Hatteras Goes on Alts Road Show
Raleigh, N.C.-based Hatteras Funds is hosting its own alternative investments road show. The series of forums across the U.S. will allow advisors, home office research teams and consultants to meet the managers of the Hatteras alternative mutual funds, which include Alpha Hedged Strategies Fund, Long/Short Equity Fund, and Long/Short Debt Fund.
Huntington Still Has Midas Touch
Huntington Asset Services, Inc., a wholly owned subsidiary of Huntington Bancshares Incorporated, has extended its relationship with the Midas Family of Funds through March 2015.
Midas has been a Huntington Asset Services client since 2002.
Stocks Party Like It's $99 Million
It was only $99 million.
But it was the first gain registered by mutual funds that invest long-term in U.S. publicly listed companies since the start of June.
The $99 million inflow reported by the Investment Company Institute for the week ended July 18 does not erase the $11.8 billion pulled out of such funds in the prior six weeks.
Huntington Adds to Active ETF Lineup
Columbus, OH-based Huntington Asset Advisors, Inc. has launched a second actively managed exchange-traded fund, US Equity Rotation Strategy ETF, into its ETF family known as Huntington Strategy Shares. The Huntington EcoLogical Strategy ETF (NYSE Arca: HECO) made its debut last month.
The US Equity Rotation Strategy ETF will bet on large-, mid- and small-cap companies included in the S&P Composite 1500 in the utilities, consumer staples, information technology, healthcare, financials, energy, consumer discretionary, materials, industrials, and telecommunication services. Paul Koscik and Martina Cheung are the portfolio managers of the fund.
Vanguard TIPS its Hand About Latest Fund
Vanguard has filed a registration statement with the Securities and Exchange Commission to launch the Vanguard Short-Term Inflation-Protected Securities Index Fund in Q4.
The new fund will track the performance of the Barclays U.S. Treasury Inflation-Protected Securities (TIPS) 0-5 Year Index, a market-weighted index that measures the performance of inflation-protected public obligations of the U.S. Treasury that have a remaining maturity of less than five years.
Its ETF Shares will have an estimated expense ratio of 10 basis points. Its Investor Shares sport a 20 bps expense ratio, the Admiral Shares 10 bps, and the Institutional Shares seven bps. To offset the transaction costs of purchasing TIPS, the fund will assess a 25 bps purchase fee on all shares (excluding ETF shares).
Direxion Puts HY Bear Fund to Sleep
The Board of Trustees of Direxion Funds is liquidating the Direxion HY Bear Fund based on the recommendation of the fund's investment adviser, Rafferty Asset Management, according to a Securities and Exchange Commission filing.
The fund's liquidation, which will take place on August 29, was "due to its inability to attract sufficient investment assets to maintain a competitive operating structure," according to the filing. It will be closed to new investments on August 15.
Arrow Aims For Active ETFs
Olney, M.D.-based Arrow Investment Advisors is looking to add active exchange-traded funds and more alternative mutual funds to its quiver.
CEO Joseph Barrato (see page 10) told Money Management Executive that the firm is hoping to launch one ETF focusing on yield and another alternative-type strategy by Q1 2013. The firm filed for exemptive relief last fall and received its exemption from the SEC on July 3. "We've looked to see where the potholes are in terms of where the SEC has been slowing the active filing," said Barrato.
Vanguard Calls Out ETF Index Providers
Exchange-traded funds have experienced tremendous growth over the past decade but not all of that growth is positive, according to new research from Vanguard.
As of March 31, more than $1.2 trillion was invested in about 1,400 U.S.-listed ETFs, according to the Valley Forge, P.A.-based fund firm, citing data from Strategic Insight's Simfund. The report also revealed that U.S.-listed ETFs currently track more than 1,000 different indexes and, increasingly, ETFs have been launched using new indexes based on "narrow market segments and alternative weighting methods that often lack 'live' performance history."
BrightScope Pops the Hood on Target-Date Funds
Target-date fund providers are taking two steps forward and three steps back, according to a new report by BrightScope.
On a positive note, the report revealed that some managers have significantly improved the prospectus language describing their funds. For example, some prospectuses now state that their funds are intended for participants expecting to take a lump sum withdrawal at or near the target date, while others state that their funds are intended for those participants intending to begin periodic withdrawals at the target date.
Advisors Favor Vanguard Over iShares
Discount exchange-traded fund provider Vanguard now tops the field of leading ETF providers among advisors in another category: favorable impressions.
According to a new Cogent Research report, 60% of the advisors included in Cogent's study view Vanguard very favorably, more positively than any other ETF provider. iShares, while still the dominant market share leader, now ranks fourth in favorability among current brand users, behind Vanguard, WisdomTree, StateStreet/SPDR and First Trust.
OMAM's Hire Targets Consultants
Old Mutual Asset Management, the U.S.-based global asset management business of Old Mutual plc, has named John Harrington as Director of U.S. Consultant Relations, responsible for business development in the consultant channel.
He will be based in Boston and report to Brian Carroll, Head of U.S. Distribution.
Northern Trust Adds Mercer Vet
Northern Trust has hired Jeff Kearny to lead new business development for asset servicing the West Coast and in the Mountain states, including corporations, public pension funds, insurance companies and not-for-profit institutions.
He reports to Jon Dunham, director of North American sales for Corporate & Institutional Services at Northern Trust.
Ex-Russell Exec Decamps to the Dark Side
Newly formed alternative asset management shop Madison Park Capital Partners has hired Erik Ogard, former director of Multi Strategy Solutions for Russell Investments, as a managing principal.
In his role Ogard will oversee Madison Park's portfolio management, investor relations and business development efforts and work out of the firm's Seattle headquarters.
FPA's PM Resigns Under 'Difficult, Unforeseen Circumstances'
Eric J. Bokota has resigned as co-portfolio manager of the FPA International Value Strategy (including the FPA International Value Fund, FPIVX), effective July 23.
$6.1B is the amount of money investors injected into equity funds during the week ending July 18th.
The Large Cap Russell 1000 Index has returned 9.5% this year, through May 8, even with a loss of 2.5% in the first 8 days of the month. Financial Services has been the best-performing sector, so far.
8.72% is the 1-month average return generated by Commodities Broad Basket mutual funds.
These funds, according to Morningstar, can invest in a diversified basket of commodity goods including, but not limited to, grains, minerals, metals, livestock, coffee and cocoa. Year-to-date, these funds lost nearly 1% of their value. They also lost 2.24% in the three month period. Over the 12-month period, they lost 14.36%.