Virtus Duff & Phelps Real Estate Income ETF (DPRE)

Overview

The Fund is dedicated to achieving a robust level of current income for its investors, while also seeking opportunities for capital appreciation. This dual focus is designed to provide a balanced and strategic investment approach. To attain its objectives, the Fund invests in a thoughtfully curated portfolio that consists of high-quality equity Real Estate Investment Trusts (REITs) alongside real estate-focused debt instruments that are deemed to have investment-grade ratings. In this manner, the Fund aims to capitalize on various market opportunities, ensuring a diversified investment strategy that strategically underpins income generation and potential growth.

Products and Services

• High-Quality Equity REITs

  The Fund invests in equity REITs that are recognized for their strong performance and potential for capital appreciation. These REITs own and operate income-generating real estate, contributing to both the current income and capital growth objectives of the Fund.

• Real Estate-Focused Investment-Grade Debt

  To further enhance returns and provide stability, the Fund holds investment-grade rated debt instruments that are related to the real estate sector. These may include bonds issued by real estate companies, which offer interest payments and lower risk compared to non-rated securities, adding to the Fund’s overall income profile.

• Preferred Equity Securities

  The inclusion of preferred securities allows the Fund to secure stable dividend income, often with priority over common equity in terms of income distribution. This ensures that investors benefit from reliable cash flows while minimizing exposure to volatility in common stock prices.

• Diversified Portfolio Management

  The Fund employs a diversified investment strategy, seeking an optimal balance among various asset classes within the real estate sector. This approach is aimed at mitigating risks while maximizing potential returns, enabling investors to achieve both steady income and growth through real estate investments.

• Opportunistic Investment Strategy

  The Fund maintains an opportunistic approach, which means it actively seeks out and capitalizes on market inefficiencies, trends, and favorable conditions within the real estate market. This flexibility allows the Fund to adjust its portfolio composition based on evolving market dynamics, aiming to enhance overall return on investment.