We have covered GTAA (AdvisorShares Morgan Creek Global Tactical ETF, Expense Ratio 1.59%) in the past since it debuted back in 2010, but most may not recognize the product name as it has recently changed actually.
As of July 28th of this year, Morgan Creek Capital Management assumed portfolio management responsibilities of the fund, taking over for the previous manager Cambria Investment Management.
Morgan Creek is rather well known in the institutional world, so most investment advisory firms, consultants, and institutional entities alike will likely recognize the firm’s name and perhaps principal Mark Yusko himself, so this material management change in this ETF should be noted and monitored closely.
According to fund literature, GTAA “seeks to preserve and grow capital from investments in the U.S. and foreign equity, fixed income, commodity and currency markets, independent of market direction,” and “The wide diversification coupled with prudent portfolio management may allow GTAA to perform effectively across multiple economic environments.”
This fund is classified in the Multi- Asset category and as mentioned, has a Global scope. How is this actively managed fund positioned currently? We see top holdings of other ETFs, with about 15% of the portfolio collectively in ZROZ (PIMCO 20+ Year Zero Coupon U.S. Treasury, Expense Ratio 0.15%) and TLT (iShares 20+ Year Treasury Bond, Expense Ratio 0.15%), with lesser allocations to EEM (iShares MSCI Emerging Markets, Expense Ratio 0.67%) , XLK (SPDR Technology Select, Expense Ratio 0.16%), and FXY (CurrencyShares Japanese Yen Trust, Expense Ratio 0.40%).