Gray’s Alpha Architect investment firm is one among a growing group of smaller money managers who are looking into the ETF space to attract investors and grow assets. While some may have been interested in Gray’s active strategies, many may not be comfortable with the fees for a small accounts. However, through an ETF, anyone can access the active strategies.
“Book readers and blog fans continually ask us if they can invest $10K, $20K, etc. with us,” Gray said. “But the reality of servicing small accounts means we would have to charge excessively high fees, something we simply don’t believe in. With an active ETF, we can manage any account of any size and at an affordable price.”
QVAL has a 0.79% expense ratio and IVAL has a 0.99% expense ratio.
For more information on smart-beta index funds, visit our indexing category.
Max Chen contributed to this article.