During the quarter, the iMGP DBi Managed Futures Strategy ETF was up 7.12% at NAV and 7.01% at market price versus the SG CTA Index benchmark’s gain of 2.60%. For the full calendar year, the strategy was up 13.85% at NAV and 13.84% at price, compared to the benchmark’s modest loss of 0.16%.

Quarterly Review

What a year to be an investor! Your equities were up, your bonds were up, your alts were up and, if you were lucky enough to own precious metals, you’ve had once-in-a-decade windfall profits. Of course, it did not feel that easy. You had to endure repeated spasms of market panic: that DeepSeek had rendered U.S. AI investment obsolete; that a tariff-driven global trade war would reignite inflation, drive the global economy into recession, or both; that capital would flee the U.S. and de-dollarization would spiral out of control; that a frontal assault on the independence of the Fed would prompt the Mother of All Bond Market Tantrums; that unbridled and seemingly random U.S. industrial policy would disrupt economic activity; or that grim chaos on the geopolitical front would infect markets and economies.

As discussed in these letters and above, the remarkable thing about 2025 was that nothing spiraled out of control. Optimists view this as affirmation of the robustness of our systems; pessimists that the worst is yet to come. Yet it is undeniable that real macroeconomic change is afoot: AI productivity growth and labor market disruption, reordered global trade, the decline in the U.S. dollar, seismic shifts in Japan, the outperformance of non-U.S. stocks, the stunning price increase in precious metals, defense spending in Europe, and many other areas. This greatly expanded opportunity set is driving investor flows, for the first time in a decade, to hedge funds, who have both the expertise and flexibility to capitalize on a sustained repricing of global assets and risk. Our goal for this fund is to continue to tap into this talent pool to efficiently navigate the stormy seas ahead.

Performance and Positioning (as of 12/31/25)

*Net of fees

Gross Expense Ratio: 0.85%

All sub-advisor returns are net of the management fees that each sub-advisor charges the fund*

Performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than their original cost. Current performance of the fund may be lower or higher than the performance quoted. Performance data current to the most recent month end may be obtained by calling 888-898-1041.

The Fund gained 7.12% net during the fourth quarter. Performance was primarily driven by gains in Japanese yen and gold. The Japanese yen depreciated during the quarter despite an interest rate hike by the Bank of Japan, as persistently weak growth signaled limited scope for further tightening. Gold, meanwhile, rose more than 10%, supported by increased purchases from global central banks amid heightened geopolitical risks and reduced confidence in the U.S. dollar. The portfolio increased exposure to both themes, resulting in meaningful contributions to quarterly performance. Euro exposure remained neutral for the first two-thirds of the quarter before shifting to a long position in December, which contributed positively to results. Equity exposure also added to performance as the portfolio reallocated from U.S. equities to non-U.S. markets, which outperformed during the quarter. Crude oil detracted from performance as prices fell, though losses were partially offset following a shift to a short position in mid-October. Whipsawing exposure to the interest rate curve detracted from performance.  As of the end of the year, the portfolio outperformed its target hedge fund index by approximately 1400 basis points.

Portfolio Characteristics

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