IQLT screens its international equity universe based on three measures of fundamental quality: return on equity, debt/equity ratio, and earnings variability. At each semi-annual rebalance, the fund selects securities with the highest combined quality score. Holdings are weighted such that each sector receives the same weight as in the market cap-weighted universe. Within each sector, holdings are weighted by their quality score, scaled by market-cap. A capping scheme of 5% for each individual security is also applied.