ALPS has launched the Alerian Energy Infrastructure Exchange Traded Fund, the first ETF designed to deliver both energy infrastructure and Master Limited Partnership-focused investments to the retail market.
The fund provides exposure to the Alerian Energy Infrastructure Index, which is intended to give investors a transparent and intuitive means of tracking the overall performance of the North American Energy Infrastructure sector. The index is comprised of equity securities of issuers headquartered or incorporated in the US and Canada.
The fund will be an addition to the ALPS Advisors suite of alternative investment solutions.
“The Alerian Energy Infrastructure ETF represents what we think is an excellent way for investors to gain exposure to Alerian’s MLP and energy infrastructure expertise,” says Tom Carter, president of ALPS Advisors. “We believe the underlying index they’ve built provides a comprehensive representation of the major players in the North American energy infrastructure sector.”
ALPS and Alerian introduced the industry’s first MLP ETF in 2010, the Alerian MLP ETF (AMLP), now the largest fund of its kind. The two firms subsequently combined to launch the first passively managed MLP mutual fund — the ALPS|Alerian MLP Infrastructure Index Fund (ALERX) — in December of 2012, and the ALPS|Alerian Energy Infrastructure Portfolio for the variable annuity market earlier this year.
“The Alerian Energy Infrastructure ETF is a product that will allow investors to access 30 core companies that transport, store, and process energy resources across North America,” says Kenny Feng, Alerian’s president and CEO. “We believe these companies will be instrumental in the energy infrastructure build-out necessary to achieve energy independence by 2030.”