ETF Research Center

The LeaderShares AlphaFactor US Core Equity ETF tracks an equal-weighted index of US stocks selected by multiple fundamental factors.

FUND BASICS
Category	US Equities
Fund Sponsor	Redwood Investment Management
Website	www.leadersharesetfs.com
Inception date	Oct 02, 2018
Assets (mns)	$80
Currency	USD
Expense ratio	75 bp
Distributions	Annually

FUND STRUCTURE
Regulation	Open-Ended Fund
Custodian
Weighting	Equal
Index replication
Uses derivatives	No
Options available	No

SECTOR BREAKDOWN

CONSTITUENT BREAKDOWN
No. of constituents	100
Wgt avg mkt cap (mns)	$64,568
Large cap (>$10bn)	79.0%
Mid cap ($2-10bn)	21.0%
Small cap (<$2bn)	0.0%
Developed mkts	100.0%
Emerging mkts	0.0%

TOP TEN HOLDINGS
Total	11.5 %
LENNAR CORP-CL A	1.2 %
MCKESSON CORP	1.2 %
ETSY, INC.	1.2 %
PULTE HOMES INC	1.2 %
LAM RESEARCH CORP	1.1 %
GODADDY, INC. CLASS A	1.1 %
PLANET FITNESS INC CLASS A	1.1 %
DAVITA INC	1.1 %
SAIC INC	1.1 %
SANTANDER CONSUMER USA HOLDI	1.1 %

TOP COUNTRY EXPOSURE
	UNITED STATES	95.2 %
	IRELAND	2.1 %
	BRITAIN	1.1 %
	BERMUDA	0.9 %

HISTORICAL PERFORMANCE info

	Custom date range	Compare to
	thru

Standardized Annual Returns (thru January 31)
Year-to-date	1 year	5 years	10 years	Since Incep.
-2.8%	14.6%	--	--	11.5%

Market Correlations
versus...	Beta	R-squared
S&P500	1.13	94%
MSCI EAFE	1.36	87%
MSCI Emg. Mkts.	0.85	60%

Technical Indicators
Recent close	$27.44
30d moving avg.	$27.03
Annualized volatility	17.9%
Short interest (ETF)	0.3%
Relative strength (RSI)	56

Liquidity measures
Avg. volume (thou.)	13
Turnover	0.5%
Bid/Ask (% of price)	0.26%
ADV underlying (mns)	$32,299

Distributions

FINDING ALTERNATIVE FUNDS

Below is a list of 19 potential alternatives to the LeaderShares AlphaFactor US Core Equity ETF ETF based on the alternatives' overlap in portfolio holdings with LSAF. Consider funds with lower expense ratios and/or higher ALTAR Score™ ratings as possible alternatives.

Benchmark ticker:

LSAF

Expense:

75 bp

ALTAR Score™:

6.5%

ALTERNATIVE ETFs BASED ON OVERLAP WITH LSAF
Ticker	Fund Name	Overlap¹ vs LSAF (%)	Expense ratio (bp)	Savings vs LSAF (bp)	ALTAR Score™ (%)	ALTAR vs LSAF (%)
SPYB	SPDR S&P 500 Buyback	47.6	35	40	8.3	+1.8
QSY	WisdomTree U.S. Quality Shareholder Yield	44.7	38	37	7.3	+0.8
FLAG	Forensic Accounting	27.1	152	-77	8.2	+1.7
PY	Principal Shareholder Yield	26.8	29	46	8.1	+1.6
PKW	Invesco Buyback Acheivevers	26.0	62	13	6.4	-0.1
SPVM	Invesco S&P 500 Value with Momentum	24.7	39	36	8.2	+1.7
QLC	FlexShares US Quality Large Cap	24.5	32	43	6.0	-0.5
SYLD	Cambria Shareholder Yield	23.4	59	16	9.1	+2.6
USMF	WisdomTree U.S. Multifactor Fund	21.9	28	47	6.0	-0.5
AFLG	First Trust Active Factor Large Cap	21.4	55	20	6.2	-0.3
QQEW	First Trust NASDAQ 100 Equal Weight	21.2	60	15	4.7	-1.8
FLQM	Franklin LibertyQ U.S. Mid Cap Equity	21.2	30	45	6.4	-0.1
QQQE	Direxion NASDAQ-100 Equal Weight	21.2	35	40	5.0	-1.5
DIVB	iShares U.S. Dividend & Buyback	20.9	25	50	6.6	+0.1
RPG	Invesco S&P 500 Pure Growth ETF	20.7	35	40	5.0	-1.5
DSTL	Distillate US Fundamental Stability & Value	20.6	39	36	6.4	-0.1
ONEO	SPDR Russell 1000 Momentum Focus	20.0	20	55	6.6	+0.1
VFMF	Vanguard U.S. Multifactor	19.6	18	57	7.4	+0.9
SPGP	Invesco S&P 500 GARP	19.4	35	40	7.8	+1.3

¹Overlap is the percentage of holdings by weight that are identical. For example, if Fund A has a 2% position in Apple, Inc. (AAPL) and Fund B has a 5% position, their overlapping position in AAPL is 2%.

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RESULTS & ESTIMATES

	2015	2016	2017	2018	2019	2020E	2021E
Sales per share	**	**	**	**	**	**	**
Earnings per share	**	**	**	**	**	**	**
Dividends per share	**	**	**	**	**	**	**
Book value per share	**	**	**	**	**	**	**

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

Sales per share growth		**%	**%	**%	**%	**%	**%
EPS growth		**%	**%	**%	**%	**%	**%

OTHER FUNDAMENTAL METRICS

Long term EPS growth est.	**%		Debt-to-equity	**x
Asset turnover	**%		Assets-to-equity	**x

Return on equity

Revision activity*

*Six months ago = 100

Net margins

Compound annual growth rates

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VALUATION METRICS

	2019	2020E	2021E
Price-to-sales	**	**	**
Price-to-earnings	**	**	**
Price-to-cash flow	**	**	**
Price-to-growth	**	**	**
Price-to-book value	**	**	**
Yield	**	**	**

Historical valuation trends

Forward multiple:	LeaderShares AlphaFactor US Core Equity ETF
Relative to:	S&P500	MSCI EAFE	MSCI Emg. Mkts.	Other ETF:

OVERWEIGHT

Above average appreciation potential. A rating of OVERWEIGHT is assigned to ETFs with ALTAR Scores in the 4th quintile (ranking higher than 60%-80%) of their category. Typically, funds in this category consist of stocks trading at attractive valuations and/or having above-average fundamentals.

ALTAR Score™

Calculation of ALTAR Score™
Avg. Return on Equity	18.9	%
Divided by: Fwd. P/BV	2.6	x
Less: Expense ratio	75	bp
Equals: ALTAR Score	6.5	%

More information on ALTAR Score™

MODERN PORTFOLIO THEORY info

CONSENSUS RECOMMENDATIONS: FUND CONSTITUENTS

COMPOSITE RATING	1.59	CATEGORY AVERAGE	1.56

The composite rating is a weighted average of analysts' consensus recommendations for individual ETF constituents, based on the following scale: BUY = 1; OVERWEIGHT = 1.5, HOLD = 2; UNDERWEIGHT = 2.5; and SELL = 3. Readers are cautioned that because analyst ratings tend to be inflated, the composite score may be more useful as a relative measure of sentiment between funds rather than as a stand-alone recommendation.