AdvisorShares Launches ETF With TrimTabs
October 05, 2011
AdvisorShares, the Bethesda, Md.-based exchange-traded fund firm known for its active strategies, launched an ETF with TrimTabs as advisor that seeks to beat the Russell 3000 Index by picking stocks with less volatility than the index.
The AdvisorShares TrimTabs Float Shrink ETF (NYSEArca: TTFS) will attempt to achieve its objective by picking stocks with liquidity and fundamental characteristics that historically have superior long-term performance, according to information on AdvisorShares’ website.
TTFS recalls some of the passive strategies based on enhanced beta that screen securities for variables such as low beta or volatility, only in this case the security selection will be based on research that focuses on stock prices as a function of supply and demand rather than value.
The advisor, TrimTabs Asset Management, is a unit of TrimTabs Investment Research.
AdvisorShares now has 12 ETFs on the market, and has almost $400 million under management. One of its most successful funds to date is the AdvisorShares Cambria Global Tactical ETF (NYSEArca: GTAA), which now has about $166 million in assets.
The new ETF comes with an annual expense ratio of 0.99 percent.