John Hancock Launches 5 Sector ETFs
Boston-based John Hancock Investments has introduced five exchange-traded funds, bringing its total ETF lineup to 11 products.
The new funds, which now trade on the New York Stock Exchange, are: the John Hancock Multifactor Consumer Staples ETF, the John Hancock Multifactor Energy ETF, the John Hancock Multifactor Industrials ETF, the John Hancock Multifactor Materials ETF and the John Hancock Multifactor Utilities ETF.
The new funds were designed by Austin, Texas-based Dimensional Fund Advisors and will be managed using Dimensional’s four-factor, fundamental approach.
“We’re pleased to be able to bring Dimensional’s proven multifactor approach to a broader set of sector ETFs,” said Andrew G. Arnott, president and CEO of John Hancock Investments, in a statement. “Investors are increasingly looking for a better way to achieve equity market beta than relying solely on traditional capitalization-weighted indexes, and our lineup of John Hancock Multifactor ETFs now provides a broad range of tools for doing just that.”
Dimensional’s research-driven approach leads to portfolio composition that resembles many smart beta indexes and products, but arrives at its destination differently. The firm emphasizes profitability, company size and price within the context of the overall market in its four-factor approach, which is intended to limit style drift.
The new funds continue the 10-year partnership between John Hancock and Dimensional Fund Advisors.
In coordination with the launch of the new ETFs, John Hancock is engaging in a multi-channel marketing campaign.
BlackRock Unveils Junk Bond ETF Ex-Energy
New York-based BlackRock has filed for a new ETF that will invest in all areas of the junk bond market except the energy sector.