DYNF vs LCAP

DYNFAiShares U.S. Equity Factor Rotation Active ETF

LCAPBPrincipal Capital Appreciation Select ETF

In short

DYNF Most factor funds make you pick a lane: value, momentum, quality. DYNF rotates across five styles instead, letting a factor model decide which one leads, and charges an index-fund-ish 0.26% to do it.

LCAP A concentrated active large-cap fund from Principal that runs about 50 US stocks for long-term capital growth, and charges well under half what the typical active US equity ETF does.

Stated mandate

DYNF The Fund seeks to outperform the U.S. equity market through diversified, tactical exposure to style factors using a factor rotation model.

LCAP The Fund seeks long-term growth of capital.

Why people hold it

• DYNF Five style factors in one ticket (value, quality, momentum, growth, low volatility), reweighted by a rotation model rather than locked to a single tilt.
• 0.26% is well under half the median fee in its active US equity peer group, which is unusual pricing for a strategy with a human-supervised model behind it.
• A multi-billion-dollar fund and one of the more actively traded names in its category, so getting in and out rarely becomes the hard part. Pays quarterly.
• Running since 2019 under one of the biggest ETF shops, and it stands among the strongest overall implementations in the active US equity group we track.

• LCAP 0.29% expense ratio, versus a 0.65% median for active US equity ETFs. Cheap enough to sit near index-style factor funds like DYNF while still running a real stock-picking mandate.
• About 50 holdings, so each pick carries weight. This is a high-conviction book, not a closet index dressed up as active management.
• Plain mandate, plainly stated: long-term growth of capital from US equities, in a standard 1940 Act ETF wrapper. No derivatives overlay, no leverage, no options income machinery.
• Sits in the top quartile of a 234-fund active US equity group on our review, with cost doing much of the heavy lifting.

Worth knowing

• DYNF The yardstick isn't the S&P 500: it's a custom blend of 80% MSCI USA and 20% MSCI USA Minimum Volatility, so a low-vol tilt is baked into the benchmark itself.
• Active by design. The factor mix shifts, the book runs to a couple hundred stocks, and a rotation call can leave it out of step with a plain US market index fund.
• Cheap for active, not the cheapest shelf: systematic peers DFAU (0.12%), AVLC (0.15%), DFAC (0.17%) and FELC (0.18%) all undercut it on fee.

• LCAP Launched in 2025, so there is no long record to judge the manager's stock picking through a full market cycle. Short history means thinner evidence, both ways.
• Thinly traded and modest in size. Use limit orders and expect wider spreads than you would see on the big Dimensional and Fidelity active funds in this category.
• Roughly 50 names means concentration risk cuts both ways: a handful of positions can drive results in either direction, and it will wander from the broad market.

Full DYNF profile⁠

Full LCAP profile⁠