IPDP is made up of primarily large-capitalization common stocks of dividend-paying U.S. companies, while using an option overlay strategy that strives to enhance overall distributions to shareholders.
IPPP, meanwhile, invests in U.S. preferred stocks with the goal of offering income. The strategy also includes an option overlay feature that seeks to provide incremental income to investors.
“As our investors’ interests are a top priority, we recognize the benefits in converting our mutual funds to actively managed ETFs,” said Dave Gilreath, managing director and chief investment officer of Innovative Portfolios. “Exchange-traded funds offer greater transparency, tax efficiency, and lower fees for investors who are looking to add potential for greater income generation.”
Ron Brock, managing director and chief financial officer of Innovative Portfolios, added: “Along with the benefits that Dave highlighted, investors may also enjoy the benefit of greater access and availability with these ETFs than was previously available in the mutual fund structure.”
Innovative Portfolios is an investment advisor and money manager that focuses on institutional-level money management strategies. By employing option-based overlay portfolio strategies and diversified underlying portfolios, Innovative Portfolios makes this type of strategy available to retail investors.
“Through these conversions, investors will be able to access Innovative Portfolios’ proven investment strategies in a more flexible and cost-efficient vehicle,” said Laura Morison, global head of listings at Cboe Global Markets. “Cboe is pleased to support another mutual fund-to-ETF conversion in the industry and work with Innovative Portfolios to bring the many benefits of ETFs to their shareholders.”
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