WEBs Investments Expands Defined Volatility℠ ETF Suite with Launch of 11 Sector Funds

Rhea-AI Summary

WEBs Investments, in partnership with Westwood Holdings Group (NYSE: WHG), has launched 11 new Defined Volatility Sector ETFs on the Nasdaq. These innovative funds apply WEBs' Defined Volatility strategy to individual S&P 500 sectors, tracking Select Sector SPDR ETFs.

The ETFs utilize a dynamic volatility management approach that evaluates short-term realized volatility daily using 21-day trading data. When volatility falls below the defined level (ranging from 20% to 30%), exposure to the underlying ETF increases. Conversely, when volatility exceeds targets, exposure shifts to cash equivalents or U.S. Treasuries.

This expansion builds upon WEBs' flagship products, DVSP and DVQQ, offering investors more precise control over risk and sector exposure while aiming to deliver better risk-adjusted returns.

[ "Launch of 11 new sector-specific ETFs expands product portfolio significantly", "Dynamic volatility management system provides automated risk control", "Partnership with established firms Westwood Holdings and Syntax enhances credibility", "Builds on successful existing products DVSP and DVQQ" ]

Positive

• None.

Negative

• Different volatility thresholds (20-30%) may create varying risk profiles across sectors
• Performance heavily dependent on volatility prediction accuracy

Insights

ETF Product Strategist

WHG expands with 11 sector-specific Defined Volatility ETFs offering adaptive risk management through volatility-based portfolio adjustments.

WEBs Investments, in partnership with Westwood Holdings Group (NYSE: WHG), has launched a comprehensive suite of 11 sector-based ETFs that brings their Defined Volatility℠ methodology to individual S&P 500 sectors. This strategic product expansion significantly broadens WHG's ETF footprint beyond their existing flagship products (DVSP and DVQQ).

The core innovation in these funds is their dynamic volatility-responsive allocation mechanism. Each ETF continuously monitors 21-day realized volatility against predetermined thresholds ranging from 20% to 30%, depending on the sector. When volatility falls below these targets, the funds increase exposure to their respective sector ETFs; when volatility exceeds thresholds, they automatically reduce equity exposure in favor of fixed income instruments.

This volatility-managed approach is particularly noteworthy for giving investors granular control over sector exposure while maintaining a systematic risk management framework. The strategy essentially creates an automated tactical allocation system that responds to market conditions without requiring active investor intervention.

The varying volatility thresholds across sectors (20% for Consumer Staples and Healthcare, 25% for Industrials, Real Estate, Utilities and Consumer Discretionary, and 30% for Materials, Communication Services, Energy, Financials, and Technology) reflect the differing historical volatility profiles of these market segments. This calibration demonstrates a sophisticated approach to sector-specific risk management.

For Westwood Holdings Group, this product launch represents a significant expansion of their ETF business and positions them in the growing field of rules-based, risk-managed investment products. The partnership with WEBs Investments and Syntax for index creation demonstrates WHG's collaborative approach to product development while leveraging external expertise.

New Lineup Brings Defined Volatility to Individual Sectors, Allowing Investors to Pursue Market Upside While Managing Risk

PARK CITY, Utah, July 23, 2025 (GLOBE NEWSWIRE) -- WEBs Investments Inc. (WEBs), an innovator in volatility-managed investment solutions, in partnership with Westwood Holdings Group, Inc. (NYSE: WHG), today announces the launch of the WEBs Defined Volatility Sector ETFs, a suite of 11 funds listed on the Nasdaq that applies the Defined Volatility strategy to the individual sectors within the S&P 500. This expansion of the Defined Volatility ETF lineup is designed to give investors more precise control over risk and sector exposure, using a transparent framework that adjusts portfolio exposure based on real-time market volatility.

Each fund tracks a Defined Volatility index created by Syntax with each index providing investment exposure to an underlying Select Sector SPDR ETF. Each fund evaluates short-term realized volatility daily, using data from the prior 21 trading days. When volatility falls below the Defined Volatility level, the fund increases exposure to the underlying ETF. When volatility exceeds the target, the fund reduces exposure, reallocating to cash equivalents or U.S. Treasuries. This adaptive approach is designed to offer a more stable investment experience and better risk-adjusted returns for sector-focused allocations.

Defined Volatility Sector ETF	Underlying SPDR ETF	Defined Volatility Rate
DVXB – WEBs Defined Volatility XLB ETF	XLB (Materials)	30%
DVXC – WEBs Defined Volatility XLC ETF	XLC (Communication Services)	30%
DVXE – WEBs Defined Volatility XLE ETF	XLE (Energy)	30%
DVXF – WEBs Defined Volatility XLF ETF	XLF (Financials)	30%
DVXK – WEBs Defined Volatility XLK ETF	XLK (Technology)	30%
DVIN – WEBs Defined Volatility XLI ETF	XLI (Industrials)	25%
DVRE – WEBs Defined Volatility XLRE ETF	XLRE (Real Estate)	25%
DVUT – WEBs Defined Volatility XLU ETF	XLU (Utilities)	25%
DVXY – WEBs Defined Volatility XLY ETF	XLY (Consumer Discretionary)	25%
DVXP – WEBs Defined Volatility XLP ETF	XLP (Consumer Staples)	20%
DVXV – WEBs Defined Volatility XLV ETF	XLV (Health Care)	20%

“By bringing our Defined Volatility framework to the sector level, we’re introducing additional options for investors seeking to manage risk more precisely,” said Ben Fulton, CEO of WEBs Investments. “These ETFs can be used tactically for sector rotation or to fine-tune exposure within a broader portfolio. In today’s market, it often feels like you’re forced to choose between managing risk and pursuing growth. But we believe you shouldn’t have to choose. We believe you can have your cake and eat it too.”

