Investment management firm Lattice Strategies has launched its inaugural suite of three exchange-traded funds (ETFs) on the New York Stock Exchange.
The new ETFs making their debut are Lattice Emerging Market Strategy ETF (NYSE: ROAM), Lattice Developed Markets (ex-US) Strategy ETF (NYSE: RODM), and Lattice US Equity Strategy ETF (NYSE: ROUS).
Lattice is not new to the ETF space. It was an early proponent of ETFs, launching its Liquid Endowment Strategies in 2007 and developing custom strategy indexes that power private-label ETFs, with each investment solution designed to reallocate risk to drive capital growth. As of December 2014, approximately USD1.7 billion was managed to investment strategies developed by Lattice for retail and institutional investors.
Lattice’s ETFs are based on the firm’s conviction that the disciplined, intentional and systematic allocation of risks is the most influential contributor to long-term growth of capital. Consequently, the firm’s ETFs have been structured with the aim of asserting control over the unintended and often overlooked risks in specific asset classes, providing investors access to pioneering investment strategies – core portfolio building blocks – designed to improve investment outcomes.
“Inefficient allocation of risk in both passive and traditional active investment approaches is a problem confronting many individual and institutional investors, with many having limited awareness of the issue or its consequences,” says Lattice’s Managing Partner, Theodore Lucas. “All too often, risk allocation is the consequence rather than the driving force behind portfolio composition, resulting in inferior long-term growth potential, undermining the most fundamental goal of investing.”