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ADVISORSHARES TRUST

4800 Montgomery Lane

Suite 150

Bethesda, Maryland 20814

www.advisorshares.com

1.877.843.3831

 

 

 

 

 

 

 

 

 

 

Annual Report

 

June 30, 2023

 

 

 

 

TABLE OF CONTENTS

 

Letter from the CEO of AdvisorShares Investments, LLC   1
Hypothetical Growth of a $10,000 Investment, Historical Performances   3
Shareholder Expense Examples   47
Schedules of Investments    
AdvisorShares Alpha DNA Equity Sentiment ETF (SENT)   50
AdvisorShares Dorsey Wright ADR ETF (AADR)   54
AdvisorShares Dorsey Wright FSM All Cap World ETF (DWAW)   57
AdvisorShares Dorsey Wright FSM US Core ETF (DWUS)   59
AdvisorShares Dorsey Wright Short ETF (DWSH)   61
AdvisorShares Dorsey Wright Small Company ETF (DWMC)
[formerly, AdvisorShares Dorsey Wright Micro-Cap ETF (DWMC)]
  65
AdvisorShares Focused Equity ETF (CWS)   70
AdvisorShares Gerber Kawasaki ETF (GK)   72
AdvisorShares Hotel ETF (BEDZ)   75
AdvisorShares Insider Advantage ETF (SURE)
[formerly, AdvisorShares DoubleLine Value Equity ETF (DBLV)]
  77
AdvisorShares Let Bob AI Powered Momentum ETF (LETB)   81
AdvisorShares MSOS 2x Daily ETF (MSOX)   83
AdvisorShares Newfleet Multi-Sector Income ETF (MINC)   86
AdvisorShares Poseidon Dynamic Cannabis ETF (PSDN)   93
AdvisorShares Psychedelics ETF (PSIL)   96
AdvisorShares Pure Cannabis ETF (YOLO)   98
AdvisorShares Pure US Cannabis ETF (MSOS)   101
AdvisorShares Q Dynamic Growth ETF (QPX)   105
AdvisorShares Ranger Equity Bear ETF (HDGE)   107
AdvisorShares Restaurant ETF (EATZ)   111
AdvisorShares STAR Global Buy-Write ETF (VEGA)   113
AdvisorShares Vice ETF (VICE)   115
Statements of Assets and Liabilities   117
Statements of Operations   123
Statements of Changes in Net Assets   129
Financial Highlights   140
Notes to Financial Statements   151
Report of Independent Registered Public Accounting Firm   178
Board Review of Investment Advisory and Sub-Advisory Agreements   181
Board of Trustees and Officers (Unaudited)   185
Supplemental Information   187

 

 

 

 

ADVISORSHARES TRUST

Letter from the CEO of AdvisorShares Investments, LLC

 

June 30, 2023

 

 

For our fiscal year ended June 30, 2023, equity markets experienced a significant comeback late in the fiscal year. This was despite the ongoing war in Ukraine, a continuing recovery from COVID-19 lockdowns, soaring inflation, and rising consumer prices. In the US, the market mostly struggled through the second half of 2022, recovering early in 2023 and providing steady gains throughout the first half of 2023. Across the board, most asset classes were up for the fiscal year, including gold, international equities, and Bitcoin. One area that struggled was the fixed income market, as we saw the Federal Reserve aggressively increase interest rates, driving yields higher and bond prices lower. While this was difficult for bond investors, thankfully, it appears that these interest rate increases are achieving the goal of easing inflation.

 

Certainly, this year, our most challenging investment category was cannabis. Investors continue to eagerly anticipate federal cannabis reforms. Initially, regulatory changes were expected to occur early in the Biden presidency — given the President’s proclamation during the primaries that he would legalize cannabis for medical use, decriminalize cannabis possession, and release incarcerated non-violent cannabis offenders. When that didn’t occur, cannabis reform hopes shifted to the 2022 lame duck session of Congress as Democrats regained control of the House of Representatives. The legislation that many investors are focused on — the SAFE Banking Act — would make it easier for banks to serve legal cannabis businesses. Currently, due to cannabis’ illegal status at the federal level, it is very difficult for legally operating cannabis companies to find banking support. Unfortunately and despite strong support by the House of Representatives, SAFE Banking legislation was not presented for a Senate vote before the 2023 summer recess. As a result of the Senate’s inaction, we saw a significant decline in the prices of Canadian cannabis stocks and outflows in the AdvisorShares Pure US Cannabis ETF (ticker: MSOS). Thankfully, there is continued work and discussion in Congress focused on federal changes in policy regarding cannabis, and we remain optimistic that we will see those changes soon. However, there is no guarantee that these changes will happen as quickly as we would like, or if at all.

 

It is important to understand our lineup of ETFs and their underlying investment strategies are a bit unique, and we are not likely to move in tandem with the broader markets. For example, while equity markets rose significantly in the first half of 2023, most of our assets in the trust are focused on cannabis stocks, which resulted in an overall decline in our assets under management. However, given the uniqueness of our investment strategies, we have not seen a meaningful reduction in our outstanding shares. This demonstrates to us that our investors are taking a long-term, optimistic view of our ETF strategies. We are also fortunate to have some of our ETFs rank highly in their respective investment categories, which as we know is not an easy feat for active managers.

 

While it has been a challenging year for the firm, we remain incredibly thankful to our shareholders and appreciate the trust and confidence you have in us. We wish you nothing but health, happiness, and prosperity.

 

Sincerest regards,

Noah Hamman

CEO, AdvisorShares Investments

 

1

 

 

ADVISORSHARES TRUST

Letter from the CEO of AdvisorShares Investments, LLC (Continued)

 

June 30, 2023

 

 

Bitcoin is a cryptocurrency, a virtual currency designed to act as money and a form of payment outside the control of any one person, group, or entity, thus removing the need for third-party involvement in financial transactions.

 

For more information on AdvisorShares ETFs, including performance and holdings, please visit www.advisorshares.com.

 

Investing involves risk including possible loss of principal. The Advisor’s judgment about the markets, the economy, or companies may not anticipate actual market movements, economic conditions or company performance, and these factors may affect the return on your investment. The prices of equity securities rise and fall daily. Foreign investing involves special risks, such as risk of loss from currency fluctuation or political or economic uncertainty. Investments in emerging or offshore markets are generally less liquid and less efficient than investments in developed markets and are subject to additional risks, such as risks of adverse governmental regulation and intervention or political developments.

 

There is no guarantee the Advisor’s investment strategy will be successful. When models and data prove to be incorrect or incomplete, any decisions made in reliance thereon expose the Fund to potential risks. In addition, the use of predictive models has inherent risk. Because predictive models are usually constructed based on historical data supplied by third parties, the success of relying on such models may depend heavily on the accuracy and reliability of the supplied historical data. The Fund’s particular allocations may have a significant effect on the Fund’s performance. Allocation risk is the risk that the selection of ETFs and the allocation of assets among such ETFs will cause the Fund to underperform other funds with a similar investment objective that do not allocate their assets in the same manner or the market as a whole. For a list of the asset class specific risks please see the prospectus.

 

The views in this report were those of the Advisor’s CEO as of June 30, 2023, and may not reflect his views on the date that this report is first published or anytime thereafter. These views are intended to assist shareholders in understanding their investments and do not constitute investment advice.

 

2

 

 

ADVISORSHARES TRUST

AdvisorShares Alpha DNA Equity Sentiment ETF (SENT)

 

The AdvisorShares Alpha DNA Equity Sentiment ETF’s (ticker: SENT) performance for the 12-month period ended June 30, 2023 was +15.89% (NAV) which is above average for hedged equity focused funds. Hedged equity funds are designed to provide index like returns from long equity and bearish returns from hedges that protect against the downside. When markets go up materially, you expect the hedge to drag the overall returns down. When markets go down, you expect the hedges to offer gains to the portfolio and generate upside potential when compared to the indices.

 

During the 12-month period ending June 30, 2023, the broad market indices were up. The S&P 500 Index (large cap — market cap weighted), Russell 3000 Index (all cap — market cap weighted), and Russell 2000 Index (small cap — market cap weighted) produced one-year returns ending June 30, 2023 of +19.59%, +18.95%, and +12.31%, respectively. The equal weight S&P 500 Index delivered just over +13.5%, demonstrating how the largest mega-cap companies of the market-cap weighted S&P 500 heavily contributed to performance.

 

SENT’s equity portfolio is equally weighted and all cap — about 30% large cap, 35% mid-cap, and 35% small cap (with modest periodic changes) — and employs a hedging strategy. For the previous 12 months ending June 30, 2023, SENT outperformed the equal weight S&P 500 and was just below the market-cap weighted S&P 500’s returns due to the cost of SENT’s hedging program.

 

The hedges employed in SENT’s strategy were particularly expensive during this time frame as the 1st half of 2022 saw a -20% decline in the broad markets, causing volatility to spike and driving up the cost of hedging. The 2nd half also had several months of volatile market performance which kept hedging costs elevated as a result.

 

 

The Russell 2000 Index measures the performance of the 2,000 smaller companies included in the Russell 3000 Index.

The Russell 3000 Index measures the performance of the largest 3,000 US companies representing approximately 98% of the investable US equity market.

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period February 2, 2021* to June 30, 2023

 

 

3

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

          Since  
          Inception  
    1 Year     2/2/2021*  
AdvisorShares Alpha DNA Equity Sentiment ETF NAV     15.89 %     -2.05 %
AdvisorShares Alpha DNA Equity Sentiment ETF Market Price**     16.26 %     -2.08 %
Russell 3000 Index     18.95 %     5.91 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.01% and the net expense ratio is 1.01%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 1.35%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The Russell 3000 Index measures the performance of the largest 3,000 US companies representing approximately 98% of the investable US equity market.

 

4

 

 

ADVISORSHARES TRUST

AdvisorShares Dorsey Wright ADR ETF (AADR)

 

The AdvisorShares Dorsey Wright ADR ETF (ticker: AADR) finished the fiscal year ended June 30, 2023 behind its benchmark, the MSCI EAFE Index. The latter half of 2022 was especially volatile as markets struggled with slowing growth, high inflation, and geopolitical tensions in Russia/Ukraine. The first half of 2023 was a much better period by comparison, but a pronounced laggard rally (where previously poor performing stocks become x-the new darlings) caused a lag in the portfolio.

 

The second half of 2022 saw international markets perform solidly despite the issues mentioned above. The portfolio outperformed in Q3 as many of the more defensive names in the portfolio helped as markets declined at the end of the quarter. The market bottomed in October though, and that is when the laggard rally began with developed European equities generating explosive returns as fears revolving around the Russian War began to subside. Laggard rallies are always difficult for a momentum portfolio as we invest in stocks with positive relative strength, while laggards are the opposite. The same situation affected returns in Q1 2023, but we saw signs the portfolio was starting to right itself in Q2 2023 as the portfolio outperformed once again.

 

Despite the fund’s underperformance, we feel it should be short-lived and that AADR is well positioned as the world settles into the new normal and recently established trends begin to show longevity.

 

 

The MSCI EAFE Index is an unmanaged free float-adjusted market capitalization index that is designed to measure the equity market performance of developed markets, excluding the U.S. & Canada.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period June 30, 2013 to June 30, 2023

 

 

5

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

    1 Year     3 Year     5 Year     10 Year  
AdvisorShares Dorsey Wright ADR ETF NAV     4.69 %     -0.75 %     -0.35 %     5.20 %
AdvisorShares Dorsey Wright ADR ETF Market Price*     4.55 %     -0.61 %     -0.33 %     5.19 %
MSCI EAFE Index (Net)     18.77 %     8.93 %     4.39 %     5.41 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.00% and the net expense ratio is 1.00%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 1.10%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the Nasdaq and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The MSCI EAFE Index is an unmanaged free float-adjusted market capitalization index that is designed to measure the equity market performance of developed markets, excluding the U.S. & Canada. One cannot invest directly in an index.

 

6

 

 

ADVISORSHARES TRUST

AdvisorShares Dorsey Wright FSM All Cap World ETF (DWAW)

 

During the fiscal year ended June 30, 2023, the AdvisorShares Dorsey Wright FSM All Cap World ETF (ticker: DWAW) lagged its benchmark, the MSCI ACWI Index. Much of the underperformance took place in the first quarter of 2023 as growth, an area DWAW underweighted entering the year, vastly outpaced value. In May, DWAW adjusted its growth position to take advantage of the high relative strength in large cap growth and picked up non-US developed market exposure. The strong start by international developed equities slowed in the second quarter which dragged down DWAW despite the fund picking up large cap growth in May. Most momentum and relative strength strategies have struggled so far in 2023 due to the quick change in leadership that began in late 2022 and became more entrenched early in 2023.

 

There has been plenty of commentary on the narrowness of market performers this year with just a few names producing most of the major indices’ returns this year. These names also happened to be some of the biggest losers in 2022, so relative strength strategies like DWAW had little to no exposure entering 2023.

 

Looking ahead, the growth theme has shown no sign of slowing down yet. However, there are still worries that the reliance on so few names, coupled with exceptionally strong performances, will not be able to carry over into the second half. Nonetheless, the market has begun to broaden out on the domestic front over the last month and a half which is a welcome sign moving forward. Even though DWAW picked up some international exposure, it did it at a time when relative strength had peaked. It would not be a shock if this was changed in August, the next evaluation period, if the most recent trends persist.

 

 

The MSCI All Country World Index (Net) is an unmanaged free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period December 26, 2019* to June 30, 2023

 

 

7

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

                Since  
                Inception  
    1 Year     3 Year     12/26/2019*  
AdvisorShares Dorsey Wright FSM All Cap World ETF NAV     4.63 %     4.74 %     7.38 %
AdvisorShares Dorsey Wright FSM All Cap World ETF Market Price**     4.71 %     4.77 %     7.40 %
MSCI All Country World Index (ACWI)     16.53 %     10.99 %     7.32 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.28% and the net expense ratio is 1.28%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the Nasdaq and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The MSCI All Country World Index (Net) is an unmanaged free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. One cannot invest directly in an index.

 

8

 

 

ADVISORSHARES TRUST

AdvisorShares Dorsey Wright FSM US Core ETF (DWUS)

 

During the fiscal year ended June 30, 2023, the AdvisorShares Dorsey Wright FSM U.S. Core ETF (ticker: DWUS) lagged its benchmark, the S&P 500 Index. Much of the underperformance took place in the first quarter of 2023 as growth, an area DWUS was underweight, vastly outpaced value. In May, DWUS adjusted its growth position to take advantage of the high relative strength in large cap growth. Most momentum and relative strength strategies have struggled so far in 2023 due to the quick change in leadership that began in late 2022 and became more entrenched early in 2023.

 

There has been plenty of commentary on the narrowness of market performers this year with just a few names producing most of the major indices’ returns this year. These names also happened to be some of the biggest losers in 2022, so relative strength strategies like DWUS had little to no exposure to them entering 2023. This dampened DWUS’s performance going into 2023. However, the portfolio adjusted and added exposure to the new strength in growth that led DWUS to perform much better in the second quarter.

 

Looking ahead, the growth theme has shown no signs of slowing down yet. However, there are still worries that the reliance on so few names, coupled with exceptionally strong performances, will not be able to carry over into the second half. Nonetheless, the market has begun to broaden over the last month and a half, which is a welcome sign moving forward. While returns may not be as strong as they were in the first half, there have not been any signs that stocks will reverse significantly lower, giving a cautiously optimistic picture for the rest of the year.

 

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period December 26, 2019* to June 30, 2023

 

 

9

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

                Since  
                Inception  
    1 Year     3 Year     12/26/2019*  
AdvisorShares Dorsey Wright FSM US Core ETF NAV     15.38 %     10.69 %     11.90 %
AdvisorShares Dorsey Wright FSM US Core ETF Market Price**     15.61 %     10.74 %     11.88 %
S&P 500 Index     19.59 %     14.60 %     11.27 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.17% and the net expense ratio is 1.17%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the Nasdaq and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

10

 

 

ADVISORSHARES TRUST

AdvisorShares Dorsey Wright Short ETF (DWSH)

 

The AdvisorShares Dorsey Wright Short ETF (ticker: DWSH) finished the fiscal year ended June 30, 2023, ahead of its benchmark, the inverse of the S&P 500 Index. The market was close to a bottom at the start of the fiscal year but managed to end the year higher despite the bear market in US equities in 2022.

 

In the second half of 2022, US Equity markets rose slightly, but endured high volatility as the bear market searched for a bottom. This kind of volatility is tough for a relative strength strategy, and thus we saw the portfolio underperform during this time as leadership changed after the October bottom. In the first half of 2023, our shorts were able to lose less than the S&P 500 gained. Much of this came from shorting high-profile decliners such as Silicon Valley Bank and Signature Bank.

 

Our asset class rankings show a much-improved picture for equities in 2023, meaning the short fund will have a tougher time going forward, but we still feel like the use of the product as a hedge continues to remain attractive when needed as relative strength can guide the portfolio toward individual names showing pronounced weakness and thus potential outperformance.

 

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period July 10, 2018* to June 30, 2023

 

 

11

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

                Since  
                Inception  
    1 Year     3 Year     7/10/2018*  
AdvisorShares Dorsey Wright Short ETF NAV     -16.31 %     -23.13 %     -18.94 %
AdvisorShares Dorsey Wright Short ETF Market Price**     -16.27 %     -23.26 %     -18.99 %
S&P 500 Index     19.59 %     14.60 %     11.75 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 2.69% and the net expense ratio is 2.69%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 1.25%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the Nasdaq and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

12

 

 

ADVISORSHARES TRUST

AdvisorShares Dorsey Wright Small Company ETF (DWMC)

 

The AdvisorShares Dorsey Wright Small Company ETF (ticker: DWMC) finished the fiscal year ended June 30, 2023, ahead of its benchmark, the Russell Micro-Cap Index. Although returns were positive, the path to achieving those returns was fraught with peril. Small/Micro cap stocks were some of the worst hit areas during the many declines, but relative strength was able to guide us toward names that outperformed.

 

Microcaps rallied strongly off the June 2022 bottom with indications we were heading into a new bull market. It can be tough for a relative strength strategy to perform well off a market bottom as leadership typically changes, and because of that we saw DWMC lag the benchmark during the rally. The September/October decline though was a continuation of the previous downtrend established earlier in the year, and DWMC was able to outperform during the decline as less sensitive areas of the market held up better. Luckily, the October lows proved more durable, and the ensuing rally saw DWMC outpace the benchmark through February 2023. The Silicon Valley Bank collapse in March, though, hit the space especially hard and sent it to new lows by May. Once again though, DWMC bested the benchmark as it was less exposed to some of the harder hit areas.

 

Given stretched consumer sentiment, we feel the prospects for micro-cap stocks continue to be strong despite the bear market. Valuations for smaller stocks continue to be attractive relative to large caps, with a large valuation gap between the smallest and largest companies. This can persist for long periods but doesn’t last forever. We believe the fund is well-positioned to capitalize on a narrowing valuation gap when it comes.

 

 

The Russell Micro-Cap Index measures the performance of the micro cap segment of the U.S. equity market. It includes 1,000 of the smallest securities in the Russell 2000 Index based on a combination of their market cap and current index membership and it also includes up to the next 1,000 stocks.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period July 10, 2018* to June 30, 2023

 

 

13

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

                Since  
                Inception  
    1 Year     3 Year     7/10/2018*  
AdvisorShares Dorsey Wright Small Company ETF NAV     7.94 %     15.61 %     5.76 %
AdvisorShares Dorsey Wright Small Company ETF Market Price**     8.96 %     16.21 %     5.78 %
Russell Micro-Cap Index     6.63 %     9.09 %     1.52 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.95% and the net expense ratio is 1.95%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 1.25%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the Nasdaq and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The Russell Micro-Cap Index measures the performance of the micro cap segment of the U.S. equity market. It includes 1,000 of the smallest securities in the Russell 2000 Index based on a combination of their market cap and current index membership and it also includes up to the next 1,000 stocks.

 

14

 

 

ADVISORSHARES TRUST

AdvisorShares Focused Equity ETF (CWS)

 

For the 12 months ended June 30, 2023, the AdvisorShares Focused Equity ETF (ticker: CWS) gained 27.59% (NAV) and 28.10% (market price).

 

CWS’s performance was greatly helped by the overall market’s turn towards caution. The initial burst of bullish sentiment following COVID-19 gradually gave way to a more conservative and skeptical market. This worked in favor of CWS. The fund was also aided by the generally conservative and high-quality stocks it holds. The portfolio is purposely designed for long-term performance. As such, the near-term fluctuations in the market don’t have a major impact on our investing results. The fund benefited greatly from the overall market’s rally since its low in October 2022. Many of CWS’s holdings have rallied 20% or 30%, and a few have gained much more.

 

We continue to be optimistic for the fund. A slowing economy in 2024 would have little impact on many of CWS’s holdings since they generally have a defensive posture. Also, most of the holdings have very strong balance sheets that should help them weather whatever comes their way. We’ve designed CWS so that it holds firms we see as having lasting competitive advantages.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period September 20, 2016* to June 30, 2023

 

 

15

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

                      Since  
                      Inception  
    1 Year     3 Year     5 Year     9/20/2016*  
AdvisorShares Focused Equity ETF NAV     27.59 %     14.93 %     11.90 %     12.63 %
AdvisorShares Focused Equity ETF Market Price**     28.10 %     15.90 %     11.96 %     12.68 %
S&P 500 Index     19.59 %     14.60 %     12.31 %     13.45 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.09% and the net expense ratio is 1.09%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding the range from 0.65% to 0.85%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

16

 

 

ADVISORSHARES TRUST

AdvisorShares Gerber Kawasaki ETF (GK)

 

The AdvisorShares Gerber Kawasaki ETF (ticker: GK) had very respectable performance for the fiscal year ended June 30, 2023, after completing the bear market cycle. Hitting a new low in December 2022, the fund rebounded dramatically over the last six months, producing positive returns for shareholders for the fiscal year and a dividend paid from income generated from our investments. GK recovered value rapidly: in the first six months of 2023 the fund achieved a 20% return (NAV) which handily beat the S&P 500 Index. Unfortunately, during 2022, growth investments were hammered which included GK and our investment in the consumer, technology, and climate sectors. This trend reversed itself in 2023: these sectors are outperforming and GK’s portfolio investments have done well, as we would expect in a positive economic environment.

 

In particular, we witnessed a complete turnaround in securities like NVIDIA and Tesla which are top holdings of the fund. In 2022, these stocks lost tremendous value, but have since gained it back in 2023. We’ve seen similar trends in the various sectors that we are invested in.

 

We are hopeful that in the new economic cycle GK will continue its outperformance as it has in the last six months. During the remainder of 2023, our goal is to recover the value lost by GK in the market decline of 2022. We believe our focus on AI and technology, climate change investments, and the consumer will pay off for our shareholders over the long term and we remain more confident than ever in our multi thematic investment approach. Thank you for your patience during the bear market of 2022. We are excited about the new bull cycle that began in 2023 that, hopefully, will continue for some time.

 

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period July 2, 2021* to June 30, 2023

 

 

17

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

          Since  
          Inception  
    1 Year     7/2/2021*  
AdvisorShares Gerber Kawasaki ETF NAV     11.21 %     -14.81 %
AdvisorShares Gerber Kawasaki ETF Market Price**     11.09 %     -14.82 %
S&P 500 Index     19.59 %     3.12 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.43% and the net expense ratio is 1.43%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.75%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

18

 

 

ADVISORSHARES TRUST

AdvisorShares Hotel ETF (BEDZ)

 

The AdvisorShares Hotel ETF (ticker: BEDZ) was launched in the Spring of 2021. During the past fiscal year (July 1, 2022, to June 30, 2023), the Fund achieved a return of +29.33% (NAV), outperforming the S&P 500 Index. BEDZ’s performance closely aligns with the success of the hotel industry, which plays a crucial role in the global travel and tourism sector. This industry encompasses various types of accommodations, including luxury hotels, resorts, budget hotels, boutique hotels, and more. The hotel industry is significantly influenced by economic conditions, travel trends, technological advancements, and global events. Despite concerns of a potential recession, growth has been driven by the strong desire to travel post-pandemic and an increase in corporate travel. Investors considering a focused fund within this industry should have a long-term perspective.

 

We maintain an optimistic outlook on the future growth of the hotel and travel sector as the world gradually returns to a more normal business travel environment. While we hold a positive view of the overall hotel industry, BEDZ aims to achieve relative outperformance through careful selection of individual securities within the hotel sector and related areas, supported by effective trading techniques.

 

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period April 20, 2021* to June 30, 2023

 

 

19

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

          Since  
          Inception  
    1 Year     4/20/2021*  
AdvisorShares Hotel ETF NAV     29.33 %     2.20 %
AdvisorShares Hotel ETF Market Price**     29.49 %     2.15 %
S&P 500 Index     19.59 %     5.05 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.33% and the net expense ratio is 1.33%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

20

 

 

ADVISORSHARES TRUST

AdvisorShares Insider Advantage ETF (SURE)

 

The AdvisorShares Insider Advantage ETF (ticker: SURE) was launched in September 2022.* Through June 30, 2023, SURE had 10 months of performance, with a return of 11.38% (NAV) since its inception. The fund’s performance tracks a basket of companies actively repurchasing their outstanding stock and/or paying dividends. With the pace of new stock buybacks and dividends remaining stable, SURE provides investors with a compelling opportunity to capitalize on these shareholder-friendly practices. SURE’s portfolio holds companies that we believe have displayed a commitment to returning value to their shareholders, indicating a strong financial position and management’s confidence in future growth prospects.

 

Despite a new 1% U.S. federal tax on them, share buybacks set a worldwide record of $1.3 trillion in 2022. And this growth does not appear to be an isolated event: buybacks have nearly tripled in value since 2012. This trend indicates that the management teams of these companies are confident in their growth strategies and believe that returning capital to shareholders is an effective way to demonstrate that confidence. As such, investors who are seeking both stability and the potential for increased returns may find this fund appealing, given its attractive combination of buybacks and dividends from companies with strong fundamentals and a shareholder-friendly approach. We maintain an optimistic outlook for SURE.

 

 
* On September 1, 2022, the AdvisorShares DoubleLine Value Equity ETF (DBLV) was renamed the AdvisorShares Insider Advantage ETF. DBLV had different portfolio managers and investment strategy than the AdvisorShares Insider Advantage ETF.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period June 30, 2013 to June 30, 2023

 

 

21

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

    1 Year     3 Year     5 Year     10 Year  
AdvisorShares Insider Advantage ETF NAV     12.78 %     14.33 %     8.38 %     9.86 %
AdvisorShares Insider Advantage ETF Market Price*     12.95 %     14.38 %     8.38 %     9.84 %
Russell 1000 Value Total Return     11.54 %     14.30 %     8.11 %     9.22 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 0.96% and net expense ratio is 0.96%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.90%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The Russell 1000 Value Total Return Index measures the performance of the large-cap value segment of the U.S. equity market. It includes those Russell 1000 companies with lower price-to-book ratios and lower expected and historical growth rates.

 

22

 

 

ADVISORSHARES TRUST

AdvisorShares Let Bob AI Powered Momentum ETF (LETB)

 

The AdvisorShares Let Bob AI Momentum ETF (ticker: LETB) finished the fiscal year ended June 30,2023 with a return of -0.36% (market). We maintained a defensive cash position for most of this time frame, as LETB’s tactical investment strategy uses macro technical analysis to identify asset classes expected to perform well in upward trending markets.

 

Overall, the stock market was very volatile during the fiscal year. The Federal Reserve tightened monetary policy as inflation rose, reaching a 40-year high. The Fed’s unprecedented series of interest rate increases sent stocks into a bear market. The war in Ukraine also led to supply chain disruptions and higher energy prices throughout the global economy.

 

Investor concerns over rising interest rates, slowing economic growth, and persistently high inflation have subsided in recent months. Markets have started off strong, with the Fed leaving rates unchanged for the first time since March 2022. If the current market conditions persist, we expect LETB’s investment model to continue to signal us to seek opportunities in high momentum names.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period February 9, 2022* to June 30, 2023

 

 

23

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

          Since  
          Inception  
    1 Year     2/9/2022*  
AdvisorShares Let Bob AI Powered Momentum ETF NAV     -0.50 %     -5.42 %
AdvisorShares Let Bob AI Powered Momentum ETF Market Price**     -0.36 %     -5.43 %
S&P 500 Index     19.59 %     0.57 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.56% and the net expense ratio is 1.56%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

24

 

 

ADVISORSHARES TRUST

AdvisorShares MSOS 2x Daily ETF (MSOX)

 

The AdvisorShares MSOS 2X Daily ETF (ticker: MSOX) launched August 23, 2022. The Fund seeks to provide two times (2x) the daily exposure of the AdvisorShares Pure US Cannabis ETF (MSOS) in a single trade and is designed for sophisticated investors looking to gain magnified exposure to the U.S. cannabis sector. Since its inception through June 30, 2023, MSOX had a return of -87.08% (NAV).

 

Due to its exclusive emphasis on the United States and use of leverage, the MSOX is particularly vulnerable to volatility arising from U.S. cannabis legislation and potential modifications to such laws. The Fund’s future performance is anticipated to be influenced by the ongoing expansion of state-by-state cannabis sales in the U.S., and it may also be significantly impacted by expected reforms in federal cannabis laws.

 

Given the current price levels, we maintain a strongly optimistic outlook on the U.S. cannabis market and the likelihood of favorable changes in U.S. federal cannabis regulations.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period August 24, 2022* to June 30, 2023

 

 

25

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

    Since  
    Inception  
    8/24/2022*  
AdvisorShares MSOS 2x Daily ETF NAV     -87.08 %
AdvisorShares MSOS 2x Daily ETF Market Price**     -86.96 %
S&P 500 Index     9.39 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.12% and net expense ratio is 1.12%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.95%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

26

 

 

ADVISORSHARES TRUST

AdvisorShares Newfleet Multi-Sector Income ETF (MINC)

 

The AdvisorShares Newfleet Multi-Sector Income ETF (ticker: MINC) posted a return of 1.36%, based on NAV and 1.33%, based on market price as compared to -0.94% for the Bloomberg U.S. Aggregate Bond Index and 0.21% for the BofA Merrill lynch 1-5 Year U.S. Corporate & Government Bond Index for the 1-year period ended June 30, 2023.

 

Global central banks continued to fight inflation during the second half of 2022 with a series of unusually large policy rate increases. 2023 has been a year of transition. China’s transition from a strict zero-COVID policy to a more broad reopening of its economy brought stronger initial economic data releases that later faded, with new calls for stimulus emerging by the end of the period. In the U.S., we saw the Federal Reserve (Fed) in transition as it opted to hold its federal funds rate steady for the first time in more than a year after raising the target rate at every meeting since March of 2022. Economic growth is transitioning towards a slower pace in some parts of the world and proving more resilient in others. Unfortunately, we have yet to witness a transition towards peace in Eastern Europe. Financial markets continue to take most of these transitions in stride and seem to be embracing the view that any pain related to these changes would be shallow and short-lived. Washington was able to put its differences aside temporarily to address the U.S. debt ceiling, and the stresses in the banking system that emerged at the end of the first quarter have largely abated. Though this is certainly welcome news, it warrants monitoring.

 

During the one-year period, MINC’s underweight to U.S. Treasuries and allocation to bank loans contributed to the outperformance for the period. A solid technical driven by limited loan supply, hawkish Fed comments and solid economic numbers are resetting rate expectations higher and pushing out recession expectations further into the future. Allocation to and issue selection within asset backed securities had a positive impact on performance. Though a low unemployment rate, high number of job openings, and wage gains mitigate the effects of higher rates on the consumer, excess savings have come down significantly. Issue selection within investment grade corporate bonds positively contributed to performance primarily driven by the Fund’s overweight to BBB securities which outperformed versus higher quality bonds within the sector. The Fund’s higher quality bias within corporate high yield bonds and issue selection within non-agency mortgage-backed securities (RMBS) detracted from performance. The rapid move higher in rates extended the average lives of certain RMBS due to much slower prepayments.

 

MINC’s multi-sector relative value approach enables the ETF to take advantage of opportunities when events that trigger volatility, such as inflation worries or concerns around the banking industry, affect valuations. In the current environment, we believe some of the best total return and yield opportunities can be found in spread sectors. However, given the risk of a recession, the Fund’s exposure to spread sectors that would typically be more negatively impacted, such as corporate high yield and bank loans, are at historically low levels. Credit selection and positioning remain key. Specific sectors that demonstrate the best relative value for us include out-of-index/off-the-run asset-backed securities (ABS), non-agency RMBS and BBB-rated corporate investment grade bonds.

 

 

The Bloomberg U.S. Aggregate Bond Index measures the performance of the U.S. investment grade bond market.

The BofA Merrill Lynch 1-5 Year U.S. Corporate & Government Bond Index tracks the performance of US dollar denominated investment grade debt publicly issued in the US domestic market, including US Treasury, US agency, foreign government, supranational and corporate securities, with a remaining term to final maturity less than 5 years, calculated on a total return basis.

 

27

 

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period June 30, 2013 to June 30, 2023

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

    1 Year     3 Year     5 Year     10 Year  
AdvisorShares Newfleet Multi-Sector Income ETF NAV     1.36 %     -0.24 %     1.12 %     1.67 %
AdvisorShares Newfleet Multi-Sector Income ETF Market Price*     1.33 %     -0.27 %     1.14 %     1.67 %
Bloomberg U.S. Aggregate Bond Index     -0.94 %     -3.96 %     0.77 %     1.52 %
BofA Merrill Lynch 1-5 Year U.S. Corporate & Government Bond Index     0.21 %     -1.51 %     1.18 %     1.18 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 0.76% and net expense ratio is 0.76%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.75%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The Bloomberg U.S. Aggregate Bond Index measures the performance of the U.S. investment grade bond market. One cannot invest directly in an index.

 

The BofA Merrill Lynch 1-5 Year U.S. Corporate & Government Bond Index tracks the performance of US dollar denominated investment grade debt publicly issued in the US domestic market, including US Treasury, US agency, foreign government, supranational and corporate securities, with a remaining term to final maturity less than 5 years, calculated on a total return basis. One cannot invest directly in an index.

 

28

 

 

ADVISORSHARES TRUST

AdvisorShares Poseidon Dynamic Cannabis ETF (PSDN)

 

The AdvisorShares Poseidon Dynamic Cannabis ETF (ticker: PSDN) launched in November of 2021. During the fiscal year ended June 30, 2023, while its performance has been negative, PSDN has experienced new share creations of nearly $1 million of inflows. These inflows were despite incredibly challenging times in cannabis and broader markets. PSDN can actively use moderate levels of leverage, at portfolio management’s discretion, and had an average leverage position of 1.08% during the fiscal year.

 

The cannabis sector largely peaked in February 2021 and has been mostly negative for 18 months through June 30, 2023. It is our belief that most of the initial decline was attributable to overly optimistic expectations. Declines over the last year are likely from a dwindling of custody access that caused forced selling coupled with continued investor expectations of federal reform, which has failed to materialize. As a result, analyst and investor expectations have repriced lower along with lowering guidance through 2024.

 

As we enter the second half of 2023, we do not expect any meaningful federal progress on cannabis reform. Our focus remains on more of a bottom-up approach driven by portfolio companies’ management execution, capital allocation, and unlocking profitable growth organically and through strategic merger and acquisition.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period November 17, 2021* to June 30, 2023

 

 

29

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

          Since  
          Inception  
    1 Year     11/17/2021*  
AdvisorShares Poseidon Dynamic Cannabis ETF NAV     -54.11 %     -74.08 %
AdvisorShares Poseidon Dynamic Cannabis ETF Market Price**     -53.88 %     -73.99 %
S&P 500 Index     19.59 %     -1.72 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 2.59% and the net expense ratio is 2.59%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

30

 

 

ADVISORSHARES TRUST

AdvisorShares Psychedelics ETF (PSIL)

 

The AdvisorShares Psychedelics ETF (ticker: PSIL) was launched on September 15, 2021. The Fund recorded a return of -26.55% (NAV) for the fiscal year ended June 30, 2023. Since its inception, the Fund’s performance has been volatile and predominantly negative. This can be attributed to the fact that the psychedelics market is relatively new and highly concentrated, consisting mainly of micro-cap securities.

 

Given the nature of the industry, extreme volatility should be expected. The psychedelic sector primarily comprises biotech and pharmaceutical companies focused on mental health. The value of these companies is primarily derived from their intellectual property and drug or treatment pipelines.

 

Despite the negative performance observed in the past year, we believe psychedelics hold significant potential for long-term investors who are aware of the risks associated with this emerging and nascent industry.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period September 16, 2021* to June 30, 2023

 

 

31

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

          Since  
          Inception  
    1 Year     9/16/2021*  
AdvisorShares Psychedelics ETF NAV     -26.55 %     -60.74 %
AdvisorShares Psychedelics ETF Market Price**     -28.45 %     -60.52 %
S&P 500 Index     19.59 %     1.23 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 3.11% and the net expense ratio is 3.11%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

32

 

 

ADVISORSHARES TRUST

AdvisorShares Pure Cannabis ETF (YOLO)

 

The AdvisorShares Pure Cannabis ETF (ticker: YOLO) experienced negative returns during the previous fiscal year, which is reflective of the overall performance of the cannabis sector. From July 1, 2022, to June 30, 2023, YOLO recorded a return of -50.63% (NAV). Following the U.S. elections in February 2021, cannabis stocks reached a peak but have since faced a long decline. This was due to the market’s expectation of some form of cannabis legalization, which has been slow to materialize at the federal level.

 

It’s important to note that as a specialty sector, cannabis stocks often exhibit low correlation with the broader market. Despite the ongoing sell-off and underperformance in the past year and beyond, we maintain a positive long-term outlook for the cannabis market. We believe the current under-valued prices present growth opportunities, and we anticipate significant legislative reform and market development within the cannabis industry. Many investors believe that the industry’s success hinges on federal law reform in the United States. Given the nature of the cannabis industry, high volatility should be anticipated.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period April 17, 2019* to June 30, 2023

 

 

33

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

                Since  
                Inception  
    1 Year     3 Year     4/17/2019*  
AdvisorShares Pure Cannabis ETF NAV     -50.63 %     -35.40 %     -39.37 %
AdvisorShares Pure Cannabis ETF Market Price**     -50.54 %     -35.37 %     -39.91 %
S&P 500 Index     19.59 %     14.60 %     12.62 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.02% and net expense ratio is 1.02%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.74%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

34

 

 

ADVISORSHARES TRUST

AdvisorShares Pure US Cannabis ETF (MSOS)

 

The AdvisorShares Pure US Cannabis ETF (ticker: MSOS) launched in September 2020. The Fund recorded a return of -47.04% (NAV) for the fiscal year ended June 30, 2023. Being a focused U.S.-only cannabis fund, MSOS’s performance has been highly volatile since its inception. The decline in cannabis stocks, collectively, can be attributed to slower-than-expected developments in U.S. cannabis law reforms, following a peak in February 2021. The absence of Federal cannabis reform has various impacts on U.S. cannabis stock prices as they trade mostly on secondary exchanges in Canada and over the counter (OTC) in the U.S. and with limited availability for trading in U.S. bank and brokerage firms.

 

Given its complete focus on the U.S., MSOS is particularly susceptible to volatility stemming from U.S. cannabis laws and potential changes to those laws. Future performance of MSOS is expected to be influenced by the continued growth of state-by-state U.S. cannabis sales and could be significantly affected by anticipated Federal reforms in cannabis laws.

 

Considering the current price levels, we hold a strong optimistic view on the U.S. cannabis market and the likelihood of positive changes in U.S. Federal laws pertaining to cannabis.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT 

For the period September 1, 2020* to June 30, 2023

 

 

35

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

          Since  
          Inception  
    1 Year     9/1/2020*  
AdvisorShares Pure US Cannabis ETF NAV     -47.04 %     -41.48 %
AdvisorShares Pure US Cannabis ETF Market Price**     -46.48 %     -41.22 %
S&P 500 Index     19.59 %     10.29 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 0.81% and net expense ratio is 0.81%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.74%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

36

 

 

ADVISORSHARES TRUST

AdvisorShares Q Dynamic Growth ETF (QPX)

 

For the twelve-month period ended in June 2023, the AdvisorShares Q Dynamic Growth ETF (ticker: QPX) finished ahead its benchmark, the S&P 500 Index.

 

The previous twelve months were a banner year in terms of risk management. Virtually all available long-only diversification allocations failed due to liquidity being drained by the Federal Reserve. There was no ‘black-swan’ event either, thus QPX’s proprietary Q Implied Volatility Index™ (QIX)* did not trigger a tactical rebalance towards a defensive allocation. As a result, the QIX was revised in 2023 to include a third ‘partial risk-off’ trigger.

 

Throughout the period, QPX continued a heavy weighting to large-cap stocks and the technology sector, as this exposure has a significantly higher risk/reward characteristics (as well as the opportunity for asymmetric bets) than other segments of the market. QPX’s investment strategy is purely quantitative in nature and portfolio allocations will reflect what is perceived to be the best long-term risk/reward sectors per QPX’s model.

 

 
* The QIX is a proprietary indicator designed to tactically and unemotionally identify market volatility. QIX is reviewed daily and determines certain allocation changes.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period December 28, 2020* to June 30, 2023

 

 

37

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

          Since  
          Inception  
    1 Year     12/28/2020*  
AdvisorShares Q Dynamic Growth ETF NAV     29.37 %     5.36 %
AdvisorShares Q Dynamic Growth ETF Market Price**     29.44 %     5.36 %
S&P 500 Index     19.59 %     8.94 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.37% and net expense ratio is 1.37%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 1.45%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

38

 

 

ADVISORSHARES TRUST

AdvisorShares Ranger Equity Bear ETF (HDGE)

 

For the fiscal year ended June 30, 2023, the performance of the AdvisorShares Ranger Equity Bear ETF (ticker: HDGE) was -28.99% (NAV) compared with +19.59% for the S&P 500 Index. The period was characterized by extreme volatility. Interest rates had a historical move from a level of zero and a bear market was followed by a tremendous rally. However, we believe this rally is running out of steam.

 

Volatility as measured by the Cboe Market Volatility Index (VIX) has subsided to near historical lows. The level of bulls among advisors has crept into extreme levels. Earnings estimates have been declining and earnings growth has been dismal. Margin expansion has been a key driver of earnings growth and margin expansion is ultimately limited. Meanwhile, as interest rates have risen, they have converged with the forward earnings yield with equities. Historically, this convergence had led to poor stock market returns over time.

 

Our outlook for the next twelve months is very bearish, and HDGE’s goal is to benefit from maximum damage in the equity markets both in terms of portfolio exposure and beta.

 

 

The Cboe Volatility Index (“VIX®) is based on real-time prices of options on the S&P 500 Index and is designed to reflect investors’ consensus view of future (30-day) expected stock market volatility.

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period June 30, 2013 to June 30, 2023

 

 

39

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

    1 Year     3 Year     5 Year     10 Year  
AdvisorShares Ranger Equity Bear ETF NAV     -28.99 %     -22.48 %     -21.90 %     -17.84 %
AdvisorShares Ranger Equity Bear ETF Market Price*     -29.19 %     -22.44 %     -21.85 %     -17.83 %
S&P 500 Index     19.59 %     14.60 %     12.31 %     12.86 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) and net expense ratio is 4.29%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 1.85%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

40

 

 

ADVISORSHARES TRUST

AdvisorShares Restaurant ETF (EATZ)

 

The AdvisorShares Restaurant ETF (ticker: EATZ) was launched in April 2021. During the past fiscal year (July 1, 2022 to June 30, 2023), the Fund achieved a return of +30.59% (NAV). Throughout the past twelve months, EATZ surpassed the overall market performance, driven by the restaurant sector’s resilience and ongoing recovery, despite encountering challenges such as labor shortages and increasing costs. In this dynamic landscape, success in the restaurant industry hinges on adapting to evolving consumer preferences, integrating technology, and prioritizing sustainability. EATZ is designed for long-term investors who possess a forward-looking perspective.

 

We hold an optimistic outlook regarding the future growth prospects of the restaurant industry, particularly as global economic conditions improve, and issues related to employment and supply chain stability are resolved.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period April 20, 2021* to June 30, 2023

 

 

41

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

          Since  
          Inception  
    1 Year     4/20/2021*  
AdvisorShares Restaurant NAV     30.59 %     -4.74 %
AdvisorShares Restaurant ETF Market Price**     30.95 %     -4.72 %
S&P 500 Index     19.59 %     5.05 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 2.11% and the net expense ratio is 2.11%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

42

 

 

ADVISORSHARES TRUST

AdvisorShares STAR Global Buy-Write ETF (VEGA)

 

The AdvisorShares STAR Global Buy-Write ETF (ticker: VEGA) performed relatively well during the past fiscal year ended June 30, 2022, with a return of 10.60% (NAV), especially, given the lackluster performance of the fixed-income markets and generally poor market conditions in Q3 2022.

 

During the previous 12 months, VEGA completed a few tactical shifts, most notably in Q1 2023, when, following the collapse of regional banks, we increased our exposure to U.S. Treasuries, mortgage-backed securities, and developed and emerging market equities, while reducing our allocation to high yield fixed income and small cap equities.

 

For the past year, VEGA continued to sell covered calls and purchase protective puts. In September and October 2022 we were able to take advantage of the increased volatility by selling and closing calls multiple times to lock in the total premium income received on these option contracts. And, in Q1 2023, all the monthly calls sold during the first quarter expired worthless once again which added an additional source of alternative income to the bottom line. Also, due to the large decrease in market volatility, we began lowering our option coverage on VEGA’s underlying portfolio positions from where we were in Q4 2022. As a reminder, option coverage decreases when the premium received and out-of-moneyness of the targeted strike price warrants allowing more potential upside of the underlying security. This proved advantageous and allowed VEGA to participate in more of the market’s upside movement than would have been possible had more covered call coverage been in place. Protective puts were also employed to help buffer a potential substantial drop in the market; however, at this time since markets have moved upward, that amount of protection has decreased.

 

Going forward, we continue to emphasize harnessing volatility through VEGAs’ covered calls and protective puts strategies to help reduce the risk of the underlying portfolio.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period June 30, 2013 to June 30, 2023

 

 

43

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

    1 Year     3 Year     5 Year     10 Year  
AdvisorShares STAR Global Buy-Write ETF NAV     10.60 %     6.22 %     4.67 %     5.22 %
AdvisorShares STAR Global Buy-Write ETF Market Price*     10.54 %     6.16 %     4.66 %     5.21 %
MSCI All Country World Index (Net)     16.53 %     10.99 %     8.10 %     8.75 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the einvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 2.00% and the net expense ratio is 2.00%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 1.85%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The MSCI All Country World Index (Net) is an unmanaged free float-adjusted market capitalization weighted index that is designed to measure the equity market performance of developed and emerging markets. One cannot invest directly in an index.

 

44

 

 

ADVISORSHARES TRUST

AdvisorShares Vice ETF (VICE)

 

During the past fiscal year (July 1, 2022 to June 30, 2023), The AdvisorShares Vice ETF (ticker: VICE) delivered a return of +15.24% (NAV), slightly trailing the performance of the broader market, as indicated by the S&P 500 Index. When considering investments in sectors such as alcohol and tobacco, we typically expect these industries to exhibit lower volatility and stronger resilience in negative markets, as consumers tend to maintain their consumption of these goods and services despite rising prices. Key players in the alcohol, tobacco, and gaming industries continue to prioritize product innovation, market expansion, and adaptation to evolving consumer preferences.

 

As of mid-2023, with the overall market remaining unpredictable due to factors like inflation, supply chain disruptions, and employment issues, we believe that stocks associated with alcohol, gaming, entertainment, and other vice-oriented sectors remain attractive and possess qualities that are resistant to market fluctuations. We anticipate that VICE will demonstrate less volatility compared to the overall market, and certain vice-oriented stocks are expected to offer positive growth regardless of broader market conditions. While the Fund’s performance is closely tied to the areas of alcohol, gambling, online gaming, and food, we aim to achieve relative outperformance through effective individual security selection and successful trading techniques.

 

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks.

 

HYPOTHETICAL GROWTH OF $10,000 INVESTMENT

For the period December 12, 2017* to June 30, 2023

 

 

45

 

 

HISTORICAL PERFORMANCE

Total Return as of June 30, 2023

 

                      Since  
                      Inception  
    1 Year     3 Year     5 Year     12/12/2017*  
AdvisorShares VICE ETF NAV     15.24 %     9.16 %     3.86 %     3.95 %
AdvisorShares VICE ETF Market Price**     15.58 %     9.19 %     3.80 %     3.95 %
S&P 500 Index     19.59 %     14.60 %     12.31 %     11.64 %

 

Performance data quoted represents past performance and is no guarantee of future results. Current performance may be lower or higher than the performance data quoted. Investment return and principal value will fluctuate so that an investor’s shares, when redeemed, may be worth more or less than original cost. Fund NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV. Returns shown include the reinvestment of all dividends and other distributions. Index returns do not include expenses. As stated in the current prospectus, the Fund’s annual operating expense ratio (gross) is 1.64% and the net expense ratio is 1.64%. (Actual expenses can be referenced in the Financial Highlights section later in this report.) The Fund’s advisor has agreed to waive a portion of its fees and/or reimburse expenses to the extent necessary to keep the Fund’s expenses from exceeding 0.99%. Returns less than one year are not annualized. The performance table and graph do not reflect the deduction of taxes that a shareholder would pay on Fund distributions or the redemption of Fund shares. For the Fund’s most recent month end performance, please call 1-877-843-3831.

 

 
* Commencement of operations.
** The price used to calculate market return (“Market Price”) is determined by using the closing price listed on the NYSE Arca and does not represent returns an investor would receive if shares were traded at other times. Total returns are calculated using the daily 4:00pm midpoint between the bid and offer. Shares are bought and sold at market price, not NAV and are not individually redeemed from the Fund.

 

The S&P 500 Index is a broad-based, unmanaged measurement of changes in stock market conditions based on the average of 500 widely held common stocks. One cannot invest directly in an index.

 

46

 

 

ADVISORSHARES TRUST

 

Shareholder Expense Examples (unaudited)

 

As a shareholder of a Fund, you incur transaction costs and ongoing costs, including management fees and other Fund expenses. The following example is intended to help you understand your ongoing costs (in dollars and cents) of investing in a Fund and to compare these costs with the ongoing costs of investing in other funds. The examples are based on an initial investment of $1,000 invested at January 1, 2023 and held for the period ended June 30, 2023, unless noted below for Funds not in operations for the full six month period.

 

Actual Expenses

 

The first line under each Fund in the table below provides information about actual account values and actual expenses. You may use the information, together with the amount you invested, to estimate the expenses that you incurred over the period. Simply divide your account value by $1,000 (for example, an $8,600 account value divided by $1,000 = 8 6), then multiply the result by the number under the heading entitled “Expenses Paid” to estimate the expenses attributable to your account during this period.

 

Hypothetical Example for Comparison Purposes

 

The second line under each Fund in the table provides information about hypothetical account values and hypothetical expenses based on the Fund’s actual expense ratio and an assumed rate of return of 5% per year before expenses, which is not the Fund’s actual return. The hypothetical account values and expenses may not be used to estimate the actual ending account balance or expenses for the period. You may use this information to compare the ongoing costs of investing in the Funds and other ETF funds. To do so, compare this 5% hypothetical example with the 5% hypothetical examples that appear in the shareholder reports of other funds.

 

Please note that the expenses shown in the table are meant to highlight your ongoing costs only and do not reflect any transactional costs. Therefore, the hypothetical example is useful in comparing ongoing costs only, and will not help you determine the relative total costs of owning different funds.

 

In addition, if these transactional costs were included, your costs would have been higher.

 

Fund Name   Beginning
Account
Value
1/1/2023
    Ending
Account
Value
6/30/2023
    Annualized
Expense
Ratio for the
Period
    Expenses
Paid
 
AdvisorShares Alpha DNA Equity Sentiment ETF                                
Actual   $ 1,000.00     $ 1,067.00       1.13 %   $ 5.79 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,019.19       1.13 %   $ 5.66  
AdvisorShares Dorsey Wright ADR ETF                                
Actual   $ 1,000.00     $ 1,041.80       1.10 %   $ 5.57 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,019.34       1.10 %   $ 5.51  
AdvisorShares Dorsey Wright FSM All Cap World ETF(2)                                
Actual   $ 1,000.00     $ 1,017.20       0.96 %   $ 4.83 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,020.01       0.96 %   $ 4.83  

 

47

 

 

ADVISORSHARES TRUST

 

Shareholder Expense Examples (unaudited) (continued)

 

Fund Name   Beginning
Account
Value
1/1/2023
    Ending
Account
Value
6/30/2023
    Annualized
Expense
Ratio for the
Period
    Expenses
Paid
 
AdvisorShares Dorsey Wright FSM US Core ETF(2)                                
Actual   $ 1,000.00     $ 1,102.10       0.97 %   $ 5.04 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,019.99       0.97 %   $ 4.85  
AdvisorShares Dorsey Wright Short ETF                                
Actual   $ 1,000.00     $ 882.00       1.18 %   $ 5.51 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,018.94       1.18 %   $ 5.91  
AdvisorShares Dorsey Wright Small Company ETF(3)                                
Actual   $ 1,000.00     $ 989.10       1.25 %   $ 6.16 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,018.60       1.25 %   $ 6.26  
AdvisorShares Focused Equity ETF                                
Actual   $ 1,000.00     $ 1,133.10       0.85 %   $ 4.50 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,020.58       0.85 %   $ 4.26  
AdvisorShares Gerber Kawasaki ETF                                
Actual   $ 1,000.00     $ 1,199.90       0.75 %   $ 4.09 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,021.08       0.75 %   $ 3.75  
AdvisorShares Hotel ETF                                
Actual   $ 1,000.00     $ 1,109.00       0.99 %   $ 5.18 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,019.89       0.99 %   $ 4.96  
AdvisorShares Insider Advantage ETF(4)                                
Actual   $ 1,000.00     $ 1,112.30       0.90 %   $ 4.71 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,020.33       0.90 %   $ 4.51  
AdvisorShares Let Bob AI Powered Momentum ETF                                
Actual   $ 1,000.00     $ 1,015.50       0.99 %   $ 4.95 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,019.89       0.99 %   $ 4.96  
AdvisorShares MSOS 2x Daily ETF                                
Actual   $ 1,000.00     $ 534.10       0.95 %   $ 3.62 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,020.08       0.95 %   $ 4.76  
AdvisorShares Newfleet Multi-Sector Income ETF                                
Actual   $ 1,000.00     $ 1,020.90       0.75 %   $ 3.76 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,021.08       0.75 %   $ 3.76  

 

48

 

 

ADVISORSHARES TRUST

 

Shareholder Expense Examples (unaudited) (continued)

 

Fund Name   Beginning
Account
Value
1/1/2023
    Ending
Account
Value
6/30/2023
    Annualized
Expense
Ratio for the
Period
    Expenses
Paid
 
AdvisorShares Poseidon Dynamic Cannabis ETF                                
Actual   $ 1,000.00     $ 729.10       0.99 %   $ 4.24 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,019.89       0.99 %   $ 4.96  
AdvisorShares Psychedelics ETF                                
Actual   $ 1,000.00     $ 989.70       0.99 %   $ 4.88 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,019.89       0.99 %   $ 4.96  
AdvisorShares Pure Cannabis ETF                                
Actual   $ 1,000.00     $ 718.30       0.49 %   $ 2.09 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,022.36       0.49 %   $ 2.46  
AdvisorShares Pure US Cannabis ETF                                
Actual   $ 1,000.00     $ 774.20       0.74 %   $ 3.26 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,021.12       0.74 %   $ 3.71  
AdvisorShares Q Dynamic Growth ETF(2)                                
Actual   $ 1,000.00     $ 1,345.50       1.40 %   $ 8.11 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,017.88       1.40 %   $ 6.98  
AdvisorShares Ranger Equity Bear ETF                                
Actual   $ 1,000.00     $ 785.90       1.70 %   $ 7.54 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,016.35       1.70 %   $ 8.51  
AdvisorShares Restaurant ETF                                
Actual   $ 1,000.00     $ 1,189.20       0.99 %   $ 5.38 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,019.88       0.99 %   $ 4.97  
AdvisorShares STAR Global Buy-Write ETF(2)                                
Actual   $ 1,000.00     $ 1,098.70       1.29 %   $ 6.71 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,018.40       1.29 %   $ 6.45  
AdvisorShares Vice ETF                                
Actual   $ 1,000.00     $ 1,077.90       0.99 %   $ 5.10 (1) 
Hypothetical (assuming a 5% return before expenses)   $ 1,000.00     $ 1,019.89       0.99 %   $ 4.96  

 

 
(1) Expenses are calculated using each Fund’s annualized expense ratio, multiplied by the average account value for the period, multiplied by 181/365 (to reflect the six-month period).
(2) The Fund invests in other funds and indirectly bears its proportionate shares of fees and expenses incurred by the funds in which the Fund is invested in. These ratios do not include these indirect fees and expenses.
(3) Formerly known as AdvisorShares Dorsey Wright Micro-Cap ETF.
(4) Formerly known as AdvisorShares DoubleLine Value Equity ETF.

 

49

 

 

ADVISORSHARES ALPHA DNA EQUITY SENTIMENT ETF
Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS — 98.2%  
                 
Aerospace/Defense — 1.0%  
Hexcel Corp.     2,303     $ 175,074  
                 
Airlines — 1.1%  
Sun Country Airlines Holdings, Inc.*     8,229       184,988  
                 
Auto Manufacturers — 2.0%  
PACCAR, Inc.     2,078       173,825  
Wabash National Corp.     6,154       157,788  
Total Auto Manufacturers             331,613  
                 
Banks — 3.9%  
Bancorp, Inc. (The)*     5,154       168,278  
City Holding Co.     1,764       158,742  
Customers Bancorp, Inc.*     5,857       177,233  
First Financial Bancorp     8,109       165,748  
Total Banks             670,001  
                 
Beverages — 1.0%  
Molson Coors Beverage Co., Class B     2,505       164,929  
                 
Biotechnology — 5.8%  
ANI Pharmaceuticals, Inc.*     3,139       168,973  
Fate Therapeutics, Inc.*     33,153       157,808  
Legend Biotech Corp.*(a)(b)     2,244       154,903  
NeoGenomics, Inc.*     9,818       157,775  
TG Therapeutics, Inc.*(a)     6,945       172,514  
Zymeworks, Inc.*     20,454       176,723  
Total Biotechnology             988,696  
                 
Building Materials — 3.0%  
American Woodmark Corp.*     2,329       177,866  
Carrier Global Corp.     3,367       167,373  
Eagle Materials, Inc.     922       171,879  
Total Building Materials             517,118  
                 
Commercial Services — 3.0%  
GXO Logistics, Inc.*     2,701       169,677  
Progyny, Inc.*     4,384       172,466  
WEX, Inc.*     943       171,692  
Total Commercial Services             513,835  
                 
Computers — 2.0%  
Fortinet, Inc.*     2,263       171,060  
Zscaler, Inc.*     1,129       165,173  
Total Computers             336,233  
Investments   Shares     Value  
COMMON STOCKS (continued)  
   
Cosmetics/Personal Care — 2.0%  
Coty, Inc., Class A*     13,343     $ 163,985  
elf Beauty, Inc.*     1,482       169,289  
Total Cosmetics/Personal Care             333,274  
                 
Distribution/Wholesale — 2.0%  
Watsco, Inc.(a)     451       172,043  
WW Grainger, Inc.     218       171,913  
Total Distribution/Wholesale             343,956  
                 
Diversified Financial Services — 1.0%  
WisdomTree, Inc.     23,986       164,544  
                 
Electrical Components & Equipment — 2.0%  
AMETEK, Inc.     1,058       171,269  
Emerson Electric Co.     1,868       168,849  
Total Electrical Components & Equipment             340,118  
                 
Electronics — 3.0%  
Hubbell, Inc.     507       168,101  
nVent Electric PLC     3,316       171,338  
Vontier Corp.     5,288       170,326  
Total Electronics             509,765  
                 
Entertainment — 3.0%  
Cinemark Holdings, Inc.*     10,213       168,514  
DraftKings, Inc., Class A*     6,422       170,633  
Genius Sports Ltd. (United Kingdom)*     27,811       172,150  
Total Entertainment             511,297  
                 
Hand/Machine Tools — 1.0%  
Lincoln Electric Holdings, Inc.     858       170,425  
                 
Healthcare — Products — 4.8%  
Edwards Lifesciences Corp.*     1,819       171,586  
Exact Sciences Corp.*     1,734       162,823  
Lantheus Holdings, Inc.*     1,795       150,636  
Penumbra, Inc.*     493       169,622  
SI-BONE, Inc.*     5,726       154,487  
Total Healthcare — Products             809,154  
                 
Healthcare — Services — 2.0%  
Centene Corp.*     2,472       166,736  
HealthEquity, Inc.*     2,708       170,983  
Total Healthcare — Services             337,719  

 

See accompanying Notes to Financial Statements.

 

50

 

 

ADVISORSHARES ALPHA DNA EQUITY SENTIMENT ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS (continued)  
   
Home Builders — 2.0%  
Lennar Corp., Class A     1,343     $ 168,291  
Toll Brothers, Inc.     2,148       169,843  
Total Home Builders           338,134  
                 
Insurance — 1.0%  
Lemonade, Inc.*(a)     9,744       164,186  
                 
Internet — 10.9%  
Cargurus, Inc.*     7,860       177,872  
Fiverr International Ltd.*     6,333       164,721  
Hims & Hers Health, Inc.*     19,574       183,996  
Magnite, Inc.*(a)     12,121       165,452  
Meta Platforms, Inc., Class A*     573       164,439  
Okta, Inc.*     2,336       162,002  
Roku, Inc.*     2,570       164,377  
Shopify, Inc., Class A (Canada)*     2,533       163,632  
Squarespace, Inc., Class A*     5,784       182,427  
Uber Technologies, Inc.*     3,651       157,614  
Wix.com Ltd. (Israel)*     2,094       163,834  
Total Internet             1,850,366  
                 
Investment Companies — 2.0%  
Owl Rock Capital Corp.(a)     12,268       164,636  
Sixth Street Specialty Lending, Inc.     9,023       168,640  
Total Investment Companies             333,276  
                 
Leisure Time — 2.1%  
MasterCraft Boat Holdings, Inc.*     5,635       172,713  
OneSpaWorld Holdings Ltd. (Bahamas)*     14,789       178,947  
Total Leisure Time             351,660  
                 
Machinery — Construction & Mining — 1.0%  
Oshkosh Corp.     2,015       174,479  
                 
Machinery — Diversified — 2.9%  
AGCO Corp.     1,243       163,355  
Rockwell Automation, Inc.     512       168,678  
Xylem, Inc.     1,480       166,678  
Total Machinery — Diversified             498,711  
                 
Miscellaneous Manufacturing — 2.0%  
Eaton Corp. PLC     832       167,315  
Parker-Hannifin Corp.     436       170,058  
Total Miscellaneous Manufacturing             337,373  
Investments   Shares     Value  
COMMON STOCKS (continued)                
                 
Oil & Gas Services — 2.0%  
Halliburton Co.     5,185     $ 171,053  
Oceaneering International, Inc.*     9,301     173,929  
Total Oil & Gas Services             344,982  
                 
Pharmaceuticals — 7.7%                
Alkermes PLC*     5,013       156,907  
Ascendis Pharma A/S (Denmark)*(b)     1,880       167,790  
Eli Lilly & Co.     352       165,081  
Harmony Biosciences Holdings, Inc.*     4,630       162,929  
Merck & Co., Inc.     1,482       171,008  
Merus NV (Netherlands)*     6,474       170,460  
Seres Therapeutics, Inc.*     30,844       147,743  
uniQure NV (Netherlands)*     14,269       163,523  
Total Pharmaceuticals             1,305,441  
                 
REITS — 1.0%                
Ladder Capital Corp.     15,635       169,640  
                 
Retail — 2.0%                
McDonald’s Corp.     571       170,392  
Wingstop, Inc.     859       171,938  
Total Retail             342,330  
                 
Savings & Loans — 1.0%                
Axos Financial, Inc.*     4,429       174,680  
                 
Semiconductors — 6.0%                
Allegro MicroSystems, Inc. (Japan)*     3,895       175,820  
Applied Materials, Inc.     1,191       172,147  
Cohu, Inc.*     4,085       169,772  
NVIDIA Corp.     389       164,555  
NXP Semiconductors NV (China)     844       172,750  
ON Semiconductor Corp.*     1,827       172,798  
Total Semiconductors             1,027,842  
                 
Software — 10.0%                
BILL Holdings, Inc.*(a)     1,468       171,536  
Docusign, Inc.*     3,241       165,583  
Five9, Inc.*     2,121       174,876  
Gitlab, Inc., Class A*     3,336       170,503  
HubSpot, Inc.*     318       169,205  
Monday.com Ltd.*     969       165,912  
MongoDB, Inc.*     422       173,438  
Nutanix, Inc., Class A*     5,994       168,132  

 

See accompanying Notes to Financial Statements.

 

51

 

 

ADVISORSHARES ALPHA DNA EQUITY SENTIMENT ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

             
Investments   Shares     Value  
COMMON STOCKS (continued)  
                 
Software (continued)  
Procore Technologies, Inc.*     2,558     $ 166,449  
Samsara, Inc., Class A*     6,398       177,288  
Total Software             1,702,922  
                 
Telecommunications — 1.0%  
Calix, Inc.*     3,370       168,197  

Total Common Stocks
(Cost $15,384,686)

            16,686,958  
                 
MONEY MARKET FUNDS — 3.4%  
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(c)(d)     328,345       328,345  
Dreyfus Institutional Treasury and Agency Cash Advantage Fund, 5.00%(c)     519       519  
Fidelity Investments Money Market Government Portfolio — Class I, 4.74%(c)     248,024       248,024  
Total Money Market Funds
(Cost $576,888)
            576,888  
    Notional Amount     Contracts     Value  
PURCHASED PUT OPTIONS — 0.9%  
Shares Russell 2000 ETF, expiring 09/15/23, Strike Price $410.00   $ 4,592,000       112     $ 29,288  
SPDR S&P 500 ETF Trust, expiring 09/15/23, Strike Price $175.00     10,902,500       623       124,289  
Total Purchased Put Options
(Cost $255,466)
              153,577  
                         
Total Investments — 102.5%
(Cost $16,217,040)
              17,417,423  
Liabilities in Excess of Other Assets — (2.5%)               (415,608 )
Net Assets — 100.0%             $ 17,001,815  

 

 

ETF — Exchange Traded Fund

PLC — Public Limited Company

REITS — Real Estate Investment Trusts

* Non-income producing security.
(a) All or a portion of security is on loan. The aggregate market value of the securities on loan is $974,018; the aggregate market value of the collateral held by the fund is $997,123. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $668,778.
(b) American Depositary Receipt.
(c) Rate shown reflects the 7-day yield as of June 30, 2023.
(d) Collateral received from brokers for securities lending was invested in these short-term investments.

 

See accompanying Notes to Financial Statements.

 

52

 

 

ADVISORSHARES ALPHA DNA EQUITY SENTIMENT ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Common Stocks   $ 16,686,958     $     $     $ 16,686,958  
Money Market Funds     576,888                   576,888  
Purchased Put Options     153,577                   153,577  
Total   $ 17,417,423     $     $     $ 17,417,423  

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Aerospace/Defense     1.0 %
Airlines     1.1  
Auto Manufacturers     2.0  
Banks     3.9  
Beverages     1.0  
Biotechnology     5.8  
Building Materials     3.0  
Commercial Services     3.0  
Computers     2.0  
Cosmetics/Personal Care     2.0  
Distribution/Wholesale     2.0  
Diversified Financial Services     1.0  
Electrical Components & Equipment     2.0  
Electronics     3.0  
Entertainment     3.0  
Hand/Machine Tools     1.0  
Healthcare — Products     4.8  
Healthcare — Services     2.0  
Home Builders     2.0  

SUMMARY OF SCHEDULE OF INVESTMENTS (continued)

 

    % of
Net Assets
 
Insurance     1.0 %
Internet     10.9  
Investment Companies     2.0  
Leisure Time     2.1  
Machinery — Construction & Mining     1.0  
Machinery — Diversified     2.9  
Miscellaneous Manufacturing     2.0  
Oil & Gas Services     2.0  
Pharmaceuticals     7.7  
Purchased Put Option     0.9  
REITS     1.0  
Retail     2.0  
Savings & Loans     1.0  
Semiconductors     6.0  
Software     10.0  
Telecommunications     1.0  
Money Market Funds     3.4  
Total Investments     102.5  
Liabilities in Excess of Other Assets     (2.5 )
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

53

 

 

ADVISORSHARES DORSEY WRIGHT ADR ETF
Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS — 98.6%  
                 
Aerospace/Defense — 5.0%  
BAE Systems PLC (United Kingdom)(a)     15,575     $ 746,977  
Embraer SA (Brazil)*(a)     44,468       687,475  
Total Aerospace/Defense             1,434,452  
                 
Airlines — 2.9%  
Copa Holdings SA, Class A (Panama)     7,630       843,725  
                 
Apparel — 2.0%  
Hermes International (France)(a)     2,564       557,926  
                 
Banks — 13.9%  
Banco Bilbao Vizcaya Argentaria SA (Spain)(a)     109,158       838,333  
HDFC Bank Ltd. (India)(a)     9,360       652,392  
ING Groep NV (Netherlands)(a)     49,079       661,094  
Mitsubishi UFJ Financial Group, Inc. (Japan)(a)     126,624       933,219  
UBS Group AG (Switzerland)     44,713       906,333  
Total Banks             3,991,371  
                 
Beverages — 5.7%  
Coca-Cola Femsa SAB de CV (Mexico)(a)     9,522       793,278  
Fomento Economico Mexicano SAB de CV (Mexico)(a)     7,545       836,288  
Total Beverages             1,629,566  
                 
Biotechnology — 2.2%  
Argenx SE (Netherlands)*(a)     1,642       639,937  
                 
Building Materials — 5.7%  
Cemex SAB de CV (Mexico)*(a)     122,574       867,824  
CRH PLC (Ireland)(a)(b)     13,905       774,925  
Total Building Materials             1,642,749  
                 
Commercial Services — 5.3%  
New Oriental Education & Technology Group, Inc. (China)*(a)     16,400       647,636  
RELX PLC (United Kingdom)(a)     25,983       868,612  
Total Commercial Services             1,516,248  
                 
Electric — 3.2%  
Pampa Energia SA (Argentina)*(a)     21,080       913,185  
                 
Electrical Components & Equipment — 3.6%  
ABB Ltd. (Switzerland)(a)     26,378       1,035,336  
Investments   Shares     Value  
COMMON STOCKS (continued)  
   
Food Service — 2.5%  
Compass Group PLC (United Kingdom)(a)     25,200     $ 718,704  
                 
Internet — 9.0%  
MercadoLibre, Inc. (Brazil)*     544       644,422  
Tencent Music Entertainment Group (China)*(a)     82,006       605,204  
Trip.com Group Ltd. (China)*(a)     17,284       604,940  
Vipshop Holdings Ltd. (China)*(a)     45,003       742,550  
Total Internet             2,597,116  
                 
Iron/Steel — 4.9%  
POSCO Holdings, Inc. (South Korea)(a)(b)     11,700       865,215  
Ternium SA (Mexico)(a)     13,572       538,130  
Total Iron/Steel             1,403,345  
                 
Mining — 1.6%  
DRDGOLD Ltd. (South Africa)(a)     43,876       465,963  
                 
Miscellaneous Manufacturing — 2.7%  
Siemens AG (Germany)(a)     9,205       767,789  
                 
Oil & Gas — 4.1%  
YPF SA (Argentina)*(a)(b)     79,349       1,181,507  
                 
Pharmaceuticals — 7.7%                
AstraZeneca PLC (United Kingdom)(a)     9,629       689,148  
Novo Nordisk A/S (Denmark)(a)     9,463       1,531,397  
Total Pharmaceuticals             2,220,545  
                 
Retail — 2.0%                
Luckin Coffee, Inc. (China)*(a)     25,120       564,949  
                 
Semiconductors — 7.6%                
ASE Technology Holding Co., Ltd. (Taiwan)(a)     90,788       707,239  
ASML Holding NV (Netherlands)     1,030       746,492  
STMicroelectronics NV (Singapore)     14,620       730,854  
Total Semiconductors             2,184,585  
                 
Telecommunications — 4.8%                
America Movil SAB de CV (Mexico)*(a)     39,732       859,800  
Orange SA (France)(a)     44,068       512,952  
Total Telecommunications             1,372,752  

 

See accompanying Notes to Financial Statements.

 

54

 

 

ADVISORSHARES DORSEY WRIGHT ADR ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS (continued)  
                 
Transportation — 2.2%                
Tsakos Energy Navigation Ltd. (Greece)     36,091     $ 643,142  
Total Common Stocks
(Cost $25,510,105)
            28,324,892  
                 
MONEY MARKET FUNDS — 9.0%  
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(c)(d)     2,144,808       2,144,808  
Invesco Government & Agency Portfolio — Private Investment Class, 5.05%(c)     456,148       456,148  
Total Money Market Funds
(Cost $2,600,956)
            2,600,956  
                 

Total Investments — 107.6%
(Cost $28,111,061)

            30,925,848  
Liabilities in Excess of Other Assets — (7.6%)             (2,188,044 )
Net Assets — 100.0%           $ 28,737,804  

 

 

PLC — Public Limited Company

* Non-income producing security.
(a) American Depositary Receipt.
(b) All or a portion of security is on loan. The aggregate market value of the securities on loan is $2,415,964; the aggregate market value of the collateral held by the fund is $2,473,899. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $329,091.
(c) Rate shown reflects the 7-day yield as of June 30, 2023.
(d) Collateral received from brokers for securities lending was invested in these short-term investments.

 

See accompanying Notes to Financial Statements.

 

55

 

 

ADVISORSHARES DORSEY WRIGHT ADR ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Common Stocks   $ 28,324,892     $     $     $ 28,324,892  
Money Market Funds     2,600,956                   2,600,956  
Total   $ 30,925,848     $     $     $ 30,925,848  

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Aerospace/Defense     5.0 %
Airlines     2.9  
Apparel     2.0  
Banks     13.9  
Beverages     5.7  
Biotechnology     2.2  
Building Materials     5.7  
Commercial Services     5.3  
Electric     3.2  
Electrical Components & Equipment     3.6  
Food Service     2.5  
Internet     9.0  
Iron/Steel     4.9  
Mining     1.6  
Miscellaneous Manufacturing     2.7  
Oil & Gas     4.1  
Pharmaceuticals     7.7  
Retail     2.0  
Semiconductors     7.6  
Telecommunications     4.8  
Transportation     2.2  
Money Market Funds     9.0  
Total Investments     107.6  
Liabilities in Excess of Other Assets     (7.6 )
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

56

 

 

ADVISORSHARES DORSEY WRIGHT FSM ALL CAP WORLD ETF
Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
EXCHANGE TRADED FUNDS — 98.9%  
                 
Equity Fund — 98.9%  
First Trust NASDAQ-100 Equal Weighted Index Fund     419,581     $ 44,853,209  
iShares MSCI EAFE ETF(a)     557,023       40,384,167  
Total Exchange Traded Funds
(Cost $81,262,956)
            85,237,376  
                 
MONEY MARKET FUNDS — 1.3%  
BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(b)     1,090,609       1,090,609  
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(b)(c)     118       118  
Total Money Market Funds
(Cost $1,090,727)
            1,090,727  
                 
Total Investments — 100.2%
(Cost $82,353,683)
            86,328,103  
Liabilities in Excess of Other Assets — (0.2%)             (154,277 )
Net Assets — 100.0%           $ 86,173,826  

 

 

ETF — Exchange Traded Fund

(a) All or a portion of security is on loan. The aggregate market value of the securities on loan is $39,649,018; the aggregate market value of the collateral held by the fund is $40,044,121. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $40,044,003.
(b) Rate shown reflects the 7-day yield as of June 30, 2023.
(c) Collateral received from brokers for securities lending was invested in these short-term investments.

 

See accompanying Notes to Financial Statements.

 

57

 

 

ADVISORSHARES DORSEY WRIGHT FSM ALL CAP WORLD ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Exchange Traded Funds   $ 85,237,376     $     $     $ 85,237,376  
Money Market Funds     1,090,727                   1,090,727  
Total   $ 86,328,103     $     $     $ 86,328,103  

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Equity Fund     98.9 %
Money Market Funds     1.3  
Total Investments     100.2  
Liabilities in Excess of Other Assets     (0.2 )
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

58

 

 

ADVISORSHARES DORSEY WRIGHT FSM US CORE ETF

Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
EXCHANGE TRADED FUNDS — 99.2%  
                 
Equity Fund — 99.2%  
Invesco QQQ Trust Series 1(a)     126,032     $ 46,558,741  
Invesco S&P 500 Equal Weight ETF(a)     282,487       42,271,355  
Total Exchange Traded Funds
(Cost $82,707,302)
            88,830,096  
                 
MONEY MARKET FUNDS — 23.8%  
BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(b)     809,355       809,355  
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(b)(c)     20,460,356       20,460,356  
Total Money Market Funds
(Cost $21,269,711)
            21,269,711  
                 
Total Investments — 123.0%
(Cost $103,977,013)
            110,099,807  
Liabilities in Excess of Other Assets — (23.0%)             (20,552,310 )
Net Assets — 100.0%           $ 89,547,497  

 

 

ETF — Exchange Traded Fund

(a) All or a portion of security is on loan. The aggregate market value of the securities on loan is $20,358,422; the aggregate market value of the collateral held by the fund is $20,460,356.
(b) Rate shown reflects the 7-day yield as of June 30, 2023.
(c) Collateral received from brokers for securities lending was invested in these short-term investments.

 

See accompanying Notes to Financial Statements.

 

59

 

 

ADVISORSHARES DORSEY WRIGHT FSM US CORE ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Exchange Traded Funds   $ 88,830,096     $     $     $ 88,830,096  
Money Market Funds     21,269,711                   21,269,711  
Total   $ 110,099,807     $     $     $ 110,099,807  

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Equity Fund     99.2 %
Money Market Funds     23.8  
Total Investments     123.0  
Liabilities in Excess of Other Assets     (23.0 )
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

60

 

 

ADVISORSHARES DORSEY WRIGHT SHORT ETF
Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
MONEY MARKET FUND — 150.4%  
STIT — Government & Agency Portfolio, Institutional Class, 5.05%(a)(b)
(Cost $36,227,717)
    36,227,717     $ 36,227,717  
Total Investments Before Securities Sold, Not Yet Purchased
(Cost $36,227,717)
            36,227,717  
                 
Securities Sold, Not Yet Purchased — (99.7)%(c)  
                 
COMMON STOCKS — (99.7)%  
                 
Airlines — (2.0)%  
JetBlue Airways Corp.*     (24,690 )     (218,753 )
Southwest Airlines Co.     (7,319 )     (265,021 )
Total Airlines             (483,774 )
                 
Apparel — (2.7)%  
Hanesbrands, Inc.     (46,054 )     (209,085 )
Under Armour, Inc., Class A*     (34,050 )     (245,841 )
VF Corp.     (10,375 )     (198,059 )
Total Apparel             (652,985 )
                 
Banks — (10.5)%  
BankUnited, Inc.     (11,593 )     (249,829 )
Comerica, Inc.     (6,312 )     (267,376 )
First Horizon Corp.     (20,600 )     (232,162 )
KeyCorp     (22,130 )     (204,481 )
PacWest Bancorp     (28,903 )     (235,560 )
Pinnacle Financial Partners, Inc.     (4,012 )     (227,280 )
Popular, Inc. (Puerto Rico)     (4,146 )     (250,916 )
Truist Financial Corp.     (7,260 )     (220,341 )
Valley National Bancorp     (30,700 )     (237,925 )
Western Alliance Bancorp     (5,954 )     (217,142 )
Zions Bancorp NA     (7,250 )     (194,735 )
Total Banks             (2,537,747 )
                 
Biotechnology — (1.0)%  
Bio-Rad Laboratories, Inc., Class A*     (650 )     (246,428 )
                 
Building Materials — (1.0)%  
Mohawk Industries, Inc.*     (2,215 )     (228,499 )
                 
Chemicals — (2.7)%  
CF Industries Holdings, Inc.     (3,160 )     (219,367 )
International Flavors & Fragrances, Inc.     (2,583 )     (205,581 )
Mosaic Co. (The)     (6,630 )     (232,050 )
Total Chemicals             (656,998 )
Investments   Shares     Value  
COMMON STOCKS (continued)  
   
Commercial Services — (6.9)%  
2U, Inc.*     (59,934 )   $ (241,534 )
ASGN, Inc.*     (2,942 )     (222,504 )
Block, Inc.*     (3,734 )     (248,572 )
Global Payments, Inc.     (2,250 )     (221,670 )
PayPal Holdings, Inc.*     (3,828 )     (255,443 )
Sabre Corp.*     (76,048 )     (242,593 )
U-Haul Holding Co.     (3,941 )     (218,016 )
Total Commercial Services             (1,650,332 )
                 
Computers — (2.1)%  
EPAM Systems, Inc.*     (1,083 )     (243,404 )
NCR Corp.*     (10,644 )     (268,229 )
Total Computers             (511,633 )
                 
Cosmetics/Personal Care — (1.1)%  
Estee Lauder Cos., Inc. (The), Class A     (1,270 )     (249,403 )
                 
Diversified Financial Services — (4.6)%  
Ally Financial, Inc.     (9,221 )     (249,059 )
Bread Financial Holdings, Inc.     (6,405 )     (201,053 )
LendingTree, Inc.*     (9,257 )     (204,672 )
T. Rowe Price Group, Inc.     (1,884 )     (211,046 )
Western Union Co. (The)     (21,323 )     (250,119 )
Total Diversified Financial Services             (1,115,949 )
                 
Electric — (1.0)%  
Dominion Energy, Inc.     (4,516 )     (233,884 )
                 
Electronics — (1.1)%  
Trimble, Inc.*     (4,871 )     (257,871 )
                 
Food — (2.0)%  
Hain Celestial Group, Inc. (The)*     (20,020 )     (250,450 )
Tyson Foods, Inc., Class A     (4,502 )     (229,782 )
Total Food             (480,232 )
                 
Forest Products & Paper — (1.0)%  
International Paper Co.     (7,570 )     (240,802 )
                 
Gas — (0.9)%  
UGI Corp.     (8,170 )     (220,345 )
                 
Hand/Machine Tools — (1.0)%  
Stanley Black & Decker, Inc.     (2,651 )     (248,425 )

 

See accompanying Notes to Financial Statements.

 

61

 

 

ADVISORSHARES DORSEY WRIGHT SHORT ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS (continued)  
   
Healthcare — Products — (2.1)%  
Baxter International, Inc.     (5,685 )   $ (259,009 )
Bio-Techne Corp.     (2,993 )     (244,318 )
Total Healthcare — Products             (503,327 )
                 
Healthcare — Services — (3.8)%  
Catalent, Inc.*     (4,951 )     (214,675 )
Centene Corp.*     (3,585 )     (241,808 )
Charles River Laboratories International, Inc.*     (1,174 )     (246,834 )
Pediatrix Medical Group, Inc.*     (14,596 )     (207,409 )
Total Healthcare — Services             (910,726 )
                 
Housewares — (2.0)%  
Newell Brands, Inc.     (27,623 )     (240,320 )
Scotts Miracle-Gro Co. (The)     (3,900 )     (244,491 )
Total Housewares             (484,811 )
                 
Insurance — (1.9)%  
Lincoln National Corp.     (8,028 )     (206,801 )
MetLife, Inc.     (4,400 )     (248,732 )
Total Insurance             (455,533 )
                 
Internet — (4.8)%  
Gen Digital, Inc.     (13,230 )     (245,416 )
Snap, Inc., Class A*     (25,034 )     (296,403 )
TripAdvisor, Inc.*     (12,428 )     (204,938 )
Wayfair, Inc., Class A*     (6,275 )     (407,938 )
Total Internet             (1,154,695 )
                 
Leisure Time — (1.0)%  
Harley-Davidson, Inc.     (6,786 )     (238,935 )
                 
Media — (8.1)%  
Altice USA, Inc., Class A*     (84,664 )     (255,685 )
Cable One, Inc.     (372 )     (244,434 )
Charter Communications, Inc., Class A*     (661 )     (242,831 )
DISH Network Corp., Class A*     (38,913 )     (256,437 )
Paramount Global, Class B     (15,270 )     (242,946 )
Sirius XM Holdings, Inc.     (56,992 )     (258,174 )
Walt Disney Co. (The)*     (2,494 )     (222,664 )
Warner Bros Discovery, Inc.*     (18,800 )     (235,752 )
Total Media             (1,958,923 )
                 
Mining — (0.9)%  
Alcoa Corp.     (6,454 )     (218,984 )
Investments   Shares     Value  
COMMON STOCKS (continued)  
   
Miscellaneous Manufacturing — (1.0)%  
3M Co.     (2,372 )   $ (237,413 )
                 
Oil & Gas — (3.1)%  
Antero Resources Corp.*     (10,137 )     (233,455 )
Helmerich & Payne, Inc.     (6,840 )     (242,478 )
Patterson-UTI Energy, Inc.     (21,920 )     (262,383 )
Total Oil & Gas             (738,316 )
                 
Oil & Gas Services — (1.0)%  
NOV, Inc.     (15,400 )     (247,016 )
                 
Packaging & Containers — (2.9)%  
Ball Corp.     (3,997 )     (232,665 )
Sealed Air Corp.     (5,970 )     (238,800 )
Westrock Co.     (7,882 )     (229,130 )
Total Packaging & Containers             (700,595 )
                 
Pharmaceuticals — (1.9)%  
CVS Health Corp.     (3,038 )     (210,017 )
Herbalife Nutrition Ltd.*     (19,049 )     (252,209 )
Total Pharmaceuticals             (462,226 )
                 
REITS — (12.1)%  
Boston Properties, Inc.     (3,739 )     (215,329 )
Cousins Properties, Inc.     (10,765 )     (245,442 )
Crown Castle, Inc.     (2,117 )     (241,211 )
Douglas Emmett, Inc.     (15,682 )     (197,123 )
Highwoods Properties, Inc.     (9,970 )     (238,383 )
Hudson Pacific Properties, Inc.     (54,482 )     (229,914 )
JBG SMITH Properties     (14,803 )     (222,637 )
Kilroy Realty Corp.     (8,111 )     (244,060 )
Medical Properties Trust, Inc.     (28,170 )     (260,854 )
SBA Communications Corp.     (1,060 )     (245,665 )
SL Green Realty Corp.     (10,501 )     (315,555 )
Vornado Realty Trust     (14,126 )     (256,246 )
Total REITS             (2,912,419 )
                 
Retail — (7.0)%  
Advance Auto Parts, Inc.     (3,717 )     (261,305 )
Domino’s Pizza, Inc.     (784 )     (264,200 )
Gap, Inc. (The)     (25,401 )     (226,831 )
Macy’s, Inc.     (14,697 )     (235,887 )
Nordstrom, Inc.     (13,646 )     (279,334 )
Qurate Retail, Inc., Series A*     (204,614 )     (202,527 )
Walgreens Boots Alliance, Inc.     (7,850 )     (223,646 )
Total Retail             (1,693,730 )

 

See accompanying Notes to Financial Statements.

 

62

 

 

ADVISORSHARES DORSEY WRIGHT SHORT ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS (continued)  
   
Software — (2.1)%  
Fidelity National Information Services, Inc.     (4,579 )   $ (250,472 )
Ziff Davis, Inc.*     (3,554 )     (248,993 )
Total Software             (499,465 )
                 
Telecommunications — (2.4)%  
CommScope Holding Co., Inc.*     (48,559 )     (273,387 )
Lumen Technologies, Inc.     (133,269 )     (301,188 )
Total Telecommunications             (574,575 )
Total Securities Sold, Not Yet Purchased [Proceeds Received $(30,652,738)]             (24,006,996 )
                 
Total Investments — 50.7%
(Cost $5,574,979)
            12,220,721  
Other Assets in Excess of Liabilities — 49.3%             11,871,871  
Net Assets — 100.0%           $ 24,092,592  

 

 

REITS — Real Estate Investment Trusts

* Non-income producing security.
(a) Rate shown reflects the 7-day yield as of June 30, 2023.
(b) A portion of this security has been pledged as collateral for securities sold, not yet purchased.
(c) As of June 30, 2022 cash in the amount of $9,225,770 has been segregated as collateral from the broker for securities sold short.

 

See accompanying Notes to Financial Statements.

 

63

 

 

ADVISORSHARES DORSEY WRIGHT SHORT ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Money Market Fund   $ 36,227,717     $     $     $ 36,227,717  

 

Liabilities   Level 1     Level 2     Level 3     Total  
Common Stocks   $ (24,006,996 )   $     $     $ (24,006,996 )

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Airlines     (2.0 )%
Apparel     (2.7 )
Banks     (10.5 )
Biotechnology     (1.0 )
Building Materials     (1.0 )
Chemicals     (2.7 )
Commercial Services     (6.9 )
Computers     (2.1 )
Cosmetics/Personal Care     (1.1 )
Diversified Financial Services     (4.6 )
Electric     (1.0 )
Electronics     (1.1 )
Food     (2.0 )
Forest Products & Paper     (1.0 )
Gas     (0.9 )
Hand/Machine Tools     (1.0 )
Healthcare — Products     (2.1 )
Healthcare — Services     (3.8 )

SUMMARY OF SCHEDULE OF INVESTMENTS (continued)

 

    % of
Net Assets
 
Housewares     (2.0 )%
Insurance     (1.9 )
Internet     (4.8 )
Leisure Time     (1.0 )
Media     (8.1 )
Mining     (0.9 )
Miscellaneous Manufacturing     (1.0 )
Oil & Gas     (3.1 )
Oil & Gas Services     (1.0 )
Packaging & Containers     (2.9 )
Pharmaceuticals     (1.9 )
REITS     (12.1 )
Retail     (7.0 )
Software     (2.1 )
Telecommunications     (2.4 )
Money Market Fund     150.4  
Total Investments     50.7
Other Assets in Excess of Liabilities     49.3
Net Assets     100.0 %

 

Affiliated holdings are funds which are managed by the Trust or an affiliate of the Trust. Transactions with affiliated companies during the year ended June 30, 2023 were as follows:

 

Affiliated Holding Name   Value at
6/30/2022
    Purchases/
Additions
    Sales/
Reductions
    Realized
Gain (Loss)
    Unrealized
Gain (Loss)
    Shares at
6/30/2023
    Value at
6/30/2023
    Dividend
Income
 
AdvisorShares North Square McKee Core Reserves ETF   $ 9,738,000     $     $ (9,774,492 )   $ (88,488 )   $ 124,980           $     $ 189,718  

 

See accompanying Notes to Financial Statements.

 

64

 

 

ADVISORSHARES DORSEY WRIGHT SMALL COMPANY ETF
(formerly AdvisorShares Dorsey Wright Micro-Cap ETF)
Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS — 99.1%  
                 
Aerospace/Defense — 1.2%  
Astronics Corp.*     1,700     $ 33,762  
VirTra, Inc.*     3,000       22,830  
Total Aerospace/Defense             56,592  
                 
Agriculture — 0.4%  
Limoneira Co.     1,374       21,379  
                 
Auto Manufacturers — 0.5%  
Blue Bird Corp.*     1,100       24,728  
                 
Auto Parts & Equipment — 1.0%  
Commercial Vehicle Group, Inc.*(a)     2,334       25,907  
Garrett Motion, Inc. (Switzerland)*     3,186       24,118  
Total Auto Parts & Equipment             50,025  
                 
Banks — 6.3%  
BayCom Corp.     1,246       20,783  
Byline Bancorp, Inc.     1,151       20,822  
Capital City Bank Group, Inc.     759       23,256  
Carter Bankshares, Inc.*     1,606       23,753  
Esquire Financial Holdings, Inc.     869       39,748  
Mercantile Bank Corp.     708       19,555  
Midland States Bancorp, Inc.     898       17,879  
Northeast Bank     834       34,753  
Northeast Community Bancorp, Inc.     1,626       24,195  
Oak Valley Bancorp     900       22,671  
Parke Bancorp, Inc.     1,071       18,196  
TrustCo Bank Corp. NY     713       20,399  
Unity Bancorp, Inc.     826       19,485  
Total Banks             305,495  
                 
Biotechnology — 9.4%  
89bio, Inc.*     2,900       54,955  
Alpine Immune Sciences, Inc.*(a)     2,351       24,168  
Cymabay Therapeutics, Inc.*     6,162       67,474  
Fusion Pharmaceuticals, Inc. (Canada)*     4,889       22,880  
Harvard Bioscience, Inc.*     4,099       22,503  
Inozyme Pharma, Inc.*     3,445       19,189  
Liquidia Corp.*     3,389       26,604  
Merrimack Pharmaceuticals, Inc.*     2,000       24,600  
Investments   Shares     Value  
COMMON STOCKS (continued)  
                 
Biotechnology (continued)                
MoonLake Immunotherapeutics*     1,111     $ 56,661  
Olema Pharmaceuticals, Inc.*     2,957       26,702  
Omeros Corp.*(a)     3,277       17,827  
Rockwell Medical, Inc.*     5,060       27,628  
Tarsus Pharmaceuticals, Inc.*     1,289       23,292  
Tenaya Therapeutics, Inc.*(a)     3,577       20,997  
Zevra Therapeutics, Inc.*(a)     4,068       20,747  
Total Biotechnology             456,227  
                 
Building Materials — 1.8%  
LSI Industries, Inc.     2,000       25,120  
Modine Manufacturing Co.*     1,910       63,068  
Total Building Materials             88,188  
                 
Chemicals — 1.2%  
Hawkins, Inc.     521       24,846  
Oil-Dri Corp. of America     534       31,501  
Total Chemicals             56,347  
                 
Coal — 2.6%  
Alpha Metallurgical Resources, Inc.     324       53,252  
Natural Resource Partners LP(a)     881       46,464  
SunCoke Energy, Inc.     3,102       24,413  
Total Coal             124,129  
                 
Commercial Services — 6.2%  
Alta Equipment Group, Inc.     1,853       32,112  
Barrett Business Services, Inc.     310       27,032  
CompoSecure, Inc.*     3,032       20,800  
CRA International, Inc.     318       32,436  
Hackett Group, Inc. (The)     1,301       29,077  
HireQuest, Inc.(a)     1,353       35,219  
Lincoln Educational Services Corp.*     3,010       20,287  
Resources Connection, Inc.     1,032       16,213  
Textainer Group Holdings Ltd. (China)     1,102       43,397  
Transcat, Inc.*     515       43,935  
Total Commercial Services             300,508  
                 
Computers — 0.6%  
Cantaloupe, Inc.*     3,445       27,422  
                 
Distribution/Wholesale — 1.5%  
Veritiv Corp.     578       72,603  

 

See accompanying Notes to Financial Statements.

 

65

 

 

ADVISORSHARES DORSEY WRIGHT SMALL COMPANY ETF

(formerly AdvisorShares Dorsey Wright Micro-Cap ETF)

Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS (continued)  
                 
Diversified Financial Services — 2.5%  
Diamond Hill Investment Group, Inc.     131     $ 22,440  
EZCORP, Inc., Class A*(a)     3,732       31,274  
Oppenheimer Holdings, Inc., Class A     577       23,184  
Silvercrest Asset Management Group, Inc., Class A     1,272       25,758  
UWM Holdings Corp.     3,666       20,530  
Total Diversified Financial Services             123,186  
                 
Electric — 0.8%  
Genie Energy Ltd., Class B     2,596       36,707  
                 
Electrical Components & Equipment — 1.4%  
Pioneer Power Solutions, Inc.*     3,699       31,071  
Powell Industries, Inc.     620       37,566  
Total Electrical Components & Equipment             68,637  
                 
Electronics — 4.7%  
Allied Motion Technologies, Inc.     660       26,360  
Bel Fuse, Inc., Class B     1,601       91,913  
Ituran Location and Control Ltd. (Israel)     959       22,383  
Kimball Electronics, Inc.*     1,182       32,659  
NVE Corp.     351       34,202  
Stoneridge, Inc.*     1,000       18,850  
Total Electronics             226,367  
                 
Energy — Alternate Sources — 0.5%  
REX American Resources Corp.*     646       22,487  
                 
Engineering & Construction — 4.5%  
Bowman Consulting Group Ltd.*     930       29,648  
Limbach Holdings, Inc.*     2,000       49,460  
MYR Group, Inc.*     387       53,538  
Star Group LP     1,900       25,954  
Sterling Infrastructure, Inc.*     1,036       57,809  
Total Engineering & Construction             216,409  
                 
Entertainment — 0.9%  
Golden Entertainment, Inc.*     1,050       43,890  
Investments   Shares     Value  
COMMON STOCKS (continued)  
                 
Environmental Control — 2.0%  
CECO Environmental Corp.*     3,230     $ 43,153  
Heritage-Crystal Clean, Inc.*     851       32,159  
Perma-Fix Environmental Services, Inc.*     1,938       21,279  
Total Environmental Control             96,591  
                 
Food — 0.6%                
Nathan’s Famous, Inc.     398       31,259  
                 
Gas — 0.7%  
Global Partners LP     1,031       31,683  
                 
Healthcare — Products — 2.5%  
Avita Medical, Inc.*     1,467       24,954  
Tactile Systems Technology, Inc.*     1,223       30,489  
UFP Technologies, Inc.*     338       65,521  
Total Healthcare — Products             120,964  
                 
Home Builders — 0.7%  
Hovnanian Enterprises, Inc., Class A*     356       35,319  
                 
Home Furnishings — 1.5%  
Daktronics, Inc.*     4,210       26,944  
Ethan Allen Interiors, Inc.     923       26,103  
VOXX International Corp.*     1,613       20,130  
Total Home Furnishings             73,177  
                 
Insurance — 3.6%  
Ambac Financial Group, Inc.*     1,666       23,724  
Donegal Group, Inc., Class A     1,302       18,788  
Greenlight Capital Re Ltd., Class A*     2,801       29,509  
HCI Group, Inc.(a)     417       25,762  
Heritage Insurance Holdings, Inc.*     4,968       19,127  
Investors Title Co.     135       19,710  
Tiptree, Inc.     2,526       37,915  
Total Insurance             174,535  
                 
Internet — 0.4%  
Travelzoo*     2,367       18,676  
                 
Investment Companies — 0.9%  
Crescent Capital BDC, Inc.     1,407       21,302  
Runway Growth Finance Corp.     2,001       24,712  
Total Investment Companies             46,014  

 

See accompanying Notes to Financial Statements.

 

66

 

 

ADVISORSHARES DORSEY WRIGHT SMALL COMPANY ETF

(formerly AdvisorShares Dorsey Wright Micro-Cap ETF)

Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS (continued)  
                 
Iron/Steel — 0.7%  
Haynes International, Inc.     671     $ 34,100  
                 
Leisure Time — 0.5%  
MasterCraft Boat Holdings, Inc.*     750       22,988  
                 
Machinery — Diversified — 1.3%  
DXP Enterprises, Inc.*     732       26,652  
Thermon Group Holdings, Inc.*     1,331       35,405  
Total Machinery — Diversified             62,057  
                 
Metal Fabricate/Hardware — 3.0%  
Northwest Pipe Co.*     735       22,226  
Olympic Steel, Inc.     620       30,380  
Steel Partners Holdings LP*     1,906       90,535  
Total Metal Fabricate/Hardware             143,141  
                 
Mining — 0.4%  
McEwen Mining, Inc. (Canada)*     2,651       19,061  
                 
Miscellaneous Manufacturing — 0.5%  
Park Aerospace Corp.     1,786       24,647  
                 
Oil & Gas — 4.4%  
Amplify Energy Corp.*     2,601       17,609  
Diamond Offshore Drilling, Inc.*     3,591       51,136  
Kimbell Royalty Partners LP     1,962       28,861  
Permian Basin Royalty Trust     3,508       87,454  
Sabine Royalty Trust     432       28,486  
Total Oil & Gas             213,546  
                 
Oil & Gas Services — 1.6%  
Helix Energy Solutions Group, Inc.*     5,044       37,225  
Oil States International, Inc.*     2,840       21,215  
Ranger Energy Services, Inc.*     2,034       20,828  
Total Oil & Gas Services             79,268  
   
Packaging & Containers — 0.4%  
Clearwater Paper Corp.*     641       20,076  
Investments   Shares     Value  
COMMON STOCKS (continued)                
                 
Pharmaceuticals — 4.2%  
Corbus Pharmaceuticals Holdings, Inc.*     2,555     $ 20,031  
CorMedix, Inc.*(a)     4,668       18,509  
Enliven Therapeutics, Inc.*(a)     1,375       28,064  
Longboard Pharmaceuticals, Inc.*     3,150       23,121  
Marinus Pharmaceuticals, Inc.*     2,446       26,563  
Nuvectis Pharma, Inc.*     1,444       23,061  
scPharmaceuticals, Inc.*(a)     3,300       33,627  
Voyager Therapeutics, Inc.*     2,800       32,060  
Total Pharmaceuticals             205,036  
                 
Pipelines — 0.5%  
NGL Energy Partners LP*     5,845       22,737  
                 
Real Estate — 0.6%  
Legacy Housing Corp.*     1,157       26,831  
                 
REITS — 1.4%  
BRT Apartments Corp.     1,246       24,671  
CTO Realty Growth, Inc.     1,288       22,076  
Whitestone REIT     2,049       19,875  
Total REITS             66,622  
                 
Retail — 3.3%  
Biglari Holdings, Inc., Class B*     162       31,937  
Caleres, Inc.(a)     1,091       26,107  
Carrols Restaurant Group, Inc.*     5,001       25,205  
Chuy’s Holdings, Inc.*     740       30,207  
Haverty Furniture Cos., Inc.     712       21,517  
Red Robin Gourmet Burgers, Inc.*(a)     1,668       23,068  
Total Retail             158,041  
                 
Savings & Loans — 0.5%  
FS Bancorp, Inc.     818       24,597  
                 
Semiconductors — 0.8%  
GSI Technology, Inc.*     2,733       15,113  
Vishay Precision Group, Inc.*     690       25,634  
Total Semiconductors             40,747  
                 
Software — 5.5%  
Augmedix, Inc.*     5,555       26,720  
Computer Programs and Systems, Inc.*     675       16,666  
Digi International, Inc.*     1,149       45,259  

 

See accompanying Notes to Financial Statements.

