Strategy. Under normal market conditions, the Fund will invest not less than 80% of its assets in component securities of the Underlying Index. The Underlying Index is designed to track the performance of U.S.-listed Real Asset companies, as defined by Indxx, LLC ( Indxx ), the index provider of the Underlying Index. Indxx is not affiliated with the Fund or the Funds investment adviser, Virtus Investment Advisers, LLC (the Adviser or VIA ). The Underlying Index includes common stock, real estate investment trusts ( REITs ), master limited partnerships ( MLPs ), and American depositary receipts ( ADRs ). Indxx considers Real Asset companies to be those that are classified under certain real estate-related industries, such as real estate development or … Show more… Under normal market conditions, the Fund will invest not less than 80% of its assets in component securities of the Underlying Index. The Underlying Index is designed to track the performance of U.S.-listed Real Asset companies, as defined by Indxx, LLC ( Indxx ), the index provider of the Underlying Index. Indxx is not affiliated with the Fund or the Funds investment adviser, Virtus Investment Advisers, LLC (the Adviser or VIA ). The Underlying Index includes common stock, real estate investment trusts ( REITs ), master limited partnerships ( MLPs ), and American depositary receipts ( ADRs ). Indxx considers Real Asset companies to be those that are classified under certain real estate-related industries, such as real estate development or REITs ( Real Estate ); natural resources-related industries, such as oil, coal, precious metals, steel, agricultural commodities, or forest products ( Natural Resources ); or infrastructure-related industries, such as electric utilities, telecommunications, transportation, or MLPs ( Infrastructure ); each as defined by FactSet Research Systems Inc. ( FactSet ). To be eligible for inclusion in the Underlying Index, securities must (i) be U.S.-listed, (ii) have a market capitalization of at least U.S. $250 million, (iii) be classified within one of the Real Estate, Natural Resources or Infrastructure industries by FactSet, (iv) have six-month average daily turnover greater than or equal to U.S. $500,000, (v) have traded for at least 90% of the total trading days over the last six months, and (vi) have paid dividends during the trailing 12 months prior to selection as well as the trailing 12 months three years prior to selection. The top 30 securities by three-year dividend growth rate from each of the Real Estate, Natural Resources and Infrastructure industries will be selected for inclusion in the Underlying Index, for a total of 90 securities. Securities within the portfolio are equally weighted at each rebalance and reconstitution. The total weight of MLPs is capped at 20% of the overall portfolio (and the total number of MLPs is limited to 15) at each rebalance, and any excess weight over 20% is proportionally distributed among other Infrastructure securities. The Underlying Index is reconstituted annually and rebalanced quarterly. The Fund is generally reconstituted and rebalanc ed in accordance with the Underlying Index. Under normal market conditions, the Fund will invest not less than 80% of its net assets (plus the amount of any borrowings for investment purposes) in Real Asset companies. The Adviser expects that, over the long term, the Funds investments in Real Asset companies should provide some protection against the impact of inflation because the values of the Funds Real Asset investments are generally linked or correlated to the rate of inflation. The Fund will not seek to beat the performance of the Underlying Index and will not seek temporary defensive measures when markets decline or appear overvalued. Instead, the Fund uses a passive or indexing investment approach to try to approximate the investment performance of the Underlying Index by investing in a portfolio of securities that generally replicates the Underlying Index; however, there may be times when the Fund does not hold every security in the Underlying Index. The Adviser expects that, over time, the correlation between the Funds performance before fees and expenses and that of the Underlying Index will be 95% or better. A figure of 100% would indicate perfect correlation. The Fund will concentrate its investments ( i.e. , invest more than 25% of its total assets) in a particular industry or group of industries approximately to the same extent that the Underlying Index is concentrated. As of October 31, 2025, the Underlying Index was concentrated in industries within Real Estate and Energy. Show less