17 new ETF offerings were launched for the week, each with a distinct value proposition for investors. Detailed below are the respective launches from each asset manager.
Roundhill Investments launched the Roundhill S&P Dividend Monarchs ETF (Ticker: KNGS).The fund will track the S&P Dividend Monarchs Index, which reflects US blue-chip companies that have grown their dividends for at least 50 consecutive years.
John Hancock Investment Management launches two actively managed ETFs, John Hancock Dynamic Municipal Bond ETF (Ticker: JHMU) and John Hancock Fundamental All Cap Core ETF (Ticker: JHAC). The former is a municipal bond solution, which seeks a high level of interest income exempt from federal income tax, whereas the latter is a semi-transparent ETF that focuses on companies with sustainable competitive advantages and strong cash flow generation.
ProShares launched the ProShares Short Ether Strategy ETF (Ticker: SETH), the world’s first short ether-linked ETF. SETH is designed to deliver the inverse (opposite) of the daily performance of the S&P CME Ether Futures Index. Like other ProShares crypto-linked ETFs, SETH seeks to obtain exposure through ether futures contracts.
Kingsbarn Capital Management launched the Kingsbarn Dividend Opportunity ETF (Ticker: DVDN). The fund targets equities issued by residential and commercial mortgage real estate investment trusts (REITs) and business development companies and seeks to deliver an attractive quarterly dividend while maintaining prospects for capital appreciation.
The portfolio managers use proprietary bottom-up financial forecasts that provide earnings, dividend, and book value sensitivities to changing macroeconomic conditions.
Dimensional Fund Advisors launched the Dimensional US Large Cap Vector ETF (Ticker: DFVX). The actively managed ETF invests in a broad and diverse group of readily marketable equity securities of large-cap U.S. companies. The fund emphasizes long-term drivers of expected returns identified by the managers’ research, while balancing risk through broad diversification across companies and sectors.
SRH Funds has launched the SRH REIT Covered Call ETF (Ticker: SRHR). The actively managed ETF holds distribution growth-oriented REITs, coupled with a covered-call writing strategy on the individual REITs. Its portfolio management team employs a fundamental, bottom-up, value-driven stock selection process.
Gotham Asset Management launched the Gotham Short Strategies ETF (Ticker: SHRT). The actively managed ETF consists of long and short positions chosen from a universe of mid to large U.S. securities. The ETF is targeted to be approximately 100% long and 150% short with 50% net short exposure.
The Bahnsen Group launched the TBG Dividend Focus ETF (Ticker: TBG). The diversified actively managed ETF invests in publicly traded companies that have a long history of growing their dividends. The fund invests in 25 to 35 small-, mid- and large-cap companies that generally maintain a dividend yield greater than the S&P 500’s average dividend yield. Preference is given to companies that have increased their dividends by more than 5 per cent annually over a five- to seven-year market cycle.
Simplify Asset Management launched the Simplify MBS ETF (Ticker: MTBA), which invests in mortgage-backed securities. MTBA will focus on providing exposure to newer mortgage-backed securities issued in 2023 and will initially invest in the Federal National Mortgage Association (Fannie Mae) 6.0 per cent coupon bonds.
Qraft Technologies has partnered with LG AI Research to launch the LG Qraft AI-Powered U.S. Large-Cap Core ETF (Ticker: LQAI). The fund is an AI-powered ETF that seeks to exceed the return of U.S. large-cap stocks over time by investing in 100 stocks. It targets US large-cap stocks their AI model provides signals about with the highest conviction in each rebalancing period. The fund is rebalanced every four weeks.
Franklin Templeton launched the Franklin Focused Growth ETF (Ticker: FFOG), which predominantly invests in equity securities of companies that the investment manager believes offer compelling growth opportunities. The manager considers factors, such as quality, market share, and competitive positioning in identifying companies.
This ETF was converted from a mutual fund, and it maintains its predecessor’s investment goal, principal investment strategies, performance benchmark, and portfolio management team. However, the ETF is a non-diversified fund, in that, it will generally invest in a smaller number of issuers than a diversified fund, and may be more sensitive to economic, business, political or other changes affecting individual issuers or investments than a diversified fund.
First Trust Advisors launched the First Trust Core Investment Grade ETF (Ticker: FTCB). The fund will invest in a portfolio of investment grade securities, including Treasuries, TIPS, mortgage-backed securities, asset-backed securities, US corporate bonds, non-U.S. fixed income securities, municipal bonds, and CMOs.
Global X launched the Global X MSCI Emerging Markets Covered Call ETF (Ticker: EMCC), which will invest in the iShares Core MSCI Emerging Markets ETF (IEMG), then writes options that cover 100% of its notional holdings.
Invesco adds three new BulletShares ETFs, namely, Invesco BulletShares 2033 Corporate Bond ETF (Ticker: BSCX), Invesco BulletShares 2031 High Yield Corporate Bond ETF (Ticker: BSJV), and Invesco BulletShares 2033 Municipal Bond ETF (Ticker: BSSX)
The three new BulletShares ETFs offer investors access to some fixed income sectors not captured in broad fixed income benchmarks and fund’s termination date will align with the maturity year or expected call date of the bonds held within each ETF portfolio.