 

67

 

 

ADVISORSHARES DORSEY WRIGHT SMALL COMPANY ETF

(formerly AdvisorShares Dorsey Wright Micro-Cap ETF)

Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS (continued)                
                 
Software (continued)                
Donnelley Financial Solutions, Inc.*     1,191     $ 54,226  
Immersion Corp.     3,400       24,072  
Innodata, Inc.*     2,878       32,608  
Inspired Entertainment, Inc.*     2,000       29,420  
Weave Communications, Inc.*     3,132       34,796  
Total Software             263,767  
                 
Telecommunications — 1.7%  
Aviat Networks, Inc.*     750       25,028  
Preformed Line Products Co.     372       58,069  
Total Telecommunications             83,097  
                 
Transportation — 5.4%  
Capital Product Partners LP (Greece)     2,140       29,361  
Covenant Logistics Group, Inc.     962       42,164  
Daseke, Inc.*     2,835       20,214  
Dorian LPG Ltd.     1,717       44,041  
Pangaea Logistics Solutions Ltd.     3,778       25,577  
Teekay Corp. (Bermuda)*     5,650       34,126  
Teekay Tankers Ltd., Class A (Canada)     976       37,313  
Tsakos Energy Navigation Ltd. (Greece)     1,726       30,757  
Total Transportation             263,553  
                 
Venture Capital — 0.5%  
Chicago Atlantic Real Estate Finance, Inc.     1,462       22,149  
                 
Water — 1.0%  
Consolidated Water Co. Ltd. (Cayman Islands)     1,097       26,580  
York Water Co. (The)     562       23,194  
Total Water             49,774  
Total Common Stocks
(Cost $4,140,872)
            4,795,379  
                 
RIGHTS — 0.0%**  
                 
Pharmaceuticals — 0.0%**  
IMARA INC., CVR*(b)
(Cost $0)
    5,500       0  
Investments   Shares     Value  
MONEY MARKET FUNDS — 8.4%  
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(c)(d)     304,948     $ 304,948  
STIT — Government & Agency Portfolio, Institutional Class, 5.05%(c)     99,420       99,420  
Total Money Market Funds
(Cost $404,368)
            404,368  
                 
Total Investments — 107.5%
(Cost $4,545,240)
            5,199,747  
Liabilities in Excess of Other Assets — (7.5%)             (363,565 )
Net Assets — 100.0%           $ 4,836,182  

 

 

CVR — Contingent Value Rights

LP — Limited Partnership

REITS — Real Estate Investment Trusts

* Non-income producing security.
** Less than 0.05%.
(a) All or a portion of security is on loan. The aggregate market value of the securities on loan is $321,886; the aggregate market value of the collateral held by the fund is $328,882. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $23,934.
(b) Fair valued using significant unobservable inputs. See note 2 regarding fair value measurements.
(c) Rate shown reflects the 7-day yield as of June 30, 2023.
(d) Collateral received from brokers for securities lending was invested in these short-term investments.

 

See accompanying Notes to Financial Statements.

 

68

 

 

ADVISORSHARES DORSEY WRIGHT SMALL COMPANY ETF

(formerly AdvisorShares Dorsey Wright Micro-Cap ETF)
Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Common Stocks   $ 4,795,379     $     $     $ 4,795,379  
Rights                 *      
Money Market Funds     404,368                   404,368  
Total   $ 5,199,747     $     $ *   $ 5,199,747  

 

 
* Less than $1.

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Aerospace/Defense     1.2 %
Agriculture     0.4  
Auto Manufacturers     0.5  
Auto Parts & Equipment     1.0  
Banks     6.3  
Biotechnology     9.4  
Building Materials     1.8  
Chemicals     1.2  
Coal     2.6  
Commercial Services     6.2  
Computers     0.6  
Distribution/Wholesale     1.5  
Diversified Financial Services     2.5  
Electric     0.8  
Electrical Components & Equipment     1.4  
Electronics     4.7  
Energy — Alternate Sources     0.5  
Engineering & Construction     4.5  
Entertainment     0.9  
Environmental Control     2.0  
Food     0.6  
Gas     0.7  
Healthcare — Products     2.5  
Home Builders     0.7  
Home Furnishings     1.5  
Insurance     3.6  

SUMMARY OF SCHEDULE OF INVESTMENTS (continued)

 

    % of
Net Assets
 
Internet     0.4 %
Investment Companies     0.9  
Iron/Steel     0.7  
Leisure Time     0.5  
Machinery — Diversified     1.3  
Metal Fabricate/Hardware     3.0  
Mining     0.4  
Miscellaneous Manufacturing     0.5  
Oil & Gas     4.4  
Oil & Gas Services     1.6  
Packaging & Containers     0.4  
Pharmaceuticals     4.2  
Pipelines     0.5  
Real Estate     0.6  
REITS     1.4  
Retail     3.3  
Savings & Loans     0.5  
Semiconductors     0.8  
Software     5.5  
Telecommunications     1.7  
Transportation     5.4  
Venture Capital     0.5  
Water     1.0  
Money Market Funds     8.4  
Total Investments     107.5  
Liabilities in Excess of Other Assets     (7.5 )
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

69

 

 

ADVISORSHARES FOCUSED EQUITY ETF

Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS — 99.6%  
                 
Aerospace/Defense — 4.1%  
HEICO Corp.     16,155     $ 2,858,466  
                 
Auto Parts & Equipment — 4.7%  
Miller Industries, Inc.     93,726       3,324,461  
                 
Building Materials — 9.7%  
Carrier Global Corp.     59,579       2,961,672  
Trex Co., Inc.*     58,712       3,849,159  
Total Building Materials             6,810,831  
                 
Chemicals — 7.1%  
Celanese Corp.     23,679       2,742,028  
Stepan Co.     22,972       2,195,204  
Total Chemicals             4,937,232  
                 
Commercial Services — 4.4%  
Moody’s Corp.     8,884       3,089,144  
                 
Computers — 3.6%  
Science Applications International Corp.     22,626       2,544,973  
                 
Diversified Financial Services — 3.8%  
Intercontinental Exchange, Inc.     23,771       2,688,025  
                 
Food — 3.8%  
Hershey Co. (The)     10,708       2,673,788  
                 
Healthcare — Products — 14.5%  
Abbott Laboratories     22,679       2,472,465  
Danaher Corp.     9,370       2,248,800  
Stryker Corp.     10,186       3,107,647  
Thermo Fisher Scientific, Inc.     4,414       2,303,004  
Total Healthcare — Products             10,131,916  
                 
Insurance — 3.5%  
Aflac, Inc.     34,887       2,435,113  
                 
Leisure Time — 4.2%  
Polaris, Inc.     24,451       2,956,859  
                 
Machinery — Diversified — 7.9%  
Middleby Corp. (The)*     18,175       2,686,810  
Otis Worldwide Corp.     31,581       2,811,025  
Total Machinery — Diversified             5,497,835  
                 
Media — 3.5%  
FactSet Research Systems, Inc.     6,064       2,429,542  
Investments   Shares     Value  
COMMON STOCKS (continued)  
   
Packaging & Containers — 3.2%  
Silgan Holdings, Inc.     47,899     $ 2,245,984  
                 
Pharmaceuticals — 4.1%  
AmerisourceBergen Corp.     14,868       2,861,049  
                 
Software — 17.5%  
Broadridge Financial Solutions, Inc.     18,256       3,023,741  
Fair Isaac Corp.*     3,995       3,232,794  
Fiserv, Inc.*     24,754       3,122,717  
Intuit, Inc.     6,276       2,875,601  
Total Software             12,254,853  
Total Common Stocks
(Cost $59,982,079)
            69,740,071  
   
MONEY MARKET FUND — 0.5%  
BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(a)
(Cost $339,690)
    339,690       339,690  
                 
Total Investments — 100.1%
(Cost $60,321,769)
            70,079,761  
Liabilities in Excess of Other Assets — (0.1%)             (78,042 )
Net Assets — 100.0%           $ 70,001,719  

 

 
* Non-income producing security.
(a) Rate shown reflects the 7-day yield as of June 30, 2023.

 

See accompanying Notes to Financial Statements.

 

70

 

 

ADVISORSHARES FOCUSED EQUITY ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Common Stocks   $ 69,740,071     $     $     $ 69,740,071  
Money Market Fund     339,690                   339,690  
Total   $ 70,079,761     $     $     $ 70,079,761  

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Aerospace/Defense     4.1 %
Auto Parts & Equipment     4.7  
Building Materials     9.7  
Chemicals     7.1  
Commercial Services     4.4  
Computers     3.6  
Diversified Financial Services     3.8  
Food     3.8  
Healthcare — Products     14.5  
Insurance     3.5  
Leisure Time     4.2  
Machinery — Diversified     7.9  
Media     3.5  
Packaging & Containers     3.2  
Pharmaceuticals     4.1  
Software     17.5  
Money Market Fund     0.5  
Total Investments     100.1  
Liabilities in Excess of Other Assets     (0.1 )
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

71

 

 

ADVISORSHARES GERBER KAWASAKI ETF
Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS — 99.7%  
                 
Aerospace/Defense — 3.8%  
Northrop Grumman Corp.     624     $ 284,419  
Raytheon Technologies Corp.     3,850       377,146  
Total Aerospace/Defense             661,565  
                 
Apparel — 3.7%  
LVMH Moet Hennessy Louis Vuitton SE (France)(a)     1,934       365,217  
NIKE, Inc., Class B     2,615       288,617  
Total Apparel             653,834  
                 
Auto Manufacturers — 9.5%  
Polestar Automotive Holding UK PLC, Class A (Hong Kong)*(a)(b)     42,021       160,520  
Tesla, Inc.*     5,728       1,499,419  
Total Auto Manufacturers             1,659,939  
                 
Auto Parts & Equipment — 0.8%  
Luminar Technologies, Inc.*(b)     21,060       144,893  
                 
Computers — 5.9%  
Apple, Inc.     5,334       1,034,636  
                 
Diversified Financial Services — 4.7%  
LPL Financial Holdings, Inc.     3,779       821,668  
                 
Electric — 0.4%  
NextEra Energy, Inc.     1,020       75,684  
                 
Energy — Alternate Sources — 2.7%  
Enphase Energy, Inc.*     1,522       254,904  
SolarEdge Technologies, Inc.*     834       224,388  
Total Energy — Alternate Sources             479,292  
                 
Entertainment — 1.9%  
Cinemark Holdings, Inc.*     20,396       336,534  
                 
Healthcare — Products — 0.6%  
Thermo Fisher Scientific, Inc.     204       106,437  
                 
Home Builders — 3.0%  
Lennar Corp., Class A     4,250       532,568  
                 
Internet — 8.1%  
Alphabet, Inc., Class C*     5,348       646,947  
Netflix, Inc.*     1,779       783,632  
Total Internet             1,430,579  
Investments   Shares     Value  
COMMON STOCKS (continued)  
   
Iron/Steel — 1.6%  
Steel Dynamics, Inc.     2,642     $ 287,793  
                 
Lodging — 10.9%  
Las Vegas Sands Corp.*     12,137       703,946  
MGM Resorts International     27,628       1,213,422  
Total Lodging             1,917,368  
                 
Machinery — Diversified — 3.6%  
Deere & Co.     1,578       639,390  
                 
Media — 3.8%  
Walt Disney Co. (The)*     7,368       657,815  
                 
Mining — 1.1%  
MP Materials Corp.*(b)     8,312       190,179  
                 
Pharmaceuticals — 4.2%  
Novo Nordisk A/S (Denmark)(a)     2,434       393,894  
Zoetis, Inc.     2,039       351,136  
Total Pharmaceuticals             745,030  
                 
REITS — 3.8%  
Prologis, Inc.     716       87,803  
VICI Properties, Inc., Class A     18,385     577,841  
Total REITS             665,644  
                 
Retail — 1.0%  
Home Depot, Inc. (The)     559       173,648  
                 
Semiconductors — 13.0%  
ASML Holding NV (Netherlands)     734       531,966  
NVIDIA Corp.     2,489       1,052,897  
ON Semiconductor Corp.*     7,337       693,934  
Total Semiconductors             2,278,797  
                 
Software — 10.8%  
Activision Blizzard, Inc.*     1,764       148,705  
Microsoft Corp.     3,419       1,164,306  
Oracle Corp.     1,588       189,115  
ROBLOX Corp., Class A*     9,917       399,655  
Total Software             1,901,781  
                 
Venture Capital — 0.8%  
Blackstone, Inc.     1,522       141,500  
Total Common Stocks
(Cost $17,415,625)
 
 
 
 
 
 
 
 
 
 
 
 
 
17,536,574
 
 

 

See accompanying Notes to Financial Statements.

 

72

 

 

ADVISORSHARES GERBER KAWASAKI ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments   Shares     Value  
MONEY MARKET FUNDS — 2.1%  
BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(c)     92,642     $ 92,642  
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(c)(d)     277,178       277,178  
Total Money Market Funds
(Cost $369,820)
 
 
   
 
 
 
 
 
 
 
 
369,820
 
 
                 
Total Investments — 101.8%
(Cost $17,785,445)
 
 
 
 
 
 
 
 
 
 
 
 
 
17,906,394
 
 
Liabilities in Excess of Other Assets — (1.8%)             (328,558 )
Net Assets — 100.0%           $ 17,577,836  

 

 

PLC — Public Limited Company

REITS — Real Estate Investment Trusts

* Non-income producing security.
(a) American Depositary Receipt.
(b) All or a portion of security is on loan. The aggregate market value of the securities on loan is $453,135; the aggregate market value of the collateral held by the fund is $465,756. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $188,578.
(c) Rate shown reflects the 7-day yield as of June 30, 2023.
(d) Collateral received from brokers for securities lending was invested in these short-term investments.

 

See accompanying Notes to Financial Statements.

 

73

 

 

ADVISORSHARES GERBER KAWASAKI ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Common Stocks   $ 17,536,574     $     $     $ 17,536,574  
Money Market Funds     369,820                   369,820  
Total   $ 17,906,394     $     $     $ 17,906,394  

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Aerospace/Defense     3.8 %
Apparel     3.7  
Auto Manufacturers     9.5  
Auto Parts & Equipment     0.8  
Computers     5.9  
Diversified Financial Services     4.7  
Electric     0.4  
Energy — Alternate Sources     2.7  
Entertainment     1.9  
Healthcare — Products     0.6  
Home Builders     3.0  
Internet     8.1  
Iron/Steel     1.6  
Lodging     10.9  
Machinery — Diversified     3.6  
Media     3.8  
Mining     1.1  
Pharmaceuticals     4.2  
REITS     3.8  
Retail     1.0  
Semiconductors     13.0  
Software     10.8  
Venture Capital     0.8  
Money Market Funds     2.1  
Total Investments     101.8  
Liabilities in Excess of Other Assets     (1.8)  
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

74

 

 

ADVISORSHARES HOTEL ETF
Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS — 99.0%  
                 
Commercial Services — 3.8%  
Target Hospitality Corp.*     11,701     $ 157,028  
                 
Entertainment — 4.1%  
Marriott Vacations Worldwide Corp.     371       45,529  
Monarch Casino & Resort, Inc.     1,082       76,227  
Red Rock Resorts, Inc., Class A     1,109       51,879  
Total Entertainment             173,635  
                 
Internet — 12.4%  
Airbnb, Inc., Class A*     1,475       189,036  
Booking Holdings, Inc.*     86       232,228  
Expedia Group, Inc.*     882       96,482  
Total Internet             517,746  
                 
Leisure Time — 5.0%  
Royal Caribbean Cruises Ltd.*     2,000       207,480  
                 
Lodging — 49.7%  
Bluegreen Vacations Holding Corp.     7,514       267,874  
Boyd Gaming Corp.     3,246       225,175  
Choice Hotels International, Inc.     338       39,722  
GreenTree Hospitality Group Ltd. (China)*(a)     45,034       233,276  
Hilton Grand Vacations, Inc.*     4,344       197,391  
Hilton Worldwide Holdings, Inc.     1,373       199,840  
Hyatt Hotels Corp., Class A     1,700       194,786  
InterContinental Hotels Group PLC (United Kingdom)(a)(b)     3,041       214,239  
Marriott International, Inc., Class A     1,284       235,858  
Playa Hotels & Resorts NV*     21,803       177,476  
Wyndham Hotels & Resorts, Inc.     1,380       94,627  
Total Lodging             2,080,264  
Investments   Shares     Value  
COMMON STOCKS (continued)  
   
REITS — 24.0%  
Apple Hospitality REIT, Inc.     8,741     $ 132,076  
Gaming and Leisure Properties, Inc.     1,937       93,867  
Host Hotels & Resorts, Inc.     4,658       78,394  
Park Hotels & Resorts, Inc.     11,167       143,161  
Ryman Hospitality Properties, Inc.     2,100       195,132  
Service Properties Trust     22,724       197,472  
VICI Properties, Inc., Class A     5,251       165,039  
Total REITS             1,005,141  
Total Common Stocks
(Cost $3,830,485)
 
 
 
 
 
 
 
 
 
 
 
 
 
4,141,294
 
 
                 
MONEY MARKET FUNDS — 5.3%  
BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(c)     88,142       88,142  
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(c)(d)     134,900       134,900  
Total Money Market Funds
(Cost $223,042)
 
 
 
 
 
 
 
 
 
 
 
 
 
223,042
 
 
                 
Total Investments — 104.3%
(Cost $4,053,527)
 
 
 
 
 
 
 
 
 
 
 
 
 
4,364,336
 
 
Liabilities in Excess of Other Assets — (4.3%)             (178,321 )
Net Assets — 100.0%           $ 4,186,015  

 

 

PLC — Public Limited Company

REITS — Real Estate Investment Trusts

* Non-income producing security.
(a) American Depositary Receipt.
(b) All or a portion of security is on loan. The aggregate market value of the securities on loan is $133,855; the aggregate market value of the collateral held by the fund is $134,900.
(c) Rate shown reflects the 7-day yield as of June 30, 2023.
(d) Collateral received from brokers for securities lending was invested in these short-term investments.

 

See accompanying Notes to Financial Statements.

 

75

 

 

ADVISORSHARES HOTEL ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Common Stocks   $ 4,141,294     $     $     $ 4,141,294  
Money Market Funds     223,042                   223,042  
Total   $ 4,364,336     $     $     $ 4,364,336  

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Commercial Services     3.8 %
Entertainment     4.1  
Internet     12.4  
Leisure Time     5.0  
Lodging     49.7  
REITS     24.0  
Money Market Funds     5.3  
Total Investments     104.3  
Liabilities in Excess of Other Assets     (4.3 )
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

76

 

 

ADVISORSHARES INSIDER ADVANTAGE ETF
(formerly AdvisorShares DoubleLine Value Equity ETF)
Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS — 99.7%  
                 
Apparel — 4.0%  
Carter’s, Inc.(a)     6,131     $ 445,110  
Ralph Lauren Corp.     3,659       451,155  
Steven Madden Ltd.     12,243       400,224  
Tapestry, Inc.     9,790       419,012  
Total Apparel             1,715,501  
                 
Auto Parts & Equipment — 1.1%  
Allison Transmission Holdings, Inc.     7,911       446,655  
                 
Building Materials — 2.8%  
Eagle Materials, Inc.     3,076       573,428  
Owens Corning     4,604       600,822  
Total Building Materials             1,174,250  
                 
Chemicals — 3.3%  
CF Industries Holdings, Inc.     6,329       439,359  
Mosaic Co. (The)     6,999       244,965  
NewMarket Corp.     989       397,697  
Orion SA (Germany)     15,822       335,743  
Total Chemicals             1,417,764  
                 
Coal — 1.0%  
Alpha Metallurgical Resources, Inc.     2,468       405,641  
                 
Commercial Services — 3.9%  
Medifast, Inc.     3,135       288,922  
Textainer Group Holdings Ltd. (China)(a)     10,383       408,882  
Triton International Ltd. (Bermuda)     5,712       475,581  
Verisk Analytics, Inc.     2,034       459,745  
Total Commercial Services             1,633,130  
                 
Computers — 3.3%  
Apple, Inc.     2,901       562,707  
Cognizant Technology Solutions Corp., Class A     6,552       427,714  
HP, Inc.     12,856       394,808  
Total Computers             1,385,229  
                 
Distribution/Wholesale — 1.1%  
WW Grainger, Inc.     593       467,634  
Investments   Shares     Value  
COMMON STOCKS (continued)  
                 
Diversified Financial Services — 7.6%  
Affiliated Managers Group, Inc.     2,675     $ 400,956  
BlackRock, Inc.     494       341,423  
Capital One Financial Corp.     3,758       411,012  
Discover Financial Services     3,766       440,057  
LPL Financial Holdings, Inc.     1,978       430,077  
Mastercard, Inc., Class A     989       388,974  
SEI Investments Co.     6,823       406,787  
Visa, Inc., Class A(a)     1,682       399,441  
Total Diversified Financial Services             3,218,727  
                 
Electric — 1.0%  
Vistra Corp.     15,822       415,328  
                 
Electrical Components & Equipment — 1.0%  
Encore Wire Corp.     2,395       445,302  
                 
Electronics — 2.0%  
CTS Corp.     8,706       371,137  
Vontier Corp.     14,474       466,207  
Total Electronics             837,344  
                 
Food — 2.8%  
Hershey Co. (The)     1,483       370,305  
John B Sanfilippo & Son, Inc.     4,256       499,101  
Tootsie Roll Industries, Inc.     9,094       322,019  
Total Food             1,191,425  
                 
Forest Products & Paper — 0.8%  
Sylvamo Corp.     8,223     332,620  
                 
Healthcare — Products — 0.9%
Bruker Corp.     4,988       368,713  
                 
Healthcare — Services — 1.2%  
HCA Healthcare, Inc.     1,740       528,055  
                 
Home Builders — 4.8%  
D.R. Horton, Inc.     4,256       517,913  
KB Home     11,028       570,258  
Lennar Corp., Class A     3,966       496,979  
PulteGroup, Inc.     5,868       455,826  
Total Home Builders             2,040,976  

 

See accompanying Notes to Financial Statements.

 

77

 

 

ADVISORSHARES INSIDER ADVANTAGE ETF
(formerly AdvisorShares DoubleLine Value Equity ETF)
Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS (continued)  
                 
Insurance — 3.2%  
American Equity Investment Life Holding Co.     9,691     $ 504,998  
Aon PLC, Class A     1,187       409,752  
MGIC Investment Corp.     26,781       422,872  
Total Insurance             1,337,622  
                 
Internet — 1.0%  
eBay, Inc.     9,098       406,590  
                 
Iron/Steel — 2.0%  
Nucor Corp.     2,807       460,292  
Steel Dynamics, Inc.     3,570       388,880  
Total Iron/Steel             849,172  
                 
Leisure Time — 1.0%  
Polaris, Inc.     3,590       434,139  
                 
Lodging — 1.0%  
Marriott International, Inc., Class A     2,419       444,346  
                 
Machinery — Diversified — 1.0%  
Nordson Corp.     1,780       441,760  
                 
Media — 3.2%  
Comcast Corp., Class A     9,790       406,775  
Nexstar Media Group, Inc.     1,982       330,102  
Scholastic Corp.     9,098       353,821  
Sinclair, Inc.(a)     20,538       283,835  
Total Media             1,374,533  
                 
Metal Fabricate / Hardware — 1.0%  
Advanced Drainage Systems, Inc.     3,857       438,850  
                 
Miscellaneous Manufacturing — 2.0%  
A.O. Smith Corp.     6,032       439,009  
Carlisle Cos., Inc.     1,646       422,248  
Total Miscellaneous Manufacturing             861,257  
                 
Oil & Gas — 11.6%  
APA Corp.     10,363       354,104  
California Resources Corp.     9,790       443,389  
ConocoPhillips     3,307       342,638  
Coterra Energy, Inc.     14,622       369,936  
Exxon Mobil Corp.     3,788       406,263  
Helmerich & Payne, Inc.     11,867       420,685  
Investments   Shares     Value  
COMMON STOCKS (continued)  
   
Oil & Gas (continued)        
HF Sinclair Corp.     7,816     $ 348,672  
Marathon Petroleum Corp.     3,247       378,600  
Occidental Petroleum Corp.     5,522       324,694  
Patterson-UTI Energy, Inc.     32,078       383,974  
PBF Energy, Inc., Class A     9,287       380,210  
PDC Energy, Inc.     5,436       386,717  
Valero Energy Corp.     3,254       381,694  
Total Oil & Gas             4,921,576  
                 
Pharmaceuticals — 1.0%  
McKesson Corp.     989       422,610  
                 
Pipelines — 0.9%  
Cheniere Energy, Inc.     2,542       387,299  
                 
Real Estate — 1.0%  
Marcus & Millichap, Inc.     12,856       405,093  
                 
REITS — 2.0%                
Empire State Realty Trust, Inc., Class A     61,310       459,212  
Simon Property Group, Inc.     3,483       402,217  
Total REITS             861,429  
                 
Retail — 8.2%  
Best Buy Co., Inc.     5,282       432,860  
Dillard’s, Inc., Class A     1,282       418,291  
FirstCash Holdings, Inc.     3,956       369,213  
Home Depot, Inc. (The)     1,286       399,483  
Murphy USA, Inc.     1,509       469,465  
Patrick Industries, Inc.     5,805       464,400  
Penske Automotive Group, Inc.(a)     3,006       500,890  
Williams-Sonoma, Inc.(a)     3,228       403,952  
Total Retail             3,458,554  
                 
Semiconductors — 8.8%  
Analog Devices, Inc.     2,077       404,620  
Applied Materials, Inc.     3,654       528,149  
KLA Corp.     1,064       516,061  
Kulicke & Soffa Industries, Inc. (Singapore)     7,707       458,181  
Lam Research Corp.     772       496,288  
Microchip Technology, Inc.     5,380       481,994  
QUALCOMM, Inc.     3,362       400,213  
Teradyne, Inc.     3,857       429,400  
Total Semiconductors             3,714,906  

 

See accompanying Notes to Financial Statements.

 

78

 

 

ADVISORSHARES INSIDER ADVANTAGE ETF

(formerly AdvisorShares DoubleLine Value Equity ETF)

Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS (continued)  
                 
Software — 0.9%  
Electronic Arts, Inc.     2,967     $ 384,820  
                 
Telecommunications — 2.2%  
Cisco Systems, Inc.     7,713       399,071  
InterDigital, Inc.     5,672       547,631  
Total Telecommunications             946,702  
                 
Transportation — 5.1%  
ArcBest Corp.     4,159       410,909  
Expeditors International of Washington, Inc.     3,702       448,423  
International Seaways, Inc.     10,383       397,046  
Matson, Inc.(a)     6,376       495,607  
Scorpio Tankers, Inc. (Monaco)     8,406       397,015  
Total Transportation             2,149,000  
Total Common Stocks
(Cost $38,068,501)
 
 
 
 
 
 
 
 
 
 
 
42,264,552
 
 
                 
MONEY MARKET FUND — 0.1%                
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(b)(c)                
(Cost $57,580)     57,580       57,580  
                 
Total Investments — 99.8%
(Cost $38,126,081)
 
 
 
 
 
 
 
 
 
 
 
 
 
42,322,132
 
 
Other Assets in Excess of Liabilities — 0.2%             58,699  
Net Assets — 100.0%           $ 42,380,831  

 

 

PLC — Public Limited Company

REITS — Real Estate Investment Trusts

(a) All or a portion of security is on loan. The aggregate market value of the securities on loan is $1,781,420; the aggregate market value of the collateral held by the fund is $1,800,332. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $1,742,752.
(b) Collateral received from brokers for securities lending was invested in these short-term investments.
(c) Rate shown reflects the 7-day yield as of June 30, 2023.

 

See accompanying Notes to Financial Statements.

 

79

 

 

ADVISORSHARES INSIDER ADVANTAGE ETF
(formerly AdvisorShares DoubleLine Value Equity ETF)
Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Common Stocks   $ 42,264,552     $     $     $ 42,264,552  
Money Market Fund     57,580                   57,580  
Total   $ 42,322,132     $     $     $ 42,322,132  

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Apparel     4.0 %
Auto Parts & Equipment     1.1  
Building Materials     2.8  
Chemicals     3.3  
Coal     1.0  
Commercial Services     3.9  
Computers     3.3  
Distribution/Wholesale     1.1  
Diversified Financial Services     7.6  
Electric     1.0  
Electrical Components & Equipment     1.0  
Electronics     2.0  
Food     2.8  
Forest Products & Paper     0.8  
Healthcare — Products     0.9  
Healthcare — Services     1.2  
Home Builders     4.8  
Insurance     3.2  
Internet     1.0  
Iron/Steel     2.0  

SUMMARY OF SCHEDULE OF INVESTMENTS (continued)

 

    % of
Net Assets
 
Leisure Time     1.0 %
Lodging     1.0  
Machinery — Diversified     1.0  
Media     3.2  
Metal Fabricate / Hardware     1.0  
Miscellaneous Manufacturing     2.0  
Oil & Gas     11.6  
Pharmaceuticals     1.0  
Pipelines     0.9  
Real Estate     1.0  
REITS     2.0  
Retail     8.2  
Semiconductors     8.8  
Software     0.9  
Telecommunications     2.2  
Transportation     5.1  
Money Market Fund     0.1  
Total Investments     99.8  
Other Assets in Excess of Liabilities     0.2  
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

80

 

 

ADVISORSHARES LET BOB AI POWERED MOMENTUM ETF
Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS — 15.7%  
                 
Aerospace/Defense — 1.3%  
Triumph Group, Inc.*     28,480     $ 352,298  
                 
Diversified Financial Services — 1.3%  
Capital One Financial Corp.     3,100       339,047  
                 
Electronics — 1.2%  
Napco Security Technologies, Inc.     9,039       313,201  
                 
Leisure Time — 1.2%  
Global Business Travel Group I*     44,850       324,265  
                 
Miscellaneous Manufacturing — 1.4%  
Fabrinet (Thailand)*     2,730       354,572  
                 
Retail — 2.7%  
Abercrombie & Fitch Co., Class A*     10,000       376,800  
Chuy’s Holdings, Inc.*     8,200       334,724  
Total Retail             711,524  
                 
Software — 5.1%  
Appian Corp., Class A*     7,030       334,628  
Asana, Inc., Class A*     15,300       337,212  
Procore Technologies, Inc.*     5,200       338,364  
UiPath, Inc., Class A*     19,600       324,772  
Total Software             1,334,976  
                 
Telecommunications — 1.5%  
Extreme Networks, Inc.*     15,175       395,309  
Total Common Stocks
(Cost $4,171,310)
 
 
 
 
 
 
 
 
 
 
 
 
 
4,125,192
 
 
                 
MONEY MARKET FUND — 84.2%  
BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(a)                
(Cost $22,162,269)     22,162,269       22,162,269  
                 
Total Investments — 99.9%
(Cost $26,333,579)
 
 
 
 
 
 
 
 
 
 
 
 
 
26,287,461
 
 
Other Assets in Excess of Liabilities — 0.1%             32,597  
Net Assets — 100.0%           $ 26,320,058  

 

 
* Non-income producing security.
(a) Rate shown reflects the 7-day yield as of June 30, 2023.

 

See accompanying Notes to Financial Statements.

 

81

 

 

ADVISORSHARES LET BOB AI POWERED MOMENTUM ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Common Stocks   $ 4,125,192     $     $     $ 4,125,192  
Money Market Fund     22,162,269                   22,162,269  
Total   $ 26,287,461     $     $     $ 26,287,461  

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

   

% of

Net Assets

 
Aerospace/Defense     1.3 %
Diversified Financial Services     1.3  
Electronics     1.2  
Leisure Time     1.2  
Miscellaneous Manufacturing     1.4  
Retail     2.7  
Software     5.1  
Telecommunications     1.5  
Money Market Fund     84.2  
Total Investments     99.9  
Other Assets in Excess of Liabilities     0.1  
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

82

 

 

ADVISORSHARES MSOS 2X DAILY ETF
Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
MONEY MARKET FUND — 100.5%  
BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(a)                
(Cost $7,010,606)     7,010,606     $ 7,010,606  
                 
Total Investments — 100.5%
(Cost $7,010,606)
            7,010,606  
Liabilities in Excess of Other Assets — (0.5%)             21,606  
Net Assets — 100.0%           $ 7,032,212  

 

 

ETF — Exchange Traded Fund

SOFR — Secured Overnight Financing Rate

(a) Rate shown reflects the 7-day yield as of June 30, 2023.

 

See accompanying Notes to Financial Statements.

 

83

 

 

ADVISORSHARES MSOS 2X DAILY ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Money Market Fund   $ 7,010,606     $     $     $ 7,010,606  
Swap   $     $ 44,172     $     $ 44,172  
Total   $ 7,010,606     $ 44,172     $     $ 7,054,778  

 

 
Derivative instruments, including swap contracts, are valued at the net unrealized gain (loss) on the instrument.

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

   

% of

Net Assets

 
Money Market Fund     100.5 %
Total Investments     100.5  
Liabilities in Excess of Other Assets     (0.5 )
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

84

 

 

ADVISORSHARES MSOS 2X DAILY ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Total Return Swap contracts outstanding as of June 30, 2023:

 

Reference Entity   Annual Financing
Rate Paid
  Payment
Frequency
  Termination
Date
  Notional
Amounts
    Fair
Value
    Unrealized
Appreciation/
(Depreciation)
 
AdvisorShares Pure US Cannabis ETF   SOFR + 1.00%   Monthly   11/20/2026   $ 14,173,019     $ 14,217,191     $ 44,172  

 

Cowen acts as the counterparty to the total return swap contracts listed above. The Fund either receives fees from, or pays fees to, the counterparty, depending upon the total return of the benchmark, and the agreed-upon floating financing rate.

 

See accompanying Notes to Financial Statements.

 

85

 

 

ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments

 

June 30, 2023

 

 

Investments   Principal     Value  
ASSET BACKED SECURITIES — 30.3%        
                 
Accelerated LLC, Class A, Series 2021-1H, 1.35%, 10/20/40   $ 129,694     $ 116,770  
Aqua Finance Trust, Class B, Series 2020-AA, 2.79%, 07/17/46     335,000       291,365  
Arivo Acceptance Auto Loan Receivables Trust, Class A, Series 2021-1A, 1.19%, 01/15/27     69,509       67,802  
Avant Credit Card Master Trust, Class A, Series 2021-1A, 1.37%, 04/15/27     260,000       243,518  
Bankers Healthcare Group Securitization Trust, Class A, Series 2020-A, 2.56%, 09/17/31     25,188       24,700  
BHG Securitization Trust, Class B, Series 2021-B, 1.67%, 10/17/34     210,000       185,543  
BRE Grand Islander Timeshare Issuer LLC, Class A, Series 2017-1A, 2.94%, 05/25/29     90,312       87,887  
Business Jet Securities LLC, Class A, Series 2020-1A, 2.98%, 11/15/35     22,770       21,530  
BXG Receivables Note Trust, Class A, Series 2022-A, 4.12%, 09/28/37     130,432       123,682  
Carvana Auto Receivables Trust, Class E, Series 2019-3A, 4.60%, 07/15/26     235,000       230,557  
CCG Receivables Trust, Class A2, Series 2023-1, 5.82%, 09/16/30     200,000       200,351  
CCG Receivables Trust, Class C, Series 2021-1, 0.84%, 06/14/27     270,000       253,885  
CFMT Issuer Trust, Class A, Series 2021-GRN1, 1.10%, 03/20/41     132,306       122,411  
Commonbond Student Loan Trust, Class A, Series 2020-1, 1.69%, 10/25/51     60,093       53,091  
Credito Real USA Auto Receivables Trust, Class A, Series 2021-1A, 1.35%, 02/16/27     34,902       34,438  
Dext ABS LLC, Class A, Series 2020-1, 1.46%, 02/16/27     7,905       7,889  
Foundation Finance Trust, Class A, Series 2021-1A, 1.27%, 05/15/41     145,441       127,859  
Investments   Principal     Value  
ASSET BACKED SECURITIES (continued)  
                 
GLS Auto Receivables Issuer Trust, Class B, Series 2023-1A, 6.19%, 06/15/27   $ 100,000     $ 99,840  
GLS Auto Receivables Issuer Trust, Class D, Series 2019-4A, 4.09%, 08/17/26     110,000       106,920  
GLS Auto Receivables Issuer Trust, Class D, Series 2022-2A, 6.15%, 04/17/28     190,000       187,522  
Gold Key Resorts LLC, Class A, Series 2014-A, 3.22%, 03/17/31     4,563       4,520  
Hertz Vehicle Financing III LLC, Class C, Series 2022-1A, 2.63%, 06/25/26     295,000       270,185  
Hin Timeshare Trust, Class C, Series 2020-A, 3.42%, 10/09/39     122,445       112,096  
Lendbuzz Securitization Trust, Class A, Series 2022-1A, 4.22%, 05/17/27     164,381       159,412  
Lendingpoint Asset Securitization Trust, Class B, Series 2022-A, 2.41%, 06/15/29     236,037       234,056  
Lobel Automobile Receivables Trust, Class A, Series 2023-1, 6.97%, 07/15/26     45,005       44,755  
Mariner Finance Issuance Trust, Class A, Series 2019-AA, 2.96%, 07/20/32     19,730       19,589  
Mercury Financial Credit Card Master Trust, Class A, Series 2022-1A, 2.50%, 09/21/26     145,000       137,033  
Navient Private Education Refi Loan Trust, Class A, Series 2021-EA, 0.97%, 12/16/69     216,077       182,761  
NMEF Funding LLC, Class B, Series 2022-A, 3.35%, 10/16/28     195,000       184,835  
Octane Receivables Trust, Class A, Series 2020-1A, 1.71%, 02/20/25     5,537       5,515  
Orange Lake Timeshare Trust, Class B, Series 2019-A, 3.36%, 04/09/38     170,390       162,584  
Pawnee Equipment Receivables Series, Class A, Series 2020-1, 1.37%, 11/17/25     1,992       1,987  
Post Road Equipment Finance, Class B, Series 2022-1A, 5.15%, 01/16/29     185,000       178,451  

 

See accompanying Notes to Financial Statements.

 

86

 

 

ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments   Principal     Value  
ASSET BACKED SECURITIES (continued)  
                 
Sierra Timeshare Receivables Funding LLC, Class C, Series 2022-2A, 6.36%, 06/20/40   $ 92,370     $ 89,679  
Sofi Consumer Loan Program Trust, Class A, Series 2022-1S, 6.21%, 04/15/31     40,027       40,054  
Tricolor Auto Securitization Trust, Class C, Series 2022-1A, 4.71%, 08/15/25     235,000       230,826  
Upstart Securitization Trust, Class B, Series 2021-2, 1.75%, 06/20/31     240,000       234,709  
VFI ABS LLC, Class B, Series 2022-1A, 3.04%, 07/24/28     320,000       302,297  
Westgate Resorts LLC, Class B, Series 2022-1A, 2.29%, 08/20/36     120,749       113,349  
Total Asset Backed Securities
(Cost $5,627,483)
            5,296,253  
                 
CORPORATE BONDS — 17.4%                
                 
Communication Services — 0.7%                
Level 3 Financing, Inc., 4.25%, 07/01/28     70,000       45,171  
Sprint Capital Corp., 6.88%, 11/15/28     40,000       42,463  
Warnermedia Holdings, Inc., 3.76%, 03/15/27     35,000       32,648  
Total Communication Services             120,282  
                 
Energy — 0.1%                
Civitas Resources, Inc., 8.38%, 07/01/28     15,000       15,173  
                 
Financials — 7.5%                
Bank of America Corp., 1.73%, (SOFR + 0.96%), 07/22/27@     30,000       26,770  
Bank of America Corp., 2.55%, (SOFR + 1.05%), 02/04/28@     105,000       94,823  
Bank of New York Mellon Corp. (The), 5.80%, (SOFR Index + 1.80%), 10/25/28@     40,000       40,779  
Blackstone Private Credit Fund, 2.63%, 12/15/26     86,000       73,191  
Capital One Financial Corp., 6.31%, (SOFR + 2.64%), 06/08/29@     30,000       29,815  
Charles Schwab Corp. (The), Series H, 4.00%, (US 10 Year CMT T-Note + 3.08%)#@     60,000       43,860  
Citadel LP, 4.88%, 01/15/27     45,000       43,128  
Citigroup, Inc., 4.40%, 06/10/25     75,000       72,876  
Investments   Principal     Value  
CORPORATE BONDS (continued)  
                 
Financials (continued)        
Citigroup, Inc., 3.20%, 10/21/26   $ 20,000     $ 18,722  
Citigroup, Inc., 6.37%, (SOFR + 1.28%), 02/24/28@     20,000       20,128  
Corebridge Financial, Inc., 6.88%, (US 5 Year CMT T-Note + 3.85%), 12/15/52@     107,000       102,564  
Fifth Third Bancorp, 4.06%, (SOFR + 1.36%), 04/25/28@     30,000       27,640  
Goldman Sachs Group, Inc. (The), 3.85%, 01/26/27     40,000       38,023  
Goldman Sachs Group, Inc. (The), 4.48%, (SOFR + 1.73%), 08/23/28@     30,000       29,010  
Huntington Bancshares, Inc., 2.63%, 08/06/24     30,000       28,708  
JPMorgan Chase & Co., 4.32%, (SOFR + 1.56%), 04/26/28@     115,000       110,984  
Liberty Mutual Group, Inc., 4.13%, (US 5 Year CMT T-Note + 3.32%), 12/15/51@‡     190,000       149,672  
Morgan Stanley, 5.12%, (SOFR + 1.73%), 02/01/29@     80,000       78,927  
Spirit Realty LP, 4.45%, 09/15/26     46,429       43,757  
State Street Corp., 5.82%, (SOFR + 1.72%), 11/04/28@     40,000       40,994  
Synchrony Financial, 4.88%, 06/13/25     10,000       9,505  
Synchrony Financial, 3.70%, 08/04/26     13,000       11,672  
Texas Capital Bancshares, Inc., 4.00%, (US 5 Year CMT T-Note + 3.15%), 05/06/31@     135,000       97,993  
Wells Fargo & Co., 3.53%, (SOFR + 1.51%), 03/24/28@     90,000       84,055  
Total Financials             1,317,596  
                 
Health Care — 2.0%                
CVS Health Corp., 4.30%, 03/25/28     55,000       53,050  
DENTSPLY Sirona, Inc., 3.25%, 06/01/30     55,000       47,590  
HCA, Inc., 5.20%, 06/01/28     17,000       16,860  
Illumina, Inc., 5.75%, 12/13/27     40,000       40,176  
Royalty Pharma PLC, 1.75%, 09/02/27     45,000       38,606  
Universal Health Services, Inc., 1.65%, 09/01/26     120,000       104,931  
Viatris, Inc., 2.30%, 06/22/27     50,000       43,700  
Viatris, Inc., 2.30%, 06/22/27     157       137  
Total Health Care             345,050  

 

See accompanying Notes to Financial Statements.

 

87

 

 

ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments   Principal     Value  
CORPORATE BONDS (continued)                
                 
Industrials — 2.8%                
Alaska Airlines Pass-Through Trust, Class A, Series 2020-1, 4.80%, 08/15/27   $ 196,987     $ 189,430  
Boeing Co. (The), 5.04%, 05/01/27     40,000       39,522  
CoStar Group, Inc., 2.80%, 07/15/30     50,000       41,286  
General Electric Co., Series D, 8.88%, (3-Month USD LIBOR + 3.33%)#@     52,000       52,195  
Hexcel Corp., 4.20%, 02/15/27     40,000       37,676  
Huntington Ingalls Industries, Inc., 2.04%, 08/16/28     66,000       55,447  
Penske Truck Leasing Co. LP / PTL Finance Corp., 5.75%, 05/24/26     15,000       14,860  
Penske Truck Leasing Co. LP / PTL Finance Corp., 6.20%, 06/15/30     12,000       12,040  
Regal Rexnord Corp., 6.05%, 02/15/26     13,000       13,019  
Regal Rexnord Corp., 6.05%, 04/15/28     18,000       17,843  
Regal Rexnord Corp., 6.30%, 02/15/30     20,000       19,945  
Total Industrials             493,263  
                 
Information Technology — 0.7%                
CDW LLC / CDW Finance Corp., 3.28%, 12/01/28     98,000       85,087  
Dell International LLC / EMC Corp., 4.90%, 10/01/26     45,000       44,686  
Total Information Technology             129,773  
                 
Materials — 0.4%                
Bayport Polymers LLC, 4.74%, 04/14/27     60,000       55,838  
Knife River Corp., 7.75%, 05/01/31     5,000       5,069  
Total Materials             60,907  
                 
Real Estate — 1.7%                
EPR Properties, 4.95%, 04/15/28     90,000       80,576  
GLP Capital LP / GLP Financing II, Inc., 5.25%, 06/01/25     30,000       29,412  
Office Properties Income Trust, 4.50%, 02/01/25     50,000       43,251  
Office Properties Income Trust, 2.65%, 06/15/26     105,000       77,489  
VICI Properties LP / VICI Note Co., Inc., 4.63%, 06/15/25     75,000       72,536  
Total Real Estate             303,264  
Investments   Principal     Value  
CORPORATE BONDS (continued)                
                 
Utilities — 1.5%                
American Electric Power Co., Inc., 5.70%, 08/15/25   $ 39,000     $ 38,785  
Exelon Corp., 5.15%, 03/15/28(a)     40,000       39,797  
NextEra Energy Capital Holdings, Inc., 6.05%, 03/01/25     41,000       41,164  
Southern Co. (The), Series 21-A, 3.75%, (US 5 Year CMT T-Note + 2.92%), 09/15/51@     164,000       139,974  
Total Utilities             259,720  
Total Corporate Bonds
(Cost $3,326,817)
            3,045,028  
                 
U.S. TREASURY NOTES — 17.2%                
U.S. Treasury Note, 0.13%, 08/31/23(a)     970,000       962,056  
U.S. Treasury Note, 2.50%, 04/30/24     340,000       331,858  
U.S. Treasury Note, 4.25%, 09/30/24     640,000       631,550  
U.S. Treasury Note, 4.13%, 01/31/25     410,000       403,586  
U.S. Treasury Note, 4.25%, 05/31/25(a)     175,000       172,782  
U.S. Treasury Note, 0.25%, 05/31/25     95,000       86,942  
U.S. Treasury Note, 0.63%, 12/31/27     490,000       418,653  
Total U.S. Treasury Notes
(Cost $3,024,921)
            3,007,427  
                 
MORTGAGE BACKED SECURITIES — 17.0%  
                 
Commercial Mortgage Backed Securities — 3.1%  
BPR Trust, Class A, Series 2022-OANA, 7.12%, (SOFR + 1.90%), 04/15/37@‡     90,000       87,498  
Extended Stay America Trust, Class C, Series 2021-ESH, 7.04%, (SOFR + 1.81%), 07/15/38@‡     173,473       169,093  
Velocity Commercial Capital Loan Trust, Class AFX, Series 2020-1, 2.61%, 02/25/50@‡*     63,449       55,651  
WFRBS Commercial Mortgage Trust, Class AS, Series 2014-C24, 3.93%, 11/15/47     250,000       237,108  
Total Commercial Mortgage Backed Securities             549,350  

 

See accompanying Notes to Financial Statements.

