APPLETON, Wis.--(BUSINESS WIRE)--iSectors®, LLC, a manager of a suite of exchange-traded fund (ETF)-based asset allocation models, announces the debut of its flagship iSectors® Post-MPT Growth ETF (NASDAQ: PMPT). The actively-managed ETF aims to optimize investor return and minimize the downside risk.
PMPT is a liquid alternative ETF that is based on the firm’s flagship investment model, the iSectors® Post-MPT Growth Allocation. PMPT utilizes a proprietary quantitative investment model designed to improve upon the principles of Modern Portfolio Theory (MPT) by applying modern research and technology. The strategy uses monthly changes in more than a dozen relevant capital market and economic factors, including interest rates, money supply, inflation and unemployment rates, as it seeks to maintain an optimal portfolio allocation that maneuvers the portfolio through time as the markets and economy change. To achieve this, PMPT invests in nine low-correlated asset classes, including basic materials, bonds, energy, financials, gold, healthcare, real estate, technology and utilities to ensure a high level of diversification.
“Today’s sophisticated investors understand the need for a more comprehensive approach to their investments, one that aims to perform well in both up- and down markets. Traditionally, investors have been exposed to a buy and hold approach which limits portfolio diversification among highly correlated asset classes, and therefore fails to reduce risk as expected. PMPT diversifies its portfolio among low-correlated asset classes with the goal of minimizing risk, especially in a down market,” said iSectors®’ founder and CEO, Vern Sumnicht.
Before introducing the iSectors® PMPT Growth ETF, the iSectors’ allocation models were only available to financial advisors through turnkey asset management platforms that offer iSectors®’ allocation models as separately managed accounts.
“We developed the iSectors® PMPT Growth ETF to answer advisors’ call for a more easily accessible form of iSectors® Post-MPT Growth Allocation,” noted Chuck Self, Chief Investment Officer of iSectors®. “We launched PMPT for risk-averse investors, seeking downturn protection while still benefitting from possible market gains.”
Advisors and investors can learn more about iSectors® PMPT Growth ETF by visiting www.iSectorsETFs.com.
About iSectors®, LLC
iSectors® is an SEC-registered investment advisor that manages a suite of exchange-traded fund (ETF)-based asset allocation models intended for use by registered investment advisors through turnkey asset management platforms. iSectors®' suite of ETF-based allocation models, services, and support empowers advisors with the ability to create and maintain unique investment solutions tailored to each client's individual investment goals and risk tolerance. iSectors®’ proprietary investment strategies seek to improve risk-adjusted returns by employing a number of methodologies, including quantitative analysis, liquid alternatives, strategic and tactical asset allocation. In August 2016, the firm introduced its premier ETF offering available to retail investors based upon iSectors®’ popular Post-MPT Growth Allocation model.
You should consider the fund’s investment objectives, risks, and expenses carefully before investing. Contact ETF Distributors LLC at 1-888-383-4184 or visit www.iSectorsETFs.com to obtain a prospectus which contains this and other information about the fund. The prospectus should be read carefully before investing.
Exchange-Traded Funds – The value of an ETF may be more volatile than the underlying portfolio of securities the ETF is designed to track. The costs of owning the ETF may exceed the cost of investing directly in the underlying securities.
Credit & Interest – Debt securities are subject to various risks, the most prominent of which are credit and interest rate risk. The issuer of a security may fail to make payments in a timely manner. Values of debt securities may rise and fall in response to changes in interest rates. The risk may be enhanced with longer-term maturities.
Equity Securities – The market price of equity securities may be affected by financial market, industry, or issuer-specific events. Focus on a particular style or on small or medium-sized companies may enhance that risk.
High Yield-High Risk Fixed Income Securities – There is a greater level of credit risk and price volatility involved with High Yield securities than investment grade securities.
Portfolio Turnover Risk – The fund’s principal investments strategies will result in a consistently high portfolio.
Industry/Sector Risk – A fund that focuses its investments in a particular industry or sector will be more sensitive to conditions that affect that industry or sector than a non-concentrated fund.
Small-Company – The market price of equity securities may be affected by financial market, industry, or issuer-specific events. Focus on a particular style or on smaller medium-sized companies may enhance that risk.
Allocation – The fund’s exposure to different asset classes may not be optimal for market conditions at a given time. Asset does not guarantee a profit or protect against a loss in declining markets.
Prospectus: For additional information on risks, please see the fund's prospectus.
Virtus ETF Advisers, LLC serves as the investment advisor and iSectors®, LLC serves as the sub-advisor to the Fund. The Fund is distributed by ETF Distributors LLC, an affiliate of Virtus ETF Advisers, LLC.