps | (2,817 | ) | |||
| Psychedelics ETF | Swaps | 493,154 | ||||
| Pure Cannabis ETF | Swaps | 21,822,874 | ||||
| Pure US Cannabis ETF | Swaps | 385,622,141 | ||||
| STAR Global Buy-Write ETF | Options Written | (26,166 | ) | |||
| STAR Global Buy-Write ETF | Purchased Options | (76,559 | ) | |||
166
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
6. Derivative Instruments – (continued)
For the year ended June 30, 2023, the average volume of the derivatives opened by the Funds was as follows:
| Alpha DNA Equity Sentiment ETF |
MSOS 2X Daily ETF |
Poseidon Dynamic Cannabis ETF |
Psychedelics ETF |
Pure US Cannabis ETF |
STAR Global Buy-Write ETF |
|||||||||||||||||||
| Long Swaps Contracts | $ | — | $ | 213,873 | $ | 62,650 | $ | 3,333 | $ | 2,470,799 | $ | — | ||||||||||||
| Purchased Options Contracts | 563,857 | — | — | — | — | 89,134 | ||||||||||||||||||
| Written Options Contracts | — | — | — | — | — | 36,685 | ||||||||||||||||||
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 (2021 − 2023), as defined by IRS statute of limitations, for all major jurisdictions, including federal tax authorities and certain state tax authorities. As of June 30, 2023, 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, 2023, 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) |
|||||||||||||||
| Alpha DNA Equity Sentiment ETF | $ | 16,248,103 | $ | 1,439,131 | $ | (269,811 | ) | $ | 1,169,320 | $ | — | |||||||||
| Dorsey Wright ADR ETF | 28,111,061 | 3,528,481 | (713,694 | ) | 2,814,787 | — | ||||||||||||||
| Dorsey Wright FSM All Cap World ETF | 82,353,683 | 4,193,290 | (218,870 | ) | 3,974,420 | — | ||||||||||||||
| Dorsey Wright FSM US Core ETF | 103,977,045 | 6,647,187 | (524,425 | ) | 6,122,762 | — | ||||||||||||||
| Dorsey Wright Short ETF | 36,227,717 | — | — | — | 6,246,606 | |||||||||||||||
| Dorsey Wright Small Company ETF | 4,556,665 | 846,495 | (203,413 | ) | 643,082 | |||||||||||||||
| Focused Equity ETF | 60,597,521 | 10,411,615 | (929,375 | ) | 9,482,240 | — | ||||||||||||||
| Gerber Kawasaki ETF | 18,231,892 | 1,515,967 | (1,841,465 | ) | (325,498 | ) | — | |||||||||||||
| Hotel ETF | 4,077,816 | 400,604 | (114,084 | ) | 286,520 | — | ||||||||||||||
| Insider Advantage ETF | 38,135,108 | 5,190,906 | (1,003,882 | ) | 4,187,024 | — | ||||||||||||||
| Let Bob AI Powered Momentum ETF | 26,333,579 | 85,874 | (131,992 | ) | (46,118 | ) | — | |||||||||||||
| MSOS 2x Daily ETF | 7,010,606 | — | — | — | 44,172 | |||||||||||||||
167
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
7. Federal Income Tax – (continued)
| Fund | Cost | Gross Unrealized Appreciation |
Gross Unrealized (Depreciation) |
Net Unrealized Appreciation (Depreciation) |
Other Derivatives Net Unrealized Appreciation (Depreciation) |
|||||||||||||||
| Newfleet Multi-Sector Income ETF | $ | 19,152,389 | $ | 9,997 | $ | (1,011,745 | ) | $ | (1,001,748 | ) | $ | — | ||||||||
| Poseidon Dynamic Cannabis ETF | 1,427,582 | 3,173,086 | (3,367,226 | ) | (194,140 | ) | (14,379 | ) | ||||||||||||
| Psychedelics ETF | 15,596,454 | 126,002 | (8,101,649 | ) | (7,975,647 | ) | — | |||||||||||||
| Pure Cannabis ETF | 178,809,485 | 104,073 | (143,419,868 | ) | (143,315,795 | ) | — | |||||||||||||
| Pure US Cannabis ETF | 83,439,065 | 685,508,038 | (719,901,558 | ) | (34,393,520 | ) | (1,680,461 | ) | ||||||||||||
| Q Dynamic Growth ETF | 27,883,892 | 898,235 | (360,505 | ) | 537,730 | — | ||||||||||||||
| Ranger Equity Bear ETF | 140,668,025 | — | — | — | (10,845,253 | ) | ||||||||||||||
| Restaurant ETF | 2,371,320 | 400,659 | (64,042 | ) | 336,617 | — | ||||||||||||||
| STAR Global Buy-Write ETF | 55,946,468 | 2,705,833 | (1,898,124 | ) | 807,709 | 1,983 | ||||||||||||||
| Vice ETF | 9,101,647 | 1,029,605 | (230,530 | ) | 799,075 | — | ||||||||||||||
At June 30, 2023, the components of distributable earnings/loss on a tax basis were as follows:
| Fund | Undistributed Ordinary Income |
Undistributed Long-Term Capital Gains |
Capital Loss Carryforward |
Timing Differences |
Post- October/ Late-year Ordinary Deferrals |
Net Unrealized Appreciation (Depreciation) |
Total Earnings (Losses) |
|||||||||||||||||||||
| Alpha DNA Equity Sentiment ETF | $ | 260,018 | $ | — | $ | (18,957,523 | ) | $ | (8,720 | ) | $ | — | $ | 1,169,320 | $ | (17,536,905 | ) | |||||||||||
| Dorsey Wright ADR ETF | 42,335 | — | (55,253,681 | ) | — | — | 2,814,787 | (52,396,559 | ) | |||||||||||||||||||
| Dorsey Wright FSM All Cap World ETF | 1,203,483 | — | (26,859,423 | ) | (10,444 | ) | — | 3,974,420 | (21,691,964 | ) | ||||||||||||||||||
| Dorsey Wright FSM US Core ETF | 150,200 | — | (3,335,983 | ) | (10,444 | ) | — | 6,122,762 | 2,926,535 | |||||||||||||||||||
| Dorsey Wright Short ETF | 1,154,672 | — | (94,834,286 | ) | — | — | 6,246,606 | (87,433,008 | ) | |||||||||||||||||||
| Dorsey Wright Small Company ETF | 64,388 | — | (3,024,127 | ) | — | — | 643,082 | (2,316,657 | ) | |||||||||||||||||||
| Focused Equity ETF | 97,263 | — | (624,767 | ) | — | — | 9,482,240 | 8,954,736 | ||||||||||||||||||||
| Gerber Kawasaki ETF | 15,512 | — | (7,962,841 | ) | (8,626 | ) | — | (325,498 | ) | (8,281,453 | ) | |||||||||||||||||
| Hotel ETF | 35,672 | — | (1,408,779 | ) | (12,701 | ) | — | 286,520 | (1,099,288 | ) | ||||||||||||||||||
| Insider Advantage ETF | 331,321 | — | (28,190,167 | ) | — | — | 4,187,024 | (23,671,822 | ) | |||||||||||||||||||
| Let Bob AI Powered Momentum ETF | 453,317 | — | (2,415,378 | ) | (9,055 | ) | — | (46,118 | ) | (2,017,234 | ) | |||||||||||||||||
| MSOS 2x Daily ETF | — | — | (11,139,728 | ) | (22,989 | ) | (254,435 | ) | 44,172 | (11,372,980 | ) | |||||||||||||||||
| Newfleet Multi-Sector Income ETF | 48,131 | — | (13,636,887 | ) | (616 | ) | — | (1,001,748 | ) | (14,591,120 | ) | |||||||||||||||||
| Poseidon Dynamic Cannabis ETF | — | — | (11,495,663 | ) | (25,826 | ) | (28,004 | ) | (208,519 | ) | (11,758,012 | ) | ||||||||||||||||
| Psychedelics ETF | 1,863 | — | (3,455,058 | ) | (21,779 | ) | — | (7,975,647 | ) | (11,450,621 | ) | |||||||||||||||||
| Pure Cannabis ETF | 69,296 | — | (133,147,109 | ) | — | — | (143,315,795 | ) | (276,393,608 | ) | ||||||||||||||||||
| Pure US Cannabis ETF | — | — | (1,539,519,031 | ) | (107,827 | ) | (10,271,580 | ) | (36,073,981 | ) | (1,585,972,419 | ) | ||||||||||||||||
| Q Dynamic Growth ETF | — | — | (5,379,364 | ) | (10,490 | ) | (75,931 | ) | 537,730 | (4,928,055 | ) | |||||||||||||||||
| Ranger Equity Bear ETF | 3,304,315 | — | (383,433,169 | ) | — | — | (10,845,253 | ) | (390,974,107 | ) | ||||||||||||||||||
| Restaurant ETF | 8,059 | — | (1,077,845 | ) | (12,701 | ) | — | 336,617 | (745,870 | ) | ||||||||||||||||||
| STAR Global Buy-Write ETF | 308,482 | — | (719,844 | ) | (652,144 | ) | — | 809,692 | (253,814 | ) | ||||||||||||||||||
| Vice ETF | 67,703 | — | (1,163,999 | ) | — | — | 799,075 | (297,221 | ) | |||||||||||||||||||
The differences between book and tax basis components of net assets are primarily attributed to wash sale loss deferrals and other book/tax differences.
