ETF Evaluator:
McElhenny Sheffield Managed Risk ETF ()
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(as of Aug 26)
Best Performing in Moderate Allocation Over the Last Year
| 29.1% | Adaptive Core ETF (RULE) |
| 21.3% | Monarch Volume Factor Dividend Tree ETF (MVFD) |
| 19.5% | Avantis Moderate Allocation ETF (AVMA) |
| 19.4% | Ned Davis Research 360 Dyn Allc ETF (NDAA) |
| 16.0% | SMI 3Fourteen REAL Asset Allocation ETF (RAA) |
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ETF Details
McElhenny Sheffield Managed Risk ETF Overview
McElhenny Sheffield Managed Risk ETF (MSMR) is an actively managed Allocation Moderate Allocation exchange-traded fund (ETF). MSCM Funds launched the ETF in 2021.
The investment seeks capital appreciation while managing downside risk.
The fund is an actively managed exchange-traded fund (“ETF”) that employs proprietary trend-based and sector rotation strategies developed by the fund’s investment sub-adviser. Under normal market conditions, the fund invests approximately 100% of its assets in the underlying investments. The Sub-Adviser expects to generally allocate approximately 50% of the fund’s assets to each of the strategies, although such allocations may vary over time in response to market movements.
About McElhenny Sheffield Managed Risk ETF (MSMR)
There are 4 members of the management team with an average tenure of 4.71 years: Mark Callahan (2021), Brad Rapking (2021), Bruce Fraser (2021) and Grant Morris (2021). Management tenure is more important for actively managed ETFs than passive index ETFs.
The ETF has 3 primary benchmarks: S&P 500 (TR) (1970) index with a weighting of 100%, Bloomberg US Agg Bond TR USD index with a weighting of 40% and S&P 500 (TR) (1970) index with a weighting of 60%. McElhenny Sheffield Managed Risk ETF has 6 securities in its portfolio. The top 10 holdings constitute 90.9% of the ETF’s assets. The ETF meets the SEC requirement of being classified as a diversified fund. The ETF is not considered to have an ESG focus with its investment selection and management.
McElhenny Sheffield Managed Risk ETF is part of the Allocation global asset class and is within the Allocation ETF group. McElhenny Sheffield Managed Risk ETF has 0.4% of its portfolio invested in foreign issues. The overall assets allocated to domestic stock is 27.4% There is 0.4% allocated to foreign stock, and 0.0% is allocated to preferred stocks. The bond allocation as a percentage of total assets is 0.0% (0.0% domestic bond, 0.0% foreign bond and 0.0% convertible bond). McElhenny Sheffield Managed Risk ETF has 54.1% of the portfolio in cash.
Assets Under Management
The fund has $182 million in total assets, which is below the $411 million average for the Moderate Allocation category. Normally, lower assets under management translates to higher average expense ratios, and greater total assets are desired. However, for some investment categories, such as small-cap investing, it may be difficult for the manager to fully employ the desired active strategy if assets grow too large or too quickly.
MSMR Performance and Fees
The expense ratio measures how much of a fund’s assets are used for administrative expenses and operating expenses, including adviser fees and fees for the transfer agent and custodial services. The McElhenny Sheffield Managed Risk ETF expense ratio is high compared to funds in the Moderate Allocation category. McElhenny Sheffield Managed Risk ETF has an expense ratio of 1.06%, which is 11% higher than its category average, making the fund expense ratio grade a D. While it is difficult to predict returns, it is known that high annual expense ratios reduce your rate of return, and excessive fees are difficult to overcome. Active management normally comes with higher expense ratios than passive index management. Certain investment categories such as small company and foreign also normally have higher expense ratios. It is best to compare fund expense ratios against the category averages for meaningful assessments.
High portfolio turnover can translate to higher expenses and lower aftertax returns. McElhenny Sheffield Managed Risk ETF has a portfolio turnover rate of 598%, which indicates that it holds its assets around / 0.0 years. By way of comparison, the average portfolio turnover is 162% for the Moderate Allocation category.
Recently, in the month of July 2026, McElhenny Sheffield Managed Risk ETF returned -1.9%, which earned it a grade of F, as the Moderate Allocation category had an average return of -1.0%. The letter grades of A, B, C, D and F are based upon relative rankings within the investment category. A grade of A, for example, would indicate that the return is in the highest 20% for that time period compared to all ETFs in that category.
McElhenny Sheffield Managed Risk ETF has a trailing yield of 1.86%, which is below the 2.36% category average.
