AVSC vs SCDS

AVSCAAvantis U.S. Small Cap Equity ETF

SCDSBJPMorgan Fundamental Data Science Small Core ETF

In short

AVSC Avantis's whole-field small cap fund: roughly 1,500 US small companies in one ticker, run by the manager's own rules rather than a published index, at 0.25% a year.

SCDS JPMorgan pairs human fundamental analysts with a data science engine to pick small caps, then spreads the calls across roughly 300 names. Active stock picking priced closer to a screened index fund.

Stated mandate

AVSC The fund seeks long-term capital appreciation and invests primarily in a diversified group of U.S. small-cap companies across market sectors and industries, with at least 80% of assets normally invested in U.S. small-cap equity securities.

SCDS The fund invests primarily in equity securities of small-cap companies and uses a fundamental data science-enabled investment approach.

Why people hold it

• AVSC 0.25% a year versus a 0.52% median for active US small-cap funds. Less than half the going rate for a hands-on manager.
• Roughly 1,500 holdings spread across sectors and industries, so one small-cap blowup barely dents the fund.
• One of the strongest all-round implementations in the active US small-cap group on cost, portfolio build and ease of trading.
• Pays quarterly, trades with steady daily volume, and pulled in over a billion dollars since its 2022 launch.

• SCDS Costs 0.40% a year, below the typical active US small-cap fund, so the stock picking starts from a lower hurdle.
• Roughly 300 holdings, so no single small-cap stumble sets the tone for the whole portfolio.
• Core mandate: the data science process hunts across the whole small-cap field instead of being boxed into value or growth.jpmorgan.com
• Lands in the upper half of the active US small-cap funds we review, with quarterly distributions.

Worth knowing

• AVSC Undiluted small-cap equity, kept at least 80% invested in the asset class. It rides the small-cap cycle with deeper swings than a large-cap fund.
• No declared index to check it against. The manager's stock-selection rules are the product, so you are buying a process, not a published benchmark.
• Its sibling AVUV works the value slice of the same universe at the same 0.25%. Own both and you are doubling up on overlapping small-cap names.

• SCDS Launched in 2024. The process hasn't been tested through a full market cycle yet.
• Small asset base and thin trading. Spreads can widen, so limit orders matter more here than with the household-name funds.
• Cheaper small-cap options sit in the same peer group, including JPMorgan's own rules-based JPSE at 0.29% and Avantis' AVSC at 0.25%.

Full AVSC profile⁠

Full SCDS profile⁠