Bringing you live news and features since 2006 

Two AdvisorShares ETFs earn Five-Star Morningstar ratings

RELATED TOPICS​

The AdvisorShares WCM/BNY Mellon Focused Growth ADR ETF (AADR) and the AdvisorShares Newfleet Multi-Sector Income ETF (MINC) have both received a Five-Star Morningstar Rating. 

AADR earned its five-star rating for its three-year, five-year and overall risk-adjusted performances in Morningstar's Foreign Large Growth category. MINC earned its five-star rating for both its three-year and overall risk adjusted performances in Morningstar's Short-Term Bond category.

MINC is sub-advised by Newfleet Asset Management, an affiliated manager of Virtus Investment Partners, Inc. that has an established track record of delivering widely acclaimed fixed income strategies for their clients.

MINC seeks to provide current income consistent with preservation of capital, while limiting fluctuations in net asset value (NAV) due to changes in interest rates. Newfleet's experienced portfolio management team utilizes a three-step process that focuses on sector analysis and allocation, security selection and portfolio construction.  Utilizing an opportunistic, value-driven approach to active management by overweighting and underweighting 14 different bond sectors, the portfolio manager aims to build a diversified and tactical portfolio with limited duration that focuses on total return. In doing so, MINC's risk-adjusted performance has ranked within the top 10% of all funds—including both mutual funds and ETFs—in Morningstar's Short-Term Bond category since its inception.

AADR is sub-advised by WCM Investment Management, an institutional money manager that possesses an established track record of beating international benchmarks for their clients. BNY Mellon, the world's largest depositary for American Depositary Receipts (ADRs) provides their expertise to the portfolio management team and to all other market intermediaries.

AADR seeks long-term capital appreciation by investing in domestically traded ADRs of high quality, international large cap companies. With valuation playing an essential component, AADR maintains a concentrated portfolio of approximately 30 holdings that focuses on conventional growth sectors such as technology, healthcare, and both discretionary and consumer staples. From these primary areas, the fund looks to select international businesses that benefit from long-lasting secular trends (tailwinds), a growing competitive advantage (a widening economic moat) and superior corporate culture (great people). AADR's active management allows manoeuverability to identify such characteristics within a developing global marketplace, as well as exploit international benchmark inefficiencies to deliver alpha for shareholders. AADR's risk-adjusted performance has ranked within the top 10 per cent of all funds – including both mutual funds and ETFs – in Morningstar's Foreign Large Growth category since its inception.

"The track records of WCM for their institutional clients and Newfleet for their actively managed mutual fund family are both well established," says Noah Hamman, chief executive officer of AdvisorShares. "For any advisor or investor conducting due diligence on international equity and fixed income managers, I believe you will discover few managers with the pedigree, cumulative experience and track record that both WCM and Newfleet possess. While it may be difficult for active managers to produce alpha, it's not difficult to find these managers who generate alpha. These rating recognitions further validate that active management combined with the features of an ETF structure – full transparency, intraday liquidity, and enhanced operational and cost efficiency – can work across different asset classes and ultimately benefit investors."

Latest News

US ETF issuers of active ETFs are facing an increase in fees from the big custodian firms, such as Charles..
ETF data consultant ETFGI reports that assets invested in the global ETF industry reached a new record of USD12.71 trillion..
Calastone has published an ETF white paper which examines several of the processes that take place across the lifecycle of..
Adapting product lines to fit into changing methodologies and meet shifting demand is essential to remaining relevant in the industry..

Related Articles

Taylor Krystkowiak, Themes ETFs
Themes ETFs opened its doors in December 2023, with an introductory suite of 11 ETFs – seven thematic and four...
Konrad Sippel, Solactive
At the end of March, financial index specialist, Solactive, published its 2024 annual report on future trends.  ...
Lorraine Sereyjol-Garros, BNP Paribas
Following changes to the French Monetary and Financial Code and of the French market authority AMF’s General Regulation, it is...
Ed Rosenberg, Texas Capital
Texas Capital Bank first opened its doors back in December 1998 and nowadays offers wealth-management services, as well as commercial,...
Subscribe to the ETF Express newsletter

Subscribe for access to our weekly newsletter, newsletter archive, updates on the site and exclusive email content.

Marketing by