A number of money managers have entered the ETF industry to bring institutional-level strategies to retail investors.
For instance, Transamerica Asset Management has partnered with Milliman Financial Risk Management in providing the DeltaShares ETF suite to help investors gain a core equity strategy with a risk-management feature that is implemented by some of the largest insurers in the financial industry.
“We focus on risk management, so risk management and all different types of insurance: property and casualty, employee benefits, life and health,” Adam Schenck, Managing Director of Portfolio Management for Milliman Financial Risk Management, said at the Inside ETFs 2018 conference.
The DeltaShares S&P 500 Managed Risk ETF (NYSEArca: DMRL), which tracks the S&P 500 Managed Risk 2.0 Index, is a benchmark designed to measure U.S. large-cap equities using a managed risk strategy seeking to limit losses and capture the upside in rising markets.
The DeltaShares S&P 400 Managed Risk ETF (NYSEArca: DMRM), which tracks the S&P 400 Managed Risk 2.0 Index, is a benchmark designed to measure U.S. mid-cap equities using a managed risk strategy seeking to limit losses and capture the upside in rising markets.
The DeltaShares S&P 600 Managed Risk ETF (NYSEAcra: DMRS), which tracks the S&P 600 Managed Risk 2.0 Index, is a benchmark designed to measure U.S. small-cap equities using a managed risk strategy seeking to limit losses and capture the upside in rising markets.
The DeltaShares S&P International Managed Risk ETF (NYSEAcra: DMRI), which tracks the S&P EPAC Ex. Korea LargeMidCap Managed Risk 2.0 Index, is a benchmark that offers broad international developed markets equity exposure using a managed risk strategy seeking to limit losses and capture the upside in rising markets.
“These are risk management strategies that we’ve actually been designing over the years that now are packaged up for both investors and the insurance companies, and I think it’s a boon for investors because now they get institutional quality of risk management inside a package of an ETF,” Schenck said.
For more ETF-related commentary from Tom Lydon and other industry experts, visit our video category.