From time to time we have to remind folks that the ETF universe continues to “net” expand in terms of new funds listed from a variety of issuers despite ETF closures that of course occur from time to time as well.
At last check, we see 1,653 ETP products listed in the U.S. landscape, of course counting ETNs as well. Today we focus on an issuer that is likely not a household name Boston- based QuantShares, whom initially debuted several funds back in September of 2011.
One of those funds is BTAL (QuantShares U.S. Market Neutral Anti-Beta Fund, Expense Ratio 0.99%), which at $3.9 million is the largest offering in the lineup in terms of current AUM. Categorized in the still immature yet growing category of “Long-Short (the largest fund in the category of eighteen funds currently has $56 million in AUM),” BTAL according to fund literature tracks a Dow Jones index, the DJ U.S. Thematic Market Neutral Anti-Beta Index.
The index itself is likely not well known across ETF model portfolio builders and advisors, but Dow Jones of course rings a loud bell and “Market Neutral” and “Anti-Beta” are of course terms that those whom invest in hedge funds are likely familiar with. Institutional consultants and the plans that they advise for in terms of asset allocations and managers (think municipalities and tax exempt organizations, employees’ pension plans, endowments and foundations and the like) also would no doubt have familiarity with such a strategy from having dealt with it on the hedge funds due diligence side for some time.
Going down the list of other funds sponsored by QuantShares in terms of asset size we see DIVA (QuantShares Hedged Dividend Income, Expense Ratio 0.99%, $2.5 million in AUM), CHEP (QuantShares U.S. Market Neutral Value Index, Expense Ratio 1.49%, $1.3 million in AUM), MOM (QuantShares U.S. Market Neutral Momentum, Expense Ratio 1.49%, $1.2 million in AUM), and SIZ (QuantShares U.S. Market Neutral Size, Expense Ratio 1.49%, $1.2 million in AUM).
It is worth noting that although historically trading volumes in these funds on an average daily basis has been quite low, CHEP for example has seen a notable uptick in daily trading interest
ever since late January of this year which strongly carried over into early February.