 

88

 

 

ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments   Principal     Value  
MORTGAGE BACKED SECURITIES (continued)
                 
Mortgage Backed Security — 0.5%        
CIM Trust, Class A1, Series 2022-R2, 3.75%, 12/25/61@‡*   $ 85,977     $ 79,149  
                 
Residential Mortgage Backed Securities — 13.4%  
Angel Oak SB Commercial Mortgage Trust, Class A1, Series 2020-SBC1, 2.07%, 05/25/50@‡*     50,361       45,676  
Arroyo Mortgage Trust, Class A1, Series 2019-2, 3.35%, 04/25/49@‡*     48,604       45,043  
Bravo Residential Funding Trust, Class A1, Series 2021-NQM3, 1.70%, 04/25/60@‡*     102,296       90,258  
Citigroup Mortgage Loan Trust, Inc., Class A1, Series 2015-PS1, 3.75%, 09/25/42@‡*     25,776       23,754  
Ellington Financial Mortgage Trust, Class A3, Series 2019-2, 3.05%, 11/25/59@‡*     19,130       17,513  
Ellington Financial Mortgage Trust, Class A1, Series 2020-2, 1.18%, 10/25/65@‡*     116,934       104,556  
Ellington Financial Mortgage Trust, Class A2, Series 2021-1, 1.00%, 02/25/66@‡*     68,044       56,400  
Galton Funding Mortgage Trust, Class A21, Series 2017-1, 3.50%, 07/25/56@‡*     38,876       35,309  
JPMorgan Mortgage Trust, Class AM, Series 2014-2, 3.34%, 06/25/29@‡*     107,920       103,042  
JPMorgan Mortgage Trust, Class 2A2, Series 2014-2, 3.50%, 06/25/29@‡*     49,978       48,025  
JPMorgan Mortgage Trust, Class A2, Series 2015-5, 6.35%, 05/25/45@‡*     59,710       58,726  
Lhome Mortgage Trust, Class A1, Series 2021-RTL2, 2.09%, 06/25/26     205,000       199,387  
MFA Trust, Class A1, Series 2020-NQM3, 1.01%, 01/26/65@‡*     163,190       146,045  
New Residential Mortgage Loan Trust, Class A1, Series 2021-NQ2R, 0.94%, 10/25/58@‡*     135,442       120,452  
NYMT Loan Trust, Class A1, Series 2021-CP1, 2.04%, 07/25/61     69,478       62,267  
Investments   Principal     Value  
MORTGAGE BACKED SECURITIES (continued)
               
Residential Mortgage Backed Securities (continued)  
OBX Trust, Class A3, Series 2019-INV1, 4.50%, 11/25/48@‡*   $ 23,978     $ 22,762  
Progress Residential Trust, Class B, Series 2019-SFR3, 2.57%, 09/17/36     290,000       277,298  
Provident Funding Mortgage Trust, Class A2, Series 2019-1, 3.00%, 12/25/49@‡*     30,550       25,992  
PRPM LLC, Class A1, Series 2021-RPL2, 1.46%, 10/25/51@‡*     73,910       64,440  
RCKT Mortgage Trust, Class A1, Series 2020-1, 3.00%, 02/25/50@‡*     36,751       31,189  
SG Residential Mortgage Trust, Class A1, Series 2019-3, 2.70%, 09/25/59@‡*     35,277       34,194  
Starwood Mortgage Residential Trust, Class A2, Series 2021-3, 1.40%, 06/25/56@‡*     78,082       62,801  
Starwood Mortgage Residential Trust, Class A1, Series 2020-3, 1.49%, 04/25/65@‡*     211,878       195,036  
Towd Point HE Trust, Class M1, Series 2021-HE1, 1.50%, 02/25/63@‡*     63,578       59,528  
Visio Trust, Class A2, Series 2019-2, 2.92%, 11/25/54@‡*     124,208       117,021  
Visio Trust, Class A1, Series 2021-1R, 1.28%, 05/25/56     204,146       185,083  
Wells Fargo Mortgage Backed Securities Trust, Class 1A2, Series 2004-K, 5.62%, 07/25/34@*     38,908       40,150  
Wells Fargo Mortgage Backed Securities Trust, Class 2A12, Series 2004-K, 5.62%, 07/25/34@*     14,760       14,997  
Wells Fargo Mortgage Backed Securities Trust, Class A1, Series 2004-U, 4.52%, 10/25/34@*     54,249       51,770  
Total Residential Mortgage Backed Securities             2,338,714  
Total Mortgage Backed Securities
(Cost $3,188,671)
            2,967,213  

 

See accompanying Notes to Financial Statements.

 

89

 

 

ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments   Principal     Value  
FOREIGN BONDS — 7.0%  
                 
Consumer Staples — 1.0%        
Bacardi Ltd. (Bermuda), 4.70%, 05/15/28   $ 110,000     $ 106,417  
BAT Capital Corp. (United Kingdom), 2.26%, 03/25/28     85,000       72,825  
Total Consumer Staples             179,242  
                 
Energy — 1.2%        
BP Capital Markets PLC (United Kingdom), 4.88%, (US 5 Year CMT T-Note + 4.40%)#@     80,000       72,970  
Enbridge, Inc. (Canada), 7.38%, (US 5 Year CMT T-Note + 3.71%), 01/15/83@     50,000       49,151  
Petroleos Mexicanos (Mexico), 6.50%, 03/13/27     95,000       84,589  
Total Energy             206,710  
                 
Financials — 1.0%        
AerCap Ireland Capital DAC / AerCap Global Aviation Trust (Ireland), 3.00%, 10/29/28     155,000       134,101  
Brookfield Finance, Inc. (Canada), 3.90%, 01/25/28     45,000       41,715  
Total Financials             175,816  
                 
Industrials — 1.0%        
British Airways Pass-Through Trust, Class A, Series 2021-1 (United Kingdom), 2.90%, 03/15/35     205,273       169,624  
                 
Materials — 0.5%        
NOVA Chemicals Corp. (Canada), 5.00%, 05/01/25     100,000       95,785  
                 
Sovereign Government — 2.2%        
Dominican Republic International Bond (Dominican Republic), 5.50%, 02/22/29     195,000       182,949  
Republic of South Africa Government International Bond (South Africa), 5.88%, 09/16/25     200,000       197,963  
Total Sovereign Government             380,912  
Investments   Principal     Value  
FOREIGN BONDS (continued)  
                 
Utilities — 0.1%                
National Grid PLC (United Kingdom), 5.60%, 06/12/28   $ 18,000     $ 18,071  
Total Foreign Bonds
(Cost $1,362,140)
            1,226,160  
                 
EXCHANGE TRADED FUND — 3.3%        
                 
Debt Fund — 3.3%        

Invesco Senior Loan ETF(a)
(Cost $567,894)

    27,004       568,164  
                 
FEDERAL HOME LOAN MORTGAGE CORPORATION — 3.1%  
Federal National Mortgage Association, 5.00%, 10/01/52     490,948       481,821  

Federal National Mortgage Association, 5.00%, 11/01/52

    64,411       63,248  
Total Federal Home Loan Mortgage Corporation
(Cost $556,144)
            545,069  
                 
MONEY MARKET FUNDS — 8.6%        
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class 5.07%(b)(c)     617,967       617,967  
JPMorgan U.S. Government Money Market Fund — Institutional Class 4.96%(b)     877,360       877,360  
Total Money Market Funds
(Cost $1,495,327)
            1,495,327  
                 
Total Investments — 103.9%
(Cost $19,149,397)
            18,150,641  
Liabilities in Excess of Other Assets — (3.9%)             (673,524 )
Net Assets — 100.0%           $ 17,477,117  

 

 

CMT — Constant Maturity Treasury Index

ETF — Exchange Traded Fund

LIBOR — London Interbank Offered Rate

LP — Limited Partnership

PLC — Public Limited Company

SOFR — Secured Overnight Financing Rate

USD — United States Dollar

# Perpetual security with no stated maturity date.
@ Variable rate instrument. The interest rate shown reflects the rate in effect at June 30, 2023.
* Adjustable rate security with an interest rate that is not based on a published reference index and spread. The rate is based on the structure of the agreement and current market conditions.

 

See accompanying Notes to Financial Statements.

 

90

 

 

ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Security was purchased pursuant to Rule 144A under the Securities Act of 1933 and may not be resold subject to that rule except to qualified institutional buyers. Unless otherwise noted, 144A securities are deemed to be liquid.
(a) All or a portion of security is on loan. The aggregate market value of the securities on loan is $1,739,153; the aggregate market value of the collateral held by the fund is $1,776,119. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $1,158,152.
(b) Rate shown reflects the 7-day yield as of June 30, 2023.
(c) Collateral received from brokers for securities lending was invested in these short-term investments.

 

See accompanying Notes to Financial Statements.

 

91

 

 

ADVISORSHARES NEWFLEET MULTI-SECTOR INCOME ETF
Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Asset Backed Securities   $     $ 5,296,253     $     $ 5,296,253  
Corporate Bonds           3,045,028             3,045,028  
U.S. Treasury Notes           3,007,427             3,007,427  
Mortgage Backed Securities           2,967,213             2,967,213  
Foreign Bonds           1,226,160             1,226,160  
Exchange Traded Fund     568,164                   568,164  
Federal Home Loan Mortgage Corporation           545,069             545,069  
Money Market Funds     1,495,327                   1,495,327  
Total   $ 2,063,491     $ 16,087,150     $     $ 18,150,641  

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Asset Backed Securities     30.3 %
Commercial Mortgage Backed Securities     3.1  
Communication Services     0.7  
Consumer Staples     1.0  
Debt Fund     3.3  
Energy     1.3  
Financials     8.5  
Health Care     2.0  
Industrials     3.8  
Information Technology     0.7  
Materials     0.9  
Mortgage Backed Security     0.5  
Mortgage Securities     3.1  
Real Estate     1.7  
Residential Mortgage Backed Securities     13.4  
Sovereign Government     2.2  
U.S. Treasury Notes     17.2  
Utilities     1.6  
Money Market     8.6  
Total Investments     103.9  
Liabilities in Excess of Other Assets     (3.9 )
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

92

 

 

ADVISORSHARES POSEIDON DYNAMIC CANNABIS ETF

Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS — 6.1%  
               
Agriculture — 0.7%  
Village Farms International, Inc. (Canada)*     34,540     $ 20,682  
                 
Pharmaceuticals — 5.4%  
Intercure Ltd. (Israel)*     15,227       25,886  
Organigram Holdings, Inc. (Canada)*     47,374       18,476  
SNDL, Inc. (Canada)*     86,107       117,967  
Total Pharmaceuticals             162,329  
Total Common Stocks
(Cost $282,465)
            183,011  
                 
MONEY MARKET FUND — 35.0%  
BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(a)                
(Cost $1,050,431)     1,050,431       1,050,431  
                 
Total Investments — 41.1%
(Cost $1,332,896)
            1,233,442  
Other Assets in Excess of Liabilities — 58.9%             1,770,764  
Net Assets — 100.0%           $ 3,004,206  

 

 

SOFR — Secured Overnight Financing Rate

* Non-income producing security.
(a) Rate shown reflects the 7-day yield as of June 30, 2023.

 

See accompanying Notes to Financial Statements.

 

93

 

 

ADVISORSHARES POSEIDON DYNAMIC CANNABIS ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Common Stocks   $ 183,011     $     $     $ 183,011  
Money Market Fund     1,050,431                   1,050,431  
Total   $ 1,233,442     $     $     $ 1,233,442  

 

Liabilities   Level 1     Level 2     Level 3     Total  
Swaps   $     $ (14,379 )   $     $ (14,379 )

 

 
Derivative instruments, including swap contracts, are valued at the net unrealized gain (loss) on the instrument.

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Agriculture     0.7 %
Pharmaceuticals     5.4  
Money Market Fund     35.0  
Total Investments     41.1  
Other Assets in Excess of Liabilities     58.9  
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

94

 

 

ADVISORSHARES POSEIDON DYNAMIC CANNABIS ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Total Return Swap contracts outstanding as of June 30, 2023:

 

Reference Entity   Annual Financing
Rate Paid
  Payment
Frequency
  Termination
Date
  Notional
Amounts
    Fair
Value
    Unrealized
Appreciation/
(Depreciation)
 
Ascend Well   SOFR + 1.25%   Monthly   11/20/2026   $ 355,336     $ 353,421     $ (1,915 )
Columbia Care ORD   SOFR + 1.25%   Monthly   11/20/2026     70,489       70,116       (373 )
Cresco Labs ORD   SOFR + 1.25%   Monthly   11/20/2026     71,049       70,667       (382 )
Curaleaf Holdings SUB VOT   SOFR + 1.25%   Monthly   11/20/2026     515,721       513,285       (2,436 )
Green Thumb Industries SUB VOT   SOFR + 1.25%   Monthly   11/20/2026     1,197,839       1,192,012       (5,827 )
Planet 13 Holdings ORD   SOFR + 1.25%   Monthly   11/20/2026     32,370       32,212       (158 )
Terrascend   SOFR + 1.25%   Monthly   11/20/2026     141,715       141,086       (629 )
Trulieve Cannabis   SOFR + 1.25%   Monthly   11/20/2026     208,132       207,098       (1,034 )
Verano Holdings   SOFR + 1.25%   Monthly   11/20/2026     594,814       593,189       (1,625 )
Net Unrealized Depreciation                               $ (14,379 )

 

Nomura acts as the counterparty to the total return swap contracts listed above. The Fund either receives fees from, or pays fees to, the counterparty, depending upon the total return of the benchmark, and the agreed-upon floating financing rate. As of June 30, 2023, cash in the amount of $1,902,470 has been segregated as collateral from the broker for Swap contracts.

 

See accompanying Notes to Financial Statements.

 

95

 

 

ADVISORSHARES PSYCHEDELICS ETF

Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS — 93.2%  
                 
Biotechnology — 53.8%  
ATAI Life Sciences NV (Germany)*     159,897     $ 275,023  
Bright Minds Biosciences, Inc. (Canada)*     515,315       293,781  
Clearmind Medicine, Inc. (Canada)*     123,257       57,943  
Cybin, Inc. (Canada)*     2,162,636       817,476  
Enveric Biosciences, Inc.*     100,429       338,446  
GH Research PLC (Ireland)*     45,129       535,456  
Intra-Cellular Therapies, Inc.*     4,715       298,554  
Mind Medicine MindMed, Inc.*     91,364       326,169  
PsyBio Therapeutics Corp.*     2,800,225       56,004  
Sage Therapeutics, Inc.*     5,227       245,774  
Seelos Therapeutics, Inc.*     295,202       352,766  
Small Pharma, Inc. (Canada)*     2,169,096       115,613  
Total Biotechnology             3,713,005  
                 
Healthcare — Services — 16.0%  
Field Trip Health & Wellness Ltd. (Canada)*(a)     1,058,415       0  
Greenbrook TMS, Inc. (Canada)*     260,307       174,562  
Lucy Scientific Discovery, Inc. (Canada)*     284,724       327,432  
Numinus Wellness, Inc. (Canada)*     1,677,935       291,961  
Reunion Neuroscience, Inc. (Canada)*(b)     271,329       306,602  
Total Healthcare — Services             1,100,557  
                 
Pharmaceuticals — 23.4%  
Alkermes PLC*     9,797       306,646  
Compass Pathways PLC (United Kingdom)*(b)(c)     89,498       741,044  
FSD Pharma, Inc., Class B (Canada)*     249,305       286,701  
Relmada Therapeutics, Inc.*     112,898       277,729  
Total Pharmaceuticals             1,612,120  
Total Common Stocks
(Cost $9,868,754)
            6,425,682  
Investments   Shares     Value  
MONEY MARKET FUNDS — 17.4%  
BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(d)     490,322     $ 490,322  
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(d)(e)     704,803       704,803  
Total Money Market Funds
(Cost $1,195,125)
            1,195,125  
                 
Total Investments — 110.6%
(Cost $11,063,879)
            7,620,807  
Liabilities in Excess of Other Assets — (10.6%)             (727,290 )
Net Assets — 100.0%           $ 6,893,517  

 

 

PLC — Public Limited Company

* Non-income producing security.
(a) Fair valued using significant unobservable inputs. See note 2 regarding fair value measurements.
(b) All or a portion of security is on loan. The aggregate market value of the securities on loan is $708,694; the aggregate market value of the collateral held by the fund is $704,803. 
(c) American Depositary Receipt.
(d) Rate shown reflects the 7-day yield as of June 30, 2023.
(e) Collateral received from brokers for securities lending was invested in these short-term investments.

 

See accompanying Notes to Financial Statements.

 

96

 

 

ADVISORSHARES PSYCHEDELICS ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Common Stocks   $ 6,425,682     $     $ *   $ 6,425,682  
Money Market Funds     1,195,125                   1,195,125  
Total   $ 7,620,807     $     $ *   $ 7,620,807  

 

 
* Less than $1.

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Biotechnology     53.8 %
Healthcare — Services     16.0  
Pharmaceuticals     23.4  
Money Market Funds     17.4  
Total Investments     110.6  
Liabilities in Excess of Other Assets     (10.6 )
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

97

 

 

ADVISORSHARES PURE CANNABIS ETF

Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
EXCHANGE TRADED FUND — 56.5%  
                 
Equity Fund — 56.5%    
AdvisorShares Pure US Cannabis ETF*
(Cost $67,702,302)
    3,467,708     $ 19,211,102  
                 
COMMON STOCKS — 43.2%  
   
Agriculture — 6.2%                
Village Farms International, Inc. (Canada)*     3,521,730       2,108,812  
                 
Distributors — 5.0%    
High Tide, Inc. (Canada)*(a)     1,374,062       1,703,837  
                 
Investment Company — 1.3%  
RIV Capital, Inc. (Canada)*     4,975,540       432,410  
                 
Pharmaceuticals — 20.2%  
Canopy Growth Corp. (Canada)*     679,743       263,672  
Cardiol Therapeutics, Inc., Class A (Canada)*(a)     1,219,738       1,085,567  
cbdMD, Inc.*(a)     16,659       23,323  
Charlottes Web Holdings, Inc.*(a)     2,164,915       376,294  
Clever Leaves Holdings, Inc. (Canada)*     1,064,648       215,591  
Hempfusion Wellness, Inc. (Canada)*     1,762,927       2  
IM Cannabis Corp. (Canada)*     233,590       211,749  
Intercure Ltd. (Israel)*     233,775       397,417  
Jazz Pharmaceuticals PLC*     12,422       1,539,955  
Organigram Holdings, Inc. (Canada)*     2,097,776       818,133  
PharmaCielo Ltd. (Canada)*(a)     347,102       52,462  
SNDL, Inc. (Canada)*(a)     628,360       860,853  
Tilray Brands, Inc. (Canada)*(a)     670,294       1,045,659  
Total Pharmaceuticals             6,890,677  
                 
REITS — 6.5%  
AFC Gamma, Inc.     38,060       473,847  
Chicago Atlantic Real Estate Finance, Inc.     75,409       1,142,446  
Innovative Industrial Properties, Inc.     7,220       527,132  
Power REIT*     36,615       60,049  
Total REITS             2,203,474  
Investments   Shares     Value  
COMMON STOCKS (continued)  
                 
Software — 0.2%  
WM Technology, Inc.*     101,830     $ 85,283  
                 
Specialty Retail — 3.8%  
GrowGeneration Corp.*     377,864       1,284,738  
Total Common Stocks
(Cost $102,540,322)
            14,709,231  
                 
MONEY MARKET FUNDS — 4.6%  
BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(b)     13,147       13,147  
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(b)(c)     1,560,210       1,560,210  
Total Money Market Funds
(Cost $1,573,357)
            1,573,357  
                 
Total Investments — 104.3%
(Cost $171,815,981)
            35,493,690  
Liabilities in Excess of Other Assets — (4.3%)             (1,471,708 )
Net Assets — 100.0%           $ 34,021,982  

 

 

ETF — Exchange Traded Fund

PLC — Public Limited Company

REITS — Real Estate Investment Trusts

* Non-income producing security.
Affiliated Company.
(a) All or a portion of security is on loan. The aggregate market value of the securities on loan is $1,402,404; the aggregate market value of the collateral held by the fund is $1,560,210.
(b) Rate shown reflects the 7-day yield as of June 30, 2023.
(c) Collateral received from brokers for securities lending was invested in these short-term investments.

 

See accompanying Notes to Financial Statements.

 

98

 

 

ADVISORSHARES PURE CANNABIS ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Exchange Traded Fund   $ 19,211,102     $     $     $ 19,211,102  
Common Stocks     14,709,231                   14,709,231  
Money Market Funds     1,573,357                   1,573,357  
Total   $ 35,493,690     $     $     $ 35,493,690  

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Agriculture     6.2 %
Distributors     5.0  
Equity Fund     56.5  
Investment Company     1.3  
Pharmaceuticals     20.2  
REITS     6.5  
Software     0.2  
Specialty Retail     3.8  
Money Market Funds     4.6  
Total Investments     104.3  
Liabilities in Excess of Other Assets     (4.3 )
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

99

 

 

ADVISORSHARES PURE CANNABIS ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Affiliated holdings are funds which are managed by the Trust or an affiliate of the Trust. Transactions with affiliated companies during the year ended June 30, 2023 were as follows:

 

Affiliated Holding Name   Value at
6/30/2022
    Purchases/
Additions
    Sales/
Reductions
    Realized
Gain (Loss)
    Unrealized
Gain (Loss)
    Shares at
6/30/2023
    Value at
6/30/2023
    Dividend
Income
 
AdvisorShares Pure US Cannabis ETF   $ 24,719,940     $ 9,360,821     $ (4,030,482 )   $ (5,138,840 )   $ (5,700,337 )     3,467,708     $ 19,211,102     $  
Village Farms International Inc.*   $ 12,647,619     $ 693,610     $ (2,541,852 )   $ (23,785,182 )   $ 15,094,617       3,521,730     $ 2,108,812     $  
Total   $ 37,367,559     $ 10,054,431     $ (6,572,334 )   $ (28,924,022 )   $ 9,394,280       6,989,438     $ 21,319,914     $  

 

 
* Security is no longer an affiliated company at year end; therefore, the change in unrealized gain (loss) will not match the Statement of Operations.

 

See accompanying Notes to Financial Statements.

 

100

 

 

ADVISORSHARES PURE US CANNABIS ETF

Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS — 0.6%  
                 
Investment Company — 0.1%  
RIV Capital, Inc. (Canada)*     4,294,850     $ 373,254  
                 
Machinery — 0.2%  
Urban-GRO, Inc.*     579,947       684,337  
                 
Pharmaceuticals — 0.0%**  
Hempfusion Wellness, Inc. (Canada)*     7,964,631       8  
                 
REITS — 0.3%  
AFC Gamma, Inc.     9,840       122,508  
Innovative Industrial Properties, Inc.     10,085       736,306  
Power REIT*     232,259       380,905  
Total REITS             1,239,719  
                 
Specialty Retail — 0.0%**  
GrowGeneration Corp.*     16,678       56,705  
Total Common Stocks
(Cost $32,712,815)
            2,354,023  
                 
MONEY MARKET FUND — 13.6%  
BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(a)
(Cost $46,691,522)
    46,691,522       46,691,522  
                 
Total Investments — 14.2%
(Cost $79,404,337)
            49,045,545  
Other Assets in Excess of Liabilities — 85.8%             294,339,602  
Net Assets — 100.0%           $ 343,385,147  

 

 

REITS — Real Estate Investment Trusts

SOFR — Secured Overnight Financing Rate

* Non-income producing security.
** Less than 0.05%.
Affiliated Company.
(a) Rate shown reflects the 7-day yield as of June 30, 2023.

 

See accompanying Notes to Financial Statements.

 

101

 

 

ADVISORSHARES PURE US CANNABIS ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Common Stocks   $ 2,354,023     $     $     $ 2,354,023  
Money Market Fund     46,691,522                   46,691,522  
Swaps           8,683             8,683  
Total   $ 49,045,545     $ 8,683     $     $ 49,054,228  

 

Liabilities   Level 1     Level 2     Level 3     Total  
Swaps   $     $ (1,689,144 )   $     $ (1,689,144 )

 

 
Derivative instruments, including swap contracts, are valued at the net unrealized gain (loss) on the instrument.

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Investment Company     0.1 %
Machinery     0.2  
Pharmaceuticals     0.0 **
REITS     0.3  
Specialty Retail     0.0 **
Money Market Fund     13.6  
Total Investments     14.2  
Other Assets in Excess of Liabilities     85.8  
Net Assets     100.0 %

 

 
** Less than 0.05%.

 

See accompanying Notes to Financial Statements.

 

102

 

 

ADVISORSHARES PURE US CANNABIS ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Total Return Swap contracts outstanding as of June 30, 2023:

 

Reference Entity   Annual Financing
Rate Paid
  Payment
Frequency
  Termination
Date
  Notional
Amounts
    Fair
Value
    Unrealized
Appreciation/
(Depreciation)
 
4Front Ventures ORD   SOFR + 1.25%   Monthly   11/20/2026   $ 3,870,129     $ 3,850,120     $ (20,009 )
Acreage Holdings FX SUB VOT CL E ORD   SOFR + 1.25%   Monthly   11/20/2026     419,022       415,784       (3,238 )
AYR Wellness   SOFR + 1.25%   Monthly   11/20/2026     4,978,568       4,949,857       (28,711 )
AYR Wellness   SOFR + 0.90%   Monthly   11/20/2026     174,575       171,000       (3,575 )
C21 Investments ORD   SOFR + 1.25%   Monthly   8/25/2026     2,337,565       2,327,908       (9,657 )
Columbia Care ORD   SOFR + 1.25%   Monthly   11/20/2026     10,165,010       10,112,207       (52,803 )
Cresco Labs ORD   SOFR + 1.25%   Monthly   11/20/2026     26,326,963       26,181,764       (145,199 )
Cresco Labs ORD   SOFR + 0.90%   Monthly   9/2/2023     92,970       93,611       641  
Curaleaf Holdings SUB VOT   SOFR + 1.25%   Monthly   11/20/2026     69,591,664       69,277,017       (314,647 )
Curaleaf Holdings SUB VOT ORD   SOFR + 0.90%   Monthly   11/20/2026     310,119       309,200       (919 )
Glass House Brands   SOFR + 1.25%   Monthly   11/20/2026     8,299,355       8,254,251       (45,104 )
Glass House Brands   SOFR + 0.90%   Monthly   9/2/2023     162,200       162,200        
Goodness Growth Hold   SOFR + 1.25%   Monthly   11/20/2026     750,033       746,778       (3,255 )
Gramf Tpco ORD   SOFR + 0.90%   Monthly   9/22/2024     731,271       727,809       (3,462 )
Green Thumb Industries SUB VOT   SOFR + 1.25%   Monthly   11/20/2026     90,256,985       89,814,235       (442,750 )
Jushi Holdings CL B SUB VOT ORD   SOFR + 1.25%   Monthly   11/20/2026     7,006,005       6,972,140       (33,865 )
Jushi Holdings CL B SUB VOT ORD   SOFR + 0.90%   Monthly   9/2/2026     23,780       24,000       220  
Lowell Farms ORD   SOFR + 1.25%   Monthly   11/20/2026     178,389       177,614       (775 )
Marimed ORD   SOFR + 1.25%   Monthly   11/20/2026     803,378       799,500       (3,878 )
Marimed ORD   SOFR + 0.90%   Monthly   11/20/2026     46,181       50,430       4,249  
Planet 13 Holdings ORD   SOFR + 1.25%   Monthly   11/20/2026     4,423,024       4,401,563       (21,461 )
Terrascend ORD   SOFR + 1.25%   Monthly   11/20/2026     32,574,629       32,427,716       (146,913 )
Terrascend ORD   SOFR + 0.90%   Monthly   11/20/2026     610,198       613,771       3,573  
Trulieve Cannabis ORD   SOFR + 1.25%   Monthly   11/20/2026     38,132,595       37,929,720       (202,875 )
Vapen Mj Ventures ORD   SOFR + 1.25%   Monthly   8/25/2026     986,206       981,339       (4,867 )
Verano Holdings ORD   SOFR + 1.25%   Monthly   11/20/2026     41,215,724       41,014,543       (201,181 )
Net Unrealized Depreciation                               $ (1,680,461 )

 

Nomura and Clear Street act as the counterparties to the total return swap contracts listed above. The Fund either receives fees from, or pays fees to, the counterparty, depending upon the total return of the benchmark, and the agreed-upon floating financing rate. As of June 30, 2023, cash in the amount of $298,970,000 has been segregated as collateral from the broker for Swap contracts.

 

See accompanying Notes to Financial Statements.

 

103

 

 

ADVISORSHARES PURE US CANNABIS ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Affiliated holdings are funds which are managed by the Trust or an affiliate of the Trust. Transactions with affiliated companies during the year ended June 30, 2023 were as follows:

 

Affiliated Holding Name   Value at
6/30/2022
    Purchases/
Additions
    Sales/
Reductions
    Realized
Gain (Loss)
    Change in
Unrealized
Gain (Loss)
    Number of
Shares at
6/30/2023
    Value at
6/30/2023
    Dividend
Income
 
Power REIT   $ 3,673,522     $ 43,439     $ (368,645 )   $ (3,434,819 )   $ 467,408       232,259     $ 380,905     $  
Urban-GRO, Inc.     2,976,915       627,211       (605,552 )     (1,164,309 )     (1,149,928 )     579,947       684,337          
Total   $ 6,650,437     $ 670,650     $ (974,197 )   $ (4,599,128 )   $ (682,520 )     812,206     $ 1,065,242     $  
GrowGeneration Corp.*   $ 12,977,764     $ 1,935,729     $ (17,026,512 )   $ (53,861,565 )   $ 56,031,289       16,678     $ 56,705     $  
Total   $ 19,628,201     $ 2,606,379     $ (18,000,709 )   $ (58,460,693 )   $ 55,348,769       828,884     $ 1,121,947     $  

 

 
* Security is no longer an affiliated company at year end; therefore, the change in unrealized gain (loss) will not match the Statement of Operations.

 

See accompanying Notes to Financial Statements.

 

104

 

 

ADVISORSHARES Q DYNAMIC GROWTH ETF

Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
EXCHANGE TRADED FUNDS — 98.5%  
                 
Commodity Fund — 3.2%  
SPDR Gold Shares*     5,007     $ 892,598  
                 
Equity Fund — 95.3%  
Invesco QQQ Trust Series 1     30,420       11,237,756  
iShares Core S&P Small-Cap ETF     7,117       709,209  
iShares Russell 2000 Growth ETF     539       130,794  
iShares US Technology ETF     46,349       5,046,016  
Technology Select Sector SPDR Fund     50,949       8,857,993  
Vanguard Real Estate ETF     618       51,640  
Vanguard Total Stock Market ETF     4,523       996,326  
Total Equity Fund             27,029,734  
Total Exchange Traded Funds
(Cost $27,332,789)
            27,922,332  
                 
MONEY MARKET FUND — 1.8%  
Fidelity Investments Money Market Government Portfolio — Class I, 4.74%(a)
(Cost $499,290)
    499,290       499,290  
                 
Total Investments — 100.3%
(Cost $27,832,079)
            28,421,622  
Liabilities in Excess of Other Assets — (0.3%)             (72,828 )
Net Assets — 100.0%           $ 28,348,794  

 

 

ETF — Exchange Traded Fund

* Non-income producing security.
(a) Rate shown reflects the 7-day yield as of June 30, 2023.

 

See accompanying Notes to Financial Statements.

 

105

 

 

ADVISORSHARES Q DYNAMIC GROWTH ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Exchange Traded Funds   $ 27,922,332     $     $     $ 27,922,332  
Money Market Fund     499,290                   499,290  
Total   $ 28,421,622     $     $     $ 28,421,622  

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Commodity Fund     3.2 %
Equity Fund     95.3  
Money Market Fund     1.8  
Total Investments     100.3  
Liabilities in Excess of Other Assets     (0.3 )
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

106

 

 

ADVISORSHARES RANGER EQUITY BEAR ETF

Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
MONEY MARKET FUNDS — 114.7%  
BlackRock Liquidity Funds FedFund Portfolio, Institutional Class, 4.99%(a)(b)     55,885,350     $ 55,885,350  
Fidelity Institutional Money Market Government Portfolio — Class III, 4.74%(a)     84,782,675       84,782,675  
Total Money Market Funds
(Cost $140,668,025)
            140,668,025  
Total Investments Before Securities Sold, Not Yet Purchased
(Cost $140,668,025)
            140,668,025  
                 
Securities Sold, Not Yet Purchased — (109.5)%(c)  
                 
COMMON STOCKS — (109.5)%  
                 
Aerospace/Defense — (1.1)%  
Mercury Systems, Inc.*     (40,000 )     (1,383,600 )
                 
Apparel — (1.6)%  
VF Corp.     (100,000 )     (1,909,000 )
                 
Banks — (11.0)%  
Cadence Bank     (80,000 )     (1,571,200 )
Comerica, Inc.     (39,886 )     (1,689,571 )
Cullen/Frost Bankers, Inc.     (12,500 )     (1,344,125 )
M&T Bank Corp.     (15,000 )     (1,856,400 )
Regions Financial Corp.     (150,000 )     (2,673,000 )
Texas Capital Bancshares, Inc.*     (50,000 )     (2,575,000 )
Western Alliance Bancorp     (50,000 )     (1,823,500 )
Total Banks             (13,532,796 )
                 
Biotechnology — (2.9)%  
Guardant Health, Inc.*     (100,000 )     (3,580,000 )
                 
Commercial Services — (6.5)%  
Dlocal Ltd. (Uruguay)*     (150,000 )     (1,830,750 )
Global Payments, Inc.     (20,000 )     (1,970,400 )
Paylocity Holding Corp.*     (12,000 )     (2,214,360 )
Service Corp. International     (30,000 )     (1,937,700 )
Total Commercial Services             (7,953,210 )
                 
Computers — (1.5)%  
EPAM Systems, Inc.*     (8,000 )     (1,798,000 )
Investments   Shares     Value  
COMMON STOCKS (continued)  
                 
Diversified Financial Services — (12.4)%  
Ally Financial, Inc.     (100,000 )   $ (2,701,000 )
Bread Financial Holdings, Inc.     (100,000 )     (3,139,000 )
Coinbase Global, Inc., Class A*     (15,000 )     (1,073,250 )
Credit Acceptance Corp.*     (9,000 )     (4,571,370 )
Synchrony Financial     (110,000 )     (3,731,200 )
Total Diversified Financial Services             (15,215,820 )
                 
Electronics — (4.3)%  
Plexus Corp.*     (20,000 )     (1,964,800 )
TD SYNNEX Corp.     (35,000 )     (3,290,000 )
Total Electronics             (5,254,800 )
                 
Energy — Alternate Sources — (9.2)%  
Enphase Energy, Inc.*     (10,000 )     (1,674,800 )
Sunnova Energy International, Inc.*     (250,000 )     (4,577,500 )
Sunrun, Inc.*     (280,000 )     (5,000,800 )
Total Energy — Alternate Sources             (11,253,100 )
                 
Entertainment — (2.7)%  
Marriott Vacations Worldwide Corp.     (15,000 )     (1,840,800 )
Penn Entertainment, Inc.*     (60,000 )     (1,441,800 )
Total Entertainment             (3,282,600 )
                 
Food — (0.7)%  
Utz Brands, Inc.     (50,000 )     (818,000 )
                 
Healthcare — Products — (1.5)%  
Danaher Corp.     (7,500 )     (1,800,000 )
                 
Home Furnishings — (2.4)%  
Leggett & Platt, Inc.     (100,000 )     (2,962,000 )
                 
Housewares — (1.9)%  
Newell Brands, Inc.     (275,000 )     (2,392,500 )
                 
Insurance — (4.7)%  
Allstate Corp. (The)     (20,000 )     (2,180,800 )
Mercury General Corp.     (60,000 )     (1,816,200 )
Prudential Financial, Inc.     (20,000 )     (1,764,400 )
Total Insurance             (5,761,400 )

 

 

See accompanying Notes to Financial Statements.

 

107

 

 

ADVISORSHARES RANGER EQUITY BEAR ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Investments     Shares       Value  
COMMON STOCKS (continued)  
                 
Internet — (7.4)%  
CDW Corp.     (20,000 )   $ (3,670,000 )
F5, Inc.*     (15,000 )     (2,193,900 )
GoDaddy, Inc., Class A*     (20,000 )     (1,502,600 )
TripAdvisor, Inc.*     (100,000 )     (1,649,000 )
Total Internet             (9,015,500 )
                 
Media — (2.0)%  
Nexstar Media Group, Inc.     (15,000 )     (2,498,250 )
                 
Office/Business Equipment — (1.5)%  
Xerox Holdings Corp.     (120,000 )     (1,786,800 )
                 
Real Estate — (1.3)%  
Kennedy-Wilson Holdings, Inc.     (100,000 )     (1,633,000 )
                 
REITS — (11.4)%  
Acadia Realty Trust     (150,000 )     (2,158,500 )
Corporate Office Properties Trust     (95,000 )     (2,256,250 )
Digital Realty Trust, Inc.     (25,000 )     (2,846,750 )
NETSTREIT Corp.     (150,000 )     (2,680,500 )
Realty Income Corp.     (35,000 )     (2,092,650 )
SITE Centers Corp.     (150,000 )     (1,983,000 )
Total REITS             (14,017,650 )
                 
Retail — (7.2)%  
Brinker International, Inc.*     (50,000 )     (1,830,000 )
CarMax, Inc.*     (30,000 )     (2,511,000 )
Freshpet, Inc.*     (22,443 )     (1,476,974 )
Lithia Motors, Inc.     (10,000 )     (3,041,100 )
Total Retail             (8,859,074 )
                 
Semiconductors — (2.9)%  
SiTime Corp.*     (16,000 )     (1,887,520 )
Wolfspeed, Inc.*     (30,000 )     (1,667,700 )
Total Semiconductors             (3,555,220 )
Investments     Shares       Value  
COMMON STOCKS (continued)  
                 
Software — (9.5)%  
E2open Parent Holdings, Inc.*     (300,000 )   $ (1,680,000 )
Five9, Inc.*     (40,000 )     (3,298,000 )
Gitlab, Inc., Class A*     (75,000 )     (3,833,250 )
Paycor HCM, Inc.*     (60,000 )     (1,420,200 )
Sprout Social, Inc., Class A*     (30,000 )     (1,384,800 )
Total Software             (11,616,250 )
                 
Venture Capital — (1.9)%  
Brookfield Corp. (Canada)     (70,000 )     (2,355,500 )
Total Common Stocks
(Cost $(125,899,483))
            (134,234,070 )
                 
Total Securities Sold, Not Yet Purchased [Proceeds Received $(125,899,483)]             (134,234,070 )
                 
Total Investments — 5.2%
(Cost $14,768,542)
            6,433,955  
Other Assets in Excess of Liabilities — 94.8%             116,198,214  
Net Assets — 100.0%           $ 122,632,169  

 

 

ETF — Exchange Traded Fund

REITS — Real Estate Investment Trusts

* Non-income producing security.
(a) Rate shown reflects the 7-day yield as of June 30, 2023.
(b) A portion of this security has been pledged as collateral for securities sold, not yet purchased.
(c) As of June 30, 2023 cash in the amount of $122,696,175 has been segregated as collateral from the broker for securities sold short.

 

See accompanying Notes to Financial Statements.

 

108

 

 

ADVISORSHARES RANGER EQUITY BEAR ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Money Market Funds   $ 140,668,025     $     $     $ 140,668,025  
Total   $ 140,668,025     $     $     $ 140,668,025  

 

Liabilities   Level 1     Level 2     Level 3     Total  
Common Stocks   $ (134,234,070 )   $     $     $ (134,234,070 )

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Aerospace/Defense     (1.1 )%
Apparel     (1.6 )
Banks     (11.0 )
Biotechnology     (2.9 )
Commercial Services     (6.5 )
Computers     (1.5 )
Diversified Financial Services     (12.4 )
Electronics     (4.3 )
Energy — Alternate Sources     (9.2 )
Entertainment     (2.7 )
Food     (0.7 )
Healthcare — Products     (1.5 )
Home Furnishings     (2.4 )
Housewares     (1.9 )
Insurance     (4.7 )
Internet     (7.4 )
Media     (2.0 )
Office/Business Equipment     (1.5 )
Real Estate     (1.3 )
REITS     (11.4 )
Retail     (7.2 )
Semiconductors     (2.9 )
Software     (9.5 )
Venture Capital     (1.9 )
Money Market Funds     114.7  
Total Investments     5.2  
Other Assets in Excess of Liabilities     94.8  
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

109

 

 

ADVISORSHARES RANGER EQUITY BEAR ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Affiliated holdings are funds which are managed by the Trust or an affiliate of the Trust. Transactions with affiliated companies during the year ended June 30, 2023 were as follows:

 

Affiliated Holding Name   Value at
6/30/2022
    Purchases/
Additions
    Sales/
Reductions
    Realized
Gain
(Loss)
    Change in
Unrealized
Gain (Loss)
    Number of
Shares at
6/30/2023
    Value at
6/30/2023
    Dividend
Income
 
AdvisorShares North Square McKee Core Reserves ETF   $ 19,476,000     $     $ (19,548,984 )   $ (337,016 )   $ 410,000           $     $ 379,436  

 

See accompanying Notes to Financial Statements.

 

110

 

 

ADVISORSHARES RESTAURANT ETF

Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS — 99.4%  
                 
Retail — 99.4%  
Arcos Dorados Holdings, Inc., Class A (Brazil)     16,206     $ 166,111  
BJ’s Restaurants, Inc.*     3,840       122,112  
Bloomin’ Brands, Inc.     5,777       155,344  
Brinker International, Inc.*     2,688       98,381  
Carrols Restaurant Group, Inc.*     24,700       124,488  
Casey’s General Stores, Inc.     507       123,647  
Chipotle Mexican Grill, Inc.*     69       147,591  
Chuy’s Holdings, Inc.*     3,380       137,972  
Darden Restaurants, Inc.     797       133,163  
Dave & Buster’s Entertainment, Inc.*     2,642       117,727  
Dine Brands Global, Inc.     1,536       89,134  
Domino’s Pizza, Inc.     344       115,925  
Dutch Bros, Inc., Class A*(a)     1,883       53,571  
Jack in the Box, Inc.     1,300       126,789  
McDonald’s Corp.     418       124,735  
Papa John’s International, Inc.     59       4,356  
Restaurant Brands International, Inc. (Canada)     1,385       107,365  
Shake Shack, Inc., Class A*     269       20,907  
Starbucks Corp.     1,076       106,589  
Texas Roadhouse, Inc.     1,021       114,638  
Wendy’s Co. (The)     936       20,358  
Wingstop, Inc.     672       134,507  
Yum China Holdings, Inc. (China)     2,016       113,904  
Yum! Brands, Inc.     906       125,526  
Total Retail             2,584,840  
Total Common Stocks
(Cost $2,241,032)
            2,584,840  
Investments   Shares     Value  
MONEY MARKET FUNDS — 4.7%  
BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(b)     98,592     $ 98,592  
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(b)(c)     24,505       24,505  
Total Money Market Funds
(Cost $123,097)
            123,097  
                 
Total Investments — 104.1%
(Cost $2,364,129)
            2,707,937  
Liabilities in Excess of Other Assets — (4.1%)             (108,257 )
Net Assets — 100.0%           $ 2,599,680  

 

 
* Non-income producing security.
(a) All or a portion of security is on loan. The aggregate market value of the securities on loan is $24,040; the aggregate market value of the collateral held by the fund is $24,505.
(b) Rate shown reflects the 7-day yield as of June 30, 2023.
(c) Collateral received from brokers for securities lending was invested in these short-term investments.

 

See accompanying Notes to Financial Statements.

 

111

 

 

ADVISORSHARES RESTAURANT ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Common Stocks   $ 2,584,840     $     $     $ 2,584,840  
Money Market Funds     123,097                   123,097  
Total   $ 2,707,937     $     $     $ 2,707,937  

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Retail     99.4 %
Money Market Funds     4.7  
Total Investments     104.1  
Liabilities in Excess of Other Assets     (4.1 )
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

112

 

 

ADVISORSHARES STAR GLOBAL BUY-WRITE ETF

Schedule of Investments

 

June 30, 2023

 

 

 

Investments   Shares     Value  
EXCHANGE TRADED FUNDS — 95.0%  
   
Debt Fund — 24.9%  
iShares 10-20 Year Treasury Bond ETF     6,729     $ 745,371  
iShares Core Total USD Bond Market ETF(a)(b)     155,374       7,064,856  
iShares MBS ETF     32,210       3,004,066  
iShares U.S. Treasury Bond ETF     90,458       2,071,488  
SPDR Bloomberg Barclays Short Term High Yield Bond ETF     19,403       479,254  
Total Debt Fund             13,365,035  
                 
Equity Fund — 70.1%  
iShares MSCI EAFE ETF(a)     106,877       7,748,582  
iShares MSCI Emerging Markets ETF     79,918       3,161,556  
iShares MSCI USA Momentum Factor ETF     4,680       675,090  
iShares Russell 2000 ETF     2,202       412,369  
iShares Russell Mid-Cap Growth ETF(a)     45,851       4,430,582  
SPDR S&P 500 ETF Trust(a)(b)     47,882       21,225,133  
Total Equity Fund             37,653,312  
Total Exchange Traded Funds
(Cost $49,824,619)
            51,018,347  
                 
MONEY MARKET FUNDS — 10.6%  
BlackRock Liquidity Funds T-Fund Portfolio, Institutional Class, 4.98%(c)     2,761,179       2,761,179  
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(c)(d)     2,962,076       2,962,076  
Total Money Market Funds
(Cost $5,723,255)
            5,723,255  
    Notional Amount     Contracts     Value  
PURCHASED PUT OPTION — 0.0%**  
SPDR S&P 500 ETF Trust, expiring 09/15/23, Strike Price $330.00
(Cost $89,134)
  $ 9,999,000       303     $ 12,575  
                         
Total Investments Before Written Options — 105.6%
(Cost $55,637,008)
                    56,754,177  
                         
WRITTEN CALL OPTION — (0.0)%**  
SPDR S&P 500 ETF Trust, expiring 07/21/23, Strike Price $455.00
[Premium Received $(21,581)]
  $ (10,874,500 )     (239 )     (19,598 )
                         
Total Investments — 105.6%
(Cost $55,615,427)
                    56,734,579  
Liabilities in Excess of Other Assets — (5.6%)                     (3,010,010 )
Net Assets — 100.0%                   $ 53,724,569  

 

 

ETF — Exchange Traded Fund

** Less than 0.05%.
(a) All or a portion of security is on loan. The aggregate market value of the securities on loan is $13,435,307; the aggregate market value of the collateral held by the fund is $13,563,729. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $10,601,653.
(b) All or a portion of this security has been pledged as collateral for option contracts. The aggregate market value of the collateral was $1,798,499 as of June 30, 2023.
(c) Rate shown reflects the 7-day yield as of June 30, 2023.
(d) Collateral received from brokers for securities lending was invested in these short-term investments.

 

See accompanying Notes to Financial Statements.

 

113

 

 

ADVISORSHARES STAR GLOBAL BUY-WRITE ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Exchange Traded Funds   $ 51,018,347     $     $     $ 51,018,347  
Money Market Funds     5,723,255                   5,723,255  
Purchased Put Option     12,575                   12,575  
Total   $ 56,754,177     $     $     $ 56,754,177  

 

Liabilities   Level 1     Level 2     Level 3     Total  
Written Call Option   $ (19,598 )   $     $     $ (19,598 )

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Debt Fund     24.9 %
Equity Fund     70.1  
Purchased Put Option     0.0 **
Written Call Option     (0.0 )**
Money Market Funds     10.6  
Total Investments     105.6  
Liabilities in Excess of Other Assets     (5.6 )
Net Assets     100.0 %

 

 
** Less than 0.05%.

 

See accompanying Notes to Financial Statements.

 

114

 

 

ADVISORSHARES VICE ETF

Schedule of Investments

 

June 30, 2023

 

 

Investments   Shares     Value  
COMMON STOCKS — 98.3%  
                 
Agriculture — 20.0%  
Altria Group, Inc.     1,890     $ 85,617  
British American Tobacco PLC (United Kingdom)(a)     12,003       398,500  
Imperial Brands PLC (United Kingdom)(a)     16,717       375,130  
Philip Morris International, Inc.     1,029       100,451  
Turning Point Brands, Inc.     19,626       471,220  
Vector Group Ltd.     41,251       528,425  
Total Agriculture             1,959,343  
                 
Apparel — 4.9%  
LVMH Moet Hennessy Louis Vuitton SE (France)(a)     2,537       479,087  
                 
Beverages — 23.3%  
Anheuser-Busch InBev SA/NV (Belgium)(a)(b)     1,648       93,475  
Carlsberg A/S (Denmark)(a)     7,046       225,683  
Cia Cervecerias Unidas SA (Chile)(a)     29,465       478,217  
Diageo PLC (United Kingdom)(a)     465       80,668  
Duckhorn Portfolio, Inc. (The)*     10,861       140,867  
Heineken NV (Netherlands)(a)     3,830       197,168  
Kirin Holdings Co., Ltd. (Japan)(a)     13,660       198,753  
MGP Ingredients, Inc.     2,056       218,512  
Molson Coors Beverage Co., Class B     6,293       414,331  
Pernod Ricard SA (France)(a)     5,161       226,568  
Total Beverages             2,274,242  
                 
Entertainment — 5.5%  
Everi Holdings, Inc.*     23,080       333,737  
International Game Technology PLC     6,430       205,053  
Total Entertainment             538,790  
                 
Food — 2.1%  
Hershey Co. (The)     819       204,504  
                 
Lodging — 9.9%  
Boyd Gaming Corp.     7,231       501,614  
MGM Resorts International     10,600       465,552  
Total Lodging             967,166  
Investments   Shares     Value  
COMMON STOCKS (continued)  
                 
REITS — 4.7%  
Gaming and Leisure Properties, Inc.     7,255     $ 351,577  
VICI Properties, Inc.     3,280       103,091  
Total REITS             454,668  
                 
Retail — 14.3%  
BJ’s Restaurants, Inc.*     13,797       438,745  
Dave & Buster’s Entertainment, Inc.*     11,318       504,330  
Wingstop, Inc.     2,300       460,368  
Total Retail             1,403,443  
                 
Semiconductors — 4.3%  
NVIDIA Corp.     1,000       423,020  
                 
Software — 9.3%  
Inspired Entertainment, Inc.*     31,165       458,437  
NetEase, Inc. (China)(a)(b)     4,700       454,443  
Total Software             912,880  
Total Common Stocks
(Cost $8,770,082)
            9,617,143  
   
MONEY MARKET FUNDS — 2.9%  
BlackRock Liquidity Funds Treasury Trust Fund Portfolio, Institutional Class, 5.02%(c)     220,076       220,076  
Dreyfus Institutional Preferred Government Money Market Fund, Institutional Class, 5.07%(c)(d)     63,503       63,503  
Total Money Market Funds
(Cost $283,579)
            283,579  
                 
Total Investments — 101.2%
(Cost $9,053,661)
            9,900,722  
Liabilities in Excess of Other Assets — (1.2%)             (118,815 )
Net Assets — 100.0%           $ 9,781,907  

 

 

PLC — Public Limited Company

REITS — Real Estate Investment Trusts

* Non-income producing security.
(a) American Depositary Receipt.
(b) All or a portion of security is on loan. The aggregate market value of the securities on loan is $508,824; the aggregate market value of the collateral held by the fund is $524,942. The aggregate market value of the collateral includes non-cash U.S. Treasury securities collateral having a value of $461,439.
(c) Rate shown reflects the 7-day yield as of June 30, 2023.
(d) Collateral received from brokers for securities lending was invested in these short-term investments.

 

See accompanying Notes to Financial Statements.

 

115

 

 

ADVISORSHARES VICE ETF

Schedule of Investments (continued)

 

June 30, 2023

 

 

Fair Value Measurements

 

The following is a summary of the inputs used, as of June 30, 2023, in valuing the Fund’s assets and liabilities carried at fair value. These inputs are summarized in three broad levels. Level 1 includes quoted prices in active markets for identical securities. Level 2 includes other significant observable inputs (including quoted prices for similar securities, interest rates, prepayment speeds and credit risk). Level 3 includes significant unobservable inputs (including the Fund’s own assumptions in determining the fair value of investments). The level assigned to the securities valuations may not be an indication of the risk or liquidity associated with investing in those securities.