168
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
7. Federal Income Tax – (continued)
At June 30, 2023, the effect of permanent book/tax reclassifications resulted in increases/(decreases) to the components of net assets as follows:
| Fund | Distributable Earnings (Loss) |
Paid-in Capital |
||||||
| Alpha DNA Equity Sentiment ETF | $ | (2,564,970 | ) | $ | 2,564,970 | |||
| Dorsey Wright ADR ETF | (850,492 | ) | 850,492 | |||||
| Dorsey Wright FSM All Cap World ETF | 145,250 | (145,250 | ) | |||||
| Dorsey Wright FSM US Core ETF | 16,317 | (16,317 | ) | |||||
| Dorsey Wright Short ETF | — | — | ||||||
| Dorsey Wright Small Company ETF | (139,256 | ) | 139,256 | |||||
| Focused Equity ETF | (2,144,599 | ) | 2,144,599 | |||||
| Gerber Kawasaki ETF | (66,225 | ) | 66,225 | |||||
| Hotel ETF | (338,859 | ) | 338,859 | |||||
| Insider Advantage ETF | (5,754,226 | ) | 5,754,226 | |||||
| Let Bob AI Powered Momentum ETF | 7 | (7 | ) | |||||
| MSOS 2x Daily ETF | 27,871 | (27,871 | ) | |||||
| Newfleet Multi-Sector Income ETF | (100 | ) | 100 | |||||
| Poseidon Dynamic Cannabis ETF | 179,122 | (179,122 | ) | |||||
| Psychedelics ETF | 10 | (10 | ) | |||||
| Pure Cannabis ETF | 2,275,658 | (2,275,658 | ) | |||||
| Pure US Cannabis ETF | 24,984,239 | (24,984,239 | ) | |||||
| Q Dynamic Growth ETF | 3,496,260 | (3,496,260 | ) | |||||
| Ranger Equity Bear ETF | — | — | ||||||
| Restaurant ETF | 13,441 | (13,441 | ) | |||||
| STAR Global Buy-Write ETF | — | — | ||||||
| Vice ETF | (126,968 | ) | 126,968 | |||||
For financial reporting purposes, capital accounts are adjusted to reflect the tax character of permanent book/tax differences. Reclassifications are primarily due to the tax treatment of net operating losses and redemptions-in-kind.
169
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
7. Federal Income Tax – (continued)
The tax character of distributions paid during the fiscal years ended June 30, 2023 and 2022 were as follows:
| Fund | 2023 Ordinary Income |
2023 Long Term Capital Gains |
2023 Return of Capital |
2022 Ordinary Income |
2022 Long Term Capital Gains |
2022 Return of Capital |
||||||||||||||||||
| Alpha DNA Equity Sentiment ETF | $ | — | $ | — | $ | — | $ | — | $ | — | $ | — | ||||||||||||
| Dorsey Wright ADR ETF | 830,502 | — | — | 1,200,067 | — | — | ||||||||||||||||||
| Dorsey Wright FSM All Cap World ETF | 459,135 | — | — | 2,192,696 | — | — | ||||||||||||||||||
| Dorsey Wright FSM US Core ETF | 703,469 | — | — | 367,102 | — | — | ||||||||||||||||||
| Dorsey Wright Short ETF | — | — | — | — | — | — | ||||||||||||||||||
| Dorsey Wright Small Company ETF | 38,414 | — | — | 38,855 | — | 9,609 | ||||||||||||||||||
| Focused Equity ETF | 155,922 | — | — | 52,120 | — | — | ||||||||||||||||||
| Gerber Kawasaki ETF | 185,487 | — | — | 9,594 | — | — | ||||||||||||||||||
| Hotel ETF | 9,873 | — | — | 32,154 | — | — | ||||||||||||||||||
| Insider Advantage ETF | 693,692 | — | — | 520,610 | — | — | ||||||||||||||||||
| Let Bob AI Powered Momentum ETF | 164,137 | — | — | — | — | — | ||||||||||||||||||
| MSOS 2x Daily ETF | — | — | — | — | — | — | ||||||||||||||||||
| Newfleet Multi-Sector Income ETF | 1,018,031 | — | — | 1,469,967 | — | — | ||||||||||||||||||
| Poseidon Dynamic Cannabis ETF | — | — | — | — | — | — | ||||||||||||||||||
| Psychedelics ETF | 160,462 | — | — | — | — | — | ||||||||||||||||||
| Pure Cannabis ETF | 305,589 | — | — | 7,501,781 | — | 252,376 | ||||||||||||||||||
| Pure US Cannabis ETF | — | — | — | 3,055,414 | — | — | ||||||||||||||||||
| Q Dynamic Growth ETF | — | — | — | — | — | — | ||||||||||||||||||
| Ranger Equity Bear ETF | — | — | — | — | — | — | ||||||||||||||||||
| Restaurant ETF | 53,627 | — | — | 6,358 | — | — | ||||||||||||||||||
| STAR Global Buy-Write ETF | 650,549 | 67,088 | — | 166,381 | — | — | ||||||||||||||||||
| Vice ETF | 80,580 | — | — | 118,472 | — | — | ||||||||||||||||||
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 Regulated Investment Company Modernization Act of 2010, the Funds are 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, 2023 are as follows:
| Fund | Late Year Ordinary Loss Deferral |
Short-Term Capital Post- October Loss |
Long-Term Capital Post-October Loss |
|||||||||
| Alpha DNA Equity Sentiment ETF | $ | — | $ | — | $ | — | ||||||
| Dorsey Wright ADR ETF | — | — | — | |||||||||
| Dorsey Wright FSM All Cap World ETF | — | — | — | |||||||||
| Dorsey Wright FSM US Core ETF | — | — | — | |||||||||
| Dorsey Wright Short ETF | — | — | — | |||||||||
| Dorsey Wright Small Company ETF | — | — | — | |||||||||
| Focused Equity ETF | — | — | — | |||||||||
| Gerber Kawasaki ETF | — | — | — | |||||||||
170
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
7. Federal Income Tax – (continued)
| Fund | Late Year Ordinary Loss Deferral |
Short-Term Capital Post- October Loss |
Long-Term Capital Post-October Loss |
|||||||||
| Hotel ETF | $ | — | $ | — | $ | — | ||||||
| Insider Advantage ETF | — | — | — | |||||||||
| Let Bob AI Powered Momentum ETF | — | — | — | |||||||||
