The Barron’s 400 ETF (NYSE Arca: BFOR, the “Fund”), a smart beta exchange-traded fund, has completed its semi-annual rebalance following the reconstitution and equal weighting of its underlying benchmark, the Barron’s 400 Index (B400, the “Index”). The rebalance, effective September 18, 2026, replaced 191 of the Index’s 400 constituents based on a decline in their fundamentals-based scores from the Index’s last rebalance in March 2026. This represents a turnover rate of 48%, above B400’s historical average of 42%. Against a backdrop of continued geopolitical uncertainty and rising interest rates, the “stock picker’s index” increased its exposure to Energy, Materials and Technology, while reducing exposure to Utilities, Consumer Discretionary and Consumer Staples.

  • Prominent large-cap additions to the B400 included Amazon (AMZN), Meta Platforms (META), JPMorgan Chase (JPM), Chevron (CVX), Caterpillar (CAT), Goldman Sachs (GS), Wells Fargo (WFC) and Oracle (ORCL). Noteworthy names among the 51 companies selected for the first time included RTX (RTX), GE Vernova (GEV), Bloom Energy (BE), AngloGold Ashanti (AU), Twilio (TWLO), Affirm Holdings (AFRM) and Brookfield Asset Management (BAM), while the highest-ranking new additions were two small-cap Health Care companies, CorMedix (CRMD) and MeiraGTx (MGTX), which carry MarketGrader overall grades of 94.5 and 83.9 out of 100, respectively.

  • Notably, six members of the “Magnificent 7” were chosen: Apple (AAPL); Nvidia (NVDA); Alphabet (GOOGL); Microsoft (MSFT), which holds the record for most all-time selections; with Amazon (AMZN) and Meta Platforms (META), both returning to B400 after being removed at the March rebalance. Prominent large-cap deletions included Johnson & Johnson (JNJ), Procter & Gamble (PG), Advanced Micro Devices (AMD), Merck (MRK), KLA Corporation (KLAC), Gilead Sciences (GILD), Booking Holdings (BKNG), Corning (GLW), ServiceNow (NOW) and Comcast (CMCSA).

  • On a sector basis, Energy saw the biggest net gain in constituents, adding 11 names to reach 34 companies, its highest representation in two years. Technology also expanded, adding four names to reach 80 constituents, joining Financials and Industrials at the Index’s 80-count sector cap. Utilities were the largest net loser, declining by 6 names to settle at 4 constituents. Consumer Discretionary and Consumer Staples each shed 4 companies to reach 48 and 9 members, respectively. Health Care representation also decreased, falling by 3 names to 44 stocks. While Technology would represent 64.5% of the Index on a market-cap-weighted basis, the equal weighted nature of BFOR’s index compresses the sector to a 20% weighting—reducing concentration.

  • Among the longest-tenured members, Paychex (PAYX) has been continuously selected for 13 years (26 consecutive periods) and Arista Networks (ANET) for 11.5 years. Microsoft (MSFT) leads all-time selections with 53, followed by Amgen (AMGN) with 47 and Apple (AAPL), tied with Ross Stores (ROST), with 44.

“Markets spent much of the past six months reacting to headlines—geopolitical flashpoints, shifting rate expectations, and renewed debate over the impact of AI and valuations—but the Barron’s 400 Index doesn’t react to headlines, it reacts to fundamentals,” said Carlos Diez, CEO and Founder of MarketGrader. “Market leadership widened since the March rebalance, reflecting a broader opportunity set and economic health. The earnings picture remains strong, and B400 continues to find attractive companies as viewed through our GARP + Quality lens. This rebalance reflects a rotation into Energy, Materials and Technology and away from Utilities, Consumer Discretionary and Consumer Staples, driven entirely by company fundamentals.”

Why Equal Weighting Matters

All 400 stocks in the Index are equally weighted at 0.25% at the time of rebalance, mitigating concentration risk often found in market-cap weighted benchmarks. Despite drawing from the full market-cap spectrum, this structure significantly reduces exposure to mega caps and enhances exposure to mid-sized companies.

Improved Fundamental Health of BFOR Portfolio

B400 was designed to give investors a means of tracking some of America’s highest-performing companies based on the strength of their financials and the attractiveness of their share prices. In order to adhere to B400’s growth at a reasonable price (GARP) + Quality investment philosophy, the Index is reconstituted and rebalanced twice a year, ensuring B400 is composed of the top-ranked stocks from the universe of US equities covered by MarketGrader’s research, regardless of sector or market capitalization.

