Pacer ETFs on Monday introduced five exchange-traded funds tied to two of its existing strategies: free cash flow and trend following.
The Pacer US Cash Cows Growth ETF (BUL), Pacer Emerging Markets Cash Cows 100 ETF (ECOW) and Pacer Cash Cows Fund of Funds ETF (HERD) join the company’s suite of Cash Cow funds that target companies with high free-cash-flow yield.
BUL tracks an index that screens the S&P 900 Pure Growth Index for the top 50 companies based on free-cash-flow yield. It charges an expense ratio of 0.60 percent. ECOW is based on an index that uses the FTSE Emerging Markets Index as a starting point to find 100 emerging-market companies with the highest free-cash-flow yield. Its expense ratio is 0.70 percent.
HERD comprises five Pacer Cash Cows Index series ETFs and charges an expense ratio of 0.74 percent.
Elsewhere, the Pacer Trendpilot International ETF (PTIN) and Pacer Trendpilot Fund of Funds ETF (TRND) are the newest products in the company’s roster of Trendpilot funds based on a trend-following strategy.
In the case of PTIN, that fund tracks an index that uses trend following to alternate exposure between equities and T-Bills based on the 200-day moving average of the S&P Developed ex-US Large Cap Index. The fund’s expense ratio is 0.65 percent.
TRND is a fund of funds composed of four Pacer Trendpilot series ETFs that, depending on market conditions, alternate exposure to T-bills and either U.S. large caps, U.S. mid caps, the Nasdaq 100 Total Return Index or international developed markets, ex-U.S. It charges an expense ratio of 0.78 percent.
Pacer has other ETFs beyond its Cash Cow and Trendpilot series of funds, and all told has 20 ETFs with more than $4.35 billion in assets under management.