| MSOS 2x Daily ETF | 254,435 | — | — | |||||||||
| Newfleet Multi-Sector Income ETF | — | — | — | |||||||||
| Poseidon Dynamic Cannabis ETF | 28,004 | — | — | |||||||||
| Psychedelics ETF | — | — | — | |||||||||
| Pure Cannabis ETF | — | — | — | |||||||||
| Pure US Cannabis ETF | 10,271,580 | — | — | |||||||||
| Q Dynamic Growth ETF | 75,931 | — | — | |||||||||
| Ranger Equity Bear ETF | — | — | — | |||||||||
| Restaurant 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 | |||||||||
| Alpha DNA Equity Sentiment ETF | $ | 18,364,803 | $ | 592,720 | $ | 18,957,523 | ||||||
| Dorsey Wright ADR ETF | 55,253,681 | — | 55,253,681 | |||||||||
| Dorsey Wright FSM All Cap World ETF | 20,693,876 | 6,165,547 | 26,859,423 | |||||||||
| Dorsey Wright FSM US Core ETF | 3,335,983 | — | 3,335,983 | |||||||||
| Dorsey Wright Short ETF | 94,606,727 | 227,559 | 94,834,286 | |||||||||
| Dorsey Wright Small Company ETF | 2,946,048 | 78,079 | 3,024,127 | |||||||||
| Focused Equity ETF | 108,026 | 516,741 | 624,767 | |||||||||
| Gerber Kawasaki ETF | 5,363,136 | 2,599,705 | 7,962,841 | |||||||||
| Hotel ETF | 650,703 | 758,076 | 1,408,779 | |||||||||
| Insider Advantage ETF | 25,082,023 | 3,108,144 | 28,190,167 | |||||||||
| Let Bob AI Powered Momentum ETF | 2,415,378 | — | 2,415,378 | |||||||||
| MSOS 2x Daily ETF | 11,139,728 | — | 11,139,728 | |||||||||
| Newfleet Multi-Sector Income ETF | 3,468,622 | 10,168,265 | 13,636,887 | |||||||||
| Poseidon Dynamic Cannabis ETF | 11,495,663 | — | 11,495,663 | |||||||||
| Psychedelics ETF | 714,249 | 2,740,809 | 3,455,058 | |||||||||
| Pure Cannabis ETF | 45,542,693 | 87,604,416 | 133,147,109 | |||||||||
| Pure US Cannabis ETF | 1,006,012,439 | 533,506,592 | 1,539,519,031 | |||||||||
| Q Dynamic Growth ETF | 5,244,850 | 134,514 | 5,379,364 | |||||||||
| Ranger Equity Bear ETF | 382,531,805 | 901,364 | 383,433,169 | |||||||||
| Restaurant ETF | 888,531 | 189,314 | 1,077,845 | |||||||||
| STAR Global Buy-Write ETF | 208,178 | 511,666 | 719,844 | |||||||||
| Vice ETF | 970,752 | 193,247 | 1,163,999 | |||||||||
The Funds did not utilize capital loss carryforwards to offset taxable gains realized during the year ended June 30, 2023.
171
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
8. Investment Transactions
Purchases and sales of investments and securities sold short (excluding short term securities) for the year ended June 30, 2023 were as follows:
| Purchases | Sales | |||||||||||||||||||||||
| U.S. | U.S. | |||||||||||||||||||||||
| Fund | Long Term | Government | In-Kind | Long Term | Government | In-Kind | ||||||||||||||||||
| Alpha DNA Equity Sentiment ETF | $ | 230,604,384 | $ | — | $ | 317,749 | $ | 232,711,541 | $ | — | $ | 39,586,857 | ||||||||||||
| Dorsey Wright ADR ETF | 34,314,910 | — | 3,185,902 | 34,585,071 | — | 16,962,747 | ||||||||||||||||||
| Dorsey Wright FSM All Cap World ETF | 132,664,086 | — | 12,696,528 | 131,709,814 | — | 13,738,993 | ||||||||||||||||||
| Dorsey Wright FSM US Core ETF | 83,314,262 | — | 5,412,245 | 83,703,748 | — | 6,974,481 | ||||||||||||||||||
| Dorsey Wright Short ETF | 139,191,968 | — | — | 116,315,590 | — | — | ||||||||||||||||||
| Dorsey Wright Small Company ETF | 5,523,211 | — | 641,535 | 5,511,367 | — | 3,372,337 | ||||||||||||||||||
| Focused Equity ETF | 7,210,135 | — | 39,853,373 | 7,279,639 | — | 7,626,044 | ||||||||||||||||||
| Gerber Kawasaki ETF | 7,726,412 | — | 3,184,885 | 7,666,570 | — | 3,084,884 | ||||||||||||||||||
| Hotel ETF | 5,715,866 | — | 481,010 | 5,790,643 | — | 2,990,960 | ||||||||||||||||||
| Insider Advantage ETF | 124,010,317 | — | 28,388,970 | 121,154,266 | — | 37,669,703 | ||||||||||||||||||
| Let Bob AI Powered Momentum ETF | 11,148,419 | — | 22,765 | 8,971,022 | — | — | ||||||||||||||||||
| MSOS 2x Daily ETF | — | — | — | — | — | — | ||||||||||||||||||
| Newfleet Multi-Sector Income ETF | 7,970,545 | 6,231,401 | — | 68,861,151 | 7,843,466 | — | ||||||||||||||||||
| Poseidon Dynamic Cannabis ETF | 974,938 | — | 386,885 | 1,233,236 | — | — | ||||||||||||||||||
| Psychedelics ETF | 5,976,446 | — | 3,593,220 | 4,717,373 | — | — | ||||||||||||||||||
| Pure Cannabis ETF | 26,045,695 | — | 427,677 | 20,551,966 | — | 1,703,629 | ||||||||||||||||||
| Pure US Cannabis ETF | 3,095,411 | — | 4,694,460 | 40,616,132 | — | 2,717,292 | ||||||||||||||||||
| Q Dynamic Growth ETF | 17,390,674 | — | 3,232,782 | 17,125,172 | — | 21,781,978 | ||||||||||||||||||
| Ranger Equity Bear ETF | 1,638,525,074 | — | — | 1,571,331,257 | — | — | ||||||||||||||||||
| Restaurant ETF | 3,159,365 | — | — | 2,627,636 | — | 549,261 | ||||||||||||||||||
| STAR Global Buy-Write ETF | 9,896,109 | — | 12,034,333 | 11,231,940 | — | — | ||||||||||||||||||
| Vice ETF | 13,539,081 | — | 845,209 | 12,739,233 | — | 869,142 | ||||||||||||||||||
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 one or more 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 a Fund’s currently effective prospectus for the specific list and description of the principal risks of investing in the Fund.
