Vanguard filed a preliminary registration with the Securities and Exchange Commission Thursday for the Vanguard International Core Stock Fund. The new actively managed fund will be managed by Wellington Management and is expected to be available to investors in the fourth quarter of 2019, Vanguard said.
Vanguard has been expanding its actively managed roster over the last two years, introducing a suite of factor ETFs, an ESG fund, a commodities fund, two global balanced funds and two fixed income funds: Vanguard Global Credit Bond Fund and Vanguard Emerging Markets Bond Fund.
The Vanguard International Core Stock Fund will provide “broad equity exposure to both developed and emerging non-U.S. markets, blending growth and value styles and diversifying across” various sectors, the firm said in its announcement. Its goal is to provide long-term capital appreciation and hold about 60-100 stocks, with no individual positions representing more than 5% of the portfolio. The fund is expected to have moderate overweight or underweight allocations to sectors and regions relative to the MSCI ACWI ex USA Index.
Vanguard estimates the fund’s net expense ratio will be 0.35% for Admiral Shares, which require a $3,000 minimum, and 0.45% for Investor Shares, both significantly lower than the asset-weighted average expense ratio of 0.75% for the industry’s foreign large-blend fund category, according to the firm.
Just ahead of Vanguard’s announcement, Fidelity Investments announced the launch of four new core equity index mutual funds that charge a net expense fee of 0.05% each and one new muni bond index fund that charges 0.07%, slightly lower than comparable Vanguard funds.
Athene Introduces Its First Registered Index-Linked Annuity
Athene USA launched Athene Amplify, its first registered index-linked annuity (RILA). The annuity is issued by Athene Annuity and Life Co., a subsidiary of Athene, and offers design features that set it apart in what has become a “fast-growing product category,” according to the company’s announcement.
The new annuity “offers greater asset accumulation potential with a level of protection from market risk that other investment products may not provide,” the company said.
Athene Amplify differentiates itself by various options, including a buffer for protection against a specified percentage index decline as well as a cap on the upside and different segment term periods with a choice of three available indexes.
Refinitiv, Appway Team to Streamline Client Onboarding
Refinitiv is fully integrating Appway’s suite of onboarding capabilities on the Refinitiv BETA Platform.
The seamless integration with Appway will help financial intermediaries and wealth advisors using the BETA Platform to connect end-clients with a fully digital onboarding solution that Refinitiv said “reduces time and costs, while improving workflow efficiencies across the board.”