---
title: "Ruane Cunniff's Sequoia ETF, SEQ, charges 0.99%, a hair under the old fund's 1.00%"
url: "https://etf.net/news/seq-fee-just-under-old-fund-2026-10-20"
published_at: "2026-10-20T16:18:12.300Z"
updated_at: "2026-10-20T16:18:12.300Z"
byline: "ETF.net Research"
---

# Ruane Cunniff's Sequoia ETF, SEQ, charges 0.99%, a hair under the old fund's 1.00%

Trading began Monday on NYSE Arca, in a portfolio of about $6.6 billion that combines Sequoia Fund with most of Ruane Cunniff's taxable separate accounts.

By ETF.net Research. Published Oct 20, 2026.

SEQ began trading Monday, Oct. 19, 2026, on NYSE Arca. The annual fee is **0.99%**, 0.01 percentage points under the **1.00%** net that Sequoia Fund holders already paid.

That 1.00% is what they paid. Sequoia Fund's May 1, 2026 prospectus showed a gross expense ratio of 1.11%, and the advisory contract required Ruane Cunniff to reimburse anything above a 1.00% net cap. Net expenses for 2025 were 1.00%.

The ETF's Oct. 16 summary prospectus sets a unitary management fee of 0.99%, one charge that is also the total annual operating expense. It shows no waiver.

The new fee is 0.12 percentage points under the 1.11% gross. Holders did not pay that figure.

The reorganization closed after the close of business on Friday, Oct. 16. Ruane Cunniff said the portfolio was about $6.6 billion, Sequoia Fund and most of the firm's taxable separate accounts in one fund. The mutual fund, which used the ticker SEQUX, showed $3.39 billion of net assets on its Sept. 30 schedule of investments.

Shareholders who did not redeem were converted. Separate-account clients could decline, and the firm said most of the taxable accounts came in.

SEQ is actively managed. Its prospectus sets the objective as long-term growth of capital, and it may own companies of any size, in the United States or outside it, that Ruane Cunniff considers undervalued.

It is non-diversified, so one holding can move net asset value more than it would in a diversified fund. The firm said Monday the portfolio owned 22 businesses.

Arman Gökgöl-Kline, John Harris and Trevor Magyar have run the strategy as its investment committee since June 30, 2016, the firm said.

Through June 30, 2026, Sequoia Fund's net return was 1.42% over one year, against 22.33% for the S&P 500. Over 10 years the fund returned 12.55% a year, against 15.50% for the S&P 500.

Monday's release put the mutual fund's annualized net return at 13.3% from July 15, 1970 through Sept. 30, 2026, against 11.6% for the S&P 500.

"For 56 years, Sequoia has been built for patient owners, and we believe the ETF is the modern vehicle to serve them for decades to come," John Harris, Ruane Cunniff's managing partner, said in the firm's Monday release. "Its tax efficiency is a powerful advantage for long-term investors."

The firm said the structure may let shareholders defer some capital gains. A proxy dated May 11 said the reorganization itself was expected to be tax-free for U.S. federal income tax purposes.

Harris Associates, adviser to the Oakmark funds, listed the Oakmark U.S. Concentrated ETF, OAKL, on Oct. 5. It held $325 million as of Oct. 15.

Its net expense ratio was **0.59%**, against a gross ratio of 0.64%, under a waiver through Jan. 27, 2027. The net fee is 0.40 percentage points below SEQ.

Oakmark says a typical portfolio holds 15 to 25 U.S. companies, each with a market capitalization of at least $10 billion, and it keeps one company under 10% of the fund and one industry under 25%. SEQ has no such floor on company size, and its prospectus allows stocks outside the United States.

J.P. Morgan Asset Management's JPMorgan Active Value ETF, JAVA, held $7.02 billion and 156 stocks as of Sept. 30, and its gross and net expenses were both 0.44%. The fee is 0.55 percentage points below SEQ.

The cheaper funds already trading do not hold the same portfolio.

Source: etf.net, https://etf.net/news/seq-fee-just-under-old-fund-2026-10-20. Please cite the page URL.