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.
172
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
9. Risks Involved with Investing in the Funds – (continued)
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. Each Fund 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 a Fund to issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of a 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 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.
ETF Market Risk
In stressed market conditions, the market for certain ETF shares may become less liquid in response to deteriorating liquidity in the markets for the ETF’s underlying portfolio holdings. This adverse effect on liquidity for the ETF’s shares in turn can lead to differences between the market price of the ETF’s shares and the underlying value of those shares. This difference can be reflected as a spread between the bid and ask prices quoted during the day or a premium or discount in the closing price from a Fund’s NAV.
Because a Fund’s shares trade in the secondary market, a broker may charge a commission to execute a transaction in shares and an investor may incur the cost of the spread between the price at which a dealer will buy shares (bid) and the somewhat higher price at which a dealer will sell shares (ask). In addition, not only are there a limited number of institutions that act as authorized participants, direct trading by authorized participants is critical to ensuring that a Fund’s shares trade at or close to NAV. However, market makers are not obligated to make a market in a Fund’s shares nor are authorized participants obligated to execute purchase or redemption orders for Creation Units and, in times of market stress, circumstances could develop that could cause them to refrain from these activities or reduce their role. The absence of an active market in a Fund’s shares could lead to a heightened risk of differences between the market price of the Fund’s shares and the underlying value of those shares.
Fund of Funds Risk
Certain 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 portfolio. The Funds will indirectly pay a proportional share of the asset-based fees, if any, of the Underlying ETFs in which they invest.
Illiquid Investments Risk
In certain circumstances, it may be difficult for a Fund to purchase and sell particular portfolio investments due to infrequent trading in such investments. The prices of such securities may experience significant volatility, make it more difficult for the Fund to transact significant amounts of such securities without an unfavorable impact on prevailing market prices, or make it difficult for the Advisor or Sub-Advisor, as applicable, to dispose of such securities at a fair price at the time the
173
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
9. Risks Involved with Investing in the Funds – (continued)
Advisor or Sub-Advisor believes it is desirable to do so. The Fund’s investments in such securities may restrict the Fund’s ability to take advantage of other market opportunities and adversely affect the value of the Fund’s portfolio holdings. Such investments also may be subject to trading halts caused by extraordinary market volatility pursuant to “circuit breaker” rules.
Management Risk
The Advisor or Sub-Advisor, as applicable, continuously evaluates each Fund’s holdings, purchases and sales with a view to achieving the Fund’s investment objective. However, achievement of the stated investment objective cannot be guaranteed. The Advisor’s or Sub-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. In fact, no matter how good a job the Advisor or Sub-Advisor does, you could lose money on your investment in a Fund, just as you could with other investments. If the Advisor or Sub-Advisor is incorrect in its assessment of the income, growth or price realization potential of a Fund’s holdings or incorrect in its assessment of general market or economic conditions, then the value of the Fund’s shares may decline.
Market Risk
Investments in securities, in general, are subject to market risks that may cause their prices to fluctuate over time. A Fund’s investments may decline in value due to factors affecting securities markets generally, such as real or perceived adverse economic conditions or changes in interest or currency rates, or particular countries, segments, economic sectors, industries or companies within those markets. Local, regional, or global events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions, uncertainties regarding interest rates, rising inflation, or other events could have a significant impact on the market generally and on specific securities. U.S. and international markets have experienced significant periods of volatility in recent years due to a number of these factors. For example, the COVID-19 pandemic, the large expansion of government deficits and debt as a result of government actions to mitigate the effects of the pandemic, Russia’s invasion of Ukraine, and the rise of inflation have resulted in extreme volatility in the global economy and in global financial markets. Economies and financial markets throughout the world are becoming increasingly interconnected. As a result, whether or not a Fund invests in securities of issuers located in or with significant exposure to countries experiencing economic and financial difficulties, the value and liquidity of the Fund’s investments may be negatively affected. Changes in market conditions and interest rates generally do not have the same impact on all types of investments. Fluctuations in the value of securities and other financial instruments in which the Fund invests will cause the NAV of the Fund to fluctuate. Historically, the markets have moved in cycles, and the value of the Fund’s investments may fluctuate drastically from day to day. Because of its link to the markets, an investment in the Fund may be more suitable for long-term investors who can bear the risk of short-term principal fluctuations, which at times may be significant.
Trading Risk
Shares of each Fund may trade above or below their NAV. The NAV of shares will fluctuate with changes in the market value of a Fund’s holdings. The trading prices of a Fund’s shares will fluctuate in accordance with changes in NAV, as well as market supply and demand. When the market price of a Fund’s shares deviates significantly from their NAV, you may pay significantly more or receive significantly less than the underlying value of the Fund’s shares. However, given that shares can be created and redeemed only in Creation Units at NAV, the Advisor and Sub-Advisor, as applicable, do not believe that large discounts or premiums to NAV will exist for extended periods of time. Although each Fund’s shares are currently listed on the Exchange, there can be no assurance that an active
174
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
9. Risks Involved with Investing in the Funds – (continued)
trading market for a Fund’s shares will develop or be maintained. In addition, trading in shares of a Fund may be halted because of market conditions or for reasons that, in the view of the Fund’s Exchange, make trading in shares inadvisable.
10. Subsequent Events
The Funds have evaluated subsequent events through the issuance of the financial statements and determined that no events have occurred, other than those disclosed below, that require additional disclosure.
At the recommendation of the investment adviser and the Trust, the Trust’s Board of Trustees approved the liquidation of the AdvisorShares Poseidon Dynamic Cannabis ETF pursuant to the terms of a Plan of Liquidation. Accordingly, the Fund is expected to cease operations, liquidate its assets, and distribute the liquidation proceeds to shareholders of record on or about September 1, 2023.
At the recommendation of the investment adviser and the Trust, the Trust’s Board of Trustees approved the liquidation of the AdvisorShares Newfleet Multi-Sector Income ETF pursuant to the terms of a Plan of Liquidation. Accordingly, the Fund is expected to cease operations, liquidate its assets, and distribute the liquidation proceeds to shareholders of record on or about September 29, 2023.
