Veracity Capital Bets on PSC With $15.3 Million Purchase, According to Recent SEC Filing

Veracity Capital LLC disclosed a new position in Principal Exchange-Traded Funds - Principal U.S. Small-Cap ETF (NASDAQ:PSC), acquiring 264,512 shares in the fourth quarter. The estimated trade value is $15.27 million based on quarterly average pricing, according to a January 29, 2026, filing.

What Happened

According to an SEC filing dated January 29, 2026, Veracity Capital LLC initiated a new position in PSC, buying 264,512 shares. The estimated transaction value is $15.27 million, based on average pricing during the quarter. The quarter-end value of the stake also totaled $15.27 million, indicating all valuation change resulted from the new purchase rather than price appreciation or depreciation during the period.

What Else to Know

This was a new position for Veracity Capital LLC, representing 4.49% of its 13F reportable assets under management as of December 31, 2025.

Top holdings after the filing:

• NASDAQ: IUSG: $42.85 million (12.6% of AUM)
• NASDAQ: IUSV: $41.52 million (12.2% of AUM)
• NYSEMKT: VO: $21.57 million (6.4% of AUM)
• NASDAQ: PSC: $15.27 million (4.5% of AUM)
• NASDAQ: AAPL: $9.32 million (2.7% of AUM)

As of January 28, 2026, PSC shares were priced at $60.57, up 14.4% over the past year, trailing the S&P 500 by 0.59 percentage points.

ETF Overview

ETF Snapshot

• Investment strategy focuses on U.S. small-cap equities, employing a multi-factor approach to seek enhanced risk-adjusted returns.
• Portfolio consists primarily of companies within the Russell 2000 Index, diversified across sectors and selected based on quantitative factors.
• Structured as an exchange-traded fund designed for investors seeking exposure to U.S. small-cap stocks.

Principal U.S. Small-Cap Multi-Factor ETF (PSC) is an exchange-traded fund with a market capitalization of $1.72 billion, providing diversified exposure to U.S. small-cap equities.

What This Transaction Means For Investors

Veracity Capital, an Atlanta-based Registered Investment Advisor, recently acquired more than $15 million worth of Principal Exchange-Traded Funds - Principal U.S. Small-Cap ETF (PSC) during the fourth quarter (the three months ending on Dec. 31, 2025). Here’s what retail investors need to know.

PSC is an Exchange-traded Fund (ETF) that tracks an index of small cap U.S. stocks. Over the last five years, PSC has generated a total return of 63%, equating to a compound annual growth rate (CAGR) of 10.3%. That’s a decent return, but it still falls well short of what the S&P 500 has produced. The benchmark index has delivered a total return of 98% over the same period, with a CAGR of 14.7%.

Nonetheless, for investors looking for small cap exposure, PSC is a name to consider. As for its key details, the fund has an expense ratio of 0.38%, which places it around average in the world of ETFs (S&P-linked index funds like VOO much lower fee of 0.03%). PSC does pay a dividend, but it’s a meager 0.6%.

In summary, PSC is an ETF for those seeking specific exposure to the U.S. small cap market. However, its average-at-best fees and tiny dividend yield do not make it a must-own for most investment portfolios.

Jake Lerch has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Apple and Vanguard Index Funds - Vanguard Mid-Cap ETF. The Motley Fool has a disclosure policy.