T. Rowe Price Group launched the T. Rowe Price Multi-Strategy Total Return Fund. The fund seeks to diversify investment risk for clients by combining six internally managed liquid alternative strategies to provide different sources of alpha in one multi-strategy approach whose returns are expected to have low correlation to the equity and fixed income markets.
In addition to offering risk diversification, the fund aims to provide capital preservation and consistent returns over time, which can be especially beneficial during periods of heightened market volatility.
The overall portfolio assembly emphasizes risk considerations and risk budgeting, owing to the varying volatility levels and risk profiles of the individual component strategies. Portfolio managers regularly assess and rebalance the portfolio weights among the strategies to ensure diversification and achieve risk targets in light of changing market conditions.
The net expense ratios of the fund’s Investor Class shares and I Class shares are 1.37% and 1.07%, respectively. Fee waivers of 0.13% and 0.61%, respectively, are in place through Feb. 29, 2020.
BNY Mellon Adds Bond Fund To Distribution Platform
BNY Mellon Investment Management added the BNY Mellon Insight Core Plus Fund, an actively managed multi-sector bond strategy, to its distribution platform.
The BNY Mellon Insight Core Plus Fund seeks to deliver attractive risk-adjusted performance over an investment cycle and in various market conditions.
The fund normally invests primarily in a diversified portfolio of investment grade fixed income securities of U.S. and foreign issuers.
The Dreyfus Corporation serves as the investment manager of the Fund and MBSC Securities Corporation serves as the fund’s distributor.
The fund offers Class A (DCPAX), Class C (DCPCX), and Class I (DCPIX) shares with a minimum initial investment of $1,000. The fund also offers Class Y (DCPYX) shares generally with a minimum initial investment of $1 million.
Hartford Funds Cuts Management Fees on Multifactor ETF Suite
Hartford Funds reduced the management fees across six of its seven Multifactor ETFs by an average 28 basis points., which is designed to lower costs for investors.
The Hartford Funds’ Multifactor ETFs, designed to lower costs for investors, seek to outperform traditional passive benchmarks while delivering the potential benefits of transparency and tax efficiency offered within an ETF wrapper.
Fees were cuts as follows:
- Hartford Multifactor US Equity ETF, from 29 basis points to 19 bps
- Hartford Multifactor Developed Markets (ex-US) ETF and Hartford Multifactor Low Volatility International Equity ETF, from 39 bps to 29 bps
- Hartford Multifactor Global Small Cap ETF, from 55 bps to 39 bps
- Hartford Multifactor Emerging Markets ETF, from 59 bps to 49 bps
- Hartford Multifactor Low Volatility US Equity ETF, from 29 bps to 22 bps
Fees for the Hartford US REIT ETF remained unchanged, at 45 bps.
As a result of these reductions Hartford Funds says the operating expense ratios for its Multifactor ETFs now rank near the lowest one-third of all ETFs within their respective categories and among the least expensive 5% when compared to institutional share classes of all actively managed mutual funds.
Advicent Announces Retooling of Flagship Financial Planning Software
Advicent introduced revised tax calculations to its financial planning software, NaviPlan to reflect the changes in the tax code from the 2017 tax cut legislation. NaviPlan now empowers advisors with the choice of planning for the law’s sunset provisions or not. In addition to these changes, the latest release offers improved goal reporting functionality and additional client report options.
Advicent also updated the Narrator Clients portal with the new “explore your options” functionality and enhanced net worth listings.
LifeYield Launches Direct-to-Advisor Channel
LifeYield is making its proprietary “Taxficient Score” available to independent advisors. Previously, thecCompany’s cloud-based solutions were only available to enterprise clients such as Morgan Stanley and Franklin Templeton.
LifeYield recently launched its Taxficient Score, an easy way to explain the value of tax-smart household portfolio management. Similar to a credit score, the Taxficient Score assesses the tax efficiency of a client’s accounts on a scale of 0 to 100 – the higher the score, the better –positioned an investor is to minimize taxes, make and keep more money, as well as achieve retirement goals.
The Taxficient Score provides a benchmark for advisors to improve and sustain investment outcomes, and promote asset consolidation and goals based wealth management strategies.
The Taxficient Score will be available through integrations with TD Ameritrade Institutional’s Veo platform, Charles Schwab’s Advisor Services Data Delivery, Albridge and Riskalyze.
MPI Launches Next-Generation Hedge Fund Index Business
The first index under the new MPI business line is MPI Barclay Elite Systematic Traders Index (MPBEST20), which seeks to capture the returns of the 20 largest systematic traders reporting into BarclayHedge, MPI’s partner for the index.
The MPBEST20 is paired with the MPI BEST 20 Tracker Index (MBEST20T). The MPBEST20 was developed to meet the demands of investors seeking a more selective benchmark representative of hedge fund strategies that deliver equity market diversification.
MPI’s Hedge Fund Indices business launch follows the construction of the firm’s first hedge fund index, the Eurekahedge 50 (EHFI400) and the MPI Eurekahedge 50 Tracker Index (EHFI401). This index, which was launched in 2014 in partnership with Eurekahedge, was developed to provide a measure of the world’s 50 most successful hedge funds and a more representative benchmark for institutional portfolios of hedge funds that seek consistently attractive risk-adjusted returns.
MPI’s hedge fund tracker indices data can be licensed to build investment products.