11. Unaudited Tax Information
Qualified Dividend Income — Certain dividends paid by the Funds may be subject to a minimum tax rate of 15%, as provided by the Jobs and Growth Tax Relief Reconciliation Act of 2003. The percentage of ordinary income distributions for the year ended June 30, 2023, taxed at a minimum rate of 15% were as follows:
| Fund | Percentage | |||
| Alpha DNA Equity Sentiment ETF | 0.00 | % | ||
| Dorsey Wright ADR ETF | 78.62 | |||
| Dorsey Wright FSM All Cap World ETF | 100.00 | |||
| Dorsey Wright FSM US Core ETF | 100.00 | |||
| Dorsey Wright Short ETF | 0.00 | |||
| Dorsey Wright Small Company ETF | 100.00 | |||
| Focused Equity ETF | 100.00 | |||
| Gerber Kawasaki ETF | 100.00 | |||
| Hotel ETF | 100.00 | |||
| Insider Advantage ETF | 100.00 | |||
| Let Bob AI Powered Momentum ETF | 0.00 | |||
| MSOS 2x Daily ETF | 0.00 | |||
| Newfleet Multi-Sector Income ETF | 0.00 | |||
| Poseidon Dynamic Cannabis ETF | 0.00 | |||
| Psychedelics ETF | 0.00 | |||
| Pure Cannabis ETF | 0.00 | |||
| Pure US Cannabis ETF | 0.00 | |||
| Q Dynamic Growth ETF | 0.00 | |||
| Ranger Equity Bear ETF | 0.00 | |||
| Restaurant ETF | 41.33 | |||
| STAR Global Buy-Write ETF | 68.11 | |||
| Vice ETF | 100.00 | |||
175
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
11. Unaudited Tax Information – (continued)
Dividends Received Deduction — For corporate shareholders, the percentage of ordinary income distributions for the year ended June 30, 2023 that qualifies for the dividends received deduction were as follows:
| Fund | Percentage | |||
| Alpha DNA Equity Sentiment ETF | 0.00 | % | ||
| Dorsey Wright ADR ETF | 0.00 | |||
| Dorsey Wright FSM All Cap World ETF | 54.89 | |||
| Dorsey Wright FSM US Core ETF | 100.00 | |||
| Dorsey Wright Short ETF | 0.00 | |||
| Dorsey Wright Small Company ETF | 100.00 | |||
| Focused Equity ETF | 100.00 | |||
| Gerber Kawasaki ETF | 74.72 | |||
| Hotel ETF | 100.00 | |||
| Insider Advantage ETF | 100.00 | |||
| Let Bob AI Powered Momentum ETF | 0.00 | |||
| MSOS 2x Daily ETF | 0.00 | |||
| Newfleet Multi-Sector Income ETF | 0.00 | |||
| Poseidon Dynamic Cannabis ETF | 0.00 | |||
| Psychedelics ETF | 0.00 | |||
| Pure Cannabis ETF | 0.00 | |||
| Pure US Cannabis ETF | 0.00 | |||
| Q Dynamic Growth ETF | 0.00 | |||
| Ranger Equity Bear ETF | 0.00 | |||
| Restaurant ETF | 41.33 | |||
| STAR Global Buy-Write ETF | 36.44 | |||
| Vice ETF | 94.74 | |||
Qualified Interest Income — For nonresident alien shareholders, the percentage of ordinary income distributions for the year ended June 30, 2023 that qualified interest income were as follows:
| Fund | Percentage | |||
| Alpha DNA Equity Sentiment ETF | 0.00 | % | ||
| Dorsey Wright ADR ETF | 0.00 | |||
| Dorsey Wright FSM All Cap World ETF | 0.00 | |||
| Dorsey Wright FSM US Core ETF | 0.00 | |||
| Dorsey Wright Short ETF | 0.00 | |||
| Dorsey Wright Small Company ETF | 0.00 | |||
| Focused Equity ETF | 0.00 | |||
| Gerber Kawasaki ETF | 0.00 | |||
| Hotel ETF | 0.00 | |||
| Insider Advantage ETF | 0.00 | |||
| Let Bob AI Powered Momentum ETF | 0.00 | |||
| MSOS 2x Daily ETF | 0.00 | |||
| Newfleet Multi-Sector Income ETF | 93.92 | |||
| Poseidon Dynamic Cannabis ETF | 0.00 | |||
176
ADVISORSHARES TRUST
Notes to Financial Statements (Continued)
June 30, 2023
11. Unaudited Tax Information – (continued)
| Fund | Percentage | |||
| Psychedelics ETF | 0.00 | % | ||
| Pure Cannabis ETF | 0.00 | |||
| Pure US Cannabis ETF | 0.00 | |||
| Q Dynamic Growth ETF | 0.00 | |||
| Ranger Equity Bear ETF | 0.00 | |||
| Restaurant ETF | 0.00 | |||
| STAR Global Buy-Write ETF | 0.00 | |||
| Vice ETF | 0.00 | |||
The following Funds intend to elect to pass through to shareholders the credit for taxes paid to foreign countries. The gross foreign source income and foreign taxes paid were as follows:
| Fund | Foreign Taxes Paid |
Gross Foreign Income |
||||||
| Alpha DNA Equity Sentiment ETF | $ | — | $ | — | ||||
| Dorsey Wright ADR ETF | 72,551 | 1,252,065 | ||||||
| Dorsey Wright FSM All Cap World ETF | — | — | ||||||
| Dorsey Wright FSM US Core ETF | — | — | ||||||
| Dorsey Wright Short ETF | — | — | ||||||
| Dorsey Wright Small Company ETF | — | — | ||||||
| Focused Equity ETF | — | — | ||||||
| Gerber Kawasaki ETF | — | — | ||||||
| Hotel ETF | — | — | ||||||
| Insider Advantage ETF | — | — | ||||||
| Let Bob AI Powered Momentum ETF | — | — | ||||||
| MSOS 2x Daily ETF | — | — | ||||||
| Newfleet Multi-Sector Income ETF | — | — | ||||||
| Poseidon Dynamic Cannabis ETF | — | — | ||||||
| Psychedelics ETF | — | — | ||||||
| Pure Cannabis ETF | — | — | ||||||
| Pure US Cannabis ETF | — | — | ||||||
| Q Dynamic Growth ETF | — | — | ||||||
| Ranger Equity Bear ETF | — | — | ||||||
| Restaurant ETF | — | — | ||||||
| STAR Global Buy-Write ETF | 22,126 | 76,632 | ||||||
| Vice ETF | — | — | ||||||
177
 |
taitweller.com |
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM
To the Shareholders and Board of Trustees
of AdvisorShares Trust
Opinion on the Financial Statements
We have audited the accompanying statements of assets and liabilities of the Alpha DNA Equity Sentiment ETF, Dorsey Wright ADR ETF, Dorsey Wright FSM All Cap World ETF, Dorsey Wright FSM US Core ETF, Dorsey Wright Short ETF, Dorsey Wright Small Company ETF (formerly known as Dorsey Wright Micro-Cap ETF), Focused Equity ETF, Gerber Kawasaki ETF, Hotel ETF, Insider Advantage ETF (formerly known as DoubleLine Value Equity ETF), Let Bob Al Powered Momentum ETF, MSOS 2x Daily ETF, Newfleet Multi-Sector Income ETF, Poseidon Dynamic Cannabis ETF, Psychedelics ETF, Pure Cannabis ETF, Pure US Cannabis ETF, Q Dynamic Growth ETF, Ranger Equity Bear ETF, Restaurant ETF, STAR Global Buy-Write ETF, and Vice ETF, each a series of AdvisorShares Trust (the “Funds”), including the schedules of investments, as of June 30, 2023, the related statements of operations, the statements of changes in net assets, and financial highlights for each of the periods indicated in the table below, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Funds as of June 30, 2023, the results of their operations, the changes in their net assets and their financial highlights for each of the periods indicated in the table below, in conformity with accounting principles generally accepted in the United States of America.
