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The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication
an InvestmentWires' Publication
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MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication |
|
Friday, December 11, 2020 An ETF Startup Pushes For the Energy Horizon A Philadelphia startup with a focus on the "new energy economy" is entering the ETF space.
"Definitely our aspiration is to have multiple products," Govind Arora, partner and president of Blue Horizon, tells MFWire. "Right now there's a lot of heavy lifting and hard work required to bring the AUM to a respectable level [in the new ETF]." The ETF is PMed by Andrew Serowik and Travis Trampe. U.S. Bank Global Fund Services serves as the fund's admniistrator, index receipt agent, and transfer agent, and U.S. Bank National Association is the custodian. Morgan, Lewis & Bockius provides legal counsel to the fund, and Cohen & Company is its accounting firm. The 10-person Blue Horizon team includes a mix of energy industry veterans, former hedge fundsters, and investment analysts. The firm (about a year old) is backed by venture capital and specializes in three things so far: advisory work, index construction, and research. The index that powers the new ETF is a "much more diversified approach" to investing in the new energy economy, says John Mitchell, partner and head of thematic strategy. When rebalanced, the index is equally weighted across 100 different components, which is much less concentrated than some other new energy investment strategies out there, Mitchell says. Teaming up with ETC and putting the strategy inside an ETF offers the Blue Horizon team a way to reach a wider audience, Arora explains. "We wanted to have a very investor-friendly product that would appeal to the masses," Arora says. "ETC has been very, very supportive and energized in working with us. It was just a good fit ... They understand the whole economy that goes into providing an ETF." In terms of marketing and distribution, Mitchell says that they'll start by aiming at the RIA community. "Then we'll work our way into discussions with institutions," Mitchell says. "We also have the ability and the experience on the institutional level to offer separately managed accounts and even hedge funds ... but our initial focus is on making the ETF successful." Printed from: MFWire.com/story.asp?s=62253 Copyright 2020, InvestmentWires, Inc. All Rights Reserved |
