AVLC vs XCHG

AVLCAAvantis U.S. Large Cap Equity ETF

XCHGBAb US Equity ETF

In short

AVLC Active management with index-fund manners: roughly 900 U.S. large caps, with the dial turned toward cheaper, more profitable companies. Avantis charges 0.15% a year to do it.

XCHG The ticker is the tell. XCHG was seeded through a Section 351 exchange, the mechanism for folding appreciated stock into a new fund, then run as an actively managed, S&P 500-benchmarked portfolio of US mid- and large-caps.

Stated mandate

AVLC The fund seeks long-term capital appreciation. It invests broadly in U.S. large-capitalization companies while using active decisions to overweight lower valuations and higher profitability.

XCHG The fund seeks long-term growth of capital and income by investing primarily in U.S. mid- and large-capitalization companies. Its approach combines fundamental and quantitative research and aims to outperform over market cycles.

Why people hold it

• AVLC 0.15% a year against a 0.65% median for active U.S. equity funds. That is passive-style pricing on an actively run book.
• Holds about 900 names against the Russell 1000, so the value and profitability tilts sit on top of broad market exposure instead of a concentrated bet.avantisinvestors.com
• One of the stronger builds in the active U.S. equity group, priced in the same neighborhood as the Dimensional core funds (DFAU, DFAC) it competes with.
• A multi-billion-dollar fund that trades steadily, so spreads and liquidity are rarely the sticking point. Distributions are paid quarterly.

• XCHG 0.50% a year versus a 0.65% median for active US equity funds. An active mandate at a below-average sticker price.
• Roughly 600 holdings measured against the S&P 500. A broad core sleeve, not a concentrated bet on a dozen convictions.
• Built with Bernstein Private Wealth Management and launched into an AB ETF lineup already more than 20 funds deep. Pays quarterly.prnewswire.com
• The process blends fundamental and quantitative research across US mid- and large-caps, aiming at growth of capital and income over full market cycles.

Worth knowing

• AVLC Launched in 2023. The tilt philosophy is well worn at Avantis, but this fund's own live record is still short.
• Active, not index-tracking. The Russell 1000 is a reference point, not a leash, so holdings and weights can drift from it.
• Leaning toward cheaper, higher-profitability companies means stretches where it moves differently from the plain cap-weighted market, in either direction.avantisinvestors.com

• XCHG Thinly traded. Spreads can run wider than on mega-liquid index funds, and size orders may need more patience.
• Launched in December 2025, so there is no multi-cycle record for this strategy in ETF form yet.
• Other active funds benchmarked to the same index charge less, including FELC at 0.18% and PQUS at 0.22%.

Full AVLC profile⁠

Full XCHG profile⁠