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Leading Quality ETF QGRO Rebalances: See the Changes

Index ETFs rebalance on a regular cadence, and while not incredibly frequent, they can still provide a powerful window into manager thinking. American Century Investments’ U.S. Quality Growth ETF (QGRO B) just made some notable changes, dropping major names as part of its regular rebalance.Key Takeaways: QGRO invests in the American Century U.S. Quality Growth Index, which splits its equities into stable and pure growth sleeves. That index made some notable changes recently, dropping Nvidia (NVDA), for example. The fund’s long-term performance can make it a solid option to consider to add durability. QGRO charges a 29 basis point fee to track the American Century U.S. Quality Growth Index. The fund looks for U.S. firms with higher growth potential and stronger financial fundamentals. Specifically, the index screens equities for income, equality, and growth based on sales, cash flow, profitability, and other key metrics. Intriguingly, the index splits up its investments into two major sleeves. It invests between 35% and 65% of its assets in so-called stable-growth companies, and 30% to 65% in so-called high-growth names.QGRO's MovesThe end-of-September rebalance saw the strategy make changes in both sleeves. In the stable growth sleeve, the ETF’s index, ACQGRO, added Amazon (AMZN) at a 3% weight. That sleeve of the index also dropped two names, the New York Times Company (NYT) and megacap tech star Nvidia (NVDA). Its largest weight increase came for Lockheed Martin (LMT), up from 0.25% to 3.5%. Among its pure growth names, the index made three adds. The index added Booking Holdings (BKNG) and Medpace Holdings, Inc. (MEDP) as well as SharkNinja, Inc. (SN). They came in at 3%, 1.5%, and 0.9%, respectively. Together, they speak to the strategy’s focus on balance and emphasis on a quality ETF approach. By finding quality names amid rising uncertainty, the fund can make a solid long-term hold, having returned 19.6% over the last three years. See more: Get in Early: Tax Loss Harvesting Opportunities Are Spiking That has outperformed the fund’s ETF Database Large Cap Growth Equities category average in that time. For those wanting a quality ETF with a deep focus on growth, QGRO could be one to watch as it adapts for the close of 2026. For more news, information, and analysis, visit the Core Strategies Content Hub. VettaFi LLC (“VettaFi”) is the index provider for QGRO for which it receives index licensing fees. However, QGRO is not issued, sponsored, endorsed, or sold by VettaFi, and VettaFi has no obligation or liability in connection with the issuance, administration, marketing, or trading of QGRO.

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