The fund normally distributes its income quarterly and its capital gains annually.
It’s natural to seek the best-performing investments, but you must consider the relationship between risk and return and the impact of costs and taxes on your realized returns.
McElhenny Sheffield Managed Risk ETF Grades
Year to date, the ETF has returned 1.5%, 5.9 percentage points worse than the category, which translates into a grade of F. The fund has returned 9.5% over the past year (grade of D) and 12.4% over the past three years (grade of B).
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MSMR Trailing NAV Total Returns Data as of 7/31/26
| Last Month |
Last Quarter |
Ann'l. 1Yr |
Ann'l. 3Yr |
Ann'l. 5Yr |
Ann'l. 10Yr |
|
| MSMR Return (NAV) | -1.9% | -3.8% | 9.5% | 12.4% | na | na |
| MSMR Return (Price) | -2.1% | -3.8% | 9.5% | 12.5% | na | na |
| NAV +/- Price Return | 0.176% | 0.053% | -0.037% | -0.068% | na | na |
| Moderate Allocation Avg | -1.0% | 1.5% | 13.8% | 10.7% | 4.9% | na |
| MSMR Grade (NAV) | F | F | D | B | na | na |
| +/- Category (NAV) | -0.9% | -5.3% | -4.3% | 1.7% | na | na |
| MSMR Tax-Cost Ratio | na | na | 0.8% | 0.8% | na | na |
MSMR Annual NAV Total ReturnsData as of 7/31/26
| 2026 | 2025 | 2024 | 2023 | 2022 | 2021 | 2020 | 2019 | 2018 | 2017 | 2016 | |
| MSMR Return (NAV) | 1.5% | 15.8% | 21.6% | 18.5% | -11.9% | na | na | na | na | na | na |
| MSMR Return (Price) | 0.1% | 17.1% | 21.6% | 18.8% | -11.9% | na | na | na | na | na | na |
| NAV +/- Price Ret | -0.906% | 0.081% | 0.001% | 0.013% | -0.004% | na | na | na | na | na | na |
| Moderate Allocation Avg | 7.4% | 10.4% | 12.0% | 10.2% | -14.7% | 13.8% | 11.5% | 18.3% | -7.5% | na | na |
| MSMR Grade (NAV) | F | A | A | A | B | na | na | na | na | na | na |
| +/- Category | -5.9% | 5.4% | 9.6% | 8.3% | 2.8% | na | na | na | na | na | na |
| Risk Measures | |
| Beta: | 0.82 |
| R-Squared: | 55% |
| Standard Deviation: | 10.4% |
| Category Risk Index: | 1.07 |
| Category Risk Rating: | High |
| Total Risk Index: | 0.85 |
| Total Risk Rating: | Below Average |
| Portfolio Characteristics | |
| Yield: | 1.9% |
| Total Assets: | $ 182 Mil |
| Share Class Assets: | $ 182 Mil |
| Turnover: | 598.0% |
| Expense Ratio: | 1.06% |
| Index Fund: | No |
| Index Tracked: | S&P 500 (TR) (1970) |
| Index Weighting: | 100% |
| Leveraged: | No |
| Socially Responsible Fund: | No |
| Capital Gains Distribution Frequency: | Annually |
| Income Distribution Frequency: | Quarterly |
Management Team
| Number of Managers: 4 | |||
| Longest Tenure: 4.7 years | |||
| Average Tenure: 4.7 years | |||
| Managers (Year): Callahan Mark (2021), Rapking Brad (2021), Fraser Bruce (2021), Morris Grant (2021) | |||
Portfolio Composition (as of 7/31/26)
| # of Holdings: | 6 |
| % in Top 10 Holdings: | 90.9% |
| Fund is Non-Diversified: | No |
| % in Foreign Issues: | 0.4% |
Portfolio Allocation |
|
| Domestic Stock: | 27.4% |
| Foreign Stock: | 0.4% |
| Preferred Stock: | 0.0% |
| Domestic Bond: | 0.0% |
| Foreign Bond: | 0.0% |
| Convertible Bond: | 0.0% |
| Other: | 18.2% |
| Cash: | 54.1% |
Purchase Information
| Legal Structure: | Open Ended Investment Company |
| Fund Family: | MSCM Funds |
| Phone Number: | 800-617-0004 |
| Website: | |
| Inception Date: | November 16, 2021 |
Expenses and Fees
| Expense Ratio (%): | 1.06% (Rating: High) |
| Category Average Expense Ratio (%): | 0.95% |
