GVT is an actively-managed ETF with a goal of long-term capital appreciation as well as current income. The funds are managed by 3 sub-advisors mentioned below, and they utilize a stock selection methodology that involves choosing stocks with favourable earnings growth potential, price-to-earnings ratio, price-to-book ratio and dividend yields. In times of market stress, the fund is allowed to be in 100% cash, but under normal circumstances, the fund is at least 80% invested in US-listed large cap stocks
Grail Advisors
RPQ tries to achieve long-term capital appreciation by investing at least 80% of its net assets in companies that develop, produce or distribute technology-related products and services. The fund’s sub-advisors, RiverPark, will invest in companies that derive value from embracing technological innovation – which may not be limited to the technology sector. RiverPark uses a fundamental approach to find technology-oriented companies at attractive valuations and intends to invest primarily in mid-large cap companies.
RPX invests at least 80% of its net assets in equities that RiverPark, the sub-advisor, believe to have above-average growth prospects in order to achieve long-term capital appreciation for the fund. RiverPark utilizes a fundamental approach to stock selection and buys stocks with the strongest growth prospects and attractive valuations. They identify industries benefiting from long-term secular changes in the economy and look for companies in those industries with sustainable competitive advantages and strong barriers to entry.
RFF is the third of a group of Grail Active ETFs that looks to invest at least 80% of its net assets in stocks of financial services companies in order to achieve long-term capital appreciation. These companies are those that derive a large portion of their revenues from the financial services industry. RiverPark, the fund’s sub-advisor, identifies stocks through fundamental research and looks for attractive valuations.
RWG is the fourth of a group of Grail’s actively-managed ETF that invests at least 80% of its net assets in large-cap companies (>$5 billion market cap) identified by the fund’s sub-advisor, Wedgewood, as having above-average growth prospects. The fund is will invest in 20-30 securities and hence will not be diversified. It will invest mainly in US securities, but can invest in ADRs of foreign companies. Wedgewood chooses its investments by identifying market leaders with irreplaceable products/services without substitutes and expects to invest for the long-term, in many cases up to 5 years.
GMTB is an actively-managed bond ETF that invests at least 80% of its assets in investment grade debt securities issued by the US government, its agencies, municipalities, other mortgage and asset-backed securities as well as corporate and bank obligations. The fund tries to achieve a high level of current income and risk-adjusted returns above its benchmark – the Barclays Aggregate Bond Index. The GMTB portfolio is expected to have an average duration of 3-6 years.
GMMB is an Active ETF that invests at least 80% of its assets (under normal conditions) in municipal debt securities that provide income exempt from federal taxes. The fund aims to invest in a broad range of maturities with issuer and geographical diversification, in order to achieve a high level of tax-free current income and greater risk-adjusted returns than its benchmark – the Barclays 3-15 Year Municipal Bond Index.
