Urban Financial Buys $29 Million of Akre Focus ETF

Urban Financial Advisory Corp disclosed a new position in Akre Focus ETF (NYSEMKT: AKRE) in a Feb. 4, 2026, SEC filing. The fourth-quarter 13F filing showed the position at 440,266 shares.

What happened

According to a Securities and Exchange Commission (SEC) filing dated Feb. 4, 2026, Urban Financial Advisory Corp initiated a new stake in Akre Focus ETF (AKRE). The estimated transaction value was $28.8 million, calculated using the quarter’s average share price. The position’s quarter-end value reflected the same amount, reflecting both share accumulation and price movement during the period.

What else to know

• This is a new position and accounted for 11.3% of the fund's reportable U.S. equity AUM as of Dec. 31, 2025.
• Top five holdings after the filing:
  • NYSEMKT:SPY: $96.6 million (37.9% of AUM)
  • NYSEMKT:IJH: $32.3 million (12.7% of AUM)
  • NYSEMKT: AKRE: $28.8 million (11.3% of AUM)
  • NYSEMKT:PICB: $21.7 million (8.5% of AUM)
  • NYSEMKT:FNDX: $21.6 million (8.5% of AUM)
• As of Dec. 31, 2025, AKRE shares were trading at $65.51, 14.2% below the 52-week high.
• Urban Financial Advisory Corp reported 54 positions and $254 million in reportable U.S.-listed assets after the filing.
• As of Dec. 31, 2025, AKRE returned 1.1% over the last year, underperforming the S&P 500 by 16.7 percentage points.

ETF overview

ETF snapshot

• Akre Focus offers a diversified portfolio of U.S. equities, but its strategy also includes investing in preferred stocks, warrants, options, partnership interests, REITs, and convertibles.
• Operates an actively managed investment strategy focused on high-quality companies with strong shareholder returns, reinvestment opportunities, and disciplined valuation criteria.
• Allows for opportunistic allocation across multiple equity instruments and select foreign securities, supporting a differentiated and focused portfolio construction.

Akre Focus ETF implements a disciplined, high-conviction investment approach, emphasizing business quality, management integrity, and reinvestment potential. The fund's strategy is designed to identify and hold companies with sustainable competitive advantages and attractive long-term growth prospects.

What this transaction means for investors

Urban Financial bought a significant stake in Akre Focus, the new ETF version of the famous mutual fund managed by Chuck Akre. The firm also reduced its position in the SPDR S&P 500 ETF, while adding exposure to other funds focused on mid-cap and large-cap stocks and international bonds.

This signals a rotation away from broader-market equities, especially the mega-cap stocks that make up a large portion of the S&P 500, toward more focused opportunities elsewhere. Specifically, AKRE focuses on a smaller portfolio of high-quality companies — typically 20 to 30 positions — that generate growing free cash flow and high returns on invested capital.

AKRE has delivered an annualized return of 14.5% over the last 16 years. This is almost identical to the S&P 500 return over the same period. However, the fund has significantly underperformed the index in the previous five years, up just 8.2% annually compared to the index’s 14.4% annual return.

However, given the fund’s focus on investing in quality companies for the long term, it’s probably capable of much better returns. Clearly, Urban Financial likes AKRE’s future return potential.

John Ballard has no position in any of the stocks mentioned. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy.