AdvisorShares, an exchange traded fund provider of actively managed strategies, recently launched a long/short, fund-of-funds ETF that tries to provide investors with stable and consistent returns.

The AdvisorShares Rockledge SectorSam ETF (NYSEArca: SSAM) began trading last week. SSAM tries to provide consistent performance as the active managers use a sector rotation process to maximize potential gains. Rockledge Advisors will manage the fund. The ETF has an expense ratio of 1.5%. [AdvisorShares to List Active Long/Short Hedge ETF‏]

“The U.S. economy goes through various growth cycles, which means there should be relative sector variation at all times,” Alex Gurvich, Co-Founder of Rockledge and portfolio manager of SSAM, said in a press release. “We rotate investments between the U.S. economic sectors based on our proprietary evaluation in order to try and outperform the overall market. We believe that the prudent investor, who understands the risk vs. reward tradeoff, should be looking at sector investing vs. individual stocks. Holding a position in a sector can provide inherent diversification while reducing individual company risk.”

SSAM will go long sector ETFs that are projected to outperform the S&P 500 while being short an equal dollar amount of sector ETFs that are projected to underperform the S&P 500 to achieve a dollar neutral portfolio. The proprietary methodology utilized is known as the “Sector Scoring and Allocation Methodology,” or SectorSAM.