Key Takeaways
- • Red Gate Advisers, LLC (RGA) selected Vident Investment Advisory (VIA) as sub-advisor for the Stance Equity ESG Large Cap Core ETF, a fund expected to launch in 2021 (per Business Wire press release dated December 1, 2020).
- • The fund will use Blue Tractor's Shielded Alpha ETF wrapper and be administered by The RBB Fund, Inc., a series trust.
- • VIA reported over $5.5 billion in assets as of October 31, 2020, across ETFs, UCITS, separately managed accounts and private funds, and partners with close to 20 advisors.
- • Stance Capital, a Boston-based quantitative ESG manager, claims top-decile after-fee performance since 2014 with less risk.
- • The launch is positioned as a test case for Blue Tractor's cloud-based platform, which is designed to protect the sub-advisor's intellectual property and trading strategy.
Summary
Red Gate Advisers, LLC ("RGA"), a multi-boutique investment advisor, has selected Vident Investment Advisory ("VIA") as sub-advisor to the Stance Equity ESG Large Cap Core ETF (the "Fund"), according to a Business Wire press release. VIA will assist with portfolio management and trading for the Fund, which is expected to launch in 2021 and will use Blue Tractor's Shielded Alpha ETF wrapper. The Fund will be administered by The RBB Fund, Inc. ("RBB"), a series trust that RGA describes as offering lower costs and high service levels.
RGA co-founder and president Craig Urciuoli said the Blue Tractor cloud-based technology platform, which VIA will implement, safeguards Stance Capital's intellectual property and trading strategy. He said the experience and depth of the Vident team gave RGA confidence in its ability to help preserve alpha for shareholders.
VIA, a subsidiary of Vident Financial formed in 2014, provides sub-advisory services for index-based and actively managed strategies across U.S. and international equities, fixed income, commodities, and long/short, inverse and managed futures strategies. The firm partners with close to 20 advisors, including some of the largest U.S. asset managers, and reported assets totaling over $5.5 billion as of October 31, 2020, including passive and active ETF strategies, UCITS vehicles, separately managed accounts and private funds. Amrita Nandakumar, VIA's president, said the Fund will be among the first to use Blue Tractor's technology and will offer active managers specialized expertise for bringing their approaches to the ETF space.
Stance Capital is a Boston-based registered investment advisor specializing in quantitative ESG asset management and research, managing separately managed accounts for institutions and high net worth individuals. The firm states it has delivered top-decile performance after fees with less risk since 2014 while investing in companies with strong ESG metrics. Urciuoli said demand for ESG is growing and that Stance's track record and proprietary risk optimization approach position it for success. The release is not an offer to sell securities, and it references a preliminary prospectus dated November 23, 2020, filed with the Securities and Exchange Commission, which remains subject to change.
RGA co-founder and president Craig Urciuoli said the Blue Tractor cloud-based technology platform, which VIA will implement, safeguards Stance Capital's intellectual property and trading strategy. He said the experience and depth of the Vident team gave RGA confidence in its ability to help preserve alpha for shareholders.
VIA, a subsidiary of Vident Financial formed in 2014, provides sub-advisory services for index-based and actively managed strategies across U.S. and international equities, fixed income, commodities, and long/short, inverse and managed futures strategies. The firm partners with close to 20 advisors, including some of the largest U.S. asset managers, and reported assets totaling over $5.5 billion as of October 31, 2020, including passive and active ETF strategies, UCITS vehicles, separately managed accounts and private funds. Amrita Nandakumar, VIA's president, said the Fund will be among the first to use Blue Tractor's technology and will offer active managers specialized expertise for bringing their approaches to the ETF space.
Stance Capital is a Boston-based registered investment advisor specializing in quantitative ESG asset management and research, managing separately managed accounts for institutions and high net worth individuals. The firm states it has delivered top-decile performance after fees with less risk since 2014 while investing in companies with strong ESG metrics. Urciuoli said demand for ESG is growing and that Stance's track record and proprietary risk optimization approach position it for success. The release is not an offer to sell securities, and it references a preliminary prospectus dated November 23, 2020, filed with the Securities and Exchange Commission, which remains subject to change.
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