The latest reconstitution has once again enhanced the fundamental health of the Index—a direct result of B400’s rigorous selection of the 400 highest-scoring companies listed on US exchanges. MarketGrader’s equity rating system, on which the selection of B400 constituents is based, evaluates nearly all investable US stocks using a proprietary framework of 24 fundamental indicators. These span four key categories: growth, value, profitability and cash flow. After screening for liquidity and ensuring size and sector diversification, the top-ranked companies are selected to form the Index that is tracked by BFOR.

Launched in 2007, B400 was jointly developed by Barron’s, America’s premier financial magazine, and MarketGrader, an independent equity research and indexing firm.

Click here for current holdings, standardized performance and other important information for the Barron’s 400 ETF (BFOR).

Important Disclosures

An investor should consider the investment objectives, risks, charges and expenses carefully before investing. To obtain a prospectus containing this and other information, call 1-866-759-5679 or visit www.alpsfunds.com. Read the prospectus carefully before investing.

Shares of ETFs are bought and sold at market price (not NAV) and are not individually redeemable.

All investments are subject to risks, including the loss of money and the possible loss of the entire principal amount invested. Additional information regarding the risks of this investment is available in the prospectus.

Diversification does not eliminate the risk of experiencing investment losses.

Smaller and mid-size companies often have a more limited track record, narrower markets, less liquidity, more limited managerial and financial resources and a less diversified product offering than larger, more established companies. As a result, their performance can be more volatile, which may increase the volatility of the Fund’s portfolio.

The Fund employs a “passive management” – or indexing – investment approach and seeks investment results that correspond (before fees and expenses) generally to the performance of its underlying index. Unlike many investment companies, the Fund is not “actively” managed. Therefore, it would not necessarily sell or buy a security unless that security is removed from or added to the underlying index, respectively.

Barron’s 400 IndexSM: seeks to track the performance of the most fundamentally sound companies with the best growth prospects in the US. The Index uses fundamental analysis and a growth at a reasonable price (GARP) methodology to select the top 400 constituents in the US equity universe after filtering for liquidity and diversification over size and sectors. The Index has been licensed to MarketGrader Capital LLC for use with the Barron’s 400 ETF. One may not invest directly in an index.

Growth at a Reasonable Price (GARP): an equity investment strategy that seeks to combine tenets of both growth investing and value investing to select individual stocks.

Magnificent 7: a group of seven high-performing and influential stocks in the technology sector including Apple, Microsoft, Alphabet, Amazon, Nvidia, Tesla and Meta.

Barron’s© is a service mark of Dow Jones & Company, Inc. and has been licensed to MarketGrader Capital LLC for use with the Barron’s 400 IndexSM and sublicensed for certain purposes by ALPS Advisors, Inc. ALPS’s Barron’s 400SM ETF, based on the Barron’s 400 IndexSM, is not sponsored, endorsed, sold or promoted by Dow Jones, or its affiliates, and Dow Jones and its affiliates make no representation regarding the advisability of investing in such product.

ALPS Advisors, Inc., registered investment adviser with the SEC, is the investment adviser to the Fund. ALPS Advisors, Inc., ALPS Distributors, Inc. and ALPS Portfolio Solutions Distributor, Inc., affiliated entities, are unaffiliated with Barron’s© and MarketGrader Capital LLC.

ALPS Portfolio Solutions Distributor, Inc. is the distributor for the Fund.

Not FDIC Insured • No Bank Guarantee • May Lose Value

About SS&C ALPS Advisors

SS&C ALPS Advisors, a wholly-owned subsidiary of SS&C Technologies, is a leading provider of investment products for advisors and institutions. With over $37.62 billion under management as of June 30, 2026, SS&C ALPS Advisors is an open architecture boutique investment manager offering portfolio building blocks, active insight and an unwavering drive to guide clients to investment outcomes across sustainable income, thematic and alternative growth strategies. For more information, visit www.alpsfunds.com.

About MarketGrader

MarketGrader is a global equity research firm specializing in index and portfolio construction. Founded in 1999, MarketGrader developed a proprietary framework for evaluating public companies based on Growth, Value, Profitability and Cash Flow. Today, the firm evaluates more than 41,000 companies worldwide every day and applies its research and stock-selection discipline to build transparent, rules-based indexes and investment strategies. For more than two decades, MarketGrader’s research has powered investment solutions for leading asset managers, wealth managers and financial institutions globally. The Barron’s 400 Index, which underlies the Barron’s 400 ETF (BFOR), is MarketGrader’s flagship US equity mid-cap strategy. It exemplifies MarketGrader’s commitment to disciplined stock selection, reduced concentration risk through equal weighting and long-term outperformance. For more information, visit www.marketgraderindexes.com.

BAR000330 9/25/2027

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