ProShares Rounds Out Crypto ETF Lineup
Bethesda, Md.-based ProShares introduced its sixth cryptocurrency-linked ETF to fill out its suite of similarly styled products.
The ProShares Short Ether Strategy ETF (SETH) is the first-ever short Ethereum-linked ETF. It provides investors with the chance to profit from the declines in the price of ether and will deliver the inverse of the daily performance of the S&P CME Ether Futures Index.
The fund joins the ProShares Bitcoin Strategy ETF (BITO), the ProShares Short Bitcoin Strategy ETF (BITI), the ProShares Ether Strategy ETF (EETH), the ProShares Bitcoin & Ether Equal Weight Strategy ETF (BETE), and the ProShares Bitcoin & Ether Market Cap Weight Strategy ETF (BETH).
The new ETF has a 95-basis-point management fee.
SCG Relaunches Strategy With A New Look
SCG Asset Management, based in Nashville, Tenn., has relaunched an interval fund incorporating a new strategy that creates a diversified portfolio of equity-linked structured notes with the goal of generating income for investors.
The Alternative Strategies Income Fund will provide investors with high income and consistent quarterly distributions no matter what the market is doing, the firm said. The fund’s ticker is LTAFX.
The fund seeks to offer low-to-moderate volatility and low correlation to the broader markets. The fund has a $5,000 minimum and a 1.5% management fee. The fund requires no subscription documents or Schedule K-1 tax forms.
Vanguard Introduces Two Muni Bond ETFs
Vanguard has announced the launch of two municipal bond ETFs, the Vanguard Intermediate-Term Tax-Exempt Bond ETF (VTEI) and the Vanguard California Tax-Exempt Bond ETF (VTEC).
Vanguard’s Fixed Income Group will manage the funds, according to the Valley Forge, Pa.-based firm.
The intermediate-term fund provides a tax-free yield with an expense ratio of 0.08% against a category average expense ratio of 0.37%. It is a passively managed ETF that provides tax sensitivity and an intermediate-term time horizon.
The California fund is also passively managed with an intermediate time horizon, but it’s tailored to provide tax-exempt yield at both the federal level and the state level for California residents at an estimated expense ratio of 0.08% against a category average expense ratio of 0.28%.
The new pair of ETFs join Vanguard’s $229 billion municipal bond product lineup, which includes the $29.3 billion Vanguard Tax-Exempt Bond ETF (VTEB).
Morgan Stanley Adds Five ETFs to Its Lineup
Morgan Stanley Investment Management has grown out its lineup of ETFs by introducing five new active funds that span a variety of asset classes and meet a number of investor goals.
The actively managed funds include the Parametric Equity Premium Income ETF (PAPI), which aims to provide constant and sustainable monthly income as it engages in most market appreciation. The Parametric Hedged Equity ETF (PHEQ) merges a U.S. large-cap equity portfolio and an option overlay hedge.
The other funds include the Eaton Vance High Yield ETF (EVHY), the Eaton Vance Intermediate Municipal Income ETF (EVIM) and the Eaton Vance Ultra-Short Income ETF (EVSB).
These strategies will offer alpha generation across the credit spectrum.
Sierra Launches Tactical Multi-Asset Mutual Fund
Sierra Mutual Funds has launched the Sierra Tactical Core Growth Fund (STEJX), a mutual fund that can invest up to 100% in global equity funds under favorable market conditions.
The mutual fund uses a unique tactical investment approach to achieve favorable results while minimizing downside risk. The process involves buying and selling mutual funds and ETFs for exposure to U.S. and foreign markets. When a fund’s price drops below its sell signal, then it is sold and removed from the portfolio.
Once that happens it does not re-enter the Santa Monica, Calif.-based firm’s buyable universe until it starts to show evidence of an improving trend, defined by the firm’s buy signal.
The fund invests at least 80% of its net assets in equities, though that may drop from time to time. The firm may also change its target allocations across equity asset classes and fund categories. It may even change the specific equity funds within the portfolio.
Hartford Converts Value Fund To ETF
Hartford Funds has converted a $250 million mutual fund launched in 1996, called the Hartford Quality Value Fund, into an ETF. The fund is now called the Hartford Quality Value ETF (its ticker is “QUVU.”) The firm plans to convert more of its mutual funds in the future.
The ETF will continue to be a traditional large-cap value fund, focusing on investments in high quality, undervalued companies believed to be in out-of-favor industries with less downside risk than the overall market.
The subadvisor for the ETF will continue to be Wellington Management. Its current expense ratio is 0.45%.