| Individual Funds constituting AdvisorShares Trust |
Statement of operations |
Statements of |
Financial highlights | |||
| Dorsey Wright ADR ETF, Focused Equity ETF, Insider Advantage ETF, Newfleet Multi-Sector Income ETF, Ranger Equity Bear ETF, STAR Global Buy-Write ETF, Vice ETF | For the year ended June 30, 2023 | For each of the two years in the period ended June 30, 2023 | For each of the five years in the period ended June 30, 2023 | |||
| Dorsey Wright Small Company ETF, Dorsey Wright Short ETF | For the year ended June 30, 2023 | For each of the two years in the period ended June 30, 2023 | For each of the four years in the period ended June 30, 2023 and for the period July 11, 2018 (commencement of operations) through June 30, 2019 | |||
| Pure Cannabis ETF | For the year ended June 30, 2023 | For each of the two years in the period ended June 30, 2023 | For each of the four years in the period ended June 30, 2023 and for the period April 17, 2019 (commencement of operations) through June 30, 2019 | |||
| Dorsey Wright FSM All Cap World ETF, Dorsey Wright FSM US Core ETF | For the year ended June 30, 2023 | For each of the two years in the period ended June 30, 2023 | For each of the three years in the period ended June 30, 2023 and the period December 26, 2019 (commencement of operations) through June 30, 2020 |
178
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM (Continued)
| Individual Funds constituting AdvisorShares Trust |
Statement of operations |
Statements of |
Financial highlights | |||
| Pure US Cannabis ETF | For the year ended June 30, 2023 | For each of the two years in the period ended June 30, 2023 | For each of the two years in the period ended June 30, 2023 and the period September 1, 2020 (commencement of operations) through June 30, 2021 | |||
| Q Dynamic Growth ETF | For the year ended June 30, 2023 | For each of the two years in the period ended June 30, 2023 | For each of the two years in the period ended June 30, 2023 and the period December 28, 2020 (commencement of operations) through June 30, 2021 | |||
| Alpha DNA Equity Sentiment ETF | For the year ended June 30, 2023 | For each of the two years in the period ended June 30, 2023 | For each of the two years in the period ended June 30, 2023 and the period February 2, 2021 (commencement of operations) through June 30, 2021 | |||
| Hotel ETF, Restaurant ETF | For the year ended June 30, 2023 | For each of the two years in the period ended June 30, 2023 | For each of the two years in the period ended June 30, 2023 and the period April 20, 2021 (commencement of operations) through June 30, 2021 | |||
| Gerber Kawasaki ETF | For the year ended June 30, 2023 | For the year ended June 30, 2023 and the period July 2, 2021 through June 30, 2022 | For the year ended June 30, 2023 and the period July 2, 2021 (commencement of operations) through June 30, 2022 | |||
| Psychedelics ETF | For the year ended June 30, 2023 | For the year ended June 30, 2023 and the period September 16, 2021 through June 30, 2022 | For the year ended June 30, 2023 and the period September 16, 2021 (commencement of operations) through June 30, 2022 | |||
| Poseidon Dynamic Cannabis ETF | For the year ended June 30, 2023 | For the year ended June 30, 2023 and the period November 17, 2021 through June 30, 2022 | For the year ended June 30, 2023 and the period November 17, 2021 (commencement of operations) through June 30, 2022 | |||
| Let Bob Al Powered Momentum ETF | For the year ended June 30, 2023 | For the year ended June 30, 2023 and the period February 9, 2022 through June 30, 2022 | For the year ended June 30, 2023 and the period February 9, 2022 (commencement of operations) through June 30, 2022 | |||
| MSOS 2x Daily ETF | For the period August 24, 2022 through June 30, 2023 | For the period August 24, 2022 through June 30, 2023 | For the period August 24, 2022 (commencement of operations) through June 30, 2023 |
179
REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM (Continued)
Basis for Opinion
These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We have served as the auditor of one or more of the funds in the Trust since 2009.
We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Funds are not required to have, nor were we engaged to perform, an audit of the Funds’ internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion.
Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of June 30, 2023 by correspondence with the custodian, brokers or by other appropriate auditing procedures where replies were not received. We believe that our audits provide a reasonable basis for our opinion.
| TAIT, WELLER & BAKER LLP |
Philadelphia, Pennsylvania
August 28, 2023
180
BOARD REVIEW OF INVESTMENT ADVISORY AND SUB-ADVISORY AGREEMENTS
Renewal of the Advisory Agreement for Each Fund and the Sub-Advisory Agreements for the
AdvisorShares Gerber Kawasaki ETF and AdvisorShares STAR Global Buy-Write ETF
At meetings of the Board of Trustees (the “Board”) of AdvisorShares Trust (the “Trust”) held on February 16, 2023 and June 5, 2023, 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 (a) separate sub-advisory agreements (together, the “Sub-Advisory Agreements”) between AdvisorShares Investments, LLC (the “Advisor”) and (1) Gerber Kawasaki, Inc., on behalf of the AdvisorShares Gerber Kawasaki ETF and (2) CreativeOne Wealth, LLC (formerly ChangePath, LLC), on behalf of the AdvisorShares STAR Global Buy-Write ETF (together, the “Sub-Advisors”), pursuant to which the Sub-Advisors perform portfolio management and related services, and (b) the investment advisory agreement between the Advisor and the Trust (together with the Sub-Advisory Agreements, the “Advisory Agreements”), on behalf of each series of the Trust (each, a “Fund” and, collectively, the “Funds”).
Pursuant to Section 15 of the 1940 Act and related exemptive relief, to continue after their initial two-year term, the 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 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 the Advisor’s and each Sub-Advisor’s fee and other aspects of the Advisory Agreements and decide whether to renew the 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 information to help it evaluate the Advisor’s and each Sub-Advisor’s fee and other aspects of the 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 the Advisor and each Sub-Advisor; (ii) the performance by the Advisor and each Sub-Advisor of its duties; (iii) the investment performance of each Fund; (iv) the costs of the services provided and profits realized by the Advisor and each Sub-Advisor; (v) the potential for economies of scale for the benefit of each Fund’s shareholders; and (vi) any ancillary benefits to the Adviser and each Sub-Advisor. The Board received an overview of the Advisor’s and 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 the Advisor’s and each Sub-Advisor’s overall business generally, including any noteworthy personnel changes.
The Board deliberated on the renewal of the 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 Advisor and each Sub-Advisor and the renewal of each 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 the Advisor and each Sub-Advisor, the Board reviewed the services provided to each Fund by the Advisor and applicable Sub-Advisor, noting that these services include, among other things, furnishing a continuous investment program for the Funds, including arranging for, or implementing, the purchase and sale of portfolio securities, the provision of related services, such as
181
BOARD REVIEW OF INVESTMENT ADVISORY AND SUB-ADVISORY AGREEMENTS (Continued)
portfolio management compliance services, and the preparation and filing of certain reports on behalf of the Funds. The Trustees reviewed the extensive responsibilities that the Advisor has as investment advisor to each Fund, including the oversight of the activities and operations of the Sub-Advisors, as applicable, 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 Funds. The most recent Form ADV for the Advisor and each Sub-Advisor was provided to the Board, as were responses to a detailed series of questions that, among other things, requested information about their 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 each Sub-Advisor, including those individuals responsible for portfolio management, the Advisor’s and each Sub-Advisor’s operational capabilities and resources, and their experience in managing investment portfolios. 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 Advisor and each Sub-Advisor.
Performance of the Funds. The Board was provided with information regarding each Fund’s performance for various periods, as well as comparative performance information. The Advisor and 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. The Board noted that each Fund is actively managed and that it receives regular reports regarding each Fund’s performance at its quarterly meetings. Based on this information, the Board concluded that it was satisfied with the investment results that the Advisor and each Sub-Advisor had been able to achieve for its respective Fund.