 

Assets   Level 1     Level 2     Level 3     Total  
Common Stocks   $ 9,617,143     $     $     $ 9,617,143  
Money Market Funds     283,579                   283,579  
Total   $ 9,900,722     $     $     $ 9,900,722  

 

SUMMARY OF SCHEDULE OF INVESTMENTS

 

    % of
Net Assets
 
Agriculture     20.0 %
Apparel     4.9  
Beverages     23.3  
Entertainment     5.5  
Food     2.1  
Lodging     9.9  
REITS     4.7  
Retail     14.3  
Semiconductors     4.3  
Software     9.3  
Money Market Funds     2.9  
Total Investments     101.2  
Liabilities in Excess of Other Assets     (1.2 )
Net Assets     100.0 %

 

See accompanying Notes to Financial Statements.

 

116

 

 

ADVISORSHARES TRUST

Statements of Assets and Liabilities

 

June 30, 2023

 

 

   

AdvisorShares
Alpha DNA
Equity
Sentiment ETF

   

AdvisorShares
Dorsey Wright
ADR ETF

   

AdvisorShares
Dorsey Wright
FSM All Cap

World ETF

   

AdvisorShares
Dorsey Wright
FSM US
Core ETF

 
ASSETS                                
Investments, at Cost   $ 16,217,040     $ 28,111,061     $ 82,353,683     $ 103,977,013  
Total Cost of Investments     16,217,040       28,111,061       82,353,683       103,977,013  
Investments, at Market Value (including securities on loan) (Note 2)(a)     17,417,423       30,925,848       86,328,103       110,099,807  
Total Market Value of Investments     17,417,423       30,925,848       86,328,103       110,099,807  
Dividends and Interest Receivable     21,832       56,151       15,631       72,421  
Receivable from Securities Sold                 156,122        
Reclaim Receivable           19,579              
Prepaid CCO Fees     534       391       1,103       1,080  
Prepaid Expenses     5       218       767       697  
Total Assets     17,439,794       31,002,187       86,501,726       110,174,005  
LIABILITIES                                
Cash collateral for securities on loan(b)     328,345       2,144,808       118       20,460,356  
Advisory Fees Payable     15,363       20,615       52,238       53,012  
Trustee Fees Payable     2,038       2,067       1,740       1,831  
Capital Shares Payable                 157,821        
Due to Custodian     355                    
Accrued Expenses     91,878       96,893       115,983       111,309  
Total Liabilities     437,979       2,264,383       327,900       20,626,508  
NET ASSETS   $ 17,001,815     $ 28,737,804     $ 86,173,826     $ 89,547,497  
COMPONENTS OF NET ASSETS                                
Capital Stock at Zero Par Value   $ 34,538,720     $ 81,134,363     $ 107,865,790     $ 86,620,962  
Total Distributable Earnings/Accumulated (Loss)     (17,536,905 )     (52,396,559 )     (21,691,964 )     2,926,535  
NET ASSETS   $ 17,001,815     $ 28,737,804     $ 86,173,826     $ 89,547,497  
SHARES ISSUED AND OUTSTANDING                                
Shares Outstanding (Unlimited Shares Authorized)     705,000       580,000       2,730,000       2,435,000  
Net Asset Value (NAV) Per Share   $ 24.12     $ 49.55     $ 31.57     $ 36.78  
                                 
(a) Market value of securities on loan   $ 974,018     $ 2,415,964     $ 39,649,018     $ 20,358,422  
(b) Non-cash collateral for securities on loan   $ 668,778     $ 329,091     $ 40,044,003     $  

 

See accompanying Notes to Financial Statements.

 

117

 

 

ADVISORSHARES TRUST

Statements of Assets and Liabilities

 

June 30, 2023

 

 

   

AdvisorShares
Dorsey Wright
Short ETF

   

AdvisorShares
Dorsey Wright
Small Company
ETF(1)

   

AdvisorShares
Focused
Equity ETF

   

AdvisorShares
Gerber
Kawasaki ETF

 
ASSETS                                
Investments, at Cost   $ 36,227,717     $ 4,545,240     $ 60,321,769     $ 17,785,445  
Total Cost of Investments     36,227,717       4,545,240       60,321,769       17,785,445  
Investments, at Market Value (including securities on loan) (Note 2)(a)     36,227,717       5,199,747       70,079,761       17,906,394  
Total Market Value of Investments     36,227,717       5,199,747       70,079,761       17,906,394  
Cash collateral held at brokers     9,225,770                    
Dividends and Interest Receivable     173,611       4,620       38,110       12,614  
Receivable from Securities Sold     3,760,111       84,339              
Capital Shares Receivable           478,565             353,499  
Due from Investment Advisor           4,637              
Prepaid CCO Fees     383       53       789       209  
Prepaid Expenses     1,346             184        
Total Assets     49,388,938       5,771,961       70,118,844       18,272,716  
LIABILITIES                                
Cash collateral for securities on loan(b)           304,948             277,178  
Advisory Fees Payable     14,072             34,505       2,421  
Trustee Fees Payable     2,107       2,090       1,349       1,380  
Securities Sold, Not Yet Purchased(c)     24,006,996                    
Payable for Securities Purchased     1,125,904       547,632             352,597  
Due to Custodian                 253        
Dividend Payable on Securities Sold, Not Yet Purchased     39,028                    
Accrued Expenses     108,239       81,109       81,018       61,304  
Total Liabilities     25,296,346       935,779       117,125       694,880  
NET ASSETS   $ 24,092,592     $ 4,836,182     $ 70,001,719     $ 17,577,836  
COMPONENTS OF NET ASSETS                                
Capital Stock at Zero Par Value   $ 111,525,600     $ 7,152,839     $ 61,046,983     $ 25,859,289  
Total Distributable Earnings/Accumulated (Loss)     (87,433,008 )     (2,316,657 )     8,954,736       (8,281,453 )
NET ASSETS   $ 24,092,592     $ 4,836,182     $ 70,001,719     $ 17,577,836  
SHARES ISSUED AND OUTSTANDING                                
Shares Outstanding (Unlimited Shares Authorized)     2,745,000       150,000       1,305,000       980,000  
Net Asset Value (NAV) Per Share   $ 8.78     $ 32.24     $ 53.64     $ 17.94  
                                 
(a) Market value of securities on loan   $     $ 321,886     $     $ 453,135  
(b) Non-cash collateral for securities on loan   $     $ 23,934     $     $ 188,578  
(c) Proceeds Received from Securities Sold, Not Yet Purchased   $ 30,652,738     $     $     $  

 

 
(1) Formerly known as AdvisorShares Dorsey Wright Micro-Cap ETF.

 

See accompanying Notes to Financial Statements.

 

118

 

 

ADVISORSHARES TRUST

Statements of Assets and Liabilities

 

June 30, 2023

 

 

    AdvisorShares
Hotel ETF
    AdvisorShares
Insider
Advantage ETF(1)
    AdvisorShares
Let Bob AI
Powered
Momentum ETF
    AdvisorShares
MSOS 2X Daily
ETF
 
ASSETS                                
Investments, at Cost   $ 4,053,527     $ 38,126,081     $ 26,333,579     $ 7,010,606  
Total Cost of Investments     4,053,527       38,126,081       26,333,579       7,010,606  
Investments, at Market Value (including securities on loan) (Note 2)(a)     4,364,336       42,322,132       26,287,461       7,010,606  
Total Market Value of Investments     4,364,336       42,322,132       26,287,461       7,010,606  
Cash           181,118              
Unrealized Appreciation on OTC Swap Contracts                       44,172  
Dividends and Interest Receivable     8,166       32,002       95,414       28,450  
Reclaim Receivable           8,891              
Due from Investment Advisor     5,859                   12,772  
Prepaid CCO Fees     37       524       818       81  
Prepaid Organizational Fees                       1,794  
Prepaid Expenses     5       206              
Total Assets     4,378,403       42,544,873       26,383,693       7,097,875  
LIABILITIES                                
Cash collateral for securities on loan(b)     134,900       57,580              
Advisory Fees Payable           17,604       11,626        
Trustee Fees Payable     2,080       1,502       1,951       1,333  
Due to Broker                       13,886  
Accrued Expenses     55,408       87,356       50,058       50,444  
Total Liabilities     192,388       164,042       63,635       65,663  
NET ASSETS   $ 4,186,015     $ 42,380,831     $ 26,320,058     $ 7,032,212  
COMPONENTS OF NET ASSETS                                
Capital Stock at Zero Par Value   $ 5,285,303     $ 66,052,653     $ 28,337,292     $ 18,405,192  
Total Distributable Earnings/Accumulated (Loss)     (1,099,288 )     (23,671,822 )     (2,017,234 )     (11,372,980 )
NET ASSETS   $ 4,186,015     $ 42,380,831     $ 26,320,058     $ 7,032,212  
SHARES ISSUED AND OUTSTANDING                                
Shares Outstanding (Unlimited Shares Authorized)     165,000       445,000       1,145,000       2,180,000  
Net Asset Value (NAV) Per Share   $ 25.37     $ 95.24     $ 22.99     $ 3.23  
                                 
(a) Market value of securities on loan   $ 133,855     $ 1,781,420     $     $  
(b) Non-cash collateral for securities on loan   $     $ 1,742,752     $     $  

 

 
(1) Formerly known as AdvisorShares DoubleLine Value Equity ETF.

 

See accompanying Notes to Financial Statements.

 

119

 

 

ADVISORSHARES TRUST

Statements of Assets and Liabilities

 

June 30, 2023

 

 

    AdvisorShares
Newfleet Multi-
Sector Income
ETF
     
AdvisorShares
Poseidon
Dynamic
Cannabis ETF
     
AdvisorShares
Psychedelics
ETF
     
AdvisorShares
Pure Cannabis
ETF
 
ASSETS                                
Investments, at Cost   $ 19,149,397     $ 1,332,896     $ 11,063,879     $ 104,113,679  
Investments in Affiliates, at Cost (Note 8)                       67,702,302  
Total Cost of Investments     19,149,397       1,332,896       11,063,879       171,815,981  
Investments, at Market Value (including securities on loan) (Note 2)(a)     18,150,641       1,233,442       7,620,807       16,282,588  
Investments in Affiliates, at Market Value (Note 8)                       19,211,102  
Total Market Value of Investments     18,150,641       1,233,442       7,620,807       35,493,690  
Cash collateral held at brokers           1,902,470              
Dividends and Interest Receivable     81,646       4,203       11,807       77,313  
Due from Investment Advisor     3,449       10,607       11,906       40,669  
Prepaid CCO Fees     12       41       70       474  
Prepaid Organizational Fees           551              
Prepaid Expenses     523       5       5       14,355  
Total Assets     18,236,271       3,151,319       7,644,595       35,626,501  
LIABILITIES                                
Unrealized Depreciation on OTC Swap Contracts           14,379              
Cash collateral for securities on loan(b)     617,967             704,803       1,560,210  
Trustee Fees Payable     2,549       1,335       2,053       1,383  
Due to Broker           102,441              
Accrued Expenses     138,638       28,958       44,222       42,926  
Total Liabilities     759,154       147,113       751,078       1,604,519  
NET ASSETS   $ 17,477,117     $ 3,004,206     $ 6,893,517     $ 34,021,982  
COMPONENTS OF NET ASSETS                                
Capital Stock at Zero Par Value   $ 32,068,237     $ 14,762,218     $ 18,344,138     $ 310,415,590  
Total Distributable Earnings/Accumulated (Loss)     (14,591,120 )     (11,758,012 )     (11,450,621 )     (276,393,608 )
NET ASSETS   $ 17,477,117     $ 3,004,206     $ 6,893,517     $ 34,021,982  
SHARES ISSUED AND OUTSTANDING                                
Shares Outstanding (Unlimited Shares Authorized)     390,000       2,690,000       3,745,000       13,160,000  
Net Asset Value (NAV) Per Share   $ 44.81     $ 1.12     $ 1.84     $ 2.59  
                                 
(a) Market value of securities on loan   $ 1,739,153     $     $ 708,694     $ 1,402,404  
(b) Non-cash collateral for securities on loan   $ 1,158,152     $     $     $  

 

See accompanying Notes to Financial Statements.

 

120

 

 

ADVISORSHARES TRUST

Statements of Assets and Liabilities

 

June 30, 2023

 

 

   

AdvisorShares
Pure US
Cannabis ETF

   

AdvisorShares
Q Dynamic

Growth ETF

   

AdvisorShares
Ranger Equity
Bear ETF

   

AdvisorShares
Restaurant ETF

 
ASSETS                                
Investments, at Cost   $ 65,097,317     $ 27,832,079     $ 140,668,025     $ 2,364,129  
Investments in Affiliates, at Cost (Note 8)     14,307,020                    
Total Cost of Investments     79,404,337       27,832,079       140,668,025       2,364,129  
Investments, at Market Value (including securities on loan) (Note 2)(a)     47,980,303       28,421,622       140,668,025       2,707,937  
Investments in Affiliates, at Market Value (Note 8)     1,065,242                    
Total Market Value of Investments     49,045,545       28,421,622       140,668,025       2,707,937  
Cash collateral held at brokers     298,970,000             122,696,175        
Unrealized Appreciation on OTC Swap Contracts     8,683                    
Dividends and Interest Receivable     202,416       17,865       939,893       2,151  
Receivable from Securities Sold                 5,200,046       14,324  
Capital Shares Receivable     1,102,284                    
Reclaim Receivable                       76  
Due from Investment Advisor                       6,928  
Prepaid CCO Fees     4,348       317       1,924       40  
Prepaid Expenses     4,814       2,157       1,241       6  
Total Assets     349,338,090       28,441,961       269,507,304       2,731,462  
LIABILITIES                                
Unrealized Depreciation on OTC Swap Contracts     1,689,144                    
Cash collateral for securities on loan                       24,505  
Advisory Fees Payable     163,204       22,503       162,470        
Trustee Fees Payable     3,473       1,458       2,000       2,079  
Securities Sold, Not Yet Purchased(b)                 134,234,070        
Payable for Securities Purchased     3,488             6,286,978       48,598  
Capital Shares Payable                 5,767,378        
Due to Custodian – Foreign Currency     30                    
Due to Broker     3,746,118                    
Dividend Payable on Securities Sold, Not Yet Purchased                 307,411        
Accrued Expenses     347,486       69,206       114,828       56,600  
Total Liabilities     5,952,943       93,167       146,875,135       131,782  
NET ASSETS   $ 343,385,147     $ 28,348,794     $ 122,632,169     $ 2,599,680  
COMPONENTS OF NET ASSETS                                
Capital Stock at Zero Par Value   $ 1,929,357,566     $ 33,276,849     $ 513,606,276     $ 3,345,550  
Total Distributable Earnings/Accumulated (Loss)     (1,585,972,419 )     (4,928,055 )     (390,974,107 )     (745,870 )
NET ASSETS   $ 343,385,147     $ 28,348,794     $ 122,632,169     $ 2,599,680  
SHARES ISSUED AND OUTSTANDING                                
Shares Outstanding (Unlimited Shares Authorized)     62,665,000       995,000       5,422,500       120,000  
Net Asset Value (NAV) Per Share   $ 5.48     $ 28.49     $ 22.62     $ 21.66  
                                 
(a) Market value of securities on loan   $     $     $     $ 24,040  
(b) Proceeds Received from Securities Sold, Not Yet Purchased   $     $     $ 125,899,483     $  

 

See accompanying Notes to Financial Statements.

 

121

 

 

ADVISORSHARES TRUST

Statements of Assets and Liabilities

 

June 30, 2023

 

 

   

AdvisorShares
STAR Global
Buy-Write ETF

   

AdvisorShares
Vice ETF

 
ASSETS                
Investments, at Cost   $ 55,637,008     $ 9,053,661  
Total Cost of Investments     55,637,008       9,053,661  
Investments, at Market Value (including securities on loan) (Note 2)(a)     56,754,177       9,900,722  
Total Market Value of Investments     56,754,177       9,900,722  
Dividends and Interest Receivable     91,320       18,345  
Reclaim Receivable           2,222  
Due from Investment Advisor           1,464  
Prepaid CCO Fees     682       122  
Prepaid Expenses     229       61  
Total Assets     56,846,408       9,922,936  
LIABILITIES                
Cash collateral for securities on loan(b)     2,962,076       63,503  
Advisory Fees Payable     36,376        
Trustee Fees Payable     1,473       1,352  
Options Written, at value(c)     19,598        
Due to Broker     18,594        
Accrued Expenses     83,722       76,174  
Total Liabilities     3,121,839       141,029  
NET ASSETS   $ 53,724,569     $ 9,781,907  
COMPONENTS OF NET ASSETS                
Capital Stock at Zero Par Value   $ 53,978,383     $ 10,079,128  
Total Distributable Earnings/Accumulated (Loss)     (253,814 )     (297,221 )
NET ASSETS   $ 53,724,569     $ 9,781,907  
SHARES ISSUED AND OUTSTANDING                
Shares Outstanding (Unlimited Shares Authorized)     1,430,000       340,000  
Net Asset Value (NAV) Per Share   $ 37.57     $ 28.77  
                 
(a) Market value of securities on loan   $ 13,435,307     $ 508,824  
(b) Non-cash collateral for securities on loan   $ 10,601,653     $ 461,439  
(c) Premiums received for options written   $ 21,581     $  

 

See accompanying Notes to Financial Statements.

 

122

 

 

ADVISORSHARES TRUST

Statements of Operations

 

Year Ended June 30, 2023

 

 

    AdvisorShares
Alpha DNA
Equity
Sentiment ETF
    AdvisorShares
Dorsey
Wright ADR
ETF
    AdvisorShares
Dorsey
Wright FSM
All Cap
World ETF
    AdvisorShares
Dorsey
Wright FSM
US Core ETF
 
INVESTMENT INCOME:                                
Dividend Income   $ 735,408     $ 1,278,920     $ 2,357,168     $ 1,438,641  
Securities lending income (net) (Note 2)     14,245       64,656       146,007       113,533  
Foreign withholding tax     (1,285 )     (90,112 )            
Total Investment Income     748,368       1,253,464       2,503,175       1,552,174  
                                 
EXPENSES:                                
Advisory Fees     342,237       259,518       658,982       604,756  
Accounting & Administration Fees     58,282       70,707       75,523       72,033  
Audit & Tax Fees     24,868       18,767       20,050       20,050  
Legal Fees     9,947       6,813       18,011       17,804  
Exchange Listing Fees     8,245       4,966       3,865       3,656  
Custody Fees     12,874       4,525       8,616       7,829  
Report to Shareholders     10,126       8,217       20,123       21,030  
Trustee Fees     6,772       6,647       7,436       7,396  
CCO Fees     6,088       4,606       11,197       10,222  
Pricing Fees                 3,499       4,018  
Transfer Agent Fees     3,378       2,596       6,591       6,048  
Insurance Fees     1,977       1,439       3,396       2,984  
Registration Fees                       14  
Miscellaneous Fees     3,472       10,228       4,068       4,995  
Total Expenses     488,266       399,029       841,357       782,835  
Advisory Fees Waived/Recoupment     (609 )     (18,402 )     17,600       6,546  
Net Expenses     487,657       380,627       858,957       789,381  
Net Investment Income (Loss)     260,711       872,837       1,644,218       762,793  
                                 
REALIZED AND UNREALIZED GAIN (LOSS) ON:                                
Net Realized Gain (Loss) on:                                
Investments     (519,124 )     (4,495,990 )     (8,665,473 )     (1,883,422 )
In-Kind Redemptions     2,748,091       850,492       (130,513 )     (5,986 )
Options Written     (3,133,950 )                  
Net Change in Unrealized Appreciation (Depreciation) on:                                
Investments     7,263,967       4,298,903       10,656,650       13,180,154  
Net Realized and Unrealized Gain (Loss)     6,358,984       653,405       1,860,664       11,290,746  
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS   $ 6,619,695     $ 1,526,242     $ 3,504,882     $ 12,053,539  

 

See accompanying Notes to Financial Statements.

 

123

 

 

ADVISORSHARES TRUST

Statements of Operations

 

Year Ended June 30, 2023

 

 

   
AdvisorShares
Dorsey
Wright Short
ETF
    AdvisorShares
Dorsey
Wright Small
Company

ETF(1)
   
AdvisorShares
Focused
Equity ETF
   
AdvisorShares
Gerber
Kawasaki

ETF
 
INVESTMENT INCOME:                                
Dividend Income   $ 1,382,303     $ 118,187     $ 492,083     $ 191,113  
Dividend Income from Affiliates     189,718                    
Interest Income     806,857                    
Securities lending income (net) (Note 2)           8,965       301       91,513  
Foreign withholding tax     302       (930 )           (16,282 )
Total Investment Income     2,379,180       126,222       492,384       266,344  
                                 
EXPENSES:                                
Advisory Fees     279,374       40,927       328,863       120,118  
Accounting & Administration Fees     70,682       74,490       67,249       41,828  
Audit & Tax Fees     16,050       20,050       19,048       20,050  
Legal Fees     707       7,334       7,342       3,737  
Exchange Listing Fees     4,093       2,461       8,245       3,647  
Custody Fees     5,050       4,408       4,032       3,495  
Report to Shareholders     15,024       3,850       15,684       8,923  
Trustee Fees     6,727       6,009       5,884       5,523  
CCO Fees     2,941       751       4,420       1,884  
Transfer Agent Fees     2,794       409       2,919       1,201  
Insurance Fees     1,863       101       1,064       215  
Registration Fees     1,146       40       178       1,963  
Dividend Expense     542,782                    
Miscellaneous Fees     6,119       1,110       1,391       931  
Total Expenses     955,352       161,940       466,319       213,515  
Advisory Fees Waived/Recoupment     17,978       (40,927 )     (137,790 )     (93,397 )
Expense Reimbursement           (52,800 )            
Net Expenses     973,330       68,213       328,529       120,118  
Net Investment Income (Loss)     1,405,850       58,009       163,855       146,226  
                                 
REALIZED AND UNREALIZED GAIN (LOSS) ON:                                
Net Realized Gain (Loss) on:                                
Investments     (912 )     (960,171 )     (490,559 )     (4,556,488 )
Investments in Affiliates     (88,488 )                  
In-Kind Redemptions           164,056       2,230,105       167,998  
Short Sales     (6,012,369 )                  
Net Change in Unrealized Appreciation (Depreciation) on:                                
Investments           975,284       7,913,050       6,071,863  
Investments in Affiliates     124,980                    
Short Sales     (5,050,776 )                  
Net Realized and Unrealized Gain (Loss)     (11,027,565 )     179,169       9,652,596       1,683,373  
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS   $ (9,621,715 )   $ 237,178     $ 9,816,451     $ 1,829,599  

 

 
(1) Formerly known as AdvisorShares Dorsey Wright Micro-Cap ETF.

 

See accompanying Notes to Financial Statements.

 

124

 

 

ADVISORSHARES TRUST

Statements of Operations

 

Year Ended June 30, 2023

 

 

   
AdvisorShares
Hotel ETF
   
AdvisorShares
Insider
Advantage
ETF
    AdvisorShares
Let Bob AI
Powered
Momentum
ETF
   
AdvisorShares
MSOS 2X
Daily
ETF(1)
 
INVESTMENT INCOME:                                
Dividend Income   $ 95,257     $ 1,063,566     $ 893,500     $ 171,588  
Securities lending income (net) (Note 2)     861       7,545       26        
Total Investment Income     96,118       1,071,111       893,526       171,588  
                                 
EXPENSES:                                
Advisory Fees     30,270       311,017       179,355       33,234  
Accounting & Administration Fees     44,200       76,166       26,684       12,374  
Audit & Tax Fees     26,050       19,300       22,955       34,125  
Legal Fees     1,190       14,582       6,993       43,968  
Exchange Listing Fees     8,245       10,568       8,268       11,277  
Custody Fees     1,859       4,618       4,480       2,315  
Report to Shareholders     1,365       11,575       6,766       2,691  
Trustee Fees     5,989       6,266       6,300       5,215  
CCO Fees     403       5,714       2,404       403  
Transfer Agent Fees     378       3,333       1,922       299  
Insurance Fees     67       1,871       275       1,675  
Registration Fees           236       1,979        
Organizational Fees                 11,316       29,822  
Miscellaneous Fees     884       2,067       1,384       259  
Total Expenses     120,900       467,313       281,081       177,657  
Advisory Fees Waived/Recoupment     (30,270 )     (67,433 )     (27,421 )     (33,234 )
Expense Reimbursement     (40,685 )                 (107,351 )
Net Expenses     49,945       399,880       253,660       37,072  
Net Investment Income (Loss)     46,173       671,231       639,866       134,516  
                                 
REALIZED AND UNREALIZED GAIN (LOSS) ON:                                
Net Realized Gain (Loss) on:                                
Investments     (1,117,652 )     (4,780,155 )     (785,010 )      
In-Kind Redemptions     435,202       6,362,845              
Swaps                       (11,579,539 )
Net Change in Unrealized Appreciation (Depreciation) on:                                
Investments     1,885,589       2,929,681       44,275        
Swaps                       44,172  
Net Realized and Unrealized Gain (Loss)     1,203,139       4,512,371       (740,735 )     (11,535,367 )
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS   $ 1,249,312     $ 5,183,602     $ (100,869 )   $ (11,400,851 )

 

 
(1) Represents the period August 24, 2022 (commencement of operations) to June 30, 2023.

 

See accompanying Notes to Financial Statements.

 

125

 

 

ADVISORSHARES TRUST

Statements of Operations

 

Year Ended June 30, 2023

 

 

    AdvisorShares
Newfleet Multi-
Sector Income
ETF
    AdvisorShares
Poseidon
Dynamic
Cannabis ETF
    AdvisorShares
Psychedelics
ETF
    AdvisorShares
Pure Cannabis
ETF
 
INVESTMENT INCOME:                                
Dividend Income   $ 24,632     $ 109,469     $ 149,557     $ 354,119  
Interest Income     1,165,421                    
Securities lending income (net) (Note 2)     6,074       2,780       78,859       414,983  
Total Investment Income     1,196,127       112,249       228,416       769,102  
                                 
EXPENSES:                                
Advisory Fees     185,949       32,334       41,793       332,221  
Accounting & Administration Fees     123,372       20,441       27,378       70,712  
Audit & Tax Fees     20,100       15,050       20,050       15,152  
Legal Fees     26,597       17,155       76,746       8,591  
Exchange Listing Fees     8,245       8,245       8,245       7,719  
Custody Fees     16,493       1,693       4,134       5,440  
Report to Shareholders     13,414       1,229       15,805       111,332  
Trustee Fees     7,289       5,222       5,993       6,679  
CCO Fees     6,462       266       806       7,342  
Pricing Fees     459                    
Transfer Agent Fees     2,790       303       522       4,152  
Insurance Fees     3,117       74       67       3,631  
Registration Fees           1,012       1,071        
Organizational Fees           25,368       6,164        
Miscellaneous Fees     2,555       515       682       2,898  
Total Expenses     416,842       128,907       209,456       575,869  
Advisory Fees Waived/Recoupment     (137,918 )     (32,334 )     (41,793 )     (293,853 )
Expense Reimbursement           (56,560 )     (98,705 )      
Net Expenses     278,924       40,013       68,958       282,016  
Net Investment Income (Loss)     917,203       72,236       159,458       487,086  
                                 
REALIZED AND UNREALIZED GAIN (LOSS) ON:                                
Net Realized Gain (Loss) on:                                
Investments     (4,971,322 )     (426,849 )     (5,950,191 )     (31,423,399 )
Investments in Affiliates                       (28,986,945 )
In-Kind Redemptions                       (139,344 )
In-Kind Redemptions in Affiliates                       62,923  
Swaps           (2,726,358 )     (578,930 )     (23,853,312 )
Foreign Currency Transactions                       (13,027 )
Net Change in Unrealized Appreciation (Depreciation) on:                                
Investments     4,189,853       36,678       3,077,838       (6,863,749 )
Investments in Affiliates                       32,792,285  
Swaps           (2,817 )     493,154       21,822,874  
Foreign Currency Translations                       875  
Net Realized and Unrealized Gain (Loss)     (781,469 )     (3,119,346 )     (2,958,129 )     (36,600,819 )
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS   $ 135,734     $ (3,047,110 )   $ (2,798,671 )   $ (36,113,733 )

 

See accompanying Notes to Financial Statements.

 

126

 

 

ADVISORSHARES TRUST

Statements of Operations

 

Year Ended June 30, 2023

 

 

    AdvisorShares
Pure US
Cannabis ETF
    AdvisorShares
Q Dynamic
Growth ETF
    AdvisorShares
Ranger Equity
Bear ETF
    AdvisorShares
Restaurant ETF
 
INVESTMENT INCOME:                                
Dividend Income   $ 8,568,831     $ 258,248     $ 2,156,691     $ 47,277  
Dividend Income from Affiliates                 379,436        
Interest Income                 5,829,768        
Securities lending income (net) (Note 2)     4,617       13,776             10,218  
Foreign withholding tax                       (570 )
Total Investment Income     8,573,448       272,024       8,365,895       56,925  
                                 
EXPENSES:                                
Advisory Fees     3,024,716       285,715       2,188,224       15,580  
Accounting & Administration Fees     248,463       51,221       77,230       44,087  
Audit & Tax Fees     31,053       25,829       19,300       25,453  
Legal Fees     94,478       7,332       40,290       266  
Exchange Listing Fees     8,685       8,245       8,245       8,245  
Custody Fees     41,591       3,851       13,647       1,331  
Report to Shareholders     189,452       9,701       57,545       964  
Trustee Fees     17,382       5,975       9,038       5,766  
CCO Fees     67,778       3,751       18,618       388  
Pricing Fees                 3,977        
Transfer Agent Fees     37,813       2,324       10,940       195  
Insurance Fees     22,824       1,579       5,736       34  
Registration Fees     58,515                    
Dividend Expense                 2,486,108        
Miscellaneous Fees     23,933       1,632       12,699       573  
Total Expenses     3,866,683       407,155       4,951,597       102,882  
Advisory Fees Waived/Recoupment     (136,205 )     1,010             (15,580 )
Expense Reimbursement                       (61,594 )
Net Expenses     3,730,478       408,165       4,951,597       25,708  
Net Investment Income (Loss)     4,842,970       (136,141 )     3,414,298       31,217  
                                 
REALIZED AND UNREALIZED GAIN (LOSS) ON:                                
Net Realized Gain (Loss) on:                                
Investments     (73,722,270 )     (576,349 )     (8 )     (251,002 )
Investments in Affiliates     (58,245,383 )           (337,016 )      
In-Kind Redemptions     (134,479 )     (3,026,409 )           (2,344 )
In-Kind Redemptions in Affiliates     (215,310 )                  
Swaps     (734,588,984 )                  
Short Sales                 (41,128,173 )      
Foreign Currency Transactions     (105 )                  
Net Change in Unrealized Appreciation (Depreciation) on:                                
Investments     64,577,307       10,839,811       173,271       892,606  
Investments in Affiliates     55,386,598             410,000        
Short Sales                 (18,891,165 )      
Swaps     385,622,141                    
Foreign Currency Translations     (1 )                  
Net Realized and Unrealized Gain (Loss)     (361,320,486 )     7,237,053       (59,773,091 )     639,260  
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS   $ (356,477,516 )   $ 7,100,912     $ (56,358,793 )   $ 670,477  

 

See accompanying Notes to Financial Statements.

 

127

 

 

ADVISORSHARES TRUST

Statements of Operations

 

Year Ended June 30, 2023

 

 

    AdvisorShares
STAR Global
Buy-Write ETF
    AdvisorShares
Vice ETF
 
INVESTMENT INCOME:                
Dividend Income   $ 962,807     $ 240,043  
Securities lending income (net) (Note 2)     15,416       2,618  
Foreign withholding tax           (5,443 )
Total Investment Income     978,223       237,218  
                 
EXPENSES:                
Advisory Fees     420,266       53,958  
Accounting & Administration Fees     71,038       71,917  
Audit & Tax Fees     20,100       20,050  
Legal Fees     17,889       825  
Exchange Listing Fees     8,245       8,245  
Custody Fees     4,693       2,112  
Report to Shareholders     18,696       6,132  
Trustee Fees     6,205       5,348  
CCO Fees     5,339       1,063  
Transfer Agent Fees     3,272       674  
Insurance Fees     1,343       328  
Registration Fees     1,879        
Miscellaneous Fees     1,904       476  
Total Expenses     580,869       171,128  
Advisory Fees Waived/Recoupment     88,851       (53,958 )
Expense Reimbursement           (28,140 )
Net Expenses     669,720       89,030  
Net Investment Income (Loss)     308,503       148,188  
                 
REALIZED AND UNREALIZED GAIN (LOSS) ON:                
Net Realized Gain (Loss) on:                
Investments     (1,150,134 )     (678,111 )
In-Kind Redemptions           135,647  
Options Written     (18,438 )      
Net Change in Unrealized Appreciation (Depreciation) on:                
Investments     5,421,114       1,628,296  
Options Written     (26,166 )      
Net Realized and Unrealized Gain (Loss)     4,226,376       1,085,832  
NET INCREASE (DECREASE) IN NET ASSETS RESULTING FROM OPERATIONS   $ 4,534,879     $ 1,234,020  

 

See accompanying Notes to Financial Statements.

 

128

 

 

ADVISORSHARES TRUST

Statements of Changes in Net Assets

 

 

 

 

    AdvisorShares Alpha
DNA Equity
Sentiment ETF
    AdvisorShares Dorsey
Wright ADR ETF
 
    Year ended
June 30,
2023
    Year ended
June 30,
2022
    Year ended
June 30,
2023
    Year ended
June 30,
2022
 
INCREASE (DECREASE) IN NET ASSETS                                
OPERATIONS                                
Net Investment Income (Loss)   $ 260,711     $ (39,604 )   $ 872,837     $ 1,811,453  
Net Realized Gain (Loss)     (904,983 )     (9,674,922 )     (3,645,498 )     1,889,719  
Net Change in Unrealized Appreciation (Depreciation)     7,263,967       (8,507,113 )     4,298,903       (20,545,915 )
Net Increase (Decrease) In Net Assets Resulting From Operations     6,619,695       (18,221,639 )     1,526,242       (16,844,743 )
DISTRIBUTIONS TO SHAREHOLDERS                                
Distributions                 (830,502 )     (1,200,067 )
Total Distributions                 (830,502 )     (1,200,067 )
CAPITAL STOCK TRANSACTIONS                                
Proceeds from Shares Issued     332,860       40,215,570       3,234,714        
Value of Shares Redeemed     (40,524,072 )     (41,327,340 )     (17,130,470 )     (28,853,838 )
Net Increase (Decrease) From Capital Stock Transactions     (40,191,212 )     (1,111,770 )     (13,895,756 )     (28,853,838 )
Net Increase (Decrease) in Net Assets     (33,571,517 )     (19,333,409 )     (13,200,016 )     (46,898,648 )
Net Assets:                                
Beginning of Year/Period     50,573,332       69,906,741       41,937,820       88,836,468  
End of Year/Period   $ 17,001,815     $ 50,573,332     $ 28,737,804     $ 41,937,820  
Changes in Shares Outstanding                                
Shares Outstanding, Beginning of Year/Period     2,430,000       2,535,000       865,000       1,335,000  
Shares Sold     15,000       1,445,000       65,000        
Shares Repurchased     (1,740,000 )     (1,550,000 )     (350,000 )     (470,000 )
Shares Outstanding, End of Year/Period     705,000       2,430,000       580,000       865,000  

 

See accompanying Notes to Financial Statements.

 

129

 

 

ADVISORSHARES TRUST

Statements of Changes in Net Assets

 

 

 

 

    AdvisorShares Dorsey
Wright FSM All
Cap World ETF
    AdvisorShares Dorsey
Wright FSM
US Core ETF
 
   

Year ended
June 30,

2023

    Year ended
June 30,
2022
    Year ended
June 30,
2023
    Year ended
June 30,
2022
 
INCREASE (DECREASE) IN NET ASSETS                                
OPERATIONS                                
Net Investment Income (Loss)   $ 1,644,218     $ 20,265     $ 762,793     $ 267,581  
Net Realized Gain (Loss)     (8,795,986 )     (17,005,868 )     (1,889,408 )     7,670,452  
Net Change in Unrealized Appreciation (Depreciation)     10,656,650       (2,715,526 )     13,180,154       (21,632,697 )
Net Increase (Decrease) In Net Assets Resulting From Operations     3,504,882       (19,701,129 )     12,053,539       (13,694,664 )
DISTRIBUTIONS TO SHAREHOLDERS                                
Distributions     (459,135 )     (2,192,696 )     (703,469 )     (367,102 )
Total Distributions     (459,135 )     (2,192,696 )     (703,469 )     (367,102 )
CAPITAL STOCK TRANSACTIONS                                
Proceeds from Shares Issued     12,774,890       86,954,010       5,428,998       48,884,270  
Value of Shares Redeemed     (13,823,487 )     (136,556,384 )     (6,995,099 )     (48,707,954 )
Net Increase (Decrease) From Capital Stock Transactions     (1,048,597 )     (49,602,374 )     (1,566,101 )     176,316  
Net Increase (Decrease) in Net Assets     1,997,150       (71,496,199 )     9,783,969       (13,885,450 )
Net Assets:                                
Beginning of Year/Period     84,176,676       155,672,875       79,763,528       93,648,978  
End of Year/Period   $ 86,173,826     $ 84,176,676     $ 89,547,497     $ 79,763,528  
Changes in Shares Outstanding                                
Shares Outstanding, Beginning of Year/Period     2,775,000       4,250,000       2,480,000       2,525,000  
Shares Sold     405,000       2,270,000       160,000       1,355,000  
Shares Repurchased     (450,000 )     (3,745,000 )     (205,000 )     (1,400,000 )
Shares Outstanding, End of Year/Period     2,730,000       2,775,000       2,435,000       2,480,000  

 

See accompanying Notes to Financial Statements.

 

130

 

 

ADVISORSHARES TRUST

Statements of Changes in Net Assets

 

 

 

 

    AdvisorShares Dorsey
Wright Short ETF
    AdvisorShares Dorsey
Wright Small Company ETF(1)
 
    Year ended
June 30,
2023
    Year ended
June 30,
2022
    Year ended
June 30,
2023
    Year ended
June 30,
2022
 
INCREASE (DECREASE) IN NET ASSETS                                
OPERATIONS                                
Net Investment Income (Loss)   $ 1,405,850     $ (731,788 )   $ 58,009     $ 40,920  
Net Realized Gain (Loss)     (6,101,769 )     (4,319,311 )     (796,115 )     194,942  
Net Change in Unrealized Appreciation (Depreciation)     (4,925,796 )     11,883,100       975,284       (2,235,824 )
Net Increase (Decrease) In Net Assets Resulting From Operations     (9,621,715 )     6,832,001       237,178       (1,999,962 )
DISTRIBUTIONS TO SHAREHOLDERS                                
Distributions                 (38,414 )     (38,855 )
Distributions – Return on capital                       (9,609 )
Total Distributions                 (38,414 )     (48,464 )
CAPITAL STOCK TRANSACTIONS                                
Proceeds from Shares Issued     48,998,000       31,836,759       645,576       6,397,157  
Value of Shares Redeemed     (62,282,952 )     (16,833,886 )     (3,383,702 )     (5,872,501 )
Net Increase (Decrease) From Capital Stock Transactions     (13,284,952 )     15,002,873       (2,738,126 )     524,656  
Net Increase (Decrease) in Net Assets     (22,906,667 )     21,834,874       (2,539,362 )     (1,523,770 )
Net Assets:                                
Beginning of Year/Period     46,999,259       25,164,385       7,375,544       8,899,314  
End of Year/Period   $ 24,092,592     $ 46,999,259     $ 4,836,182     $ 7,375,544  
Changes in Shares Outstanding                                
Shares Outstanding, Beginning of Year/Period     4,480,000       2,930,000       245,000       235,000  
Shares Sold     5,110,000       3,390,000       20,000       170,000  
Shares Repurchased     (6,845,000 )     (1,840,000 )     (115,000 )     (160,000 )
Shares Outstanding, End of Year/Period     2,745,000       4,480,000       150,000       245,000  

 

 
(1) Formerly known as AdvisorShares Dorsey Wright Micro-Cap ETF.

 

See accompanying Notes to Financial Statements.

 

131

 

 

ADVISORSHARES TRUST

Statements of Changes in Net Assets

 

 

 

 

    AdvisorShares Focused
Equity ETF
    AdvisorShares Gerber
Kawasaki ETF
 
    Year ended
June 30,
2023
    Year ended
June 30,
2022
   

Year ended
June 30,

2023

   

For the Period
July 2,
2021
* to
June 30,

2022

 
INCREASE (DECREASE) IN NET ASSETS                                
OPERATIONS                                
Net Investment Income (Loss)   $ 163,855     $ 112,077     $ 146,226     $ 54,600  
Net Realized Gain (Loss)     1,739,546       3,192,990       (4,388,490 )     (3,952,421 )
Net Change in Unrealized Appreciation (Depreciation)     7,913,050       (6,401,532 )     6,071,863       (5,950,914 )
Net Increase (Decrease) In Net Assets Resulting From Operations     9,816,451       (3,096,465 )     1,829,599       (9,848,735 )
DISTRIBUTIONS TO SHAREHOLDERS                                
Distributions     (155,922 )     (52,120 )     (185,487 )     (9,594 )
Total Distributions     (155,922 )     (52,120 )     (185,487 )     (9,594 )
CAPITAL STOCK TRANSACTIONS                                
Proceeds from Shares Issued     39,967,140       11,183,176       3,211,361       28,966,567  
Value of Shares Redeemed     (7,723,911 )     (8,857,828 )     (3,123,864 )     (3,262,011 )
Net Increase (Decrease) From Capital Stock Transactions     32,243,229       2,325,348       87,497       25,704,556  
Net Increase (Decrease) in Net Assets     41,903,758       (823,237 )     1,731,609       15,846,227  
Net Assets:                                
Beginning of Year/Period     28,097,961       28,921,198       15,846,227        
End of Year/Period   $ 70,001,719     $ 28,097,961     $ 17,577,836     $ 15,846,227  
Changes in Shares Outstanding                                
Shares Outstanding, Beginning of Year/Period     665,000       620,000       970,000        
Shares Sold     805,000       215,000       185,000       1,125,000  
Shares Repurchased     (165,000 )     (170,000 )     (175,000 )     (155,000 )
Shares Outstanding, End of Year/Period     1,305,000       665,000       980,000       970,000  

 

 
* Commencement of operations.

 

See accompanying Notes to Financial Statements.

 

132

 

 

ADVISORSHARES TRUST

Statements of Changes in Net Assets

 

 

 

 

    AdvisorShares Hotel ETF     AdvisorShares Insider Advantage ETF  
    Year ended
June 30,
2023
    Year ended
June 30,
2022
    Year ended
June 30,
2023
    Year ended
June 30,
2022
 
INCREASE (DECREASE) IN NET ASSETS                                
OPERATIONS                                
Net Investment Income (Loss)   $ 46,173     $ (6,108 )   $ 671,231     $ 553,143  
Net Realized Gain (Loss)     (682,450 )     23,624       1,582,690       5,815,533  
Net Change in Unrealized Appreciation (Depreciation)     1,885,589       (1,292,991 )     2,929,681       (10,804,313 )
Net Increase (Decrease) In Net Assets Resulting From Operations     1,249,312       (1,275,475 )     5,183,602       (4,435,637 )
DISTRIBUTIONS TO SHAREHOLDERS                                
Distributions     (9,873 )     (32,154 )     (693,692 )     (520,610 )
Total Distributions     (9,873 )     (32,154 )     (693,692 )     (520,610 )
CAPITAL STOCK TRANSACTIONS                                
Proceeds from Shares Issued     515,916       5,342,715       29,857,485       6,473,012  
Value of Shares Redeemed     (3,466,291 )     (5,861,734 )     (38,344,744 )     (3,381,200 )
Net Increase (Decrease) From Capital Stock Transactions     (2,950,375 )     (519,019 )     (8,487,259 )     3,091,812  
Net Increase (Decrease) in Net Assets     (1,710,936 )     (1,826,648 )     (3,997,349 )     (1,864,435 )
Net Assets:                                
Beginning of Year/Period     5,896,951       7,723,599       46,378,180       48,242,615  
End of Year/Period   $ 4,186,015     $ 5,896,951     $ 42,380,831     $ 46,378,180  
Changes in Shares Outstanding                                
Shares Outstanding, Beginning of Year/Period     300,000       315,000       540,000       505,000  
Shares Sold     20,000       220,000       345,000       70,000  
Shares Repurchased     (155,000 )     (235,000 )     (440,000 )     (35,000 )
Shares Outstanding, End of Year/Period     165,000       300,000       445,000       540,000  

 

See accompanying Notes to Financial Statements.

 

133

 

 

ADVISORSHARES TRUST

Statements of Changes in Net Assets

 

 

 

 

    AdvisorShares Let Bob AI
Powered Momentum ETF
   

AdvisorShares
MSOS 2X

Daily ETF

 
    Year ended
June 30,
2023
    For the period
February 9,
2022
* to
June 30,
2022
    For the period
August 24,
2022
* to
June 30,
2023
 
INCREASE (DECREASE) IN NET ASSETS                        
OPERATIONS                        
Net Investment Income (Loss)   $ 639,866     $ (36,771 )   $ 134,516  
Net Realized Gain (Loss)     (785,010 )     (1,625,071 )     (11,579,539 )
Net Change in Unrealized Appreciation (Depreciation)     44,275       (90,393 )     44,172  
Net Increase (Decrease) In Net Assets Resulting From Operations     (100,869 )     (1,752,235 )     (11,400,851 )
DISTRIBUTIONS TO SHAREHOLDERS                        
Distributions     (164,137 )            
Total Distributions     (164,137 )            
CAPITAL STOCK TRANSACTIONS                        
Proceeds from Shares Issued     4,105,874       25,935,550       18,433,063  
Value of Shares Redeemed     (1,704,125 )            
Net Increase (Decrease) From Capital Stock Transactions     2,401,749       25,935,550       18,433,063  
Net Increase (Decrease) in Net Assets     2,136,743       24,183,315       7,032,212  
Net Assets:                        
Beginning of Year/Period     24,183,315              
End of Year/Period   $ 26,320,058     $ 24,183,315     $ 7,032,212  
Changes in Shares Outstanding                        
Shares Outstanding, Beginning of Year/Period     1,040,000              
Shares Sold     180,000       1,040,000       2,180,000  
Shares Repurchased     (75,000 )            
Shares Outstanding, End of Year/Period     1,145,000       1,040,000       2,180,000  

 

 
* Commencement of operations.

 

See accompanying Notes to Financial Statements.

 

134

 

 

ADVISORSHARES TRUST

Statements of Changes in Net Assets

 

 

 

 

    AdvisorShares Newfleet
Multi-Sector Income ETF
    AdvisorShares Poseidon
Dynamic Cannabis ETF
 
    Year ended
June 30,
2023
    Year ended
June 30,
2022
    Year ended
June 30,
2023
    For the period
November 17,
2021
* to
June 30,
2022
 
INCREASE (DECREASE) IN NET ASSETS                                
OPERATIONS                                
Net Investment Income (Loss)   $ 917,203     $ 1,301,513     $ 72,236     $ (37,558 )
Net Realized Gain (Loss)     (4,971,322 )     (606,602 )     (3,153,207 )     (8,707,938 )
Net Change in Unrealized Appreciation (Depreciation)     4,189,853       (5,873,888 )     33,861       (147,694 )
Net Increase (Decrease) In Net Assets Resulting From Operations     135,734       (5,178,977 )     (3,047,110 )     (8,893,190 )
DISTRIBUTIONS TO SHAREHOLDERS                                
Distributions     (1,018,031 )     (1,469,967 )            
Total Distributions     (1,018,031 )     (1,469,967 )            
CAPITAL STOCK TRANSACTIONS                                
Proceeds from Shares Issued           8,066,264       1,694,541       13,802,346  
Value of Shares Redeemed     (65,322,186 )     (14,694,308 )           (552,381 )
Net Increase (Decrease) From Capital Stock Transactions     (65,322,186 )     (6,628,044 )     1,694,541       13,249,965  
Net Increase (Decrease) in Net Assets     (66,204,483 )     (13,276,988 )     (1,352,569 )     4,356,775  
Net Assets:                                
Beginning of Year/Period     83,681,600       96,958,588       4,356,775        
End of Year/Period   $ 17,477,117     $ 83,681,600     $ 3,004,206     $ 4,356,775  
Changes in Shares Outstanding                                
Shares Outstanding, Beginning of Year/Period     1,835,000       1,985,000       1,780,000        
Shares Sold           165,000       910,000       1,995,000  
Shares Repurchased     (1,445,000 )     (315,000 )           (215,000 )
Shares Outstanding, End of Year/Period     390,000       1,835,000       2,690,000       1,780,000  

 

 
* Commencement of operations.

 

See accompanying Notes to Financial Statements.

 

135

 

 

ADVISORSHARES TRUST

Statements of Changes in Net Assets

 

 

 

 

    AdvisorShares
Psychedelics ETF
   

AdvisorShares Pure

Cannabis ETF

 
    Year ended
June 30,
2023
    For the period
September 16,
2021
* to
June 30,
2022
    Year ended
June 30,
2023
    Year ended
June 30,
2022
 
INCREASE (DECREASE) IN NET ASSETS                                
OPERATIONS                                
Net Investment Income (Loss)   $ 159,458     $ (22,971 )   $ 487,086     $ 213,406  
Net Realized Gain (Loss)     (6,529,121 )     (1,462,994 )     (84,353,104 )     (50,275,886 )
Net Change in Unrealized Appreciation (Depreciation)     3,570,992       (7,014,064 )     47,752,285       (177,754,807 )
Net Increase (Decrease) In Net Assets Resulting From Operations     (2,798,671 )     (8,500,029 )     (36,113,733 )     (227,817,287 )
DISTRIBUTIONS TO SHAREHOLDERS                                
Distributions     (160,462 )           (305,589 )     (7,501,781 )
Return of Capital                       (252,376 )
Total Distributions     (160,462 )           (305,589 )     (7,754,157 )
CAPITAL STOCK TRANSACTIONS                                
Proceeds from Shares Issued     4,343,946       14,008,733       472,085       1,430,696  
Value of Shares Redeemed                 (1,847,333 )     (48,450,969 )
Net Increase (Decrease) From Capital Stock Transactions     4,343,946       14,008,733       (1,375,248 )     (47,020,273 )
Net Increase (Decrease) in Net Assets     1,384,813       5,508,704       (37,794,570 )     (282,591,717 )
Net Assets:                                
Beginning of Year/Period     5,508,704             71,816,552       354,408,269  
End of Year/Period   $ 6,893,517     $ 5,508,704     $ 34,021,982     $ 71,816,552  
Changes in Shares Outstanding                                
Shares Outstanding, Beginning of Year/Period     2,155,000             13,605,000       16,755,000  
Shares Sold     1,590,000       2,155,000       80,000       210,000  
Shares Repurchased                 (525,000 )     (3,360,000 )
Shares Outstanding, End of Year/Period     3,745,000       2,155,000       13,160,000       13,605,000  

 

 
* Commencement of operations.

