ALPS|Sterling ETF Tactical Rotation Fund Launches with Goal of Delivering Upside Participation with Reduced Volatility
Unique Investment Approach Seeks to Combine Global Asset Allocation, Cash, and High Conviction
DENVER--(BUSINESS WIRE)--ALPS, a DST Company focused on asset servicing and asset gathering, today announced the launch of the ALPS Sterling ETF Tactical Rotation Fund, a new fund that attempts to provide investors lower volatility, downside mitigation and better upside participation.
“Most tactical strategies tend to be low conviction or narrow in scope”
The Fund seeks to track the Sterling Tactical Rotation Index, a high conviction, global tactical index that employs an equal weighted strategic rotation model, trading between six broad-based asset classes: U.S. stocks, International stocks, REITs, Bonds, Commodities, and Cash.
Sterling Global Strategies, a Carlsbad, CA investment advisor, will serve as the Fund’s Sub-advisor. The Sterling team has extensive experience in building, managing, and developing absolute return strategies that seek to produce positive returns in any market cycle. The Sterling Tactical Rotation Index was launched in June 2010 and is independently calculated by NYSE under the symbol STLGSTRR.
ALPS, a specialist in satellite and alternative investment strategies including MLPs, REITs, Commodities, and Listed Private Equity, will serve as the Fund’s Advisor.
“Most tactical strategies tend to be low conviction or narrow in scope,” says Tom Carter*, President of ALPS Advisors, “meaning they seek to offer either downside mitigation or upside potential. The ALPS Sterling ETF Tactical Rotation Fund has been designed to pursue both. We were impressed with Sterling’s track record and are excited to be able to offer their tactical rotation index as a mutual fund.”
In practice, the Fund will apply Sterling’s Tactical Rotation Index investment methodology to tactically select the top two asset classes each month. Once the asset classes are determined, the portfolio is constructed by investing in the corresponding class of exchange traded funds. The Fund can invest 100% of assets in cash during broad market declines.
The Fund will seek investment results that correspond generally to the performance of the Sterling Tactical Rotation Index.
The ALPS Sterling ETF Tactical Rotation Fund will be available in three classes—A Shares (ETRAX), C Shares (ETRCX), and I Shares (ETRIX). Additional information can be found at www.alpsfunds.com.
ALPS provides customized asset servicing and asset gathering solutions to the financial services community through an entrepreneurial culture based on the commitment to “Do Things Right.” Founded in 1985, ALPS continues to actively promote all of its various business segments, from asset servicing through ALPS Fund Services, Inc. to asset gathering through ALPS Portfolio Solutions Distributor, Inc., ALPS Distributors, Inc. and ALPS Advisors, Inc. Headquartered in Denver, with offices in Boston, New York, Seattle, and Toronto, ALPS, a wholly-owned subsidiary of DST Systems, Inc., today represents more than 450 employees, over 200 clients, and an executive team that has been in place for more than 19 years. For more information about ALPS and its services, visit www.alpsinc.com. Information about ALPS products is available at www.alpsfunds.com.
About Sterling Global Strategies, LLC
Sterling Global Strategies is a Managed ETF Strategist headquartered in Carlsbad, CA. The firm is committed to providing investment solutions that significantly reduce downside market volatility while having the ability to outperform over full market cycles. The algorithm that drives their strategies has two built in risk management tools. The ability to invest 100% of assets in cash during broad market declines as well as rotating away from declining asset classes.
An investor should consider the investment objectives, risks, charges and expenses carefully before investing. To obtain a prospectus which contain this and other information call 866.675.2639 or visit www.alpsfunds.com. Read the prospectus carefully before investing.
This Fund is not suitable for all investors. The Fund is “non-diversified” and will generally be more volatile than diversified funds.
Investments in small and mid-cap companies generally will experience greater price volatility. International and Emerging markets are riskier than more developed markets because they tend to develop unevenly and may never fully develop. Prices of fixed income securities generally increase when interest rates decline and decrease when interest rates increase and may cause losses. Real estate investments are subject to specific risks, such as risks related to general and local economic conditions and risks related to individual properties.
The Fund invests in Exchange Traded Funds (“ETFs”) and the Fund could lose money by investing in an ETF if the prices of the securities owned by the ETF go down. The Fund’s shareholders will indirectly incur the fees and expenses charged by the underlying ETFs held by the Fund, in addition to the expense charged by the Fund.
Commodities and futures generally are volatile and involve a high degree of risk. This fund enters into a short sale by selling a security it has borrowed. If the market price of a security increases after the Fund borrows the security, the Fund will suffer a potentially unlimited loss when it replaces the borrowed security at the higher price. The use of derivatives exposes the Fund to additional risks including volatility, lack of liquidity and possible losses greater than the Fund’s initial investment as well as increased transaction.
The ALPS | Sterling ETF Tactical Rotation Fund is new and has limited operating history.
Not FDIC Insured · No Bank Guarantee · May Lose Value
Sterling Tactical Rotation Index: seeks to provide absolute returns during any market cycle or condition by employing an equally weighted strategic rotation model, trading between commodities, REITs, bonds, international and domestic equities.
The ALPS | Sterling ETF Tactical Rotation Fund is a series of Financial Investors Trust. ALPS Portfolio Solutions Distributor, Inc. is the distributor for the ALPS | Sterling ETF Tactical Rotation Fund. ALPS Portfolio Solutions Distributor, Inc. is not affiliated with Sterling Wealth Management Group, Inc.
ALPS Portfolio Solutions Distributor, Inc. and ALPS Distributor, Inc. are affiliated.
*Registered Representative of ALPS Portfolio Solutions Distributor, Inc.