What You Need to Know
- The TAMP is planning two bond and two equity ETFs that combine active and passive management.
- Envestnet Asset Management is the advisor for all four ETFs; subadvisors will oversee the investment management.
- Neither the names of the subadvisors nor fees were disclosed in the SEC filing.
Envestnet is planning a direct move into the ETF market, with the launch of four ETFs that combine active and passive management.
Each ETF is “a series of trusts for professional managers,” according to the firm’s recent filing with the Securities and Exchange Commission.
The ETFs are not only a first for Envestnet, whose platform includes ETFs and mutual funds from multiple asset managers which advisors can access, but also unusual in that their structures combine both active and passive management within a single fund.
They blend “active and passive investment strategies to optimize costs, tracking and potential return” over a fund’s particular benchmark index, according to the firm’s filing with the SEC.
The four ETFs are the ActivePassive Core Bond ETF (APCB) ActivePassive Intermediate Municipal Bond ETF (APMU), ActivePassive International Equity ETF (APIE) and ActivePassive U.S. Equity ETF (APUE).