Vanguard’s First Actively Managed U.S. ETFs
Vanguard has extended its low-cost active fund suite with six factor-based ETFs and one factor-based mutual fund for advisors and institutional investors.
There will be five single-factor ETFs based on volatility, liquidity, value, momentum and quality to acquire a risk or return objective. The estimated expense ratio for these five ETFs is 0.13%. The sixth ETF and the mutual fund will follow multiple factors and have an estimated expense ratio of 0.18%.
The Vanguard Quantitative Equity Group, which manages more than $39 billion internationally, will manage the new funds.
To help educate investors about factor-based funds, Vanguard launched an information web page that covers product information, factor fund basics and factor applications. The URL is https://advisors.vanguard.com/web/cf/factor/basics.
Great-West Financial Launches Index-Linked Annuity
Great-West Financial has launched its first indexed-linked variable annuity, Capital Choice, for investors who want to grow their principal in a sheltered investment vehicle.
The firm plans to release a fee-based and a commission-based Capital Choice product, two different versions that will cater to either broker-dealers or registered investment advisors.