Bringing you live news and features since 2006 

EventShares closes political ETFs and launches policy ETF

RELATED TOPICS​

ETF provider EventShares, which focuses on ETFs designed to give investors exposure to major multi-factor government policy-driven events and themes, is combining the strategies from its three initial ETFs into a new, broad-based policy fund.

The EventShares US Tax Reform Fund (TAXR), will be renamed the EventShares US Policy Alpha ETF (BATS: PLCY).  In addition, the firm is announcing the liquidation of the EventShares Republican Polices Fund (GOP) and the EventShares Democratic Policies Fund (DEMS), effective April 27, 2018, with policy catalysts from those portfolios to be incorporated into PLCY.
 
“It has been our view from the start that policy is an investable leading indicator, and we have seen that thesis play out in the outperformance of GOP and DEMS since launch, with both market prices as of April 18, 2018 exceeding the returns of the S&P 500 since inception and through some turbulent market conditions,” says Ben Phillips, chief investment officer at EventShares. 
 
“At the same time, however, GOP and DEMS were never intended as vehicles to express a political point of view, though they were viewed by some investors and advisors in that light.  They were designed to provide exposure to the policies of the two major parties, regardless of an investor’s political affiliation.  With the Policy Alpha fund, we’ve created an investment vehicle that we believe provides access to our best ideas, giving investors the opportunity to get exposure to policy without suggesting a political commitment,” Phillips says.
 
PLCY will look to combine the ‘best ideas’ from the three predecessor ETFs to provide exposure to companies and sectors impacted by a wider range of U.S. government policies and regulations. The firm writes that while tax reform and related policies will continue to play a significant role in the fund, there will be other drivers as well, including trade, defense, healthcare, education, border security, and environmental concerns. The fund will continue to be actively managed.

Latest News

Morningstar has published a review of the European ETF market for the first quarter 2024, which finds that it gathered..
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

Kristen Mierzwa, FTSE Russell
Index Investments Group (IIG), a division within index provider FTSE Russell, has extended its range of indices through two new...
ETFs
US ETF issuers of active ETFs are facing an increase in fees from the big custodian firms, such as Charles...
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.  ...
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