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Top Portfolio Products: New Low-Carbon, Hedged EU ETFs

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New products and changes introduced over the last week include a low-carbon ETF from SSGA; an ETF from Deutsche Asset & Wealth Management; a long/short equity fund from Henderson Global Investors; an ETF from Validea Capital Management; and five new funds from RBC Global Asset Management.

Also, SWIFT’s KYC Registry went live; Omni Alliance launched a cloud-based platform; fTLD Registry Services announced an agreement with Symantec; and Advent Software released a second round of product upgrades.

Here are the latest developments of interest to advisors:

1) SSGA Launches Low-Carbon ETF

State Street Global Advisors, the asset management arm of State Street Corporation, has announced the launch of the SPDR MSCI ACWI Low Carbon Target ETF (LOWC). Developed in conjunction with the United Nations Joint Staff Pension Fund (UNJSPF), LOWC seeks to provide access to the potentially long-term growth opportunities of companies that are carbon efficient while reducing exposure to assets vulnerable to the transition to a low-carbon economy.

LOWC seeks to provide investment results that correspond generally to the total return performance of the MSCI ACWI Low Carbon Target Index, which is designed to address two dimensions of carbon exposure—carbon emissions and fossil fuel reserves expressed as potential emissions. The index, which is a subset of the MSCI ACWI Index, overweights companies with low carbon emissions relative to sales and those with low fossil fuel reserves relative to market capitalization and seeks to achieve a target level of tracking relative to its parent index (the MSCI ACWI Index) while minimizing the carbon exposure.

2) Deutsche Asset & Wealth Management Adds ETF

Deutsche Asset & Wealth Management has announced the launch of Deutsche X-trackers MSCI EMU Hedged Equity ETF (DBEZ).

DBEZ is an international currency-hedged ETF that provides investors exposure to the eurozone and tracks the MSCI EMU IMI Dollar Hedged Index.

3) Henderson Global Investors Launches Long/Short Fund

Henderson Global Investors has announced the launch of the Henderson International Long/Short Equity Fund (HLNAX, HLNCX, HLNIX), which seeks to achieve long-term capital appreciation primarily through investment in equities of non-U.S. companies and will be fully hedged back to the U.S. dollar.

The Fund includes four regional sub-portfolios with a bottom-up approach to stock selection and will generally consist of a total of 60–70 positions. The sub-portfolios include Europe, the U.K., Japan and Asia and are managed by Stephen Peak, Neil Hermon, Vincent Musumeci and Andrew Gillan/Andrew Mattock, respectively.

4) Validea Capital Management Adds ETF

Validea Capital Management is launching the Validea Market Legends ETF (VALX).Ad

VALX is an actively managed fund that focuses on finding the most fundamentally sound stocks using disciplined investing models based on the strategies of Wall Street legends. The portfolio will be comprised of 10 unique investment models, each of which is based on the strategy of an investment legend. The strategies’ investment styles range from value to growth to income- and momentum-based approaches.

5) RBC Global Asset Management Adds Five FundsRBC Global Asset Management has introduced five additional mutual funds to its lineup, the RBC Small Cap Value Fund (RSVIX), RBC BlueBay Emerging Market Unconstrained Fixed Income Fund (RUFIX), RBC BlueBay Total Return Credit Fund (RBTRX), RBC Global Opportunities Fund (RGOIX) and RBC International Opportunities Fund (RIOIX).

RSVIX seeks to provide long-term capital appreciation by investing in equity securities of 70 to 100 high-quality companies that appear to offer attractive value relative to the overall market. It is managed by lead portfolio manager Lance James and senior portfolio manager Steve Kylander.

RUFIX seeks to achieve a high level of total return consistent with the preservation of capital as part of an innovative approach to accessing emerging market credit. The fund is managed with a fully flexible, unconstrained approach to allocating within the various subsectors of emerging market debt. The fund is subadvised by BlueBay Asset Management.

RBTRX seeks to achieve a high level of total return consisting of income and capital appreciation and utilizes a multisector unconstrained fixed income strategy that employs the bottom-up specialty of each underlying investment team at BlueBay while employing a top-down asset allocation strategy. The fund is subadvised by BlueBay Asset Management.

RGOIX and RIOIX each seek to provide long-term capital growth by investing primarily in 40–60 equity securities of large global companies. The funds are managed by RBC Global Asset Management’s U.K.-based global equity team, led by senior portfolio manager Habib Subjally.

6) SWIFT’s KYC Registry Goes Live

SWIFT has announced that its Know Your Customer Registry has gone live for correspondent banks.

The KYC Registry provides a secure way to exchange a standardized set of information for correspondent banking due diligence. Banks contribute an agreed “baseline” set of data and documentation for validation by SWIFT, which the contributors can then share with their counterparties. Each bank retains ownership of its own information, as well as control over which other institutions can view it.

7) Omni Alliance Launches Cloud-Based Platform

Omni Alliance, Inc. announced the launch of Omniscient Enterprise Advisor, a cloud-based platform designed to help independent advisors and RIAs grow and scale their businesses.

The software-as-a-service (SaaS) streamlines workflow for advisors by including CRM (client relationship management), e-mail, calendaring, compliance, document storage, report generation, a client portal and portfolio management within one software program, with each component easily accessible from anywhere in the program. Omniscient also gathers reconciled data from all of the major custodians daily.

8) fTLD Registry Services Chooses Symantec as Verification Agent

fTLD Registry Services, LLC has announced an agreement with Symantec Corporation to provide verification services for the “.bank” and “.insurance” generic top-level domains.

In this role, Symantec will add a layer of protection to the new domains by verifying the eligibility of companies requesting domain names, making sure the person requesting the domain name is authorized by the company and ensuring the name requested by the company complies with fTLD’s policies.

9) Advent Releases Product Upgrades

Advent Software, Inc. has announced the release of a second round of upgrades this year across its product suite. The new release contains platform and integration enhancements for Geneva, Portfolio Exchange (APX), Moxy, RevenueCenter, and Rules Manager.

The Geneva updates include investment and fund accounting features to support more assets on the platform, as well as integration with Investor Analytics. Integration with Chicago Clearing Corporation has also been added to Geneva to facilitate securities class action settlement recovery. APX updates include enhancements to corporate action processing, greater control over pricing, and new reporting capabilities. For Moxy and Rules Manager, the release brings improved FIX connectivity, enhanced global real-time pricing data from Factset and expanded instrument coverage.

Read the Dec. 7 Portfolio Products Roundup at ThinkAdvisor.