The WEBs Defined Volatility Sector ETFs build on WEBs’ flagship products, the WEBs Defined Volatility SPY ETF (Nasdaq: DVSP) and the WEBs Defined Volatility QQQ ETF (Nasdaq: DVQQ), which apply the same methodology to dynamically adjust exposure to the SPDR S&P 500 ETF Trust (SPY) and the Invesco QQQ Trust (QQQ), respectively.

The WEBs Defined Volatility Sector ETFs are supported by Syntax’s index design, with Westwood providing operational and distribution support.

For more information, visit websinv.com.

About WEBs Investments Inc.
WEBs Investments Inc. ("Westwood Engineered Beta") is an investment adviser registered with the U.S. Securities and Exchange Commission, dedicated to developing innovative strategies that democratize access to institutional-caliber investment solutions. WEBs was founded in 2024 by ETF industry veterans Ben Fulton, Keith Cunningham, Kevin Rich and Tony Trevisan.

About Westwood Holdings Group, Inc.
Westwood Holdings Group, Inc. (NYSE: WHG) is a boutique asset management firm that offers a diverse array of actively managed and outcome-oriented investment strategies, along with white-glove trust and wealth services, to institutional, intermediary and private wealth clients. For over 40 years, Westwood’s client-first approach has fostered strong, long-term client relationships. Our flexible and agile approach to investing allows us to adapt to constantly changing markets, while continually seeking innovative strategies that meet our investors’ short- and long-term needs.​

For more information on Westwood, please visit westwoodgroup.com​.

Media Contact:
Gregory FCA for WEBs Investments
webs@gregoryfca.com

The Funds are distributed by Foreside Fund Services, LLC which is not affiliated with WEBs Investments, Westwood Holdings Group inc., U.S. Bank, or any of their affiliates.

Investors should consider the investment objectives, risks, charges and expenses carefully before investing.

For a prospectus or summary prospectus with this and other information about the Fund, please call 844.455.9327 or visit our website at websinv.com. Read the prospectus or summary prospectus carefully before investing.

The Funds are newly formed and have limited operating history. The Funds are passively managed ETFs listed for trading on the Exchange. The Fund implements its investment objective by investing, under normal market conditions, at least 80% of its net assets (including borrowings for investment purposes) in financial instruments that achieve the investment results of the Index. The Fund will, from time to time as determined by the Index, hold cash, cash-like instruments or high-quality fixed income securities to the extent the Underlying ETF concentrates (i.e., holds 25% or more of its total assets) in the securities of a particular industry or group of industries, the Fund will concentrate its investments to approximately the same extent as the Underlying ETF. Because the Fund seeks exposure to the Underlying ETF, the Fund's investment performance largely depends on the investment performance and associated risks of the Underlying ETF. A significant portion of the Underlying ETF is represented by securities of companies in the information technology sector. The Fund is classified as “non-diversified” which means that the Fund may invest a higher percentage of its assets in a fewer number of issuers than is permissible for a “diversified” fund. If for any reason the Fund is unable to rebalance all or a portion of its portfolio, or if all or a portion of the portfolio is rebalanced incorrectly, the Fund's investment exposure may not be consistent with the Fund's investment objective. In these instances, the Fund may have investment exposure to the Index that is significantly greater or less than what is intended in its strategy. As a result, the Fund may be more exposed to leverage risk than if it had been properly rebalanced and may not achieve its investment objective. There can be no assurance that the Fund will achieve its investment objective and could incur substantial losses. The Fund's returns will likely differ in amount, and possibly even direction, from the returns of the Underlying ETF. These differences can be significant, the Fund could lose money regardless of the performance of its Underlying ETF and as a result of portfolio rebalancing, fees, the Underlying ETF's volatility, compounding and other factors, the Fund is unlikely to match the performance of the Underlying ETF.

FAQ

What are the new WEBs Defined Volatility Sector ETFs launched on Nasdaq?

WEBs launched 11 new sector-specific ETFs that track Select Sector SPDR ETFs with defined volatility management, covering sectors like Materials, Technology, Healthcare, and others.

How do WEBs Defined Volatility Sector ETFs manage risk?

The ETFs evaluate 21-day short-term realized volatility daily. They increase exposure to the underlying ETF when volatility is below target levels and reduce exposure in favor of cash/Treasuries when volatility exceeds targets.

What are the volatility thresholds for WEBs' new sector ETFs?

The ETFs have different volatility thresholds: 30% for Materials, Communication Services, Energy, Financials, and Technology; 25% for Industrials, Real Estate, Utilities, and Consumer Discretionary; and 20% for Consumer Staples and Healthcare.

How do these new ETFs relate to WEBs' existing products?

These sector ETFs build upon WEBs' flagship products: the WEBs Defined Volatility SPY ETF (DVSP) and WEBs Defined Volatility QQQ ETF (DVQQ), using the same volatility management methodology.

Who are the key partners involved in WEBs' new ETF launch?

The ETFs are launched by WEBs Investments in partnership with Westwood Holdings Group (NYSE: WHG), with Syntax providing index design and Westwood offering operational and distribution support.