AdvisorShares Makes a Dent in the Active ETF Space
Reported by Adam Kommel
AdvisorShares Investments has launched what it claims is the first actively managed ETF to exclusively invest in other ETFs. The new company revealed that the Dent Tactical ETF (NYSE:DENT) began trading on Wednesday.
The new ETF has an expense ratio of 156 basis points, reflecting the underlying ETFs' costs plus a 95 bps management fee. The fund is managed by Harry S. Dent and Rodney Johnson.
The MFWire previously reported in the spring that Dent was prepping the fund.
Company Press Release
BETHESDA, MD -- 09/16/09 -- AdvisorShares Investments, LLC, an innovative investment management firm designed to offer actively managed ETFs, is excited to announce the launch of its first product, the Dent Tactical ETF (NYSE: DENT). DENT is the first actively managed ETF that only uses other ETFs in its portfolio (ETF of ETFs). Sub-advised by economic research and forecasting company HS Dent Investment Management, LLC, which uses their proprietary demographic research to select the strongest performing market sectors, providing a potentially long-term core investing solution with diversification and transparency.
"HS Dent represents precisely the type of innovative, independent money manager that AdvisorShares seeks to work with as we provide access to innovative products and strategies that may otherwise be unavailable to financial advisors and their retail investor clients," said Noah Hamman, CEO and Founder of AdvisorShares.
The investment objective of the DENT is to seek long-term growth of capital by identifying, through proprietary economic and demographic analysis, the overall trend of the U.S. and global economies. DENT invests in ETFs across many asset classes, including domestic and foreign equities, domestic or foreign fixed income, cash or commodities. Portfolio Managers Harry S. Dent, Jr. and Rodney Johnson will determine how offensive or defensive the portfolio will be, and then select ETFs based on a quantitative, non-emotional relative strength model. Based on this technique, DENT systematically selects the ostensibly strongest performing sectors and specific ETFs within those sectors. The selection process is monitored daily and a sell discipline is utilized to assist with mitigating risk.
"Investors are seeking more tactical investment choices that offer true diversification in their portfolios, including exposure to dynamic and diversifying investment strategies," says HS Dent founder Harry S. Dent, Jr. "With AdvisorShares, we believe we have developed a packaged investment strategy offering a distinct, actively-managed strategy for building truly diversified portfolios."
To request more information on AdvisorShares, or to speak with Noah Hamman, Harry S. Dent, Jr., or Rodney Johnson, please contact Katrine Winther-Olesen at 973.400.1341 firstname.lastname@example.org.
AdvisorShares ETFs strive to provide investors with true diversification by offering a packaged approach to a variety of asset classes, strategies and styles. AdvisorShares ETFs allow individual investors the opportunity to participate in previously institutional-only investment strategies representing several top money managers, sophisticated trading strategies and previously unavailable investment vehicles. AdvisorShares aspires to be a leader in actively managed ETFs and is dedicated to investor education. Visit our website at www.advisorshares.com to learn more about us.
About HS Dent
HS Dent is an independent economic research and forecasting company that provides Financial Professionals and individuals with the proprietary economic tools needed when attempting to forecast what lies ahead in our economy based on The Dent Method -- the only documented record in the U.S. of success at historically forecasting long term economic trends.
The Dent Method, developed by company Founder and economic expert Harry S. Dent, Jr. in the late 1980s, is a long term economic forecasting technique based on the study of and changes in demographic trends and their impact on our economy. It works by showing how seemingly predictable consumer spending patterns combined with demographic trends provides a tool which allows for the forecasting of the economy years or even decades in advance.
For two decades Financial Professionals and individuals have trusted HS Dent's independent economic think tank and research team to provide specialized and proprietary economic research, analysis tools and forecasts. HS Dent makes its research available through its Monthly Economic Forecasts and Special Reports, by attending Demographics School, by joining the Financial Advisors Network, and by participating in its Online Communities to share techniques and ideas with some of the most successful advisors in the industry.
Before investing your should carefully consider the Fund's investment objectives, risks, charges and expenses. This and other information is in the prospectus, a copy of which may be obtained by visiting the Fund's website at www.AdvisorShares.com. Please read the prospectus carefully before you invest.
An investment in the Fund is subject to the risks associated with the underlying ETFs that comprise its "fund of funds." The Fund may invest in foreign securities which involves certain risks and increased volatility not associated with investing solely in the U.S. These risks include currency fluctuations, economic or financial instability, lack of timely or reliable financial information or unfavorable political or legal developments. Investing in emerging markets magnifies foreign securities risks. Funds focusing on a particular industry, group of industries, sector and/or smaller companies generally experience greater price volatility. Newly organized Funds have no trading history, and there can be no assurance that active trading markets will develop or be maintained.