Cost of Services and Profitability. In considering whether the advisory and sub-advisory fees payable with respect to each Fund are reasonable, the Board reviewed the advisory fee paid by each Fund to the Advisor, the sub-advisory fee paid by the Advisor to each Sub-Advisor, the fees waived and/or expenses reimbursed by the Advisor and each Sub-Advisor over the period, the costs and other expenses incurred by the Advisor and each Sub-Advisor in providing advisory services, and the Advisor’s and each Sub-Advisor’s profitability analysis with respect to each Fund, as applicable. In discussing the fee arrangements between the Advisor and each Sub-Advisor, the Board noted that the Advisor pays each Sub-Advisor out of the advisory fee it receives from the respective Fund. The Board also reviewed information comparing each Fund’s fee to the fee paid by comparable funds. 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 ratios of the Funds. Based on its review, in the context of its full deliberations, the Board concluded for each Fund that the advisory fees appear 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 the Advisor and Sub-Advisors and whether the Advisor’s and/or Sub-Advisors’ fees include 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 a Fund.
Ancillary Benefits. The Board noted the potential benefits to be received by the Advisor and each Sub-Advisor as a result of its relationship with a 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 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 Advisory Agreement are fair and reasonable; (ii) concluded that the Advisor’s fees are reasonable in light of the services that it provides to the Funds; (iii) concluded that each Sub-Advisor’s fee is reasonable in light of the services that it provides to its respective Fund; and (iv) agreed to renew each Advisory Agreement for another year.
182
BOARD REVIEW OF INVESTMENT ADVISORY AND SUB-ADVISORY AGREEMENTS (Continued)
Approval of New Sub-Advisory Agreement for AdvisorShares Ranger Equity Bear ETF
In anticipation of a change in ownership of Ranger Alternative Management L.P. (“Ranger”), the investment sub-adviser to the AdvisorShares Ranger Equity Bear ETF (the “Fund”), that would result in a change in control of Ranger thereby causing an assignment of the existing sub-advisory agreement between the Advisor and Ranger with respect to the Fund and the agreement’s automatic termination under the 1940 Act, the Board, including the Independent Trustees, considered at its June 5, 2023 meeting the approval of a new sub-advisory agreement between the Advisor and Ranger with respect to the Fund (the “New Sub-Advisory Agreement”).
In considering whether to approve the New Sub-Advisory Agreement, the Board noted that the New Sub-Advisory Agreement would take effect upon consummation of the ownership change and that it contained substantially the same terms as the existing sub-advisory agreement including the rate of compensation. The Board noted that for the meeting it had been provided specific information relating to the change in control and that it most recently had conducted its annual comprehensive review of Ranger at its August 24, 2022 meeting. The Board reviewed and discussed the change in control-related information and analysis provided by Ranger and also considered the approval of the New Sub-Advisory Agreement in light of the information it received in connection with its previous annual review as well other information received throughout the year. 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.
Nature, Extent and Quality of the Services. The Board received responses to a detailed series of questions that requested information relating to the expected change in control and its effects. In considering the nature, extent and quality of the services provided by Ranger, the Board considered the portfolio management services provided to the Fund, noting that such services would continue to be the same. The Board also considered, among other things, the professional experience and qualifications of the senior management and key professional personnel of Ranger, noting any changes that were expected to result in connection with the change in control. The Board also considered Ranger’s operational capabilities and resources, the 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, the Board concluded that it was satisfied with the nature, extent and quality of the services to be provided to the Fund by Ranger.
Performance of the Fund. The Board noted its previous review of information regarding the Fund’s performance for various periods as well as comparative performance information. Ranger and the Adviser had provided information regarding factors impacting the performance of the Fund, outlining current market conditions, and explaining its expectations and strategies for the future. The Board noted that the Fund is actively managed and that it receives regular reports regarding the Fund’s performance at its quarterly meetings. Based on this information, the Board concluded that it was satisfied with the investment results that Ranger had been able to achieve for the Fund.
Cost of Services and Profitability. In considering whether the sub-advisory fee payable with respect to the Fund is reasonable, the Board noted its previous review of the sub-advisory fee paid by the Advisor to Ranger, the costs and other expenses incurred by Ranger, and the profitability analysis with respect to 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 Ranger under the existing sub-advisory agreement. Based on its review, in the context of its full deliberations, the Board concluded for the Fund that the sub-advisory fee appeared to be reasonable in light of the services rendered.
Economies of Scale. The Board noted that it had previously considered whether economies of scale were realized for the Fund. The Board determined to continue to assess on an ongoing basis whether the aggregate advisory fee for the Fund appropriately takes into account any economies of scale that had been realized as a result of any significant asset growth of the Fund.
183
BOARD REVIEW OF INVESTMENT ADVISORY AND SUB-ADVISORY AGREEMENTS (Continued)
Ancillary Benefits. The Board noted the potential benefits to be received by Ranger 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 and evaluation of the information described above, 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.
184
BOARD OF TRUSTEES AND OFFICERS (Unaudited)
The business of the Trust is managed under the direction of the Trust’s Board of Trustees. The Board elects the officers of the Trust who are responsible for administering the Trust’s day-to-day operations.
The name, age, address, and principal occupations during the past five years for each Trustee and officer of the Trust is set forth below, along with the other public directorships held by the Trustees. More information about the Trustees is in the Trust’s Statement of Additional Information, which is available without charge by calling 1-877-843-3831.
| Name, Address, and Date of Birth of Trustee/Officer |
Position(s) Held with the Trust, Term of Office and Length of Time Served |
Principal Occupation(s) During Past 5 Years |
Number of Portfolios in Fund Complex Overseen by Trustee |
Other Directorships Held by Trustee During Past 5 Years | ||||
| Interested Trustee | ||||||||
| Noah Hamman* 4800 Montgomery Lane Suite 150 Bethesda, MD 20814 (1968) |
Trustee (no set term); served since 2009 |
Chief Executive Officer, President, and Founder of AdvisorShares Investments, LLC (2006–present) |
22 | None | ||||
| Independent Trustees | ||||||||
| Elizabeth (“Betsy”) Piper/Bach 4800 Montgomery Lane Suite 150 Bethesda, MD 20814 (1952) |
Trustee (no set term); served since 2009 |
President of ASAE Business Services, Inc. (2017–present), ASAE Insurance Company (2020–present), ASAE Investments, LLC (2018–present), ASAE Real Estate (2017–present) (ASAE (American Society of Association Executives) is a membership organization serving the association and non-profit community); President of P/B Wealth Consulting (2017–present); Vice-President/Chief Operating Officer of NADA (National Automobile Dealers Association) Retirement Administrators, Inc. (2009–2017) | 22 | None | ||||
| William G. McVay 4800 Montgomery Lane Suite 150 Bethesda, MD 20814 (1954) |
Trustee (no set term); served since 2011 |
Principal of Red Tortoise LLC (a boutique investment counseling firm) (May 2017–present); Founder of RDK Strategies, LLC (2007–present) | 22 | None | ||||
| Officers | ||||||||
| Noah Hamman 4800 Montgomery Lane Suite 150 Bethesda, MD 20814 (1968) |
President (no set term); served since 2009 |
Chief Executive Officer, President, and Founder of AdvisorShares Investments, LLC (2006–present) | N/A | N/A | ||||
| Dan Ahrens 6046 Goodwin Avenue Dallas, TX 75206 (1966) |
Secretary & Treasurer (no set terms); served since 2009 |
Managing Director of AdvisorShares Investments, LLC (2013–present); Chief Compliance Officer of the Trust (2009–2013); Executive Vice President of AdvisorShares Investments, LLC (2008–2013) | N/A | N/A | ||||
| Stefanie Little 11 Gina Marie Lane Elkton, MD 21921 (1967) |
Chief Compliance Officer (no set term); served since 2013 |
Founder of Chenery Compliance Group, LLC (2015–present); Chief Compliance Officer of AdvisorShares Investments, LLC and the Trust (2013–present); President of LCG Compliance Alliance (2011–present) | N/A | N/A |
185
BOARD OF TRUSTEES AND OFFICERS (Unaudited) (Continued)
| Name, Address, and Date of Birth of Trustee/Officer |
Position(s) Held with the Trust, Term of Office and Length of Time Served |
Principal Occupation(s) During Past 5 Years |
Number of Portfolios in Fund Complex Overseen by Trustee |
Other Directorships Held by Trustee During Past 5 Years | ||||
| Julio J. Lugo 51 Stonehedge Drive East Windsor, NJ 08520 (1963) |
Vice President | Head of Fund Operations of AdvisorShares Investments, LLC (2021–present); President of ETP Consulting, LLC (2020–2021); Principal of BNYMellon Depositary Receipts (2004–2020) | N/A | N/A |
| * | Mr. Hamman is an “interested” person of the Trust, as that term is defined in the 1940 Act, by virtue of his ownership and controlling interest in the Advisor. |
186
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 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.
