Columbia Threadneedle is “focused on delivering alpha,” according to chief operating officer in North America Marc Zeitoun.
“We deliver alpha in the morning, in the afternoon, it’s all that we try to do,” Zeitoun said. “We are research intense; we are maniacal about all of that.”
So, Columbia Threadneedle offers “clients that alpha in any way that they wish to consume it.” That can come from “a high-end, alternative product, or a completely transparent, daily traded passive ETF.”
“We seek to insert alpha in every one of those places,” Zeitoun told NYSE’s Judy Shaw at Exchange 2023.
Applying Research to Benchmark Exposures
Zeitoun said that he believes that asset managers can enhance benchmark investing by applying their own research. So, Columbia Threadneedle has “focused on delivering standard benchmark exposures” while applying its own research. It then removes the names it doesn’t like or doesn’t have conviction for.
“This way, clients get their best opportunity while still having that broad data exposure,” he said.
One of the products that Zeitoun brought up was the Columbia Research Enhanced Core ETF (RECS). RECS invests in favorably rated stocks across all sectors of the Russell 1000 while eliminating poorly rated securities.
“It’s appropriately priced for advisors who wish that kind of beta exposure in their portfolios,” he added.