Barclays Bank launched the iPath Series B US Treasury 10-year Bear ETNs (BTYS) with an annual investor fee of 0.75%.
The new exchange-traded notes track the performance of the Barclays 10 Year US Treasury Futures Targeted Exposure Index (BXIITETY), which “seeks to produce returns that track movements in response to an increase or decrease… in the yields available” to investors buying 10-year U.S. Treasury notes, according to the company.
Barclays is serving as issuer of iPath ETNs and Barclays Capital is serving as the issuer’s agent in the distribution.
Holders of the firm’s earlier iPath US Treasury 10-year Bear ETNs (DTYS) can also purchase the new ETNs in an amount having an equal dollar value, with each transaction having the same valuation date and settlement date, according to the company. In that case, upon redemption of the earlier ETNs, the holder would receive a number of the new ETNs equal to the aggregate daily redemption value of the redeemed earlier ETNs, rounded to the nearest full new ETN, with a residual cash payment for any “partial” remaining older ETNs, it said.
Tech-Enabled Private Wealth Manager Introduced by Wedmont
RIA Wedmont Private Capital launched a technology-enabled private wealth manager platform targeted at high-net-worth investors looking to pay lower fees.
The firm, started by former Vanguard, Credit Suisse and UBS executives, provides an “alternative to the traditional model of private wealth management,” it said.
“It’s a game-changing model,” according to co-founder Dominic Corabi, ex-program manager at Vanguard. “We’ve long believed that the traditional model of private wealth management was overdue for a restructure,” he said in a statement.
Wedmont, co-founded with James Pelletier (ex-Credit Suisse and UBS), works with clients having more than $1 million in investable assets.
“By charging a flat $10,000 annual fee, regardless of the size of the client portfolio, Wedmont provides much-needed transparency to HNW investors,” it said, adding: “Over the long term, this flat fee may enable clients to accumulate significantly more wealth than they would have amassed working with a traditional AUM advisor.”
FTSE Russell Touts New Target Factor Exposure Indexes
FTSE Russell introduced new FTSE Target Exposure indexes that it said “allow users to achieve, explicit exposure objectives from risk factors, industries and countries, to sustainable investment goals.”
The new indexes “provide precise alignment between investment exposures and investment objectives,” enabling investors to “precisely calibrate exposure to common risk factors such as value, quality, low volatility, size and momentum as well as industry and country classifications,” the company said. Sustainable investing portfolio objectives such as the United Nations’ Sustainable Development Goals may also be incorporated, it said.
The “precise control of exposures, including removal of un-wanted factor exposures, permits better control of tracking error to exposure objectives,” it added.