187
ADVISORSHARES TRUST
| Investment Advisor | Distributor | |
| AdvisorShares Investments, LLC | Foreside Fund Services, LLC | |
| 4800 Montgomery Lane, Suite 150 | Three Canal Plaza, Suite 100 | |
| Bethesda, MD 20814 | Portland, ME 04101 | |
| Sub-Advisors | Custodian/Fund Administrator/Transfer Agent | |
| Alpha DNA Investment Management LLC | The Bank of New York Mellon | |
| 8860 Columbia 100 Parkway, Suite 301 | 240 Greenwich Street | |
| Columbia, MD 21045 | New York, NY 10286 | |
| CreativeOne Wealth, LLC | Legal Counsel | |
| 6330 Sprint Parkway, Suite 400 | ||
| Overland Park, KS 66211 | Morgan, Lewis & Bockius LLP | |
| 1111 Pennsylvania Avenue, NW | ||
| Dorsey, Wright & Associates, LLC | Washington, D.C. 20004 | |
| 3300 W. Leigh Street | ||
| Richmond, VA 23230 | Independent Registered Public Accounting Firm | |
| Gerber Kawasaki, Inc. | Tait, Weller & Baker LLP | |
| 2716 Ocean Park Boulevard | 50 South 16th Street, Suite 2900 | |
| Santa Monica, CA 90405 | Philadelphia, PA 19102 | |
| Newfleet Asset Management, LLC | ||
| 1 Financial Plaza | ||
| Hartford, CT 06103 | ||
| Poseidon Investment Management, LLC | ||
| 330 Fell Street, Suite 200 | ||
| San Francisco, CA 94102 | ||
| Ranger Alternative Management, L.P. | ||
| 1845 Woodall Rodgers Freeway, Suite 1050 | ||
| Dallas, TX 75201 |
188
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.
189
| (b) | Not applicable. |
Item 2. Code of Ethics.
| (a) | The registrant, as of the end of the period covered by this report, has adopted a code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party. |
| (c) | There have been no amendments, during the period covered by this report, to a provision of the code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party, and that relates to any element of the code of ethics description. |
| (d) | The registrant has not granted any waivers, including an implicit waiver, from a provision of the code of ethics that applies to the registrant’s principal executive officer, principal financial officer, principal accounting officer or controller, or persons performing similar functions, regardless of whether these individuals are employed by the registrant or a third party, that relates to one or more of the items set forth in paragraph (b) of this item’s instructions. |
Item 3. Audit Committee Financial Expert.
The Registrant’s Board of Trustees has one audit committee financial expert serving on its audit committee, an “independent” Trustee, Elizabeth Piper/Bach. Under applicable securities laws, a person who is determined to be an audit committee financial expert will not be deemed an “expert” for any purpose, including without limitation for the purposes of Section 11 of the Securities Act of 1933, as a result of being designated or identified as an audit committee financial expert. The designation or identification of a person as an audit committee financial expert does not impose on such person any duties, obligations, or liabilities that are greater than the duties, obligations, and liabilities imposed on such person as a member of the audit committee and Board of Trustees in the absence of such designation or identification.
Item 4. Principal Accountant Fees and Services.
Audit Fees
| (a) | The aggregate fees billed for each of the last two fiscal years for professional services rendered by the principal accountant for the audit of the registrant's annual financial statements or services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for those fiscal years are $354,850 for 2023 and $397,450 for 2022. |
Audit-Related Fees
| (b) | The aggregate fees billed in each of the last two fiscal years for assurance and related services by the principal accountant that are reasonably related to the performance of the audit of the registrant's financial statements and are not reported under paragraph (a) of this Item are $0 for 2023 and $0 for 2022. |
Tax Fees
| (c) | The aggregate fees billed in each of the last two fiscal years for professional services rendered by the principal accountant for tax compliance, tax advice, and tax planning are $65,000 for 2023 and $75,000 for 2022. |
All Other Fees
| (d) | The aggregate fees billed in each of the last two fiscal years for products and services provided by the principal accountant, other than the services reported in paragraphs (a) through (c) of this Item are $0 for 2023 and $0 for 2022. |
| (e)(1) | Disclose the audit committee’s pre-approval policies and procedures described in paragraph (c)(7) of Rule 2-01 of Regulation S-X. |
Per Rule 2-01(c)(7)(A), the Audit Committee pre-approves all of the Audit, Audit-Related, Tax and Other Fees of the Registrant.
| (e)(2) | The percentage of services described in each of paragraphs (b) through (d) of this Item that were approved by the audit committee pursuant to paragraph (c)(7)(i)(C) of Rule 2-01 of Regulation S-X are as follows: |
(b) N/A
(c) 100%
(d) N/A
| (f) | No response required. |
| (g) | The aggregate non-audit fees billed by the registrant's accountant for services rendered to the registrant, and rendered to the registrant's investment adviser (not including any sub-adviser whose role is primarily portfolio management and is subcontracted with or overseen by another investment adviser), and any entity controlling, controlled by, or under common control with the adviser that provides ongoing services to the registrant for each of the last two fiscal years of the registrant was $0 for 2023 and $0 for 2022. |
| (h) | Not applicable. |
| (i) | Not applicable. |
| (j) | Not applicable. |
Item 5. Audit Committee of Listed Registrants.
| (a) | The Fund has a designated Audit Committee in accordance with Section 3(a)(58)(A) of the Securities and Exchange Act of 1934 (the “Exchange Act”) and the member of such committee is Elizabeth Piper/Bach and William G. McVay. |
| (b) | Not applicable. |
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.
There have been no material changes to the procedures by which the shareholders may recommend nominees to the registrant’s board of directors, where those changes were implemented after the registrant last provided disclosure in response to the requirements of Item 407(c)(2)(iv) of Regulation S-K (17 CFR 229.407) (as required by Item 22(b)(15) of Schedule 14A (17 CFR 240.14a-101)), or this Item.
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) | Code of ethics that is the subject of disclosure required by Item 2 is attached hereto. |
| (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)(2)(1) | Not applicable. |
| (a)(2)(2) | 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 | September 1, 2023 |
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 | September 1, 2023 | |
| By (Signature and Title)* | /s/ Dan Ahrens | |
| Dan Ahrens, Treasurer | ||
| (principal financial officer) | ||
| Date | September 1, 2023 |
| * | Print the name and title of each signing officer under his or her signature. |