 

See accompanying Notes to Financial Statements.

 

136

 

 

ADVISORSHARES TRUST

Statements of Changes in Net Assets

 

 

 

 

    AdvisorShares Pure US
Cannabis ETF
   

AdvisorShares Q Dynamic

Growth ETF

 
    Year ended
June 30,
2023
   

Year ended
June 30,

2022

    Year ended
June 30,
2023
    Year ended
June 30,
2022
 
INCREASE (DECREASE) IN NET ASSETS                                
OPERATIONS                                
Net Investment Income (Loss)   $ 4,842,970     $ (3,686,647 )   $ (136,141 )   $ (474,657 )
Net Realized Gain (Loss)     (866,906,531 )     (722,687,915 )     (3,602,758 )     (4,864,676 )
Net Change in Unrealized Appreciation (Depreciation)     505,586,045       (472,948,355 )     10,839,811       (15,140,779 )
Net Increase (Decrease) In Net Assets Resulting From Operations     (356,477,516 )     (1,199,322,917 )     7,100,912       (20,480,112 )
DISTRIBUTIONS TO SHAREHOLDERS                                
Distributions           (3,055,414 )            
Total Distributions           (3,055,414 )            
CAPITAL STOCK TRANSACTIONS                                
Proceeds from Shares Issued     262,950,333       968,257,354       3,311,679       55,320,778  
Value of Shares Redeemed     (77,778,692 )     (201,882,496 )     (22,362,830 )     (63,304,550 )
Net Increase (Decrease) From Capital Stock Transactions     185,171,641       766,374,858       (19,051,151 )     (7,983,772 )
Net Increase (Decrease) in Net Assets     (171,305,875 )     (436,003,473 )     (11,950,239 )     (28,463,884 )
Net Assets:                                
Beginning of Year/Period     514,691,022       950,694,495       40,299,033       68,762,917  
End of Year/Period   $ 343,385,147     $ 514,691,022     $ 28,348,794     $ 40,299,033  
Changes in Shares Outstanding                                
Shares Outstanding, Beginning of Year/Period     49,740,000       23,640,000       1,830,000       2,445,000  
Shares Sold     24,030,000       34,520,000       135,000       1,885,000  
Shares Repurchased     (11,105,000 )     (8,420,000 )     (970,000 )     (2,500,000 )
Shares Outstanding, End of Year/Period     62,665,000       49,740,000       995,000       1,830,000  

 

See accompanying Notes to Financial Statements.

 

137

 

 

ADVISORSHARES TRUST

Statements of Changes in Net Assets

 

 

 

 

    AdvisorShares Ranger
Equity Bear ETF
   

AdvisorShares

Restaurant ETF

 
    Year ended
June 30,
2023
    Year ended
June 30,
2022
    Year ended
June 30,
2023
    Year ended
June 30,
2022
 
INCREASE (DECREASE) IN NET ASSETS                                
OPERATIONS                                
Net Investment Income (Loss)   $ 3,414,298     $ (3,180,143 )   $ 31,217     $ 24,320  
Net Realized Gain (Loss)     (41,465,197 )     26,673,974       (253,346 )     (769,005 )
Net Change in Unrealized Appreciation (Depreciation)     (18,307,894 )     11,102,644       892,606       (517,861 )
Net Increase (Decrease) In Net Assets Resulting From Operations     (56,358,793 )     34,596,475       670,477       (1,262,546 )
DISTRIBUTIONS TO SHAREHOLDERS                                
Distributions                 (53,627 )     (6,358 )
Total Distributions                 (53,627 )     (6,358 )
CAPITAL STOCK TRANSACTIONS                                
Proceeds from Shares Issued     193,612,444       131,971,269              
Value of Shares Redeemed     (180,806,225 )     (51,038,274 )     (648,016 )     (2,088,536 )
Net Increase (Decrease) From Capital Stock Transactions     12,806,219       80,932,995       (648,016 )     (2,088,536 )
Net Increase (Decrease) in Net Assets     (43,552,574 )     115,529,470       (31,166 )     (3,357,440 )
Net Assets:                                
Beginning of Year/Period     166,184,743       50,655,273       2,630,846       5,988,286  
End of Year/Period   $ 122,632,169     $ 166,184,743     $ 2,599,680     $ 2,630,846  
Changes in Shares Outstanding                                
Shares Outstanding, Beginning of Year/Period     5,217,500       2,202,500       155,000       245,000  
Shares Sold     6,900,000       4,975,000              
Shares Repurchased     (6,695,000 )     (1,960,000 )     (35,000 )     (90,000 )
Shares Outstanding, End of Year/Period     5,422,500       5,217,500       120,000       155,000  

 

See accompanying Notes to Financial Statements.

 

138

 

 

ADVISORSHARES TRUST

Statements of Changes in Net Assets

 

 

 

 

    AdvisorShares STAR Global
Buy-Write ETF
    AdvisorShares
Vice ETF
 
    Year ended
June 30,
2023
    Year ended
June 30,
2022
    Year ended
June 30,
2023
    Year ended
June 30,
2022
 
INCREASE (DECREASE) IN NET ASSETS                                
OPERATIONS                                
Net Investment Income (Loss)   $ 308,503     $ 94,014     $ 148,188     $ 66,995  
Net Realized Gain (Loss)     (1,168,572 )     520,125       (542,464 )     (126,093 )
Net Change in Unrealized Appreciation (Depreciation)     5,394,948       (5,826,783 )     1,628,296       (3,846,483 )
Net Increase (Decrease) In Net Assets Resulting From Operations     4,534,879       (5,212,644 )     1,234,020       (3,905,581 )
DISTRIBUTIONS TO SHAREHOLDERS                                
Distributions     (717,637 )     (166,381 )     (80,580 )     (118,472 )
Total Distributions     (717,637 )     (166,381 )     (80,580 )     (118,472 )
CAPITAL STOCK TRANSACTIONS                                
Proceeds from Shares Issued     12,360,292       25,014,673       854,944        
Value of Shares Redeemed           (411,757 )     (921,036 )     (1,170,108 )
Net Increase (Decrease) From Capital Stock Transactions     12,360,292       24,602,916       (66,092 )     (1,170,108 )
Net Increase (Decrease) in Net Assets     16,177,534       19,223,891       1,087,348       (5,194,161 )
Net Assets:                                
Beginning of Year/Period     37,547,035       18,323,144       8,694,559       13,888,720  
End of Year/Period   $ 53,724,569     $ 37,547,035     $ 9,781,907     $ 8,694,559  
Changes in Shares Outstanding                                
Shares Outstanding, Beginning of Year/Period     1,085,000       460,000       345,000       385,000  
Shares Sold     345,000       635,000       30,000        
Shares Repurchased           (10,000 )     (35,000 )     (40,000 )
Shares Outstanding, End of Year/Period     1,430,000       1,085,000       340,000       345,000  

 

See accompanying Notes to Financial Statements.

 

139

 

 

ADVISORSHARES TRUST

Financial Highlights

 

 

 

 

  Years Ended June 30,    

For the period
February 2,

2021* to
June 30,

 
AdvisorShares Alpha DNA Equity Sentiment ETF   2023     2022     2021  
Selected Data for a Share of Capital Stock Outstanding                        
Net Asset Value, Beginning of Year/Period   $ 20.81     $ 27.58     $ 25.35  
Investment Operations                        
Net Investment Income (Loss)(1)     0.13       (0.01 )     (0.07 )
Net Realized and Unrealized Gain (Loss)     3.18       (6.76 )     2.30  
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2)     3.31       (6.77 )     2.23  
Net Asset Value, End of Year/Period   $ 24.12     $ 20.81     $ 27.58  
Market Value, End of Year/Period   $ 24.10     $ 20.73     $ 27.58  
Total Return                        
Total Investment Return Based on Net Asset Value(3)     15.89 %     (24.53 )%     8.78 %
Total Investment Return Based on Market(3)     16.26 %     (24.84 )%     8.80 %
Ratios/Supplemental Data                        
Net Assets, End of Year/Period (000’s omitted)   $ 17,002     $ 50,573     $ 69,907  
Ratio to Average Net Assets of:                        
Expenses, after expense waivers and reimbursements or recapture(4)     1.08 %     0.98 %     1.08 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     1.08 %     0.98 %     1.08 %
Net Investment Income (Loss)(4)     0.58 %     (0.06 )%     (0.67 )%
Portfolio Turnover Rate(5)     538 %     537 %     244 %

 

    Years Ended June 30,  
AdvisorShares Dorsey Wright ADR ETF   2023     2022     2021     2020     2019  
Selected Data for a Share of Capital Stock Outstanding                                      
Net Asset Value, Beginning of Year/Period   $ 48.48     $ 66.54     $ 53.25     $ 49.75     $ 53.34  
Investment Operations                                      
Net Investment Income (Loss)(1)     1.22       1.62       0.27       (0.03 )     0.23  
Net Realized and Unrealized Gain (Loss)     0.97       (18.48 )     13.23       3.54       (3.51 )
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2)     2.19       (16.86 )     13.50       3.51       (3.28 )
Distributions from Net Investment Income     (1.12 )     (1.20 )     (0.21 )     (0.01 )     (0.31 )
Total Distributions     (1.12 )     (1.20 )     (0.21 )     (0.01 )     (0.31 )
Net Asset Value, End of Year/Period   $ 49.55     $ 48.48     $ 66.54     $ 53.25     $ 49.75  
Market Value, End of Year/Period   $ 49.47     $ 48.47     $ 66.49     $ 52.97     $ 49.69  
Total Return                                      
Total Investment Return Based on Net Asset Value(3)     4.69 %     (25.51 )%     25.39 %     7.06 %     (6.16 )%
Total Investment Return Based on Market(3)     4.55 %     (25.45 )%     25.95 %     6.62 %     (6.00 )%
Ratios/Supplemental Data                                      
Net Assets, End of Year/Period (000’s omitted)   $ 28,738     $ 41,938     $ 88,836     $ 75,879     $ 108,198  
Ratio to Average Net Assets of:                                      
Expenses, after expense waivers and reimbursements or recapture(4)     1.10 %     0.99 %     1.10 %     1.02 %     0.88 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     1.15 %     1.00 %     0.96 %     0.97 %     1.07 %
Net Investment Income (Loss)(4)     2.52 %     2.59 %     0.44 %     (0.06 )%     0.47 %
Portfolio Turnover Rate(5)     101 %     79 %     85 %     48 %     120 %

 

 
* Commencement of operations.
(1) Based on average shares outstanding.
(2) The amount shown for a share distribution throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Fund Shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
(3) Net asset value total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions on ex-date, if any, at net asset value during the period, and redemption on the last day of the period. Periods less than one year are not annualized. Market value total return is calculated assuming an initial investment made at the market value at the beginning of the period, reinvestment of all dividends and distributions at market value during the period on pay date, and sale at the market value on the last day of the period.
(4) Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds.
(5) Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions of the Fund’s capital shares.

 

See accompanying Notes to Financial Statements.

 

140

 

 

ADVISORSHARES TRUST

Financial Highlights

 

 

 

 

    Years Ended June 30,     For the period
December 26,
2019* to
June 30,
 
AdvisorShares Dorsey Wright FSM All Cap World ETF   2023     2022     2021     2020  
Selected Data for a Share of Capital Stock Outstanding                                
Net Asset Value, Beginning of Year/Period   $ 30.33     $ 36.63     $ 28.07     $ 25.12  
Investment Operations                                
Net Investment Income (Loss)(1)     0.58       0.01       (0.12 )     (0.02 )
Net Realized and Unrealized Gain (Loss)     0.82       (5.76 )     8.74       2.97  
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2)     1.40       (5.75 )     8.62       2.95  
Distributions from Net Investment Income     (0.16 )                  
Distributions from Realized Capital Gains           (0.55 )     (0.06 )      
Total Distributions     (0.16 )     (0.55 )     (0.06 )      
Net Asset Value, End of Year/Period   $ 31.57     $ 30.33     $ 36.63     $ 28.07  
Market Value, End of Year/Period   $ 31.60     $ 30.34     $ 36.67     $ 28.07  
Total Return                                
Total Investment Return Based on Net Asset Value(3)     4.63 %     (15.98 )%     30.70 %     11.76 %
Total Investment Return Based on Market(3)     4.71 %     (16.06 )%     30.85 %     11.74 %
Ratios/Supplemental Data                                
Net Assets, End of Year/Period (000’s omitted)   $ 86,174     $ 84,177     $ 155,673     $ 73,685  
Ratio to Average Net Assets of:(4)                                
Expenses, after expense waivers and reimbursements or recapture(5)     0.98 %     0.91 %     0.88 %     0.99 %
Expenses, prior to expense waivers and reimbursements or recapture(5)     0.96 %     0.94 %     0.86 %     1.12 %
Net Investment Income (Loss)(5)     1.87 %     0.02 %     (0.34 )%     (0.17 )%
Portfolio Turnover Rate(6)     151 %     244 %     209 %     46 %

 

    Years Ended June 30,     For the period
December 26,
2019* to
June 30,
 
AdvisorShares Dorsey Wright FSM US Core ETF   2023     2022     2021     2020  
Selected Data for a Share of Capital Stock Outstanding                                
Net Asset Value, Beginning of Year/Period   $ 32.16     $ 37.09     $ 27.51     $ 25.14  
Investment Operations                                
Net Investment Income (Loss)(1)     0.32       0.11       (0.07 )     0.05  
Net Realized and Unrealized Gain (Loss)     4.60       (4.90 )     9.72       2.32  
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2)     4.92       (4.79 )     9.65       2.37  
Distributions from Net Investment Income     (0.30 )           (0.03 )      
Distributions from Realized Capital Gains           (0.14 )     (0.04 )      
Total Distributions     (0.30 )     (0.14 )     (0.07 )      
Net Asset Value, End of Year/Period   $ 36.78     $ 32.16     $ 37.09     $ 27.51  
Market Value, End of Year/Period   $ 36.76     $ 32.08     $ 37.16     $ 27.46  
Total Return                                
Total Investment Return Based on Net Asset Value(3)     15.38 %     (12.97 )%     35.08 %     9.43 %
Total Investment Return Based on Market(3)     15.61 %     (13.36 )%     35.59 %     9.23 %
Ratios/Supplemental Data                                
Net Assets, End of Year/Period (000’s omitted)   $ 89,547     $ 79,764     $ 93,649     $ 46,767  
Ratio to Average Net Assets of:(4)                                
Expenses, after expense waivers and reimbursements or recapture(5)     0.98 %     0.93 %     0.92 %     0.99 %
Expenses, prior to expense waivers and reimbursements or recapture(5)     0.97 %     0.95 %     0.89 %     1.15 %
Net Investment Income (Loss)(5)     0.95 %     0.28 %     (0.22 )%     0.37 %
Portfolio Turnover Rate(6)     103 %     50 %     64 %     53 %

 

 
* Commencement of operations.
(1) Based on average shares outstanding.
(2) The amount shown for a share distribution throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Fund Shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
(3) Net asset value total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions on ex-date, if any, at net asset value during the period, and redemption on the last day of the period. Periods less than one year are not annualized. Market value total return is calculated assuming an initial investment made at the market value at the beginning of the period, reinvestment of all dividends and distributions at market value during the period on pay date, and sale at the market value on the last day of the period.
(4) The Fund invests in other funds and indirectly bear their proportionate shares of fees and expenses incurred by the funds in which the Fund is invested. These ratios do not include these indirect fees and expenses.
(5) Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds.
(6) Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions of the Fund’s capital shares.

 

See accompanying Notes to Financial Statements.

 

141

 

 

ADVISORSHARES TRUST

Financial Highlights

 

 

 

 

    Years Ended June 30,     For the period
July 11,
2018* to
June 30,
 
AdvisorShares Dorsey Wright Short ETF   2023     2022     2021     2020     2019  
Selected Data for a Share of Capital Stock Outstanding                                        
Net Asset Value, Beginning of Year/Period   $ 10.49     $ 8.59     $ 19.33     $ 24.90     $ 25.00  
Investment Operations                                        
Net Investment Income (Loss)(1)     0.36       (0.21 )     (0.46 )     (0.65 )     0.13  
Net Realized and Unrealized Gain (Loss)     (2.07 )     2.11       (10.28 )     (4.89 )     (0.19 )
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2)     (1.71 )     1.90       (10.74 )     (5.54 )     (0.06 )
Distributions from Net Investment Income                       (0.03 )     (0.04 )
Total Distributions                       (0.03 )     (0.04 )
Net Asset Value, End of Year/Period   $ 8.78     $ 10.49     $ 8.59     $ 19.33     $ 24.90  
Market Value, End of Year/Period   $ 8.75     $  10.45     $ 8.56     $ 19.36     $ 24.93  
Total Return                                        
Total Investment Return Based on Net Asset Value(3)     (16.31 )%     22.15 %     (55.58 )%     (22.26 )%     (0.27 )%
Total Investment Return Based on Market(3)     (16.27 )%     22.08 %     (55.79 )%     (22.24 )%     (0.18 )%
Ratios/Supplemental Data                                        
Net Assets, End of Year/Period (000’s omitted)   $ 24,093     $ 46,999     $ 25,164     $ 113,098     $ 24,281  
Ratio to Average Net Assets of:                                        
Expenses, after expense waivers and reimbursements or recapture(4)     2.61 %(5)      2.71 %(5)      3.48 %(5)      3.56 %(5)      2.70 %(5) 
Expenses, prior to expense waivers and reimbursements or recapture(4)     2.56 %(5)     2.63 %(5)      3.55 %(5)      3.56 %(5)      3.26 %(5) 
Net Investment Income (Loss)(4)     3.77 %     (2.35 )%     (3.18 )%     (2.58 )%     0.53 %
Portfolio Turnover Rate(6)     263 %     190 %     243 %     555 %     357 %

 

    Years Ended June 30,     For the period
July 11,
2018* to
June 30,
 
AdvisorShares Dorsey Wright Small Company ETF(7)   2023     2022     2021     2020     2019  
Selected Data for a Share of Capital Stock Outstanding                                        
Net Asset Value, Beginning of Year/Period   $ 30.10     $ 37.87     $ 21.12     $ 23.04     $ 24.71  
Investment Operations                                        
Net Investment Income (Loss)(1)     0.34       0.16       (0.04 )     (0.01 )     (0.02 )
Net Realized and Unrealized Gain (Loss)     2.06       (7.77 )     16.79       (1.89 )     (1.65 )
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2)     2.40       (7.61 )     16.75       (1.90 )     (1.67 )
Distributions from Net Investment Income     (0.26 )     (0.13 )           (0.02 )      
Return of capital           (0.03 )                  
Total Distributions     (0.26 )     (0.16 )           (0.02 )      
Net Asset Value, End of Year/Period   $ 32.24     $ 30.10     $ 37.87     $ 21.12     $ 23.04  
Market Value, End of Year/Period   $ 32.26     $ 29.84     $ 37.92     $ 20.80     $ 23.02  
Total Return                                        
Total Investment Return Based on Net Asset Value(3)     7.94 %     (20.17 )%     79.33 %     (8.26 )%     (6.79 )%
Total Investment Return Based on Market(3)     8.96 %     (20.99 )%     82.31 %     (9.58 )%     (6.86 )%
Ratios/Supplemental Data                                        
Net Assets, End of Year/Period (000’s omitted)   $ 4,836     $ 7,376     $ 8,899     $ 2,112     $ 2,304  
Ratio to Average Net Assets of:                                        
Expenses, after expense waivers and reimbursements or recapture(4)     1.25 %     1.25 %     1.25 %     1.17 %     0.99 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     2.97 %     1.95 %     3.17 %     4.98 %     4.79 %
Net Investment Income (Loss)(4)     1.06 %     0.45 %     (0.12 )%     (0.05 )%     (0.11 )%
Portfolio Turnover Rate(6)     100 %     104 %     163 %     119 %     103 %

 

 
* Commencement of operations.
(1) Based on average shares outstanding.
(2) The amount shown for a share distribution throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Fund Shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
(3) Net asset value total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions on ex-date, if any, at net asset value during the period, and redemption on the last day of the period. Periods less than one year are not annualized. Market value total return is calculated assuming an initial investment made at the market value at the beginning of the period, reinvestment of all dividends and distributions at market value during the period on pay date, and sale at the market value on the last day of the period.
(4) Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds.
(5) The expense ratio includes interest and dividend expenses on short sales of 1.45%, 1.46%, 2.46%, 2.47% and 1.71% for the period ended June 30, 2023, June 30, 2022, June 30, 2021, June 30, 2020 and June 30, 2019, respectively.
(6) Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions of the Fund’s capital shares.
(7) Formerly known as AdvisorShares Dorsey Wright Micro-Cap ETF.

 

See accompanying Notes to Financial Statements.

 

142

 

 

ADVISORSHARES TRUST

Financial Highlights

 

 

 

 

    Years Ended June 30,  
AdvisorShares Focused Equity ETF   2023     2022     2021     2020     2019  
Selected Data for a Share of Capital Stock Outstanding                                        
Net Asset Value, Beginning of Year/Period   $ 42.25     $ 46.65     $ 35.67     $ 34.42     $ 31.80  
Investment Operations                                        
Net Investment Income(1)     0.20       0.17       0.10       0.14       0.16  
Net Realized and Unrealized Gain (Loss)     11.43       (4.49 )     11.00       1.26       3.21  
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2)     11.63       (4.32 )     11.10       1.40       3.37  
Distributions from Net Investment Income     (0.24 )     (0.08 )     (0.12 )     (0.15 )     (0.16 )
Distributions from Realized Capital Gains                             (0.59 )
Total Distributions     (0.24 )     (0.08 )     (0.12 )     (0.15 )     (0.75 )
Net Asset Value, End of Year/Period   $ 53.64     $ 42.25     $ 46.65     $ 35.67     $ 34.42  
Market Value, End of Year/Period   $ 53.80     $ 42.21     $ 46.68     $ 34.88     $ 34.31  
Total Return                                        
Total Investment Return Based on Net Asset Value(3)     27.59 %     (9.28 )%     31.15 %     4.02 %     11.09 %
Total Investment Return Based on Market(3)     28.10 %     (9.44 )%     34.20 %     2.06 %     10.74 %
Ratios/Supplemental Data                                        
Net Assets, End of Year/Period (000’s omitted)   $ 70,002     $ 28,098     $ 28,921     $ 19,616     $ 17,211  
Ratio to Average Net Assets of:                                        
Expenses, after expense waivers and reimbursements or recapture(4)     0.84 %     0.65 %     0.66 %     0.77 %     0.72 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     1.20 %     1.09 %     1.19 %     1.43 %     1.63 %
Net Investment Income(4)     0.42 %     0.36 %     0.24 %     0.41 %     0.49 %
Portfolio Turnover Rate(5)     18 %     24 %     25 %     23 %     19 %

 

AdvisorShares Gerber Kawasaki ETF   Year ended
June 30,
2023
    For the period
July 2,
2021
* to
June 30,
2022
 
Selected Data for a Share of Capital Stock Outstanding                
Net Asset Value, Beginning of Year/Period   $ 16.34     $ 25.03  
Investment Operations                
Net Investment Income(1)     0.15       0.07  
Net Realized and Unrealized Gain (Loss)     1.65       (8.75 )
Distributions of Net Realized Gains by other investment companies           0.00 (6) 
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2)     1.80       (8.68 )
Distributions from Net Investment Income     (0.20 )     (0.01 )
Total Distributions     (0.20 )     (0.01 )
Net Asset Value, End of Year/Period   $ 17.94     $ 16.34  
Market Value, End of Year/Period   $ 17.93     $ 16.35  
Total Return                
Total Investment Return Based on Net Asset Value(3)     11.21 %     (34.71 )%
Total Investment Return Based on Market(3)     11.09 %     (34.65 )%
Ratios/Supplemental Data                
Net Assets, End of Year/Period (000’s omitted)   $ 17,578     $ 15,846  
Ratio to Average Net Assets of:                
Expenses, after expense waivers and reimbursements or recapture(4)     0.75 %     0.75 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     1.33 %     1.37 %
Net Investment Income(4)     0.91 %     0.31 %
Portfolio Turnover Rate(5)     48 %     66 %

 

 
* Commencement of operations.
(1) Based on average shares outstanding.
(2) The amount shown for a share distribution throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Fund Shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
(3) Net asset value total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions on ex-date, if any, at net asset value during the period, and redemption on the last day of the period. Periods less than one year are not annualized. Market value total return is calculated assuming an initial investment made at the market value at the beginning of the period, reinvestment of all dividends and distributions at market value during the period on pay date, and sale at the market value on the last day of the period.
(4) Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds.
(5) Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions of the Fund’s capital shares.
(6) Amount represents less than $0.005 or 0.005%.

 

See accompanying Notes to Financial Statements.

 

143

 

 

ADVISORSHARES TRUST

Financial Highlights

 

 

 

 

    Years Ended June 30,     For the period
April 20,
2021* to
June 30,
 
AdvisorShares Hotel ETF   2023     2022     2021  
Selected Data for a Share of Capital Stock Outstanding                        
Net Asset Value, Beginning of Year/Period   $ 19.66     $ 24.52     $ 24.32  
Investment Operations                        
Net Investment Income (Loss)(1)     0.21       (0.02 )     0.13  
Net Realized and Unrealized Gain (Loss)     5.55       (4.75 )     0.07  
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2)     5.76       (4.77 )     0.20  
Distributions from Net Investment Income     (0.05 )     (0.09 )      
Total Distributions     (0.05 )     (0.09 )      
Net Asset Value, End of Year/Period   $ 25.37     $ 19.66     $ 24.52  
Market Value, End of Year/Period   $ 25.34     $ 19.61     $ 24.56  
Total Return                        
Total Investment Return Based on Net Asset Value(3)     29.33 %     (19.54 )%     0.81 %
Total Investment Return Based on Market(3)     29.49 %     (19.87 )%     0.99 %
Ratios/Supplemental Data                        
Net Assets, End of Year/Period (000’s omitted)   $ 4,186     $ 5,897     $ 7,724  
Ratio to Average Net Assets of:                        
Expenses, after expense waivers and reimbursements or recapture(4)     0.99 %     0.99 %     0.99 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     2.40 %     1.33 %     6.60 %
Net Investment Income (Loss)(4)     0.92 %     (0.07 )%     2.70 %
Portfolio Turnover Rate(5)     120 %     74 %     21 %

 

    Years Ended June 30,  
AdvisorShares Insider Advantage ETF   2023     2022     2021     2020     2019  
Selected Data for a Share of Capital Stock Outstanding                                        
Net Asset Value, Beginning of Year/Period   $ 85.89     $ 95.53     $ 66.37     $ 68.21     $ 67.88  
Investment Operations                                        
Net Investment Income(1)     1.34       1.10        0.95       0.82       0.62  
Net Realized and Unrealized Gain (Loss)     9.49       (9.68 )     29.23       (1.84 )     0.45  
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2)     10.83       (8.58 )     30.18       (1.02 )     1.07  
Distributions from Net Investment Income     (1.48 )     (1.06 )     (1.02 )     (0.82 )     (0.74 )
Total Distributions     (1.48 )     (1.06 )     (1.02 )     (0.82 )     (0.74 )
Net Asset Value, End of Year/Period   $ 95.24     $ 85.89     $ 95.53     $ 66.37     $ 68.21  
Market Value, End of Year/Period   $ 95.24     $ 85.78     $ 95.41     $ 66.28     $ 68.13  
Total Return                                        
Total Investment Return Based on Net Asset Value(3)     12.78 %     (9.12 )%     45.78 %     (1.63 )%     1.74 %
Total Investment Return Based on Market(3)     12.95 %     (9.12 )%     45.79 %     (1.65 )%     1.63 %
Ratios/Supplemental Data                                        
Net Assets, End of Year/Period (000’s omitted)   $ 42,381     $ 46,378     $ 48,243     $ 41,483     $ 61,386  
Ratio to Average Net Assets of:                                        
Expenses, after expense waivers and reimbursements or recapture(4)     0.90 %     0.90 %     0.90 %     0.90 %     0.90 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     1.05 %     0.96 %     1.05 %     1.07 %     1.17 %
Net Investment Income(4)     1.51 %     1.15 %     1.18 %     1.18 %     0.93 %
Portfolio Turnover Rate(5)     278 %     32 %     40 %     93 %     218 %

 

 
* Commencement of operations.
(1) Based on average shares outstanding.
(2) The amount shown for a share distribution throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Fund Shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
(3) Net asset value total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions on ex-date, if any, at net asset value during the period, and redemption on the last day of the period. Periods less than one year are not annualized. Market value total return is calculated assuming an initial investment made at the market value at the beginning of the period, reinvestment of all dividends and distributions at market value during the period on pay date, and sale at the market value on the last day of the period.
(4) Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds.
(5) Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions of the Fund’s capital shares.

 

See accompanying Notes to Financial Statements.

 

144

 

 

ADVISORSHARES TRUST

Financial Highlights

 

 

 

 

AdvisorShares Let Bob AI Powered Momentum ETF   Year ended
June 30,
2023
    For the period
February 9,
2022* to
June 30,
2022
 
Selected Data for a Share of Capital Stock Outstanding                
Net Asset Value, Beginning of Year/Period   $ 23.25     $ 25.00  
Investment Operations                
Net Investment Income (Loss)(1)     0.57       (0.04 )
Net Realized and Unrealized Loss     (0.69 )     (1.71 )
Net Decrease in Net Assets Resulting from Investment Operations(2)     (0.12 )     (1.75 )
Distributions from Net Investment Income     (0.14 )      
Total Distributions     (0.14 )      
Net Asset Value, End of Year/Period   $ 22.99     $ 23.25  
Market Value, End of Year/Period   $ 22.99     $ 23.22  
Total Return                
Total Investment Return Based on Net Asset Value(3)     (0.50 )%     (6.99 )%
Total Investment Return Based on Market(3)     (0.36 )%     (7.12 )%
Ratios/Supplemental Data                
Net Assets, End of Year/Period (000’s omitted)   $ 26,320     $ 24,183  
Ratio to Average Net Assets of:                
Expenses, after expense waivers and reimbursements or recapture(4)     0.99 %     0.99 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     1.10 %     1.48 %
Net Investment Income (Loss)(4)     2.50 %     (0.43 )%
Portfolio Turnover Rate(5)     821 %     497 %

 

AdvisorShares MSOS 2X Daily ETF   For the period
August 24,
2022* to
June 30,
2023
 
Selected Data for a Share of Capital Stock Outstanding      
Net Asset Value, Beginning of Year/Period   $ 25.00  
Investment Operations      
Net Investment Income(1)     0.15  
Net Realized and Unrealized Loss     (21.92 )
Net Decrease in Net Assets Resulting from Investment Operations(2)     (21.77 )
Net Asset Value, End of Year/Period   $ 3.23  
Market Value, End of Year/Period   $ 3.26  
Total Return      
Total Investment Return Based on Net Asset Value(3)     (87.08 )%
Total Investment Return Based on Market(3)     (86.96 )%
Ratios/Supplemental Data      
Net Assets, End of Year/Period (000’s omitted)   $ 7,032  
Ratio to Average Net Assets of:      
Expenses, after expense waivers and reimbursements or recapture(4)     0.95 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     4.54 %
Net Investment Income(4)     3.44 %
Portfolio Turnover Rate(5)     0 %

 

 
* Commencement of operations.
(1) Based on average shares outstanding.
(2) The amount shown for a share distribution throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Fund Shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
(3) Net asset value total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions on ex-date, if any, at net asset value during the period, and redemption on the last day of the period. Periods less than one year are not annualized. Market value total return is calculated assuming an initial investment made at the market value at the beginning of the period, reinvestment of all dividends and distributions at market value during the period on pay date, and sale at the market value on the last day of the period.
(4) Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds.
(5) Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions of the Fund’s capital shares.

 

See accompanying Notes to Financial Statements.

 

145

 

 

ADVISORSHARES TRUST

Financial Highlights

 

 

 

 

    Years Ended June 30,  
AdvisorShares Newfleet Multi-Sector Income ETF   2023     2022     2021     2020     2019  
Selected Data for a Share of Capital Stock Outstanding                                        
Net Asset Value, Beginning of Year/Period   $ 45.60     $ 48.85     $ 48.14     $ 48.44     $ 47.86  
Investment Operations                                        
Net Investment Income(1)     1.12       0.63       0.78       1.21       1.35  
Net Realized and Unrealized Gain (Loss)     (0.51 )     (3.17 )     0.83       (0.22 )     0.65  
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2)     0.61       (2.54 )     1.61       0.99       2.00  
Distributions from Net Investment Income     (1.40 )     (0.71 )     (0.90 )     (1.29 )     (1.42 )
Total Distributions     (1.40 )     (0.71 )     (0.90 )     (1.29 )     (1.42 )
Net Asset Value, End of Year/Period   $ 44.81     $ 45.60     $ 48.85     $ 48.14     $ 48.44  
Market Value, End of Year/Period   $ 44.80     $ 45.61     $ 48.83     $ 48.17     $ 48.38  
Total Return                                        
Total Investment Return Based on Net Asset Value(3)     1.36 %     (5.24 )%     3.36 %     2.10 %     4.27 %
Total Investment Return Based on Market(3)     1.33 %     (5.19 )%     3.27 %     2.28 %     4.29 %
Ratios/Supplemental Data                                        
Net Assets, End of Year/Period (000’s omitted)   $ 17,477     $ 83,682     $ 96,959     $ 57,767     $ 75,080  
Ratio to Average Net Assets of:                                        
Expenses, after expense waivers and reimbursements or recapture(4)     0.75 %     0.75 %     0.75 %     0.75 %     0.75 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     1.12 %     0.76 %     0.78 %     0.82 %     0.96 %
Net Investment Income(4)     2.47 %     1.32 %     1.61 %     2.51 %     2.81 %
Portfolio Turnover Rate(5)     40 %     54 %     95 %     63 %     40 %

 

AdvisorShares Poseidon Dynamic Cannabis ETF   Year ended
June 30,
2023
    For the period
November 17,
2021* to
June 30,
2022
 
Selected Data for a Share of Capital Stock Outstanding                
Net Asset Value, Beginning of Year/Period   $ 2.45     $ 10.00  
Investment Operations                
Net Investment Income (Loss)(1)     0.03       (0.03 )
Net Realized and Unrealized Loss     (1.36 )     (7.52 )
Net Decrease in Net Assets Resulting from Investment Operations(2)     (1.33 )     (7.55 )
Net Asset Value, End of Year/Period   $ 1.12     $ 2.45  
Market Value, End of Year/Period   $ 1.13     $ 2.45  
Total Return                
Total Investment Return Based on Net Asset Value(3)     (54.11 )%     (75.52 )%
Total Investment Return Based on Market(3)     (53.88 )%     (75.50 )%
Ratios/Supplemental Data                
Net Assets, End of Year/Period (000’s omitted)   $ 3,004     $ 4,357  
Ratio to Average Net Assets of:                
Expenses, after expense waivers and reimbursements or recapture(4)     0.99 %     0.99 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     3.19 %     2.57 %
Net Investment Income (Loss)(4)     1.79 %     (0.90 )%
Portfolio Turnover Rate(5)     247 %     159 %

 

 
* Commencement of operations.
(1) Based on average shares outstanding.
(2) The amount shown for a share distribution throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Fund Shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
(3) Net asset value total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions on ex-date, if any, at net asset value during the period, and redemption on the last day of the period. Periods less than one year are not annualized. Market value total return is calculated assuming an initial investment made at the market value at the beginning of the period, reinvestment of all dividends and distributions at market value during the period on pay date, and sale at the market value on the last day of the period.
(4) Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds.
(5) Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions of the Fund’s capital shares.

 

See accompanying Notes to Financial Statements.

 

146

 

 

ADVISORSHARES TRUST

Financial Highlights

 

 

 

 

AdvisorShares Psychedelics ETF   Year ended
June 30,
2023
    For the period
September 16,
2021* to
June 30,
2022
 
Selected Data for a Share of Capital Stock Outstanding                
Net Asset Value, Beginning of Year/Period   $ 2.56     $ 10.00  
Investment Operations                
Net Investment Income (Loss)(1)     0.05       (0.02 )
Net Realized and Unrealized Loss     (0.72 )     (7.42 )
Net Decrease in Net Assets Resulting from Investment Operations(2)     (0.67 )     (7.44 )
Distributions from Net Investment Income     (0.05 )      
Total Distributions     (0.05 )      
Net Asset Value, End of Year/Period   $ 1.84     $ 2.56  
Market Value, End of Year/Period   $ 1.86     $ 2.65  
Total Return                
Total Investment Return Based on Net Asset Value(3)     (26.55 )%     (74.44 )%
Total Investment Return Based on Market(3)     (28.45 )%     (73.50 )%
Ratios/Supplemental Data                
Net Assets, End of Year/Period (000’s omitted)   $ 6,894     $ 5,509  
Ratio to Average Net Assets of:                
Expenses, after expense waivers and reimbursements or recapture(4)     0.99 %     0.99 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     3.01 %     3.10 %
Net Investment Income (Loss)(4)     2.29 %     (0.52 )%
Portfolio Turnover Rate(5)     73 %     27 %

 

    Years Ended June 30,     For the period
April 17,
2019* to
June 30,
 
AdvisorShares Pure Cannabis ETF   2023     2022     2021     2020     2019  
Selected Data for a Share of Capital Stock Outstanding                                        
Net Asset Value, Beginning of Year/Period   $ 5.28     $ 21.15     $ 10.17     $ 22.99     $ 25.00  
Investment Operations                                        
Net Investment Income(1)     0.04       0.01       0.04       0.70       0.06  
Net Realized and Unrealized Gain (Loss)     (2.71 )     (15.35 )     11.05       (12.75 )     (2.07 )
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2)     (2.67 )     (15.34 )     11.09       (12.05 )     (2.01 )
Distributions from Net Investment Income     (0.02 )           (0.11 )     (0.70 )      
Distributions from Realized Capital Gains           (0.51 )           (0.07 )      
Return of capital           (0.02 )                  
Total Distributions     (0.02 )     (0.53 )     (0.11 )     (0.77 )      
Net Asset Value, End of Year/Period   $ 2.59     $ 5.28     $ 21.15     $ 10.17     $ 22.99  
Market Value, End of Year/Period   $ 2.59     $ 5.28     $ 21.12     $ 10.18     $ 23.02  
Total Return                                        
Total Investment Return Based on Net Asset Value(3)     (50.63 )%     (73.99 )%     109.96 %     (52.76 )%     (8.06 )%
Total Investment Return Based on Market(3)     (50.54 )%     (73.93 )%     109.35 %     (52.70 )%     (7.92 )%
Ratios/Supplemental Data                                        
Net Assets, End of Year/Period (000’s omitted)   $ 34,022     $ 71,817     $ 354,408     $ 45,503     $ 59,762  
Ratio to Average Net Assets of:                                        
Expenses, after expense waivers and reimbursements or recapture(4)     0.51 %     0.65 %     0.74 %     0.74 %     0.74 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     1.04 %     0.88 %     0.69 %     1.17 %     1.10 %
Net Investment Income(4)     0.88 %     0.11 %     0.21 %     5.67 %     1.35 %
Portfolio Turnover Rate(5)     40 %     28 %     46 %     59 %     26 %

 

 
* Commencement of operations.
(1) Based on average shares outstanding.
(2) The amount shown for a share distribution throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Fund Shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
(3) Net asset value total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions on ex-date, if any, at net asset value during the period, and redemption on the last day of the period. Periods less than one year are not annualized. Market value total return is calculated assuming an initial investment made at the market value at the beginning of the period, reinvestment of all dividends and distributions at market value during the period on pay date, and sale at the market value on the last day of the period.
(4) Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds.
(5) Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions of the Fund’s capital shares.

 

See accompanying Notes to Financial Statements.

 

147

 

 

ADVISORSHARES TRUST

Financial Highlights

 

 

 

 

    Years Ended June 30,     For the period
September 1,
2020* to
June 30,
 
AdvisorShares Pure US Cannabis ETF   2023     2022     2021  
Selected Data for a Share of Capital Stock Outstanding                        
Net Asset Value, Beginning of Year/Period   $ 10.35     $ 40.22     $ 25.00  
Investment Operations                        
Net Investment Income (Loss)(1)     0.08       (0.09 )     (0.17 )
Net Realized and Unrealized Gain (Loss)     (4.95 )     (29.71 )     15.39  
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2)     (4.87 )     (29.80 )     15.22  
Distributions from Realized Capital Gains           (0.07 )      
Total Distributions           (0.07 )      
Net Asset Value, End of Year/Period   $ 5.48     $ 10.35     $ 40.22  
Market Value, End of Year/Period   $ 5.55     $ 10.37     $ 40.08  
Total Return                        
Total Investment Return Based on Net Asset Value(3)     (47.04 )%     (74.20 )%     60.86 %
Total Investment Return Based on Market(3)     (46.48 )%     (74.06 )%     60.32 %
Ratios/Supplemental Data                        
Net Assets, End of Year/Period (000’s omitted)   $ 343,385     $ 514,691     $ 950,694  
Ratio to Average Net Assets of:                        
Expenses, after expense waivers and reimbursements or recapture(4)     0.74 %     0.72 %     0.69 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     0.77 %     0.75 %     0.69 %
Net Investment Income (Loss)(4)     0.96 %     (0.40 )%     (0.49 )%
Portfolio Turnover Rate(5)     13 %     48 %     68 %

 

    Years Ended June 30,     For the period
December 28,
2020* to
June 30,
 
AdvisorShares Q Dynamic Growth ETF   2023     2022     2021  
Selected Data for a Share of Capital Stock Outstanding                        
Net Asset Value, Beginning of Year/Period   $ 22.02     $ 28.12     $ 25.00  
Investment Operations                        
Net Investment Loss(1)     (0.10 )     (0.15 )     (0.09 )
Net Realized and Unrealized Gain (Loss)     6.57       (5.95 )     3.21  
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(2)     6.47       (6.10 )     3.12  
Net Asset Value, End of Year/Period   $ 28.49     $ 22.02     $ 28.12  
Market Value, End of Year/Period   $ 28.49     $ 22.01     $ 28.13  
Total Return                        
Total Investment Return Based on Net Asset Value(3)     29.37 %     (21.70 )%     12.50 %
Total Investment Return Based on Market(3)     29.44 %     (21.76 )%     12.52 %
Ratios/Supplemental Data                        
Net Assets, End of Year/Period (000’s omitted)   $ 28,349     $ 40,299     $ 68,763  
Ratio to Average Net Assets of:(6)                        
Expenses, after expense waivers and reimbursements or recapture(4)     1.32 %     1.14 %     1.43 %
Expenses, prior to expense waivers and reimbursements or recapture(4)     1.31 %     1.13 %     1.49 %
Net Investment Loss(4)     (0.44 )%     (0.52 )%     (0.65 )%
Portfolio Turnover Rate(5)     57 %     106 %     61 %

 

 
* Commencement of operations.
(1) Based on average shares outstanding.
(2) The amount shown for a share distribution throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Fund Shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
(3) Net asset value total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions on ex-date, if any, at net asset value during the period, and redemption on the last day of the period. Periods less than one year are not annualized. Market value total return is calculated assuming an initial investment made at the market value at the beginning of the period, reinvestment of all dividends and distributions at market value during the period on pay date, and sale at the market value on the last day of the period.
(4) Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds.
(5) Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions of the Fund’s capital shares.
(6) The Fund invests in other funds and indirectly bear their proportionate shares of fees and expenses incurred by the funds in which the Fund is invested. These ratios do not include these indirect fees and expenses.

 

See accompanying Notes to Financial Statements.

 

148

 

 

ADVISORSHARES TRUST

Financial Highlights

 

 

 

 

    Years Ended June 30,  
AdvisorShares Ranger Equity Bear ETF   2023     2022     2021(1)     2020(1)     2019(1)  
Selected Data for a Share of Capital Stock Outstanding                                        
Net Asset Value, Beginning of Year/Period   $ 31.85     $ 23.00     $ 48.55     $ 63.84     $ 78.01  
Investment Operations                                        
Net Investment Income (Loss)(2)     0.63       (0.97 )     (1.59 )     (0.64 )     0.13  
Net Realized and Unrealized Gain (Loss)     (9.86 )     9.82       (23.96 )     (14.55 )     (14.30 )
Distributions of Net Realized Gains by other investment companies                 0.00 (3)             
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(4)     (9.23 )     8.85       (25.55 )     (15.19 )     (14.17 )
Distributions from Net Investment Income                       (0.10 )      
Total Distributions                       (0.10 )      
Net Asset Value, End of Year/Period   $ 22.62     $ 31.85     $ 23.00     $ 48.55     $ 63.84  
Market Value, End of Year/Period   $ 22.63     $ 31.96     $ 23.00     $ 48.50     $ 63.90  
Total Return                                        
Total Investment Return Based on Net Asset Value(5)     (28.99 )%     38.48 %     (52.62 )%     (23.79 )%     (18.16 )%
Total Investment Return Based on Market(5)     (29.19 )%     38.96 %     (52.58 )%     (23.94 )%     (17.87 )%
Ratios/Supplemental Data                                        
Net Assets, End of Year/Period (000’s omitted)   $ 122,632     $ 166,185     $ 50,655     $ 162,019     $ 135,814  
Ratio to Average Net Assets of:                                        
Expenses, after expense waivers and reimbursements or recapture(6)     3.39 %(7)      4.15 %(7)      4.90 %(7)      3.10 %(7)      2.94 %(7) 
Expenses, prior to expense waivers and reimbursements or recapture(6)     3.39 %(7)      4.15 %(7)      4.90 %(7)      3.10 %(7)      2.94 %(7) 
Net Investment Income (Loss)(6)     2.34 %     (3.70 )%     (4.49 )%     (1.07 )%     0.18 %
Portfolio Turnover Rate(8)     1001 %     1462 %     669 %     593 %     338 %

 

    Years Ended June 30,     For the period
April 20,
2021* to
June 30,
 
AdvisorShares Restaurant ETF   2023     2022     2021  
Selected Data for a Share of Capital Stock Outstanding                        
Net Asset Value, Beginning of Year/Period   $ 16.97     $ 24.44     $ 24.69  
Investment Operations                        
Net Investment Income(2)     0.23       0.13       0.00 (3) 
Net Realized and Unrealized Gain (Loss)     4.89       (7.56 )     (0.25 )
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(4)     5.12       (7.43 )     (0.25 )
Distributions from Net Investment Income     (0.43 )     (0.04 )      
Total Distributions     (0.43 )     (0.04 )      
Net Asset Value, End of Year/Period   $ 21.66     $ 16.97     $ 24.44  
Market Value, End of Year/Period   $ 21.66     $ 16.93     $ 24.44  
Total Return                        
Total Investment Return Based on Net Asset Value(5)     30.59 %     (30.46 )%     (1.01 )%
Total Investment Return Based on Market(5)     30.95 %     (30.62 )%     (1.01 )%
Ratios/Supplemental Data                        
Net Assets, End of Year/Period (000’s omitted)   $ 2,600     $ 2,631     $ 5,988  
Ratio to Average Net Assets of:                        
Expenses, after expense waivers and reimbursements or recapture(6)     0.99 %     0.99 %     0.99 %
Expenses, prior to expense waivers and reimbursements or recapture(6)     3.97 %     2.11 %     7.93 %
Net Investment Income (Loss)(6)     1.20 %     0.57 %     (0.03 )%
Portfolio Turnover Rate(8)     113 %     86 %     26 %

 

 
* Commencement of operations.
(1) After the close of business on February 5, 2021, the Fund’s applicable class underwent a reverse stock split. The per share data presented here has been retroactively adjusted to reflect this split. See Note 1 of the Notes to Financial Statements.
(2) Based on average shares outstanding.
(3) Amount represents less than $0.005 or 0.005%.
(4) The amount shown for a share distribution throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Fund Shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
(5) Net asset value total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions on ex-date, if any, at net asset value during the period, and redemption on the last day of the period. Periods less than one year are not annualized. Market value total return is calculated assuming an initial investment made at the market value at the beginning of the period, reinvestment of all dividends and distributions at market value during the period on pay date, and sale at the market value on the last day of the period.
(6) Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds.
(7) The expense ratio includes interest and dividend expenses on short sales of 1.70% 1.69%, 2.47%, 3.14%, 1.42%, and 1.22% for the periods ended June 30, 2023, June 30, 2022, June 30, 2021, June 30, 2020, and June 30, 2019, respectively.
(8) Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions of the Fund’s capital shares.

 

See accompanying Notes to Financial Statements.

