Mals are the most popular of the Belgian varieties - but yes, the Tervs are still being bred for working and show.
Any good breeder of a Belgian variety will work their dogs as well as show them. In their breed standard they are SUPPOSED to be "workable" dogs and if they aren't, then they have deviated from the breed standard.
They are still used as guardians, protection and herding dogs.
Riot only blows his coat once a year, the rest of the year is actually minimal shedding (it helps that hes bathed regularly and his coat is kept tidy).
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I believe the original size of the Shetland Isle Shelties were around 12" max. I can't be 100% certain though.. I just remember that number being in there.. They were TINY!
ALSO, the were not originally bred for "herding", their original purpose was guarding the flock and driving them; then they got settled into being just herders.
If you have ever seen the book "Sheltie Talk". its AMAZING and FULL of wonderful knowledge. I've read it a few times and its just an amazing read. It tells about the original sheltie, the sheltie traits that they are SUPPOSED to have, correct conformation, whelping, showing etc etc.. just about everything. Any Sheltie owner should own that book!