First Look ETF: High Conviction, Value, and Fundamentals-First ETFs

Why It Matters

These ETFs translate time‑tested, high‑conviction strategies into a liquid, retail‑friendly format, giving investors a disciplined way to capture long‑term alpha amid market volatility.

Key Takeaways

• ETF launches surged 55% YoY, reaching $460B in Q1 2026
• Fundsmith’s new ETF mirrors its “buy good companies, do nothing” ethos
• Pazina offers deep‑value ETFs focused on normalized earnings power
• Dana’s trio of active ETFs target risk‑aware, fundamentals‑first strategies
• Rising market volatility is driving investors toward high‑conviction, low‑turnover ETFs

Summary

The April episode of First Look ETF spotlighted three fresh ETF offerings that cater to investors seeking high‑conviction, fundamentals‑driven exposure. Fundsmith introduced a U.S.‑listed ETF that replicates its celebrated “buy good companies, don’t overpay, do nothing” strategy, while Pazina Investment Management launched two deep‑value ETFs—PZLV and PZIV—built around normalized earnings power. Dana Investment Advisors rounded out the lineup with three active ETFs that emphasize risk‑aware, fundamentals‑first allocation.

Industry data underscored the timing: Q1 2026 saw 270 new ETFs and $460 billion of inflows, a 55% year‑over‑year jump. Trading volume hit record levels, reflecting investors’ desire to deploy capital through the ETF wrapper amid heightened volatility. Rather than panic selling, market participants are redeploying assets to express conviction in select ideas while maintaining portfolio liquidity.

Fundsmith’s Julian Robbins emphasized that the ETF will hold a concentrated 20‑30‑stock “best ideas” portfolio of high‑return, durable businesses across consumer staples, health care, and technology, with roughly 40% non‑U.S. exposure. Pazina’s Allison Fish described a stock‑by‑stock, normalized‑earnings approach that seeks companies trading cheaply relative to their long‑term cash‑generating capacity. Dana’s Joe Ver highlighted three distinct strategies—unconstrained growth, dividend‑focused, and a balanced core—each designed to manage risk while capturing upside.

For advisors and investors, the new products expand the toolbox for blending active, high‑conviction ideas with the transparency and liquidity of ETFs. They enable broader access to proven, long‑standing investment philosophies, offering diversification, international exposure, and a disciplined, low‑turnover alternative to pure momentum or factor‑based funds.

Original Description

In this season 6 episode of First Look ETF, Stephanie Stanton @etfguide examines the latest ETF marketplace trends with NYSE and guests.

The guest lineup for this episode includes:

1:09: 1. Bilal Little, NYSE

5:19: 2. Julian Robins, Head of Research at Fundsmith

10:20: 3. Allison Fisch, Managing Principal, President, and Portfolio Manager, Pzena Investment Management

14:59: 4. Joe Veranth, CIO, CFA, Dana ETFs

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First Look ETF is sponsored by the New York Stock Exchange

Learn more at https://www.ETFCentral.com

Watch our other ETFguide original series:

Metals in Motion: https://www.youtube.com/playlist?list=PL2nQqIxm8RGAvAHiPQt7pE8eE2MtPZ3Pn

ETF Battles: https://www.youtube.com/playlist?list=PL2nQqIxm8RGBxPV4gjtfaGGM7xExdAcYK

Spotlight: https://www.youtube.com/playlist?list=PL2nQqIxm8RGAOFiON8qp-mrhswDUNWGJ3

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