 

149

 

 

ADVISORSHARES TRUST

Financial Highlights

 

 

 

 

    Years Ended June 30,  
AdvisorShares STAR Global Buy-Write ETF   2023     2022     2021     2020     2019  
Selected Data for a Share of Capital Stock Outstanding                                        
Net Asset Value, Beginning of Year/Period   $ 34.61     $ 39.83     $ 32.20     $ 32.28     $ 30.99  
Investment Operations                                        
Net Investment Income (Loss)(1)     0.25       0.13       (0.16 )     0.09       0.13  
Net Realized and Unrealized Gain (Loss)     3.35       (5.12 )     7.89       (0.02 )     1.29  
Distributions of Net Realized Gains by other investment companies                 0.00 (2)             
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(3)     3.60       (4.99 )     7.73       0.07       1.42  
Distributions from Net Investment Income     (0.08 )           (0.10 )     (0.15 )     (0.13 )
Distributions from Realized Capital Gains     (0.56 )     (0.23 )                  
Total Distributions     (0.64 )     (0.23 )     (0.10 )     (0.15 )     (0.13 )
Net Asset Value, End of Year/Period   $ 37.57     $ 34.61     $ 39.83     $ 32.20     $ 32.28  
Market Value, End of Year/Period   $ 37.56     $ 34.62     $ 39.83     $ 32.25     $ 32.19  
Total Return                                        
Total Investment Return Based on Net Asset Value(4)     10.60 %     (12.64 )%     24.04 %     0.20 %     4.62 %
Total Investment Return Based on Market(4)     10.54 %     (12.60 )%     23.86 %     0.63 %     4.27 %
Ratios/Supplemental Data                                        
Net Assets, End of Year/Period (000’s omitted)   $ 53,725     $ 37,547     $ 18,323     $ 12,882     $ 14,527  
Ratio to Average Net Assets of:(5)                                        
Expenses, after expense waivers and reimbursements or recapture(6)     1.54 %     1.85 %     1.85 %     1.85 %     1.85 %
Expenses, prior to expense waivers and reimbursements or recapture(6)     1.33 %     1.82 %     2.48 %     2.20 %     2.34 %
Net Investment Income (Loss)(6)     0.71 %     0.33 %     (0.43 )%     0.26 %     0.43 %
Portfolio Turnover Rate(7)     23 %     41 %     55 %     47 %     49 %

 

    Years Ended June 30,  
AdvisorShares Vice ETF   2023     2022     2021     2020     2019  
Selected Data for a Share of Capital Stock Outstanding                                        
Net Asset Value, Beginning of Year/Period   $ 25.20     $ 36.07     $ 22.81     $ 25.11     $ 25.60  
Investment Operations                                        
Net Investment Income(1)     0.45       0.18       0.19       0.42       0.45  
Net Realized and Unrealized Gain (Loss)     3.38       (10.73 )     13.44       (2.10 )     (0.57 )
Net Increase (Decrease) in Net Assets Resulting from Investment Operations(3)     3.83       (10.55 )     13.63       (1.68 )     (0.12 )
Distributions from Net Investment Income     (0.26 )     (0.14 )     (0.37 )     (0.62 )     (0.37 )
Distributions from Realized Capital Gains           (0.18 )                  
Total Distributions     (0.26 )     (0.32 )     (0.37 )     (0.62 )     (0.37 )
Net Asset Value, End of Year/Period   $ 28.77     $ 25.20     $ 36.07     $ 22.81     $ 25.11  
Market Value, End of Year/Period   $ 28.77     $ 25.13     $ 36.06     $ 22.80     $ 25.12  
Total Return                                        
Total Investment Return Based on Net Asset Value(4)     15.24 %     (29.45 )%     59.98 %     (6.91 )%     (0.22 )%
Total Investment Return Based on Market(4)     15.58 %     (29.62 )%     60.05 %     (6.99 )%     (0.50 )%
Ratios/Supplemental Data                                        
Net Assets, End of Year/Period (000’s omitted)   $ 9,782     $ 8,695     $ 13,889     $ 9,126     $ 13,183  
Ratio to Average Net Assets of:                                        
Expenses, after expense waivers and reimbursements or recapture(6)     0.99 %     0.99 %     0.99 %     0.90 %     0.75 %
Expenses, prior to expense waivers and reimbursements or recapture(6)     1.90 %     1.64 %     1.71 %     1.59 %     1.43 %
Net Investment Income(6)     1.65 %     0.59 %     0.63 %     1.77 %     1.79 %
Portfolio Turnover Rate(7)     147 %     83 %     125 %     41 %     76 %

 

 
(1) Based on average shares outstanding.
(2) Amount represents less than $0.005 or 0.005%.
(3) The amount shown for a share distribution throughout the period may not correlate with the Statement of Operations for the period due to the timing of sales and repurchases of Fund Shares in relation to income earned and/or fluctuating fair value of the investments of the Fund.
(4) Net asset value total investment return is calculated assuming an initial investment made at the net asset value at the beginning of the period, reinvestment of all dividends and distributions on ex-date, if any, at net asset value during the period, and redemption on the last day of the period. Periods less than one year are not annualized. Market value total return is calculated assuming an initial investment made at the market value at the beginning of the period, reinvestment of all dividends and distributions at market value during the period on pay date, and sale at the market value on the last day of the period.
(5) The Fund invests in other funds and indirectly bear their proportionate shares of fees and expenses incurred by the funds in which the Fund is invested. These ratios do not include these indirect fees and expenses.
(6) Ratios of periods of less than one year have been annualized. Excludes expenses incurred by the underlying investments in other funds.
(7) Portfolio turnover rate is not annualized and excludes the value of portfolio securities received or delivered as in-kind creations or redemptions of the Fund’s capital shares.

 

See accompanying Notes to Financial Statements.

 

150

 

 

ADVISORSHARES TRUST
Notes to Financial Statements

 

June 30, 2023

 

 

1. Organization

 

AdvisorShares Trust (the “Trust”) was organized as a Delaware statutory trust on July 30, 2007 and has authorized capital of unlimited shares. The Funds are investment companies and accordingly follow the investment company accounting and reporting guidance of the Financial Accounting Standards Board (“FASB”) Accounting Standard Codification Topic 946 “Financial Services — Investment Companies”.

 

The Trust is an open-end management investment company, registered under the Investment Company Act of 1940, as amended (the “Act”). As of June 30, 2023, the Trust is comprised of 22 active funds (the “Funds” or “ETFs” and individually, the “Fund” or “ETF”):

 


Fund
 
 

Ticker
 
 
Commencement of
Operations
 
AdvisorShares Alpha DNA Equity Sentiment ETF   SENT   February 2, 2021  
AdvisorShares Dorsey Wright ADR ETF   AADR   July 21, 2010  
AdvisorShares Dorsey Wright FSM All Cap World ETF   DWAW   December 26, 2019  
AdvisorShares Dorsey Wright FSM US Core ETF   DWUS   December 26, 2019  
AdvisorShares Dorsey Wright Short ETF   DWSH   July 11, 2018  
AdvisorShares Dorsey Wright Small Company ETF   DWMC   July 11, 2018  
AdvisorShares Focused Equity ETF   CWS   September 20, 2016  
AdvisorShares Gerber Kawasaki ETF   GK   July 2, 2021  
AdvisorShares Hotel ETF   BEDZ   April 20, 2021  
AdvisorShares Insider Advantage ETF   SURE   October 4, 2011  
AdvisorShares Let Bob AI Powered Momentum ETF   LETB   February 9, 2022  
AdvisorShares MSOS 2X Daily ETF   MSOX   August 24, 2022  
AdvisorShares Newfleet Multi-Sector Income ETF   MINC   March 19, 2013  
AdvisorShares Poseidon Dynamic Cannabis ETF   PSDN   November 17, 2021  
AdvisorShares Psychedelics ETF   PSIL   September 16, 2021  
AdvisorShares Pure Cannabis ETF   YOLO   April 17, 2019  
AdvisorShares Pure US Cannabis ETF   MSOS   September 1, 2020  
AdvisorShares Q Dynamic Growth ETF   QPX   December 28, 2020  
AdvisorShares Ranger Equity Bear ETF   HDGE   January 27, 2011  
AdvisorShares Restaurant ETF   EATZ   April 20, 2021  
AdvisorShares STAR Global Buy-Write ETF   VEGA   September 17, 2012  
AdvisorShares Vice ETF   VICE   December 12, 2017  

 

AdvisorShares Alpha DNA Equity Sentiment ETF (“Alpha DNA Equity Sentiment ETF”) seeks to provide long-term capital appreciation.

 

AdvisorShares Dorsey Wright ADR ETF (“Dorsey Wright ADR ETF”) seeks long-term capital appreciation above international benchmarks such as the MSCI EAFE Index.

 

AdvisorShares Dorsey Wright FSM All Cap World ETF (“Dorsey Wright FSM All Cap World ETF”) seeks to provide long-term capital appreciation with capital preservation as a secondary objective.

 

AdvisorShares Dorsey Wright FSM US Core ETF (“Dorsey Wright FSM US Core ETF”) seeks to provide long-term capital appreciation with capital preservation as a secondary objective.

 

AdvisorShares Dorsey Wright Short ETF (“Dorsey Wright Short ETF”) seeks capital appreciation through short selling securities.

 

151

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

1. Organization – (continued)

 

AdvisorShares Dorsey Wright Small Company ETF (“Dorsey Wright Small Company ETF”) seeks long term capital appreciation.

 

AdvisorShares Focused Equity ETF (“Focused Equity ETF”) seeks long-term capital appreciation.

 

AdvisorShares Gerber Kawasaki ETF (“Gerber Kawasaki ETF”) seeks long-term capital appreciation. AdvisorShares Hotel ETF (“Hotel ETF”) seeks to provide long-term capital appreciation.

 

AdvisorShares Insider Advantage ETF (“Insider Advantage ETF”) seeks long-term capital appreciation.

 

AdvisorShares Let Bob AI Powered Momentum ETF (“Let Bob AI Powered Momentum ETF”) seeks long-term capital appreciation.

 

AdvisorShares MSOS 2X Daily ETF (“MSOS Daily 2X Daily ETF”) seeks daily investment results that, before fees and expenses, correspond to two times (2x) the daily total return of the US Cannabis ETF.

 

AdvisorShares Newfleet Multi-Sector Income ETF (“Newfleet Multi-Sector Income ETF”) seeks to provide current income consistent with preservation of capital, while limiting fluctuations in net asset value (“NAV”) due to changes in interest rates.

 

AdvisorShares Poseidon Dynamic Cannabis ETF (“Poseidon Dynamic Cannabis ETF”) seeks long-term capital appreciation.

 

AdvisorShares Psychedelics ETF (“Psychedelics ETF”) seeks long-term capital appreciation.

 

AdvisorShares Pure Cannabis ETF (“Pure Cannabis ETF”) seeks long-term capital appreciation.

 

AdvisorShares Pure US Cannabis ETF (“Pure US Cannabis ETF”) seeks long-term capital appreciation.

 

AdvisorShares Q Dynamic Growth ETF (“Q Dynamic Growth ETF”) seeks to achieve long-term growth.

 

AdvisorShares Ranger Equity Bear ETF (“Ranger Equity Bear ETF”) seeks capital appreciation through short sales of domestically traded equity securities.

 

AdvisorShares Restaurant ETF (“Restaurant ETF”) seeks to provide long-term capital appreciation.

 

AdvisorShares STAR Global Buy-Write ETF (“STAR Global Buy-Write ETF”) seeks consistent repeatable returns across all market cycles.

 

AdvisorShares Vice ETF (“Vice ETF”) seeks long-term capital appreciation.

 

Some of the Funds are considered “funds of funds” and seek to achieve their investment objectives by investing primarily in other affiliated and unaffiliated exchange-traded funds (“ETFs”), as well as other exchange-traded products (“ETPs”), including, but not limited to, exchange-traded notes (“ETNs”) and closed-end funds (collectively with ETFs, ETNs, and ETPs), that offer diversified exposure to various global regions, credit qualities, durations and maturity dates.

 

Each Fund, except the Gerber Kawasaki ETF, Hotel ETF, MSOS 2X Daily ETF, Poseidon Dynamic Cannabis ETF, Psychedelics ETF, Pure Cannabis ETF, Pure US Cannabis ETF, and Restaurant ETF, is a diversified investment company under the Investment Company Act of 1940 (the “1940 Act”).

 

152

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

1. Organization – (continued)

 

For the year ended June 30, 2023, the Funds held significant positions (greater than 25% of net assets), except those invested in short term money market instruments, in other funds as follows:

 

Fund   Security Name   Market Value
as of
June 30,
2023
    % of Fund
Net Assets
as of
June 30,
2023
    Reference location  
Dorsey Wright FSM All Cap World ETF   First Trust NASDAQ-100 Equal Weighted Index Fund   $ 44,853,209       52.0 %   https://www.ftportfolios.com  
    iShares MSCI EAFE ETF     40,384,167       46.9     https://www.ishares.com  
                       
Dorsey Wright FSM US Core ETF   Invesco QQQ Trust Series 1     46,558,741       52.0     https://www.invesco.com  
    Invesco S&P 500 Equal Weight ETF     42,271,355       47.2     https://www.invesco.com  
                       
Pure Cannabis ETF   AdvisorShares Pure US Cannabis ETF     19,211,102       56.5     Contained within this report.  
                           
Q Dynamic Growth ETF   Invesco QQQ Trust Series 1     11,237,756       39.6     https://www.invesco.com  
    Technology Select Sector SPDR Fund     8,857,993       31.2     https://www.ssga.com  
                           
STAR Global Buy-Write ETF   SPDR S&P 500 ETF Trust     21,225,133       39.5     https://us.spdrs.com  

 

2. Summary of Significant Accounting Policies

 

These financial statements are prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) which require management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of the financial statements and the reported amounts of increases and decreases in net assets from operations during the reporting period. Actual results could differ from those estimates.

 

Investment Valuation

 

In computing each Fund’s NAV, the Fund’s portfolio investments are generally valued based on their last readily available market price. Price information on listed securities, including Underlying ETFs, is taken from the exchange where the security is primarily traded. Securities regularly traded in an over-the-counter (“OTC”) market are valued at the latest quoted sales price on the primary exchange or national securities market on which such securities are traded. Securities not listed on an exchange or national securities market, or securities in which there was no last reported sales price, are valued at the most recent bid price. When market quotations are not readily available, a portfolio investment’s fair value will be determined and such fair valuations will be used in calculating a Fund’s NAV.

 

153

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

2. Summary of Significant Accounting Policies – (continued)

 

The Board of Trustees of the Trust has adopted valuation policies and procedures pursuant to which it has designated AdvisorShares Investments, LLC (the “Advisor”) to determine the fair value of each Fund’s investments, subject to the Board’s oversight, when market prices for those investments are not readily available, including when they are determined to be unreliable. Fair value determinations are made in good faith and in accordance with the fair value methodologies established by the Advisor.

 

Investment Transactions

 

Investment transactions are accounted for on the trade date. Realized gains and losses on sales of investment securities are calculated using the identified cost method. Dividend income and distributions to shareholders are recognized on the ex-dividend date and interest income and expenses are recognized on the accrual basis. Premiums and discounts are amortized over the life of the bond using the effective interest method.

 

Distributions received from investments in Real Estate Investment Trusts (“REITs”) are recorded as dividend income on ex-dividend date, subject to reclassification upon notice of the character of such distributions by the issuer. The portion of dividend attributable to the return of capital is recorded against the cost basis of the security.

 

Foreign Taxes

 

The Funds may be subject to foreign taxes (a portion of which may be reclaimable) on income, capital gains on investments, certain foreign currency transactions or other corporate events. All foreign taxes are recorded in accordance with the applicable foreign tax regulations and rates that exist in the foreign jurisdictions in which the Funds invest. These foreign taxes, if any, are paid by the Funds and are reflected in their Statements of Operations.

 

Expenses

 

Expenses of the Trust, which are directly identifiable to a specific Fund, are applied to that Fund. Expenses which are not readily identifiable to a specific Fund are allocated in such a manner as deemed equitable, taking into consideration the nature and type of expense and the relative net assets of each Fund.

 

Futures Contracts

 

Certain Funds may invest in futures contracts (“futures”), in order to hedge its investments against fluctuations in value caused by changes in prevailing interest rates or market conditions. Such Funds may invest in futures as a primary investment strategy. Investments in futures may increase or leverage exposure to a particular market risk, thereby increasing price volatility of derivative instruments a Fund holds. No monies are paid or received by a Fund upon the purchase or sale of a futures contract. Initially, a Fund will be required to deposit with the broker an amount of cash or cash equivalents, known as initial margin, based on the value of the contract. Subsequent payments, called variation margin, to and from the broker, will be made on a daily basis as the price of the underlying instruments fluctuates, making the long and short positions in the futures contract more or less valuable, a process known as ‘marking-to-the-market’. Once a final determination of variation margin is made, additional cash is required to be paid by or released to a Fund, and the Fund will realize a loss or gain. A Fund may be subject to the risk that the change in the value of the futures contract may not correlate perfectly with the underlying index. Use of long futures contracts subjects a Fund to risk of loss in excess of the amounts shown on the Statements of Assets and Liabilities, up to the notional

 

154

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

2. Summary of Significant Accounting Policies – (continued)

 

value of the futures contracts. Use of short futures contracts subjects a Fund to unlimited risk of loss. A Fund may enter into futures contracts only on exchanges or boards of trade. The exchange or board of trade acts as the counterparty to each futures contract; therefore, a Fund’s credit risk is limited to failure of the exchange or board of trade. Under some circumstances, futures exchanges may establish daily limits on the amount that the price of a futures contract can vary from the previous day’s settlement price, which could effectively prevent liquidation of unfavorable positions.

 

Swap Agreements

 

Certain Funds may invest in equity swaps to obtain exposure to the underlying referenced security, obtain leverage or enjoy the returns from ownership without actually owning equity. Equity swaps are two-party contracts that generally obligate one party to pay the positive return and the other party to pay the negative return on a specified reference security, basket of securities, security index or index component during the period of the swap. Equity swap contracts are marked to market daily based on the value of the underlying security and the change, if any, is recorded as an unrealized gain or loss.

 

Equity swaps normally do not involve the delivery of securities or other underlying assets. Accordingly, the risk of loss with respect to equity swaps is normally limited to the net amount of payments that a Fund is contractually obligated to make. If the other party to an equity swap defaults, a Fund’s risk of loss consists of the net amount of payments that the Fund is contractually entitled to receive, if any.

 

Equity swaps are derivatives, and their value can be very volatile. To the extent that the Advisor or Sub-Advisor, as applicable, does not accurately analyze and predict future market trends, the values of assets or economic factors, a Fund may suffer a loss, which may be substantial. The swap markets in which many types of swap transactions are traded have grown substantially in recent years, with a large number of banks and investment banking firms acting both as principals and as agents. As a result, the markets for certain types of swaps have become relatively liquid. Periodic payments received or paid by a Fund are recorded as realized gains or losses.

 

Repurchase Agreements

 

The Funds may enter into repurchase agreements provided that the value of the underlying collateral, including accrued interest, will equal or exceed the value of the repurchase agreement during the term of the agreement. The underlying collateral for all repurchase agreements is held in safekeeping by the Fund’s custodian or at the Federal Reserve Bank. If the seller defaults and the value of the collateral declines, or if bankruptcy proceedings commence with respect to the seller of the security, realization of the collateral by the respective Fund may be delayed or limited.

 

Short Sales

 

Certain Funds may sell securities it does not own as a hedge against some of its long positions and/or in anticipation of a decline in the market value of that security (short sale). When a Fund makes a short sale, it must borrow the security sold short and deliver it to the broker-dealer through which it made the short sale. A Fund may have to pay a fee to borrow the particular security and may be obligated to remit any interest or dividends received on such borrowed securities. Dividends declared on short positions open are recorded on the ex-date as an expense. A gain, limited to the price at which a Fund sold the security short, or a loss, unlimited in magnitude, will be recognized upon the termination of a short sale if the market price at termination is less than or greater than, respectively, the proceeds originally received. A Fund also is subject to the risk that it may be unable to reacquire a security to terminate a short position except at a price substantially in excess of the last quoted price.

 

155

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

2. Summary of Significant Accounting Policies – (continued)

 

A Fund is required to pledge cash or securities to the broker as collateral for any securities sold short. Collateral requirements are calculated daily based on the current market value of the short positions. Cash deposited with the broker for collateral for securities sold short is recorded as an asset on the Statements of Assets and Liabilities and securities segregated as collateral are denoted in the Schedule of Investments. A Fund may receive or pay the net of the following amounts: (i) a portion of the income from the investment of cash collateral; (ii) the broker’s fee on the borrowed securities; and (iii) a financing charge for the difference in the market value of the short position and cash collateral deposited with the broker. This income or fee is calculated daily based upon the market value of each borrowed security and a variable rate that is dependent on the availability of the security. The net amount of income or fees paid to Ranger Equity Bear ETF for the year ended June 30, 2023 was $4,237,477, which is included as Interest in the Statements of Operations.

 

Deposits with brokers and segregated cash for securities sold short represent cash balances on deposit with the respective Fund’s prime brokers and custodian. A Fund is subject to credit risk should the prime brokers be unable to meet its obligations to the Fund.

 

Options

 

Certain Funds are authorized to write and purchase put and call options. When a Fund writes an option, an amount equal to the premium received by the Fund is reflected as an asset and an equivalent liability. The amount of the liability is subsequently marked to market to reflect the current market value of the option written. When a security is purchased or sold through an exercise of an option, the related premium paid (or received) is added to (or deducted from) the basis of the security acquired or deducted from (or added to) the proceeds of the security sold. When an option expires (or the Fund enters into a closing transaction), the Fund realizes a gain or loss on the option to the extent of the premiums received or paid (or gain or loss to the extent the cost of the closing transaction exceeds the premium paid or received). A Fund, as writer of an option, bears the market risk of an unfavorable change in the price of the security underlying the written option. Written and purchased options are non-income producing investments.

 

Short-Term Investments

 

In addition to repurchase agreements, each Fund may invest in high-quality short-term debt securities and money market instruments on an ongoing basis to maintain liquidity or pending selection of investments in accordance with its policies. These short-term debt securities and money market instruments include shares of other mutual funds, commercial paper, certificates of deposit, bankers’ acceptances and U.S. government securities.

 

Securities Lending

 

The Funds participate in a securities lending program offered by The Bank of New York Mellon (“BNYM”) (the “Program”), providing for the lending of securities to qualified brokers. Securities lending income includes earnings of such temporary cash investments, plus or minus any rebate to a borrower. These earnings (after any rebate) are then divided between BNYM, as a fee for its services under the Program, and the applicable Fund, according to agreed-upon rates. Collateral on all securities loaned is accepted as cash and non-cash and is maintained at a minimum level of 102% (105% in the case of certain foreign securities) of the market value, plus interest, if applicable, of investments on loan. It is the Funds’ policy to obtain additional collateral from or return excess collateral to the borrower by the end of the next business day, following the valuation date of the securities loaned. Therefore, the value of the collateral held may be temporarily less than the value

 

156

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

2. Summary of Significant Accounting Policies – (continued)

 

of the securities on loan. Lending securities entails a risk of loss to a Fund if and to the extent that the market value of the securities loaned were to increase and the borrower did not increase the collateral accordingly, and the borrower fails to return the securities. Under the terms of the Program, the Funds are indemnified for such losses by BNYM. Cash collateral is held in a separate account managed by BNYM, who is authorized to exclusively enter into money market instruments and overnight repurchase agreements, which are collateralized at 102% with securities issued or fully guaranteed by the U.S. Treasury; U.S. Government or any agency, instrumentality or authority of the U.S. Government. The securities purchased with cash collateral received are reflected in the Schedule of Investments. BNYM bears the risk of any deficiency in the amount of the cash collateral available for return to the borrower due to any loss on the collateral invested.

 

The money market instruments and repurchase agreements income related to the Program earned by a Fund is disclosed on the Statements of Operations.

 

The value of loaned securities and related collateral outstanding at June 30, 2023 are shown in the Schedules of Investments and Statements of Assets and Liabilities. Non-cash collateral received by a Fund may not be sold or re-pledged except to satisfy a borrower default. Non-cash collateral is included on a Fund’s Schedules of Investments and Statements of Asset and Liabilities.

 

    Gross
Amounts of
    Gross
Amounts
Offset in the
Statements
    Net Amounts
Presented
in the
Statements
    Gross Amounts not
offset in the
Statements of
Assets and Liabilities
       
Fund and Description   Recognized
Assets and
(Liabilities)
    of Assets
and
(Liabilities)
    of Assets
and
(Liabilities)
    Financial
Instruments
    Collateral
Pledged/
Received
    Net
Amount
 
Alpha DNA Equity Sentiment ETF                                                
Securities Lending   $ (328,345 )   $     $ (328,345 )   $ 328,345 (1)    $     $  
Money Market Instruments     328,345             328,345       328,345              
Dorsey Wright ADR ETF                                                
Securities Lending     (2,144,808 )           (2,144,808 )     2,144,808 (1)             
Money Market Instruments     2,144,808             2,144,808       2,144,808              
Dorsey Wright FSM All Cap World ETF                                                
Securities Lending     (118 )           (118 )     118 (1)             
Money Market Instruments     118             118       118              
Dorsey Wright FSM US Core ETF                                                
Securities Lending     (20,460,356 )           (20,460,356 )     20,460,356 (1)             
Money Market Instruments     20,460,356             20,460,356       20,460,356              
Dorsey Wright Small Company ETF                                                
Securities Lending   $ (304,948 )   $     $ (304,948 )   $ 304,948 (1)    $     $  
Money Market Instruments     304,948             304,948       304,948              
Gerber Kawasaki ETF                                              
Securities Lending     (277,178 )           (277,178 )     277,178 (1)             
Money Market Instruments     277,178             277,178       277,178                
Hotel ETF                                                
Securities Lending     (134,900 )           (134,900 )     134,900 (1)             
Money Market Instruments     134,900             134,900       134,900              

 

157

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

2. Summary of Significant Accounting Policies – (continued)

 

    Gross
Amounts of
    Gross
Amounts
Offset in the
Statements
    Net Amounts
Presented
in the
Statements
    Gross Amounts not
offset in the
Statements of
Assets and Liabilities
       
Fund and Description   Recognized
Assets and
(Liabilities)
    of Assets
and
(Liabilities)
    of Assets
and
(Liabilities)
    Financial
Instruments
    Collateral
Pledged/
Received
    Net
Amount
 
Insider Advantage ETF                                                
Securities Lending     (57,580 )           (57,580 )     57,580 (1)             
Money Market Instruments     57,580             57,580       57,580              
MSOS 2X Daily ETF                                                
Swaps     44,172             44,172                   44,172  
Newfleet Multi-Sector Income ETF                                                
Securities Lending     (617,967 )           (617,967 )     617,967 (1)             
Money Market Instruments     617,967             617,967       617,967              
Poseidon Dynamics Cannabis ETF                                                
Swaps     (14,379 )           (14,379 )                 (14,379 )
Psychedelics ETF                                                
Securities Lending     (704,803 )           (704,803 )     704,803 (1)             
Money Market Instruments     704,803             704,803       704,803              
Swaps                                    
Pure Cannabis ETF                                                
Securities Lending     (1,560,210 )           (1,560,210 )     1,560,210 (1)             
Money Market Instruments     1,560,210             1,560,210       1,560,210              
Swaps                                    
Pure US Cannabis ETF                                                
Swaps     (1,680,461 )           (1,680,461 )                 (1,680,461 )
Restaurant ETF                                                
Securities Lending     (24,505 )           (24,505 )     24,505 (1)             
Money Market Instruments     24,505             24,505       24,505              
STAR Global Buy-Write ETF                                                
Securities Lending     (2,962,076 )           (2,962,076 )     2,962,076 (1)             
Money Market Instruments     2,962,076             2,962,076       2,962,076              
Vice ETF                                                
Securities Lending     (63,503 )           (63,503 )     63,503 (1)             
Money Market Instruments     63,503             63,503       63,503              

 

 
(1) Collateral for securities on loan is included in the Schedules of Investments and consists of Repurchase Agreements and/or shares of Money Market instruments.

 

158

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

2. Summary of Significant Accounting Policies – (continued)

 

Dividends and Distributions

 

Each Fund will generally pay out dividends to shareholders at least annually. Each Fund will distribute its net capital gains, if any, to shareholders annually. Income and capital gain distributions are determined in accordance with income tax regulations which may differ from U.S. generally accepted accounting principles. Distributions are recorded on ex-dividend date.

 

Indemnifications

 

In the normal course of business, each Fund enters into contracts that contain a variety of representations which provide general indemnifications. The Trust’s maximum exposure under these arrangements cannot be known; however, the Trust expects any risk of loss to be remote.

 

Recent Accounting Pronouncement

 

Tailored Shareholder Reports

 

In October 2022, the Securities and Exchange Commission (SEC) adopted a final rule relating to Tailored Shareholder Reports for Mutual Funds and Exchange-Traded Funds (ETFs); Fee Information in Investment Company Advertisements. The rule and form amendments will require mutual funds and ETFs to transmit concise and visually engaging shareholder reports that highlight key information. The amendments also will require that funds tag information in a structured data format. In addition, the rule amendments will require that certain more in-depth information be made available online and available for delivery free of charge to investors on request. The amendments became effective January 24, 2023. There is an 18-month transition period after the effective date of the amendment.

 

Accounting Standards Update 2020-04 Reference Rate Reform

 

In March 2020, the Financial Accounting Standards Board issued Accounting Standards Update (ASU) No. 2020-04, Reference Rate Reform (Topic 848) — Facilitation of the Effects of Reference Rate Reform on Financial Reporting. The amendments in the ASU provide optional temporary financial reporting relief from the effect of certain types of contract modifications due to the planned discontinuation of the LIBOR and other interbank-offered based reference rates as of the end of 2021. The ASU is effective for certain reference rate-related contract modifications that occur during the period March 12, 2020 through December 31, 2024. Management has reviewed the requirements and believes the adoption of this ASU will not have a material impact on the consolidated financial statements.

 

3. Investment Advisory Agreement and Other Agreements

 

Investment Advisory Agreement

 

Each Fund has entered into an investment advisory agreement with the Advisor pursuant to which the Advisor serves as the Fund’s investment adviser. Pursuant to the agreement, the Advisor has overall responsibility for the general management and investment of each Fund’s portfolio, and has ultimate responsibility (subject to oversight by the Trust’s Board of Trustees) for investment and operational oversight of a Fund’s sub-adviser, if applicable. For its services, the Advisor is entitled to an annual management fee from each fund, which is calculated daily and paid monthly based on the Fund’s average daily net assets. From time to time, the Advisor may waive all or a portion of its fee for a fund.

 

159

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

3. Investment Advisory Agreement and Other Agreements – (continued)

 

The Advisor’s annual management fee for each Fund is as follows:

 

Fund   Rate  
Alpha DNA Equity Sentiment ETF   0.76%  
Dorsey Wright ADR ETF   0.75%  
Dorsey Wright FSM All Cap World ETF   0.75%  
Dorsey Wright FSM US Core ETF   0.75%  
Dorsey Wright Short ETF   0.75%  
Dorsey Wright Small Company ETF   0.75%  
Focused Equity ETF   0.75%*  
Gerber Kawasaki ETF   0.75%  
Hotel ETF   0.60%  
Insider Advantage ETF   0.70%  
Let Bob AI Powered Momentum ETF   0.70%  
MSOS 2X Daily ETF   0.85%  
Newfleet Multi-Sector Income ETF   0.50%  
Poseidon Dynamic Cannabis ETF   0.80%  
Psychedelics ETF   0.60%  
Pure Cannabis ETF   0.60%**  
Pure US Canabis ETF   0.60%  
Q Dynamic Growth ETF   1.00%*  
Ranger Equity Bear ETF   1.50%  
Restaurant ETF   0.60%  
STAR Global Buy-Write ETF   0.85%***  
Vice ETF   0.60%  

 

 
* The Advisor’s advisory fee has two components – the base fee (disclosed in the table above) and the performance fee adjustment. The base fee is the pre-determined rate at which the Advisor is paid when the Fund’s net performance is in line with Fund’s pre-determined performance benchmark. The base fee is subject to an upward or downward adjustment by the performance fee. If the Fund outperforms the performance benchmark, the Advisor may receive an upward fee adjustment. If the Fund underperforms the performance benchmark, the Advisor may receive a downward fee adjustment. The Advisor’s annual base fee based on the Fund’s average daily net assets. The performance fee adjustment is derived by comparing the Fund’s performance over a rolling twelve-month period to its performance benchmark, which is set forth in the table below. The base fee is adjusted at a rate of 0.02% for every 0.25% to 0.50% of out-performance or under-performance compared to the performance benchmark, but only up to 2.00% of the performance benchmark. As a result, the maximum possible performance fee adjustment, up or down, to the base fee is 0.10%. Accordingly, the Advisor’s annual advisory fee may range as follows, based on the Fund’s average daily net assets:

 


Fund
 
 
Performance
Benchmark
 
 
Annual Advisory
Fee Range
 
 
Focused Equity ETF   S&P 500 Index   0.65% to 0.85%  
Q Dynamic Growth ETF   S&P 500 Index   0.90% to 1.10%  

 

 
** The Fund’s advisory fee is 0.60% less the acquired fund fees and expenses related to any investment in AdvisorShares Pure US Cannabis ETF.
*** Effective October 1, 2022, the Fund’s advisory fee was changed from 1.35% to 0.85% of the Fund’s average daily net assets.

 

160

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

3. Investment Advisory Agreement and Other Agreements – (continued)

 

Sub-Advisory Agreements

 

Each Fund’s investment sub-adviser, as applicable, provides investment advice and management services to its respective Fund(s). The Advisor supervises the day-to-day investment and reinvestment of the assets in each Fund and is responsible for monitoring the Fund’s adherence to its investment mandate. Pursuant to an investment sub-advisory agreement between each sub-adviser and the Advisor, the sub-adviser is entitled to a fee, which is paid by the Advisor and is not an additional expense of the applicable Fund, that is calculated daily and paid monthly by the Advisor, at an annual rate based on the average daily net assets of its respective Fund(s) as follows:

 

   
Sub-Advisor
  Sub-Advisory
Fee Rate
 
Alpha DNA Equity Sentiment ETF   Alpha DNA Investment Management LLC     0.45 %
Dorsey Wright ADR ETF   Dorsey, Wright & Associates, LLC     0.25 %
Dorsey Wright Short ETF   Dorsey, Wright & Associates, LLC     0.25 %
Dorsey Wright Small Company ETF   Dorsey, Wright & Associates, LLC     0.25 %
Gerber Kawasaki ETF   Gerber Kawasaki, Inc.     0.50 %
Newfleet Multi-Sector Income ETF   Newfleet Asset Management, LLC     0.25 %
Poseidon Dynamic Cannabis ETF   Poseidon Investment Management, LLC     0.50 %
Ranger Equity Bear ETF   Ranger Alternative Management, L.P.     1.00 %
STAR Global Buy-Write ETF   CreativeOne Wealth, LLC     0.55 %*

 

 
* Effective October 1, 2022, the Fund’s sub-advisory fee was changed from 0.85% to 0.55% of the Fund’s daily net assets.

 

From time to time, a sub-adviser may waive all or a portion of its fee for a fund.

 

Expense Limitation Agreement

 

The Advisor has contractually agreed to waive its fees and/or reimburse expenses in order to keep net expenses (excluding amounts payable pursuant to any plan adopted in accordance with Rule 12b-1, interest expense, taxes, brokerage commissions, acquired fund fees and expenses, other expenditures which are capitalized in accordance with generally accepted accounting principles, and extraordinary expenses) from exceeding a specified percentage of each Fund’s average daily net assets for at least one year from the date of the Fund’s currently effective prospectus. The expense limitation agreement may be terminated without payment of any penalty (i) by the Trust for any reason and at any time and (ii) by the Advisor, for any reason, upon ninety (90) days’ prior written notice to the Trust, such termination to be effective as of the close of business on the last day of the then-current one-year period. If at any point it becomes unnecessary for the Advisor to waive fees or reimburse expenses, the Board may permit the Advisor to retain the difference between the Fund’s total annual operating expenses and the expense limitation currently in effect, or, if the current expense limitation is lower, the expense limitation that was in effect at the time of the waiver and/or reimbursement, to recapture

 

161

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

3. Investment Advisory Agreement and Other Agreements – (continued)

 

all or a portion of its prior fee waivers or expense reimbursements within three years of the date they were waived or reimbursed. The expense limits in effect for each Fund during the year ended June 30, 2023 were as follows:

 

Fund:   Rate:  
Alpha DNA Equity Sentiment ETF   1.35%  
Dorsey Wright ADR ETF   1.10%  
Dorsey Wright FSM All Cap World ETF   0.99%  
Dorsey Wright FSM US Core ETF   0.99%  
Dorsey Wright Short ETF   1.25%  
Dorsey Wright Small Company ETF   1.25%  
Focused Equity ETF   0.65%-0.85%(a)   
Gerber Kawasaki ETF   0.75%  
Hotel ETF   0.99%  
Insider Advantage ETF   0.90%  
Let Bob AI Powered Momentum ETF   0.99%  
MSOS 2X Daily ETF   0.95%  
Newfleet Multi-Sector Income ETF   0.75%  
Poseidon Dynamic Cannabis ETF   0.99%  
Psychedelics ETF   0.99%  
Pure Cannabis ETF   0.74%  
Pure US Cannabis ETF   0.74%  
Q Dynamic Growth ETF   1.45%  
Ranger Equity Bear ETF   1.85%  
Restaurant ETF   0.99%  
STAR Global Buy-Write ETF   1.85%  
Vice ETF   0.99%  

 

 
(a) The expense limit is equal to the annual rate of the Advisor’s contractual advisory fee, which can range from 0.65% to 0.85%.

 

The Advisor may recapture operating expenses waived and/or reimbursed within three years after the date on which such waiver or reimbursement occurred. The Funds must pay their ordinary operating expenses before the Advisor is permitted to recapture and must remain in compliance with any applicable expense limitation. All or a portion of the following Advisor waived and/or reimbursed expenses may be recaptured during the fiscal years indicated:

 


Fund

 
Expenses
Reimbursed

 

 
Recoupment
Balance

 

 
Recoupment
Expiration

 
Alpha DNA Equity Sentiment ETF   $ 609   $ 609     6/30/2026  
      609       609        
                       
Dorsey Wright ADR ETF     12,898       12,898     6/30/2025  
      18,402       18,402     6/30/2026  
Total     31,300       31,300        
                       
Dorsey Wright FSM All Cap World ETF     32,530       14,930     6/30/2025  
      1,457           6/30/2026  
Total     33,987       14,930        

 

162

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

3. Investment Advisory Agreement and Other Agreements – (continued)

 

    Expenses     Recoupment     Recoupment  
Fund   Reimbursed     Balance     Expiration  
Dorsey Wright FSM US Core ETF   $ 24,662   $   18,117     6/30/2025  
      2,491           6/30/2026  
Total     27,153       18,117        
                       
Dorsey Wright Short ETF     18,585       607     6/30/2024  
      1,223           6/30/2026  
Total     19,808       607        
                       
Dorsey Wright Small Company ETF     82,864       82,864     6/30/2024  
      63,589       63,589     6/30/2025  
      93,859       93,727     6/30/2026  
Total     240,312       240,180        
                       
Focused Equity ETF     125,958       125,958     6/30/2024  
      134,742       134,742     6/30/2025  
      137,790       137,790     6/30/2026  
Total     398,490       398,490        
                       
Gerber Kawasaki ETF     110,127       110,127     6/30/2025  
      93,397       93,397     6/30/2026  
Total     203,524       203,524        
                       
Hotel ETF     47,304       47,304     6/30/2024  
      28,064       28,064     6/30/2025  
      70,955       70,955     6/30/2026  
Total     146,323       146,323        
                       
Insider Advantage ETF     67,609       67,609     6/30/2024  
      31,171       31,171     6/30/2025  
      67,433       67,433     6/30/2026  
Total     166,213       166,213        
                       
Let Bob AI Powered Momentum ETF     42,558       42,558     6/30/2025  
      27,421       27,421     6/30/2026  
Total     69,979       69,979        
                       
MSOS 2x Daily ETF     140,628       140,585     6/30/2026  
      140,628       140,585        
Newfleet Multi-Sector Income ETF     21,007       21,007     6/30/2024  
      13,998       13,998     6/30/2025  
      137,918       137,918     6/30/2026  
Total     172,923       172,923        
                       
Poseidon Dynamic Cannabis ETF     65,585       65,585     6/30/2025  
      88,894       88,894     6/30/2026  
Total     154,479       154,479        

 

163

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

3. Investment Advisory Agreement and Other Agreements – (continued)

 

    Expenses     Recoupment     Recoupment  
Fund   Reimbursed     Balance     Expiration  
Psychedelics ETF   $ 94,175     $ 94,175     6/30/2025  
      140,498       140,498     6/30/2026  
Total     234,673       234,673        
                       
Pure Cannabis ETF     283,232       283,232     6/30/2025  
      165,820       165,820     6/30/2026  
Total     449,052       449,052        
                       
Pure US Cannabis ETF     291,422       291,422     6/30/2025  
      145,696       136,205     6/30/2026  
Total     437,118       427,627        
                       
Q Dynamic Growth ETF     3,158           6/30/2025  
      2,148       2,148     6/30/2026  
Total     5,306       2,148        
                       
Restaurant ETF     47,820       47,820     6/30/2024  
      47,970       47,970     6/30/2025  
      77,174       77,174     6/30/2026  
Total     172,964       172,964        
                       
STAR Global Buy-Write ETF     78,833       26,516     6/30/2024  
      3,755       3,755     6/30/2025  
Total     82,588       30,271        
                       
Vice ETF     83,764       83,764     6/30/2024  
      73,954       73,954     6/30/2025  
      82,098       82,098     6/30/2026  
Total     239,816       239,816        

 

Administrator, Custodian, Fund Accountant and Transfer Agent

 

The Bank of New York Mellon (“BNYM”) serves as the Funds’ administrator, fund accountant, custodian, and transfer agent pursuant to a Fund Administration and Accounting Agreement, a Custody Agreement and a Transfer Agency and Service Agreement, as the case may be.

 

Distribution Arrangement

 

Foreside Fund Services, LLC (the “Distributor”) serves as the distributor of Creation Units (defined below) for each Fund pursuant to a distribution agreement. The Distributor does not maintain any secondary market shares. The Funds have adopted a Distribution and Service Plan (“Plan”) pursuant to Rule 12b-1 under the 1940 Act. In accordance with its Plan, each Fund is authorized to pay an amount up to 0.25% of its average daily net assets each year for certain distribution-related activities. No fee is currently paid by any Fund under the Plan, and there are no current plans to impose the fee. However, in the event a Fund were to charge a Rule 12b-1 fee, over time it would increase the cost of an investment in the Fund.

 

164

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

4. Creation and Redemption Transactions

 

The Funds issue and redeem shares on a continuous basis at NAV in groups of shares called “Creation Units.” Except when aggregated in Creation Units, shares are not redeemable securities of a Fund. Only “Authorized Participants” may purchase or redeem shares directly from each Fund. An Authorized Participant is either (i) a “participating party”, i.e., a broker-dealer or other participant in the clearing process through the Continuous Net Settlement System of the National Securities Clearing Corporation or (ii) a DTC participant and, in each case, must have executed a Participant Agreement with the Distributor with respect to creations and redemptions of Creation Units. Most retail investors will not qualify as Authorized Participants or have the resources to buy and sell whole Creation Units. Therefore, they will be unable to purchase or redeem the shares directly from a Fund. Rather, most retail investors will purchase shares in the secondary market with the assistance of a broker and will be subject to customary brokerage commissions or fees.

 

5. Summary of Fair Value Disclosure

 

The Financial Accounting Standard Board’s (“FASB”) Accounting Standards Codification (“ASC”) 820-10, Fair Value Measurements and Disclosures, defines fair value, establishes an authoritative framework for measuring fair value in accordance with generally accepted accounting principles, and expands disclosure about fair value measurements. Various inputs are used in determining the value of each Fund’s investments. These inputs are summarized in the three broad levels listed below:

 

Level 1 — Unadjusted quoted prices in active markets for identical assets or liabilities that the company has the ability to access.

 

Level 2 — Observable inputs other than quoted prices included in Level 1 that are observable for the asset or liability either directly or indirectly. These inputs may include quoted prices for the identical instrument on an inactive market, prices for similar instruments, interest rates, prepayment speeds, credit risk, yield curves, default rates, and similar data.

 

Level 3 — Unobservable inputs for the asset or liability to the extent that relevant observable inputs are not available, representing the company’s own assumptions about the assumptions that a market participant would use in valuing the asset or liability, and that would be based on the best information available.

 

Investments that use Level 2 or Level 3 inputs may include, but are not limited to: (i) an unlisted security related to corporate actions; (ii) a restricted security (e.g., one that may not be publicly sold without registration under the Securities Act of 1933 as amended); (iii) a security whose trading has been suspended or which has been de-listed from its primary trading exchange; (iv) a security that is thinly traded; (v) a security in default or bankruptcy proceedings for which there is no current market quotation; (vi) a security affected by currency controls or restrictions; and (vii) a security affected by a significant event (e.g., an event that occurs after the close of the markets on which the security is traded but before the time as of which a Fund’s net asset value is computed and that may materially affect the value of the Fund’s investment). Examples of events that may be “significant events” are government actions, natural disasters, armed conflicts and acts of terrorism. The inputs or methodology used for valuing securities are not necessarily an indication of the risk associated with investing in those securities.

 

For more detailed categories, see the accompanying Schedules of Investments.

 

165

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

6. Derivative Instruments

 

The Funds have adopted authoritative standards of accounting for derivative instruments which establish enhanced disclosure requirements. These standards improve financial reporting for derivative instruments by requiring enhanced disclosures that enables investors to understand how and why a fund uses derivative instruments, how derivative instruments are accounted for and how derivative instruments affect a fund’s financial position and results of operations. Certain Funds use derivative instruments as part of their principal investment strategies to seek to achieve their investment objective.

 

At June 30, 2023, the fair values of derivative instruments were as follows:

 

Statements of Assets and Liabilities:

 

Fund   Asset Derivatives   Equity Risk  
Alpha DNA Equity Sentiment ETF   Investments, Market Value(1)   $ 153,577  
MSOS 2X Daily ETF   Unrealized Appreciation on OTC Swap Contracts     44,172  
Pure US Cannabis ETF   Unrealized Appreciation on OTC Swap Contracts     8,683  
STAR Global Buy-Write ETF   Investments, Market Value(1)     12,575  

 

Fund   Liability Derivatives   Equity Risk  
Poseidon Dynamic Cannabis ETF   Unrealized Depreciation on OTC Swap Contracts   $ 14,379  
Pure US Cannabis ETF   Unrealized Depreciation on Swaps Contracts     1,689,144  
STAR Global Buy-Write ETF   Options Written, at value     19,598  

 

 
(1) Purchased options are included in Investments, at Market Value.

 

Transactions in derivative instruments during the year ended June 30, 2023, were as follows:

 

Statements of Operations:

 

Fund   Realized Gain (Loss)   Equity Risk  
Alpha DNA Equity Sentiment ETF   Purchased Options   $ (3,133,300 )
MSOS 2X Daily ETF   Swaps     (11,579,539 )
Poseidon Dynamic Cannabis ETF   Swaps     (2,726,358 )
Psychedelics ETF   Swaps     (578,930 )
Pure Cannabis ETF   Swaps     (23,853,312 )
Pure US Cannabis ETF   Swaps     (734,588,984 )
STAR Global Buy-Write ETF   Options Written     (18,438 )

 

Fund   Change in Unrealized Gain (Loss)   Equity Risk  
Alpha DNA Equity Sentiment ETF   Purchased Options   $ (544,300 )
MSOS 2X Daily ETF   Swaps     44,172  
Poseidon Dynamic Cannabis ETF   Swaps     (2,817 )
Psychedelics ETF   Swaps     493,154  
Pure Cannabis ETF   Swaps     21,822,874  
Pure US Cannabis ETF   Swaps     385,622,141  
STAR Global Buy-Write ETF   Options Written     (26,166 )
STAR Global Buy-Write ETF   Purchased Options     (76,559 )

 

166

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

6. Derivative Instruments – (continued)

 

For the year ended June 30, 2023, the average volume of the derivatives opened by the Funds was as follows:

 

    Alpha
DNA
Equity
Sentiment
ETF
    MSOS
2X Daily
ETF
    Poseidon
Dynamic
Cannabis ETF
    Psychedelics
ETF
    Pure US
Cannabis
ETF
    STAR
Global
Buy-Write
ETF
 
Long Swaps Contracts   $     $ 213,873     $ 62,650     $ 3,333     $ 2,470,799     $  
Purchased Options Contracts     563,857                               89,134  
Written Options Contracts                                   36,685  

 

7. Federal Income Tax

 

Each Fund intends to qualify as a “regulated investment company” under Sub-chapter M of the Internal Revenue Code of 1986, as amended. If so qualified, the Funds will not be subject to Federal income tax to the extent it distributes substantially all of its net investment income and net capital gains to its shareholders. Accounting for Uncertainty in Income Taxes provides guidance for how uncertain tax positions should be recognized, measured, presented and disclosed in the financial statements, and requires the evaluation of tax positions taken or expected to be taken in the course of preparing a Fund’s tax returns to determine whether the tax positions are “more-likely-than-not” of being sustained by the applicable tax authority. Tax positions not deemed to meet the more-than-likely-than-not threshold would be recorded as a tax benefit or expense in the current year. Interest and penalty related to income taxes would be recorded as income tax expense. Management of the Funds is required to analyze all open tax years (2021 − 2023), as defined by IRS statute of limitations, for all major jurisdictions, including federal tax authorities and certain state tax authorities. As of June 30, 2023, the Funds did not have a liability for any unrecognized tax benefits. The Funds have no examination in progress and is not aware of any tax positions for which it is reasonably possible that the amounts of unrecognized tax benefits will significantly change in the next twelve months.

