GMO International Quality ETF

Frequently Asked Questions About QLTI

What does QLTI invest in?

The GMO International Quality ETF (QLTI) aims to deliver comprehensive returns by investing in top-tier companies located outside the United States. It identifies "high-quality" firms as those possessing a robust operational base and the capacity for sustained future profitability. QLTI's selection methodology integrates both quantitative and qualitative assessments. It evaluates financial health through metrics like profitability and leverage, alongside broader considerations such as prevailing market conditions and future growth opportunities. The fund prioritizes businesses with a history of strong returns on invested capital and adept cash flow management, balancing reinvestment with shareholder distributions. Advanced valuation models, including discounted cash flow (DCF) and price-to-earnings (P/E) ratios, are applied to pinpoint potentially undervalued securities. While flexible regarding sector and regional allocations, QLTI maintains essential liquidity through holdings in the GMO US Treasury Fund and other money market instruments. This strategic approach enables diversified exposure across both developed and emerging global markets.

What is the expense ratio of QLTI?

GMO International Quality ETF (QLTI) charges an expense ratio of 0.60%. This is the annual fee deducted from fund assets to cover management and operations.

How big is QLTI?

GMO International Quality ETF (QLTI) manages $284.0M in total assets. AUM determines bid-ask liquidity and the fund's vulnerability to closure. Funds below ~$50M are at higher risk of liquidation.

Is QLTI actively managed or an index fund?

QLTI is actively managed: the manager selects holdings rather than tracking an index. Active funds typically charge higher expense ratios than index funds (QLTI's is 0.60%) in exchange for the discretion to over- or under-weight positions.

When was QLTI launched?

GMO International Quality ETF (QLTI) launched in October 2024 and is managed by GMO.

How has QLTI performed?

QLTI's total return (price change plus reinvested distributions) is charted at the top of this page. Switch the price chart to Total Return and pick a 1-year, 3-year, 5-year, or 10-year window to read the compound annual growth rate (CAGR) over each horizon.