Russell launches style-based ETF
Russell Investments has launched its second Australian exchange-traded fund (ETF), Russell Australian Value (RVL) ETF, which was developed based on the manager’s research on value premiums and investor feedback.
The research found that over time, passive value based strategies have typically delivered a premium of 1.5 per cent to 3 per cent over the broad market in Australia.
Portfolio manager at Russell Investments, Scott Bennett, said the manager talked to a range of investors before launching RVL.
“[We] found there is a gap for something which provides an easy way to access this part of the market,” Bennett said.
Russell said that RVL would be the first style-based ETF to hit the Australian market and will target institutional investors.
“It will aim to complement rather than compete with managed funds and can potentially be used as a plug for an active manager, while a new manager is being found,” the company said.
Recommended for you
Evidentia’s chief investment strategist Nathan Lim has announced his retirement after a 30-year career.
GQG Partners has marked its fifth consecutive month of outflows as its AI concerns lead to fund underperformance but overall funds under management increased to US$166.1 billion.
Apostle Funds Management is actively pursuing further partnerships in Asia and Europe but finding a suitable manager is a “needle in a haystack”.
Managed account provider Trellia Wealth Partners, formed from the merger between Betashares and InvestSense, has appointed its first managing partner.