 

At June 30, 2023, the approximate cost of investments, excluding short positions, and net unrealized appreciation (depreciation) for federal income tax purposes was as follows:

 

Fund   Cost     Gross
Unrealized
Appreciation
    Gross Unrealized
(Depreciation)
    Net
Unrealized
Appreciation
(Depreciation)
    Other
Derivatives
Net Unrealized
Appreciation
(Depreciation)
 
Alpha DNA Equity Sentiment ETF   $ 16,248,103     $ 1,439,131     $ (269,811 )   $ 1,169,320     $  
Dorsey Wright ADR ETF     28,111,061       3,528,481       (713,694 )     2,814,787        
Dorsey Wright FSM All Cap World ETF     82,353,683       4,193,290       (218,870 )     3,974,420        
Dorsey Wright FSM US Core ETF     103,977,045       6,647,187       (524,425 )     6,122,762        
Dorsey Wright Short ETF     36,227,717                         6,246,606  
Dorsey Wright Small Company ETF     4,556,665       846,495       (203,413 )     643,082          
Focused Equity ETF     60,597,521       10,411,615       (929,375 )     9,482,240        
Gerber Kawasaki ETF     18,231,892       1,515,967       (1,841,465 )     (325,498 )      
Hotel ETF     4,077,816       400,604       (114,084 )     286,520        
Insider Advantage ETF     38,135,108       5,190,906       (1,003,882 )     4,187,024        
Let Bob AI Powered Momentum ETF     26,333,579       85,874       (131,992 )     (46,118 )      
MSOS 2x Daily ETF     7,010,606                         44,172  

 

167

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

7. Federal Income Tax – (continued)

 

Fund   Cost     Gross
Unrealized
Appreciation
    Gross Unrealized
(Depreciation)
    Net
Unrealized
Appreciation
(Depreciation)
    Other
Derivatives
Net Unrealized
Appreciation
(Depreciation)
 
Newfleet Multi-Sector Income ETF   $ 19,152,389     $ 9,997     $ (1,011,745 )   $ (1,001,748 )   $  
Poseidon Dynamic Cannabis ETF     1,427,582       3,173,086       (3,367,226 )     (194,140 )     (14,379 )
Psychedelics ETF     15,596,454       126,002       (8,101,649 )     (7,975,647 )      
Pure Cannabis ETF     178,809,485       104,073       (143,419,868 )     (143,315,795 )      
Pure US Cannabis ETF     83,439,065       685,508,038       (719,901,558 )     (34,393,520 )     (1,680,461 )
Q Dynamic Growth ETF     27,883,892       898,235       (360,505 )     537,730        
Ranger Equity Bear ETF     140,668,025                         (10,845,253 )
Restaurant ETF     2,371,320       400,659       (64,042 )     336,617        
STAR Global Buy-Write ETF     55,946,468       2,705,833       (1,898,124 )     807,709       1,983  
Vice ETF     9,101,647       1,029,605       (230,530 )     799,075        

 

At June 30, 2023, the components of distributable earnings/loss on a tax basis were as follows:

 

Fund   Undistributed
Ordinary
Income
    Undistributed
Long-Term
Capital Gains
    Capital Loss
Carryforward
    Timing
Differences
    Post-
October/
Late-year
Ordinary
Deferrals
    Net Unrealized
Appreciation
(Depreciation)
    Total Earnings
(Losses)
 
Alpha DNA Equity Sentiment ETF   $ 260,018     $     $ (18,957,523 )   $ (8,720 )   $  —     $ 1,169,320     $ (17,536,905 )
Dorsey Wright ADR ETF     42,335             (55,253,681 )                 2,814,787       (52,396,559 )
Dorsey Wright FSM All Cap World ETF     1,203,483             (26,859,423 )     (10,444 )           3,974,420       (21,691,964 )
Dorsey Wright FSM US Core ETF     150,200             (3,335,983 )     (10,444 )           6,122,762       2,926,535  
Dorsey Wright Short ETF     1,154,672             (94,834,286 )                 6,246,606       (87,433,008 )
Dorsey Wright Small Company ETF     64,388             (3,024,127 )                 643,082       (2,316,657 )
Focused Equity ETF     97,263             (624,767 )                 9,482,240       8,954,736  
Gerber Kawasaki ETF     15,512             (7,962,841 )     (8,626 )           (325,498 )     (8,281,453 )
Hotel ETF     35,672             (1,408,779 )     (12,701 )           286,520       (1,099,288 )
Insider Advantage ETF     331,321             (28,190,167 )                 4,187,024       (23,671,822 )
Let Bob AI Powered Momentum ETF     453,317             (2,415,378 )     (9,055 )           (46,118 )     (2,017,234 )
MSOS 2x Daily ETF                 (11,139,728 )     (22,989 )     (254,435 )     44,172       (11,372,980 )
Newfleet Multi-Sector Income ETF     48,131             (13,636,887 )     (616 )           (1,001,748 )     (14,591,120 )
Poseidon Dynamic Cannabis ETF                 (11,495,663 )     (25,826 )     (28,004 )     (208,519 )     (11,758,012 )
Psychedelics ETF     1,863             (3,455,058 )     (21,779 )           (7,975,647 )     (11,450,621 )
Pure Cannabis ETF     69,296             (133,147,109 )                 (143,315,795 )     (276,393,608 )
Pure US Cannabis ETF                 (1,539,519,031 )     (107,827 )     (10,271,580 )     (36,073,981 )     (1,585,972,419 )
Q Dynamic Growth ETF                 (5,379,364 )     (10,490 )     (75,931 )     537,730       (4,928,055 )
Ranger Equity Bear ETF     3,304,315             (383,433,169 )                 (10,845,253 )     (390,974,107 )
Restaurant ETF     8,059             (1,077,845 )     (12,701 )           336,617       (745,870 )
STAR Global Buy-Write ETF     308,482             (719,844 )     (652,144 )           809,692       (253,814 )
Vice ETF     67,703             (1,163,999 )                 799,075       (297,221 )

 

The differences between book and tax basis components of net assets are primarily attributed to wash sale loss deferrals and other book/tax differences.

 

168

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

7. Federal Income Tax – (continued)

 

At June 30, 2023, the effect of permanent book/tax reclassifications resulted in increases/(decreases) to the components of net assets as follows:

 

Fund   Distributable
Earnings
(Loss)
    Paid-in
Capital
 
Alpha DNA Equity Sentiment ETF   $ (2,564,970 )   $ 2,564,970  
Dorsey Wright ADR ETF     (850,492 )     850,492  
Dorsey Wright FSM All Cap World ETF     145,250       (145,250 )
Dorsey Wright FSM US Core ETF     16,317       (16,317 )
Dorsey Wright Short ETF            
Dorsey Wright Small Company ETF     (139,256 )     139,256  
Focused Equity ETF     (2,144,599 )     2,144,599  
Gerber Kawasaki ETF     (66,225 )     66,225  
Hotel ETF     (338,859 )     338,859  
Insider Advantage ETF     (5,754,226 )     5,754,226  
Let Bob AI Powered Momentum ETF     7       (7 )
MSOS 2x Daily ETF     27,871       (27,871 )
Newfleet Multi-Sector Income ETF     (100 )     100  
Poseidon Dynamic Cannabis ETF     179,122       (179,122 )
Psychedelics ETF     10       (10 )
Pure Cannabis ETF     2,275,658       (2,275,658 )
Pure US Cannabis ETF     24,984,239       (24,984,239 )
Q Dynamic Growth ETF     3,496,260       (3,496,260 )
Ranger Equity Bear ETF            
Restaurant ETF     13,441       (13,441 )
STAR Global Buy-Write ETF            
Vice ETF     (126,968 )     126,968  

 

For financial reporting purposes, capital accounts are adjusted to reflect the tax character of permanent book/tax differences. Reclassifications are primarily due to the tax treatment of net operating losses and redemptions-in-kind.

 

169

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

7. Federal Income Tax – (continued)

 

The tax character of distributions paid during the fiscal years ended June 30, 2023 and 2022 were as follows:

 

Fund   2023
Ordinary
Income
    2023 Long
Term
Capital
Gains
    2023
Return of
Capital
    2022
Ordinary
Income
    2022 Long
Term
Capital
Gains
    2022
Return of
Capital
 
Alpha DNA Equity Sentiment ETF   $     $     $     $     $     $  
Dorsey Wright ADR ETF     830,502                   1,200,067              
Dorsey Wright FSM All Cap World ETF     459,135                   2,192,696              
Dorsey Wright FSM US Core ETF     703,469                   367,102              
Dorsey Wright Short ETF                                    
Dorsey Wright Small Company ETF     38,414                   38,855             9,609  
Focused Equity ETF     155,922                   52,120              
Gerber Kawasaki ETF     185,487                   9,594              
Hotel ETF     9,873                   32,154              
Insider Advantage ETF     693,692                   520,610              
Let Bob AI Powered Momentum ETF     164,137                                
MSOS 2x Daily ETF                                    
Newfleet Multi-Sector Income ETF     1,018,031                   1,469,967              
Poseidon Dynamic Cannabis ETF                                    
Psychedelics ETF     160,462                                
Pure Cannabis ETF     305,589                   7,501,781             252,376  
Pure US Cannabis ETF                       3,055,414              
Q Dynamic Growth ETF                                    
Ranger Equity Bear ETF                                    
Restaurant ETF     53,627                   6,358              
STAR Global Buy-Write ETF     650,549       67,088             166,381              
Vice ETF     80,580                   118,472              

 

Under current tax regulations, capital losses on securities transactions realized after October 31 (“Post-October Losses”) may be deferred and treated as occurring on the first business day of the following fiscal year. Under the Regulated Investment Company Modernization Act of 2010, the Funds are permitted to defer taxable ordinary income losses incurred after December 31 and treat as occurring on the first business day of the following fiscal year. Post-October losses and ordinary income losses deferred to July 1, 2023 are as follows:

 

Fund   Late Year
Ordinary Loss
Deferral
    Short-Term
Capital Post-
October Loss
    Long-Term
Capital
Post-October
Loss
 
Alpha DNA Equity Sentiment ETF   $     $     $  
Dorsey Wright ADR ETF                  
Dorsey Wright FSM All Cap World ETF                  
Dorsey Wright FSM US Core ETF                  
Dorsey Wright Short ETF                  
Dorsey Wright Small Company ETF                  
Focused Equity ETF                  
Gerber Kawasaki ETF                  

 

170

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

7. Federal Income Tax – (continued)

 

Fund   Late Year
Ordinary Loss
Deferral
    Short-Term
Capital Post-
October Loss
    Long-Term
Capital
Post-October
Loss
 
Hotel ETF   $     $     $  
Insider Advantage ETF                  
Let Bob AI Powered Momentum ETF                  
MSOS 2x Daily ETF     254,435              
Newfleet Multi-Sector Income ETF                  
Poseidon Dynamic Cannabis ETF     28,004              
Psychedelics ETF                  
Pure Cannabis ETF                  
Pure US Cannabis ETF     10,271,580              
Q Dynamic Growth ETF     75,931              
Ranger Equity Bear ETF                  
Restaurant ETF                  
STAR Global Buy-Write ETF                  
Vice ETF                  

 

The following Funds have capital loss carryforwards available to offset future realized gains of:

 

Fund   Short-Term
No Expiration
    Long-Term
No Expiration
    Total  
Alpha DNA Equity Sentiment ETF   $ 18,364,803     $ 592,720     $ 18,957,523  
Dorsey Wright ADR ETF     55,253,681             55,253,681  
Dorsey Wright FSM All Cap World ETF     20,693,876       6,165,547       26,859,423  
Dorsey Wright FSM US Core ETF     3,335,983             3,335,983  
Dorsey Wright Short ETF     94,606,727       227,559       94,834,286  
Dorsey Wright Small Company ETF     2,946,048       78,079       3,024,127  
Focused Equity ETF     108,026       516,741       624,767  
Gerber Kawasaki ETF     5,363,136       2,599,705       7,962,841  
Hotel ETF     650,703       758,076       1,408,779  
Insider Advantage ETF     25,082,023       3,108,144       28,190,167  
Let Bob AI Powered Momentum ETF     2,415,378             2,415,378  
MSOS 2x Daily ETF     11,139,728             11,139,728  
Newfleet Multi-Sector Income ETF     3,468,622       10,168,265       13,636,887  
Poseidon Dynamic Cannabis ETF     11,495,663             11,495,663  
Psychedelics ETF     714,249       2,740,809       3,455,058  
Pure Cannabis ETF     45,542,693       87,604,416       133,147,109  
Pure US Cannabis ETF     1,006,012,439       533,506,592       1,539,519,031  
Q Dynamic Growth ETF     5,244,850       134,514       5,379,364  
Ranger Equity Bear ETF     382,531,805       901,364       383,433,169  
Restaurant ETF     888,531       189,314       1,077,845  
STAR Global Buy-Write ETF     208,178       511,666       719,844  
Vice ETF     970,752       193,247       1,163,999  

 

The Funds did not utilize capital loss carryforwards to offset taxable gains realized during the year ended June 30, 2023.

 

171

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

8. Investment Transactions

 

Purchases and sales of investments and securities sold short (excluding short term securities) for the year ended June 30, 2023 were as follows:

 

    Purchases     Sales  
          U.S.                 U.S.        
Fund   Long Term     Government     In-Kind     Long Term     Government     In-Kind  
Alpha DNA Equity Sentiment ETF   $ 230,604,384     $     $ 317,749     $ 232,711,541     $     $ 39,586,857  
Dorsey Wright ADR ETF     34,314,910             3,185,902       34,585,071             16,962,747  
Dorsey Wright FSM All Cap World ETF     132,664,086             12,696,528       131,709,814             13,738,993  
Dorsey Wright FSM US Core ETF     83,314,262             5,412,245       83,703,748             6,974,481  
Dorsey Wright Short ETF     139,191,968                   116,315,590              
Dorsey Wright Small Company ETF     5,523,211             641,535       5,511,367             3,372,337  
Focused Equity ETF     7,210,135             39,853,373       7,279,639             7,626,044  
Gerber Kawasaki ETF     7,726,412             3,184,885       7,666,570             3,084,884  
Hotel ETF     5,715,866             481,010       5,790,643             2,990,960  
Insider Advantage ETF     124,010,317             28,388,970       121,154,266             37,669,703  
Let Bob AI Powered Momentum ETF     11,148,419             22,765       8,971,022              
MSOS 2x Daily ETF                                    
Newfleet Multi-Sector Income ETF     7,970,545       6,231,401             68,861,151       7,843,466        
Poseidon Dynamic Cannabis ETF     974,938             386,885       1,233,236              
Psychedelics ETF     5,976,446             3,593,220       4,717,373              
Pure Cannabis ETF     26,045,695             427,677       20,551,966             1,703,629  
Pure US Cannabis ETF     3,095,411             4,694,460       40,616,132             2,717,292  
Q Dynamic Growth ETF     17,390,674             3,232,782       17,125,172             21,781,978  
Ranger Equity Bear ETF     1,638,525,074                   1,571,331,257              
Restaurant ETF     3,159,365                   2,627,636             549,261  
STAR Global Buy-Write ETF     9,896,109             12,034,333       11,231,940              
Vice ETF     13,539,081             845,209       12,739,233             869,142  

 

9. Risks Involved with Investing in the Funds

 

As with any investment, an investor could lose all or part of their investment in a Fund and the Fund’s performance could trail that of other investments. A Fund may be subject to one or more principal risks noted below, any of which may adversely affect the Fund’s NAV, trading price, yield, total return and ability to meet its investment objective. Additional principal risks are disclosed in each Fund’s prospectus. Please refer to a Fund’s currently effective prospectus for the specific list and description of the principal risks of investing in the Fund.

 

Cannabis-Related Company Risk

 

Cannabis-related companies are subject to various laws and regulations that may differ at the state/ local and federal level. These laws and regulations may (i) significantly affect a cannabis-related company’s ability to secure financing, (ii) impact the market for marijuana industry sales and services, and (iii) set limitations on marijuana use, production, transportation, and storage. Cannabis-related companies may also be required to secure permits and authorizations from government agencies to cultivate or research marijuana. In addition, cannabis-related companies are subject to the risks associated with the greater agricultural industry, including changes to or trends that affect commodity prices, labor costs, weather conditions, and laws and regulations related to environmental protection, health and safety. Cannabis-related companies may also be subject to risks associated with the biotechnology and pharmaceutical industries. These risks include increased government regulation, the use and enforcement of intellectual property rights and patents, technological change and obsolescence, product liability lawsuits, and the risk that research and development may not necessarily lead to commercially successful products.

 

172

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

9. Risks Involved with Investing in the Funds – (continued)

 

Credit Risk

 

Credit risk is the risk that an issuer or guarantor of debt instruments or the counterparty to a financial transaction, including derivatives contracts, repurchase agreements or loans of portfolio securities, is unable or unwilling to make timely interest and/or principal payments or to otherwise honor its obligations. Each Fund and its affiliates manage counterparty credit risk by entering into transactions only with counterparties that they believe have the financial resources to honor their obligations and by monitoring the financial stability of those counterparties. Financial assets, which potentially expose a Fund to issuer and counterparty credit risks, consist principally of financial instruments and receivables due from counterparties. The extent of a Fund’s exposure to credit and counterparty risks with respect to those financial assets is approximated by their value recorded in its Statements of Assets and Liabilities. High yield securities may also be subject to greater levels of credit or default risk than higher-rated securities and high yield securities may be less liquid and more difficult to sell at an advantageous time or price or to value than higher-rated securities. In particular, high yield securities are often issued by smaller, less creditworthy companies or by highly leveraged (indebted) companies, which are generally less able than more financially stable companies to make scheduled payments of interest and principal.

 

ETF Market Risk

 

In stressed market conditions, the market for certain ETF shares may become less liquid in response to deteriorating liquidity in the markets for the ETF’s underlying portfolio holdings. This adverse effect on liquidity for the ETF’s shares in turn can lead to differences between the market price of the ETF’s shares and the underlying value of those shares. This difference can be reflected as a spread between the bid and ask prices quoted during the day or a premium or discount in the closing price from a Fund’s NAV.

 

Because a Fund’s shares trade in the secondary market, a broker may charge a commission to execute a transaction in shares and an investor may incur the cost of the spread between the price at which a dealer will buy shares (bid) and the somewhat higher price at which a dealer will sell shares (ask). In addition, not only are there a limited number of institutions that act as authorized participants, direct trading by authorized participants is critical to ensuring that a Fund’s shares trade at or close to NAV. However, market makers are not obligated to make a market in a Fund’s shares nor are authorized participants obligated to execute purchase or redemption orders for Creation Units and, in times of market stress, circumstances could develop that could cause them to refrain from these activities or reduce their role. The absence of an active market in a Fund’s shares could lead to a heightened risk of differences between the market price of the Fund’s shares and the underlying value of those shares.

 

Fund of Funds Risk

 

Certain Funds’ investment performance, because they are fund of funds, depends on the investment performance of the Underlying ETFs in which they invest. An investment in these Funds is subject to the risk associated with the Underlying ETFs that comprise their portfolio. The Funds will indirectly pay a proportional share of the asset-based fees, if any, of the Underlying ETFs in which they invest.

 

Illiquid Investments Risk

 

In certain circumstances, it may be difficult for a Fund to purchase and sell particular portfolio investments due to infrequent trading in such investments. The prices of such securities may experience significant volatility, make it more difficult for the Fund to transact significant amounts of such securities without an unfavorable impact on prevailing market prices, or make it difficult for the Advisor or Sub-Advisor, as applicable, to dispose of such securities at a fair price at the time the

 

173

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

9. Risks Involved with Investing in the Funds – (continued)

 

Advisor or Sub-Advisor believes it is desirable to do so. The Fund’s investments in such securities may restrict the Fund’s ability to take advantage of other market opportunities and adversely affect the value of the Fund’s portfolio holdings. Such investments also may be subject to trading halts caused by extraordinary market volatility pursuant to “circuit breaker” rules.

 

Management Risk

 

The Advisor or Sub-Advisor, as applicable, continuously evaluates each Fund’s holdings, purchases and sales with a view to achieving the Fund’s investment objective. However, achievement of the stated investment objective cannot be guaranteed. The Advisor’s or Sub-Advisor’s judgment about the markets, the economy, or companies may not anticipate actual market movements, economic conditions or company performance, and these factors may affect the return on your investment. In fact, no matter how good a job the Advisor or Sub-Advisor does, you could lose money on your investment in a Fund, just as you could with other investments. If the Advisor or Sub-Advisor is incorrect in its assessment of the income, growth or price realization potential of a Fund’s holdings or incorrect in its assessment of general market or economic conditions, then the value of the Fund’s shares may decline.

 

Market Risk

 

Investments in securities, in general, are subject to market risks that may cause their prices to fluctuate over time. A Fund’s investments may decline in value due to factors affecting securities markets generally, such as real or perceived adverse economic conditions or changes in interest or currency rates, or particular countries, segments, economic sectors, industries or companies within those markets. Local, regional, or global events such as war, acts of terrorism, the spread of infectious illness or other public health issues, recessions, uncertainties regarding interest rates, rising inflation, or other events could have a significant impact on the market generally and on specific securities. U.S. and international markets have experienced significant periods of volatility in recent years due to a number of these factors. For example, the COVID-19 pandemic, the large expansion of government deficits and debt as a result of government actions to mitigate the effects of the pandemic, Russia’s invasion of Ukraine, and the rise of inflation have resulted in extreme volatility in the global economy and in global financial markets. Economies and financial markets throughout the world are becoming increasingly interconnected. As a result, whether or not a Fund invests in securities of issuers located in or with significant exposure to countries experiencing economic and financial difficulties, the value and liquidity of the Fund’s investments may be negatively affected. Changes in market conditions and interest rates generally do not have the same impact on all types of investments. Fluctuations in the value of securities and other financial instruments in which the Fund invests will cause the NAV of the Fund to fluctuate. Historically, the markets have moved in cycles, and the value of the Fund’s investments may fluctuate drastically from day to day. Because of its link to the markets, an investment in the Fund may be more suitable for long-term investors who can bear the risk of short-term principal fluctuations, which at times may be significant.

 

Trading Risk

 

Shares of each Fund may trade above or below their NAV. The NAV of shares will fluctuate with changes in the market value of a Fund’s holdings. The trading prices of a Fund’s shares will fluctuate in accordance with changes in NAV, as well as market supply and demand. When the market price of a Fund’s shares deviates significantly from their NAV, you may pay significantly more or receive significantly less than the underlying value of the Fund’s shares. However, given that shares can be created and redeemed only in Creation Units at NAV, the Advisor and Sub-Advisor, as applicable, do not believe that large discounts or premiums to NAV will exist for extended periods of time. Although each Fund’s shares are currently listed on the Exchange, there can be no assurance that an active

 

174

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

9. Risks Involved with Investing in the Funds – (continued)

 

trading market for a Fund’s shares will develop or be maintained. In addition, trading in shares of a Fund may be halted because of market conditions or for reasons that, in the view of the Fund’s Exchange, make trading in shares inadvisable.

 

10. Subsequent Events

 

The Funds have evaluated subsequent events through the issuance of the financial statements and determined that no events have occurred, other than those disclosed below, that require additional disclosure.

 

At the recommendation of the investment adviser and the Trust, the Trust’s Board of Trustees approved the liquidation of the AdvisorShares Poseidon Dynamic Cannabis ETF pursuant to the terms of a Plan of Liquidation. Accordingly, the Fund is expected to cease operations, liquidate its assets, and distribute the liquidation proceeds to shareholders of record on or about September 1, 2023.

 

At the recommendation of the investment adviser and the Trust, the Trust’s Board of Trustees approved the liquidation of the AdvisorShares Newfleet Multi-Sector Income ETF pursuant to the terms of a Plan of Liquidation. Accordingly, the Fund is expected to cease operations, liquidate its assets, and distribute the liquidation proceeds to shareholders of record on or about September 29, 2023.

 

11. Unaudited Tax Information

 

Qualified Dividend Income — Certain dividends paid by the Funds may be subject to a minimum tax rate of 15%, as provided by the Jobs and Growth Tax Relief Reconciliation Act of 2003. The percentage of ordinary income distributions for the year ended June 30, 2023, taxed at a minimum rate of 15% were as follows:

 

Fund   Percentage  
Alpha DNA Equity Sentiment ETF     0.00 %
Dorsey Wright ADR ETF     78.62  
Dorsey Wright FSM All Cap World ETF     100.00  
Dorsey Wright FSM US Core ETF     100.00  
Dorsey Wright Short ETF     0.00  
Dorsey Wright Small Company ETF     100.00  
Focused Equity ETF     100.00  
Gerber Kawasaki ETF     100.00  
Hotel ETF     100.00  
Insider Advantage ETF     100.00  
Let Bob AI Powered Momentum ETF     0.00  
MSOS 2x Daily ETF     0.00  
Newfleet Multi-Sector Income ETF     0.00  
Poseidon Dynamic Cannabis ETF     0.00  
Psychedelics ETF     0.00  
Pure Cannabis ETF     0.00  
Pure US Cannabis ETF     0.00  
Q Dynamic Growth ETF     0.00  
Ranger Equity Bear ETF     0.00  
Restaurant ETF     41.33  
STAR Global Buy-Write ETF     68.11  
Vice ETF     100.00  

 

175

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

11. Unaudited Tax Information – (continued)

 

Dividends Received Deduction — For corporate shareholders, the percentage of ordinary income distributions for the year ended June 30, 2023 that qualifies for the dividends received deduction were as follows:

 

Fund   Percentage  
Alpha DNA Equity Sentiment ETF     0.00 %
Dorsey Wright ADR ETF     0.00  
Dorsey Wright FSM All Cap World ETF     54.89  
Dorsey Wright FSM US Core ETF     100.00  
Dorsey Wright Short ETF     0.00  
Dorsey Wright Small Company ETF     100.00  
Focused Equity ETF     100.00  
Gerber Kawasaki ETF     74.72  
Hotel ETF     100.00  
Insider Advantage ETF     100.00  
Let Bob AI Powered Momentum ETF     0.00  
MSOS 2x Daily ETF     0.00  
Newfleet Multi-Sector Income ETF     0.00  
Poseidon Dynamic Cannabis ETF     0.00  
Psychedelics ETF     0.00  
Pure Cannabis ETF     0.00  
Pure US Cannabis ETF     0.00  
Q Dynamic Growth ETF     0.00  
Ranger Equity Bear ETF     0.00  
Restaurant ETF     41.33  
STAR Global Buy-Write ETF     36.44  
Vice ETF     94.74  

 

Qualified Interest Income — For nonresident alien shareholders, the percentage of ordinary income distributions for the year ended June 30, 2023 that qualified interest income were as follows:

 

Fund   Percentage  
Alpha DNA Equity Sentiment ETF     0.00 %
Dorsey Wright ADR ETF     0.00  
Dorsey Wright FSM All Cap World ETF     0.00  
Dorsey Wright FSM US Core ETF     0.00  
Dorsey Wright Short ETF     0.00  
Dorsey Wright Small Company ETF     0.00  
Focused Equity ETF     0.00  
Gerber Kawasaki ETF     0.00  
Hotel ETF     0.00  
Insider Advantage ETF     0.00  
Let Bob AI Powered Momentum ETF     0.00  
MSOS 2x Daily ETF     0.00  
Newfleet Multi-Sector Income ETF     93.92  
Poseidon Dynamic Cannabis ETF     0.00  

 

176

 

 

ADVISORSHARES TRUST
Notes to Financial Statements (Continued)

 

June 30, 2023

 

 

11. Unaudited Tax Information – (continued)

 

Fund   Percentage  
Psychedelics ETF     0.00 %
Pure Cannabis ETF     0.00  
Pure US Cannabis ETF     0.00  
Q Dynamic Growth ETF     0.00  
Ranger Equity Bear ETF     0.00  
Restaurant ETF     0.00  
STAR Global Buy-Write ETF     0.00  
Vice ETF     0.00  

 

The following Funds intend to elect to pass through to shareholders the credit for taxes paid to foreign countries. The gross foreign source income and foreign taxes paid were as follows:

 

Fund   Foreign
Taxes Paid
    Gross
Foreign
Income
 
Alpha DNA Equity Sentiment ETF   $     $  
Dorsey Wright ADR ETF     72,551       1,252,065  
Dorsey Wright FSM All Cap World ETF            
Dorsey Wright FSM US Core ETF            
Dorsey Wright Short ETF            
Dorsey Wright Small Company ETF            
Focused Equity ETF            
Gerber Kawasaki ETF            
Hotel ETF            
Insider Advantage ETF            
Let Bob AI Powered Momentum ETF            
MSOS 2x Daily ETF            
Newfleet Multi-Sector Income ETF            
Poseidon Dynamic Cannabis ETF            
Psychedelics ETF            
Pure Cannabis ETF            
Pure US Cannabis ETF            
Q Dynamic Growth ETF            
Ranger Equity Bear ETF            
Restaurant ETF            
STAR Global Buy-Write ETF     22,126       76,632  
Vice ETF            

 

177

 

 

taitweller.com

 

 

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM

 

To the Shareholders and Board of Trustees

of AdvisorShares Trust

 

Opinion on the Financial Statements

 

We have audited the accompanying statements of assets and liabilities of the Alpha DNA Equity Sentiment ETF, Dorsey Wright ADR ETF, Dorsey Wright FSM All Cap World ETF, Dorsey Wright FSM US Core ETF, Dorsey Wright Short ETF, Dorsey Wright Small Company ETF (formerly known as Dorsey Wright Micro-Cap ETF), Focused Equity ETF, Gerber Kawasaki ETF, Hotel ETF, Insider Advantage ETF (formerly known as DoubleLine Value Equity ETF), Let Bob Al Powered Momentum ETF, MSOS 2x Daily ETF, Newfleet Multi-Sector Income ETF, Poseidon Dynamic Cannabis ETF, Psychedelics ETF, Pure Cannabis ETF, Pure US Cannabis ETF, Q Dynamic Growth ETF, Ranger Equity Bear ETF, Restaurant ETF, STAR Global Buy-Write ETF, and Vice ETF, each a series of AdvisorShares Trust (the “Funds”), including the schedules of investments, as of June 30, 2023, the related statements of operations, the statements of changes in net assets, and financial highlights for each of the periods indicated in the table below, and the related notes (collectively referred to as the “financial statements”). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Funds as of June 30, 2023, the results of their operations, the changes in their net assets and their financial highlights for each of the periods indicated in the table below, in conformity with accounting principles generally accepted in the United States of America.

 

Individual Funds constituting
AdvisorShares Trust
  Statement of
operations
 

Statements of
changes in net assets

  Financial highlights
Dorsey Wright ADR ETF, Focused Equity ETF, Insider Advantage ETF, Newfleet Multi-Sector Income ETF, Ranger Equity Bear ETF, STAR Global Buy-Write ETF, Vice ETF   For the year ended June 30, 2023   For each of the two years in the period ended June 30, 2023   For each of the five years in the period ended June 30, 2023
             
Dorsey Wright Small Company ETF, Dorsey Wright Short ETF   For the year ended June 30, 2023   For each of the two years in the period ended June 30, 2023   For each of the four years in the period ended June 30, 2023 and for the period July 11, 2018 (commencement of operations) through June 30, 2019
             
Pure Cannabis ETF   For the year ended June 30, 2023   For each of the two years in the period ended June 30, 2023   For each of the four years in the period ended June 30, 2023 and for the period April 17, 2019 (commencement of operations) through June 30, 2019
             
Dorsey Wright FSM All Cap World ETF, Dorsey Wright FSM US Core ETF   For the year ended June 30, 2023   For each of the two years in the period ended June 30, 2023   For each of the three years in the period ended June 30, 2023 and the period December 26, 2019 (commencement of operations) through June 30, 2020

 

178

 

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM (Continued)

 

 

Individual Funds constituting
AdvisorShares Trust
  Statement of
operations
 

Statements of
changes in net assets

  Financial highlights
Pure US Cannabis ETF   For the year ended June 30, 2023   For each of the two years in the period ended June 30, 2023   For each of the two years in the period ended June 30, 2023 and the period September 1, 2020 (commencement of operations) through June 30, 2021
             
Q Dynamic Growth ETF   For the year ended June 30, 2023   For each of the two years in the period ended June 30, 2023   For each of the two years in the period ended June 30, 2023 and the period December 28, 2020 (commencement of operations) through June 30, 2021
             
Alpha DNA Equity Sentiment ETF   For the year ended June 30, 2023   For each of the two years in the period ended June 30, 2023   For each of the two years in the period ended June 30, 2023 and the period February 2, 2021 (commencement of operations) through June 30, 2021
             
Hotel ETF, Restaurant ETF   For the year ended June 30, 2023   For each of the two years in the period ended June 30, 2023   For each of the two years in the period ended June 30, 2023 and the period April 20, 2021 (commencement of operations) through June 30, 2021
             
Gerber Kawasaki ETF   For the year ended June 30, 2023   For the year ended June 30, 2023 and the period July 2, 2021 through June 30, 2022   For the year ended June 30, 2023 and the period July 2, 2021 (commencement of operations) through June 30, 2022
             
Psychedelics ETF   For the year ended June 30, 2023   For the year ended June 30, 2023 and the period September 16, 2021 through June 30, 2022   For the year ended June 30, 2023 and the period September 16, 2021 (commencement of operations) through June 30, 2022
             
Poseidon Dynamic Cannabis ETF   For the year ended June 30, 2023   For the year ended June 30, 2023 and the period November 17, 2021 through June 30, 2022   For the year ended June 30, 2023 and the period November 17, 2021 (commencement of operations) through June 30, 2022
             
Let Bob Al Powered Momentum ETF   For the year ended June 30, 2023   For the year ended June 30, 2023 and the period February 9, 2022 through June 30, 2022   For the year ended June 30, 2023 and the period February 9, 2022 (commencement of operations) through June 30, 2022
             
MSOS 2x Daily ETF   For the period August 24, 2022 through June 30, 2023   For the period August 24, 2022 through June 30, 2023   For the period August 24, 2022 (commencement of operations) through June 30, 2023

 

179

 

 

REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM (Continued)

 

 

Basis for Opinion

 

These financial statements are the responsibility of the Funds’ management. Our responsibility is to express an opinion on the Funds’ financial statements based on our audits. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) (“PCAOB”) and are required to be independent with respect to the Funds in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB. We have served as the auditor of one or more of the funds in the Trust since 2009.

 

We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audits to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. The Funds are not required to have, nor were we engaged to perform, an audit of the Funds’ internal control over financial reporting. As part of our audits we are required to obtain an understanding of internal control over financial reporting, but not for the purpose of expressing an opinion on the effectiveness of the Funds’ internal control over financial reporting. Accordingly, we express no such opinion.

 

Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. Our procedures included confirmation of securities owned as of June 30, 2023 by correspondence with the custodian, brokers or by other appropriate auditing procedures where replies were not received. We believe that our audits provide a reasonable basis for our opinion.

 

  TAIT, WELLER & BAKER LLP

 

Philadelphia, Pennsylvania

August 28, 2023

 

180

 

 

BOARD REVIEW OF INVESTMENT ADVISORY AND SUB-ADVISORY AGREEMENTS

 

 

Renewal of the Advisory Agreement for Each Fund and the Sub-Advisory Agreements for the
AdvisorShares Gerber Kawasaki ETF and AdvisorShares STAR Global Buy-Write ETF

 

At meetings of the Board of Trustees (the “Board”) of AdvisorShares Trust (the “Trust”) held on February 16, 2023 and June 5, 2023, the Board, including those trustees who are not “interested persons” of the Trust, as that term is defined in the Investment Company Act of 1940 (the “1940 Act”) (the “Independent Trustees”), considered the approval of the renewal of (a) separate sub-advisory agreements (together, the “Sub-Advisory Agreements”) between AdvisorShares Investments, LLC (the “Advisor”) and (1) Gerber Kawasaki, Inc., on behalf of the AdvisorShares Gerber Kawasaki ETF and (2) CreativeOne Wealth, LLC (formerly ChangePath, LLC), on behalf of the AdvisorShares STAR Global Buy-Write ETF (together, the “Sub-Advisors”), pursuant to which the Sub-Advisors perform portfolio management and related services, and (b) the investment advisory agreement between the Advisor and the Trust (together with the Sub-Advisory Agreements, the “Advisory Agreements”), on behalf of each series of the Trust (each, a “Fund” and, collectively, the “Funds”).

 

Pursuant to Section 15 of the 1940 Act and related exemptive relief, to continue after their initial two-year term, the Advisory Agreements must be approved annually: (i) by the vote of the Board or by a vote of the shareholders of the Funds and (ii) by the vote of a majority of the Independent Trustees cast at a meeting called for the purpose of voting on such approval. Each year, the Board calls and holds meetings to decide whether to renew the Advisory Agreements for an additional one-year term. In preparation for the meetings, the Board requests and reviews a wide variety of information from the Advisor and Sub-Advisors. The Board uses this information, as well as other information that the Advisor, Sub-Advisors and other service providers may submit to the Board at the meetings and over the course of the prior year, to help evaluate the Advisor’s and each Sub-Advisor’s fee and other aspects of the Advisory Agreements and decide whether to renew the Advisory Agreements for an additional year.

 

As discussed in further detail below, prior to and at the meetings, the Board, including the Independent Trustees, was presented with information to help it evaluate the Advisor’s and each Sub-Advisor’s fee and other aspects of the Advisory Agreements. The Board reviewed written materials from the Advisor and each Sub-Advisor regarding, among other things: (i) the nature, extent and quality of the services provided by the Advisor and each Sub-Advisor; (ii) the performance by the Advisor and each Sub-Advisor of its duties; (iii) the investment performance of each Fund; (iv) the costs of the services provided and profits realized by the Advisor and each Sub-Advisor; (v) the potential for economies of scale for the benefit of each Fund’s shareholders; and (vi) any ancillary benefits to the Adviser and each Sub-Advisor. The Board received an overview of the Advisor’s and each Sub-Advisor’s operations and management of the Funds, including comparative fee data and profitability analysis for each Fund, and was also provided with information with respect to compliance oversight. The Board reviewed the management of each Fund, including the Fund’s strategy, the focus in the markets, the Fund’s positioning in the market, and its attractive and unique offering. The Board reviewed the Advisor’s and each Sub-Advisor’s overall business generally, including any noteworthy personnel changes.

 

The Board deliberated on the renewal of the Advisory Agreements in light of the written materials that it received before the meetings, information it received at the meetings, and information it had received at prior board meetings. In its deliberations, the Board considered the factors and reached the conclusions described below relating to the Advisor and each Sub-Advisor and the renewal of each Advisory Agreement. The Board did not identify any single piece of information discussed below that was paramount, controlling or determinative of its decision.

 

Nature, Extent and Quality of Services. In considering the nature, extent and quality of the services provided by the Advisor and each Sub-Advisor, the Board reviewed the services provided to each Fund by the Advisor and applicable Sub-Advisor, noting that these services include, among other things, furnishing a continuous investment program for the Funds, including arranging for, or implementing, the purchase and sale of portfolio securities, the provision of related services, such as

 

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portfolio management compliance services, and the preparation and filing of certain reports on behalf of the Funds. The Trustees reviewed the extensive responsibilities that the Advisor has as investment advisor to each Fund, including the oversight of the activities and operations of the Sub-Advisors, as applicable, and other service providers, oversight of general fund compliance with federal and state laws, and the implementation of Board directives as they relate to the Funds. The most recent Form ADV for the Advisor and each Sub-Advisor was provided to the Board, as were responses to a detailed series of questions that, among other things, requested information about their business, services, and financial condition. The Board considered, among other things, the professional experience and qualifications of the senior management and key professional personnel of the Advisor and each Sub-Advisor, including those individuals responsible for portfolio management, the Advisor’s and each Sub-Advisor’s operational capabilities and resources, and their experience in managing investment portfolios. Based on its review, within the context of its full deliberations, the Board determined that it was satisfied with the nature, extent and quality of the services provided to the Funds by the Advisor and each Sub-Advisor.

 

Performance of the Funds. The Board was provided with information regarding each Fund’s performance for various periods, as well as comparative performance information. The Advisor and each Sub-Advisor provided information regarding factors impacting the performance of the Funds, outlining current market conditions, and explaining its expectations and strategies for the future. The Board noted that each Fund is actively managed and that it receives regular reports regarding each Fund’s performance at its quarterly meetings. Based on this information, the Board concluded that it was satisfied with the investment results that the Advisor and each Sub-Advisor had been able to achieve for its respective Fund.

 

Cost of Services and Profitability. In considering whether the advisory and sub-advisory fees payable with respect to each Fund are reasonable, the Board reviewed the advisory fee paid by each Fund to the Advisor, the sub-advisory fee paid by the Advisor to each Sub-Advisor, the fees waived and/or expenses reimbursed by the Advisor and each Sub-Advisor over the period, the costs and other expenses incurred by the Advisor and each Sub-Advisor in providing advisory services, and the Advisor’s and each Sub-Advisor’s profitability analysis with respect to each Fund, as applicable. In discussing the fee arrangements between the Advisor and each Sub-Advisor, the Board noted that the Advisor pays each Sub-Advisor out of the advisory fee it receives from the respective Fund. The Board also reviewed information comparing each Fund’s fee to the fee paid by comparable funds. The Board also considered the Advisor’s contractual arrangement to waive its advisory fee and/or reimburse expenses in an effort to control the expense ratios of the Funds. Based on its review, in the context of its full deliberations, the Board concluded for each Fund that the advisory fees appear to be reasonable in light of the services rendered.

 

Economies of Scale. The Board considered for each Fund whether economies of scale were realized, noting any fee waivers and/or expense reimbursements by the Advisor and Sub-Advisors and whether the Advisor’s and/or Sub-Advisors’ fees include breakpoints. The Board determined to continue to assess on an ongoing basis whether the aggregate advisory fee for each Fund appropriately takes into account any economies of scale that had been realized as a result of any significant asset growth of a Fund.

 

Ancillary Benefits. The Board noted the potential benefits to be received by the Advisor and each Sub-Advisor as a result of its relationship with a Fund (other than the advisory or sub-advisory fee), including the intangible benefits of its association with the Trust generally and any favorable publicity arising in connection with a Fund’s performance.

 

Conclusion. Based on its deliberations and evaluation of the information described above, the Board, including the Independent Trustees, unanimously: (i) concluded that the terms of each Advisory Agreement are fair and reasonable; (ii) concluded that the Advisor’s fees are reasonable in light of the services that it provides to the Funds; (iii) concluded that each Sub-Advisor’s fee is reasonable in light of the services that it provides to its respective Fund; and (iv) agreed to renew each Advisory Agreement for another year.

 

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BOARD REVIEW OF INVESTMENT ADVISORY AND SUB-ADVISORY AGREEMENTS (Continued)

 

 

Approval of New Sub-Advisory Agreement for AdvisorShares Ranger Equity Bear ETF

 

In anticipation of a change in ownership of Ranger Alternative Management L.P. (“Ranger”), the investment sub-adviser to the AdvisorShares Ranger Equity Bear ETF (the “Fund”), that would result in a change in control of Ranger thereby causing an assignment of the existing sub-advisory agreement between the Advisor and Ranger with respect to the Fund and the agreement’s automatic termination under the 1940 Act, the Board, including the Independent Trustees, considered at its June 5, 2023 meeting the approval of a new sub-advisory agreement between the Advisor and Ranger with respect to the Fund (the “New Sub-Advisory Agreement”).

 

In considering whether to approve the New Sub-Advisory Agreement, the Board noted that the New Sub-Advisory Agreement would take effect upon consummation of the ownership change and that it contained substantially the same terms as the existing sub-advisory agreement including the rate of compensation. The Board noted that for the meeting it had been provided specific information relating to the change in control and that it most recently had conducted its annual comprehensive review of Ranger at its August 24, 2022 meeting. The Board reviewed and discussed the change in control-related information and analysis provided by Ranger and also considered the approval of the New Sub-Advisory Agreement in light of the information it received in connection with its previous annual review as well other information received throughout the year. In its deliberations, the Board did not identify any single factor that was paramount or controlling and individual trustees may have attributed different weights to various factors.

 

Nature, Extent and Quality of the Services. The Board received responses to a detailed series of questions that requested information relating to the expected change in control and its effects. In considering the nature, extent and quality of the services provided by Ranger, the Board considered the portfolio management services provided to the Fund, noting that such services would continue to be the same. The Board also considered, among other things, the professional experience and qualifications of the senior management and key professional personnel of Ranger, noting any changes that were expected to result in connection with the change in control. The Board also considered Ranger’s operational capabilities and resources, the overall quality of personnel, operations, and financial condition, its investment advisory capabilities, and information concerning its compliance function, operational capabilities, and portfolio management team. Based on its review, the Board concluded that it was satisfied with the nature, extent and quality of the services to be provided to the Fund by Ranger.

 

Performance of the Fund. The Board noted its previous review of information regarding the Fund’s performance for various periods as well as comparative performance information. Ranger and the Adviser had provided information regarding factors impacting the performance of the Fund, outlining current market conditions, and explaining its expectations and strategies for the future. The Board noted that the Fund is actively managed and that it receives regular reports regarding the Fund’s performance at its quarterly meetings. Based on this information, the Board concluded that it was satisfied with the investment results that Ranger had been able to achieve for the Fund.

 

Cost of Services and Profitability. In considering whether the sub-advisory fee payable with respect to the Fund is reasonable, the Board noted its previous review of the sub-advisory fee paid by the Advisor to Ranger, the costs and other expenses incurred by Ranger, and the profitability analysis with respect to the Fund. The Board noted that the proposed fee under the New Sub-Advisory Agreement is the same as the sub-advisory fee paid to Ranger under the existing sub-advisory agreement. Based on its review, in the context of its full deliberations, the Board concluded for the Fund that the sub-advisory fee appeared to be reasonable in light of the services rendered.

 

Economies of Scale. The Board noted that it had previously considered whether economies of scale were realized for the Fund. The Board determined to continue to assess on an ongoing basis whether the aggregate advisory fee for the Fund appropriately takes into account any economies of scale that had been realized as a result of any significant asset growth of the Fund.

 

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BOARD REVIEW OF INVESTMENT ADVISORY AND SUB-ADVISORY AGREEMENTS (Continued)

 

 

Ancillary Benefits. The Board noted the potential benefits to be received by Ranger as a result of its relationship with the Fund (other than the sub-advisory fee), including the intangible benefits of its association with the Trust generally and any favorable publicity arising in connection with the Fund’s performance.

 

Conclusion. Based on its deliberations and evaluation of the information described above, the Board, including the Independent Trustees, unanimously concluded that the terms of the New Sub-Advisory Agreement, including the fee, are fair and reasonable in light of the services to be provided to the Fund and approved the New Sub-Advisory Agreement for an initial term of two years.

 

184

 

 

BOARD OF TRUSTEES AND OFFICERS (Unaudited)

 

 

The business of the Trust is managed under the direction of the Trust’s Board of Trustees. The Board elects the officers of the Trust who are responsible for administering the Trust’s day-to-day operations.

 

The name, age, address, and principal occupations during the past five years for each Trustee and officer of the Trust is set forth below, along with the other public directorships held by the Trustees. More information about the Trustees is in the Trust’s Statement of Additional Information, which is available without charge by calling 1-877-843-3831.

 

Name, Address, and Date of
Birth of Trustee/Officer
  Position(s)
Held with
the Trust, Term of
Office and
Length of
Time Served
  Principal Occupation(s)
During Past 5 Years
  Number of
Portfolios
in Fund
Complex
Overseen
by Trustee
  Other
Directorships
Held by
Trustee
During Past
5 Years
Interested Trustee                
                 
Noah Hamman*
4800 Montgomery Lane
Suite 150
Bethesda, MD 20814
(1968)
 

Trustee

(no set term);

served since 2009

  Chief Executive Officer, President, and Founder of AdvisorShares Investments,
LLC (2006–present)
  22   None
                 
Independent Trustees                
                 
Elizabeth (“Betsy”) Piper/Bach
4800 Montgomery Lane
Suite 150
Bethesda, MD 20814
(1952)
 

Trustee

(no set term);

served since 2009

  President of ASAE Business Services, Inc. (2017–present), ASAE Insurance Company (2020–present), ASAE Investments, LLC (2018–present), ASAE Real Estate (2017–present) (ASAE (American Society of Association Executives) is a membership organization serving the association and non-profit community); President of P/B Wealth Consulting (2017–present); Vice-President/Chief Operating Officer of NADA (National Automobile Dealers Association) Retirement Administrators, Inc. (2009–2017)   22   None
                 
William G. McVay
4800 Montgomery Lane
Suite 150
Bethesda, MD 20814
(1954)
 

Trustee

(no set term);

served since 2011

  Principal of Red Tortoise LLC (a boutique investment counseling firm) (May 2017–present); Founder of RDK Strategies, LLC (2007–present)   22   None
                 
Officers                
                 
Noah Hamman
4800 Montgomery Lane
Suite 150
Bethesda, MD 20814
(1968)
 

President

(no set term);

served since 2009

  Chief Executive Officer, President, and Founder of AdvisorShares Investments, LLC (2006–present)   N/A   N/A
                 
Dan Ahrens
6046 Goodwin Avenue
Dallas, TX 75206
(1966)
 

Secretary & Treasurer

(no set terms);

served since 2009

  Managing Director of AdvisorShares Investments, LLC (2013–present); Chief Compliance Officer of the Trust (2009–2013); Executive Vice President of AdvisorShares Investments, LLC (2008–2013)   N/A   N/A
                 
Stefanie Little
11 Gina Marie Lane
Elkton, MD 21921
(1967)
 

Chief Compliance Officer

(no set term);

served since 2013

  Founder of Chenery Compliance Group, LLC (2015–present); Chief Compliance Officer of AdvisorShares Investments, LLC and the Trust (2013–present); President of LCG Compliance Alliance (2011–present)   N/A   N/A

 

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BOARD OF TRUSTEES AND OFFICERS (Unaudited) (Continued)

 

 

Name, Address, and Date of
Birth of Trustee/Officer
  Position(s)
Held with
the Trust, Term of
Office and
Length of
Time Served
  Principal Occupation(s)
During Past 5 Years
  Number of
Portfolios
in Fund
Complex
Overseen
by Trustee
  Other
Directorships
Held by
Trustee
During Past
5 Years
Julio J. Lugo
51 Stonehedge Drive
East Windsor, NJ 08520
(1963)
  Vice President   Head of Fund Operations of AdvisorShares Investments, LLC (2021–present); President of ETP Consulting, LLC (2020–2021); Principal of BNYMellon Depositary Receipts (2004–2020)   N/A   N/A

 

 
* Mr. Hamman is an “interested” person of the Trust, as that term is defined in the 1940 Act, by virtue of his ownership and controlling interest in the Advisor.

 

186

 

 

SUPPLEMENTAL INFORMATION

 

 

Quarterly Portfolio Holdings Information

 

The Funds are required to file their complete schedule of portfolio holdings with the SEC for their first and third quarters as an exhibit to their reports on Form N-PORT. Copies of the filings are available without charge on the SEC’s website at www.sec.gov.

 

Proxy Voting Information

 

A description of the Funds proxy voting policies and procedures, as well as a record of how the Funds voted proxies during the most recent 12-month period ended June 30, is available without charge upon request by calling 1-877-843-3831. This information is also available on the SEC’s website at www.sec.gov.

 

Premium/Discount Information

 

Information about the differences between the daily market price on the secondary market for the shares of a Fund and the Fund’s net asset value may be found on the Fund’s website at www.advisorshares.com.

 

187

 

 

ADVISORSHARES TRUST

 

 

Investment Advisor   Distributor
     
AdvisorShares Investments, LLC   Foreside Fund Services, LLC
4800 Montgomery Lane, Suite 150   Three Canal Plaza, Suite 100
Bethesda, MD 20814   Portland, ME 04101
     
Sub-Advisors   Custodian/Fund Administrator/Transfer Agent
     
Alpha DNA Investment Management LLC   The Bank of New York Mellon
8860 Columbia 100 Parkway, Suite 301   240 Greenwich Street
Columbia, MD 21045   New York, NY 10286
     
CreativeOne Wealth, LLC   Legal Counsel
6330 Sprint Parkway, Suite 400    
Overland Park, KS 66211   Morgan, Lewis & Bockius LLP
    1111 Pennsylvania Avenue, NW
Dorsey, Wright & Associates, LLC   Washington, D.C. 20004
3300 W. Leigh Street    
Richmond, VA 23230   Independent Registered Public Accounting Firm
     
Gerber Kawasaki, Inc.   Tait, Weller & Baker LLP
2716 Ocean Park Boulevard   50 South 16th Street, Suite 2900
Santa Monica, CA 90405   Philadelphia, PA 19102
     
Newfleet Asset Management, LLC    
1 Financial Plaza    
Hartford, CT 06103    
     
Poseidon Investment Management, LLC    
330 Fell Street, Suite 200    
San Francisco, CA 94102    
     
Ranger Alternative Management, L.P.    
1845 Woodall Rodgers Freeway, Suite 1050    
Dallas, TX 75201    

 

188

 

 

This report is submitted for the general information of the shareholders of each Fund. It is not authorized for distribution to prospective investors unless preceded or accompanied by an effective prospectus, which includes information regarding a Fund’s risks, objectives, fees and expenses, experience of management and other information.

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

189