MutualFundWire.com: A 46-Year-Old Firm Debuts Its 2nd ETF

MutualFundWire.com

The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication

Thursday, October 5, 2023

A 46-Year-Old Firm Debuts Its 2nd ETF

The team at a 46-year-old, $34-billion-AUM (as of September 30), Chicago-area mutual fund firm is rolling out their second ETF.

John P. Calamos, Sr.
Calamos Investments
Founder, Chairman, Global Chief Investment Officer

Yesterday, John Koudounis, president and CEO of Calamos Investments LLC [profile] and Matt Kaufman, senior vice president and head of ETFs at Calamos, unveiled the launch of the Calamos Convertible Equity Alternative ETF (CVRT on the NYSE Arca, Inc.). The new fund is a series of the Calamos ETF Trust, and (like Calamos' first ETF, which debuted eight months ago) it is actively managed.

CVRT's inception date was yesterday. It comes with an expense ratio of 69 basis points.

The Calamos team lays claim to being the biggest U.S. manager of convertible securities, and CVRT is powered by a new Calamos strategy (not yet used in mutual funds or SMAs) that specifically focuses on "equity-sensitive convertibles." According to the Calamos folks, their new fund is the first ETF with such a focus on equity-sensitive convertibles.

Calamos Advisors LLC will serve as CVRT's investment advisor. The new ETF's PM team includes three senior vice presidents who are also senior co-portfolio managers: John Hillenbrand, Joe Wysocki, and Jon Vacko.

"With CVRT, we will fill a gap in the ETF marketplace, extend our convertibles fund lineup, and meet financial advisor demand for a high-growth-oriented convertibles strategy," states John Calamos, founder, chairman, and global chief investment officer of his eponymous firm.

Koudonis puts the launch of CVRT in the context of the "tremendous opportunity" that the Calamos team sees in the ETF space.

"It is fitting that one of our earliest products in this space reflects our convertibles heritage," Koudonis states. "Calamos remains in growth mode, and we are excited about our product development pipeline."

Kaufman notes that most ETFs that invest in convertibles "offer passive exposure to the asset class," and he contrasts that with the active strategy behind CVRT.

"We utilize a rules-based approach and apply our longstanding credit, convertible, and equity analysis processes to identify potential areas of outperformance within that equity-sensitive universe," Kaufman states.

CVRT's other service providers include: Deloitte & Touche LLP as independent accounting firm; ACA Group's Foreside Fund Services, LLC as distributor; Ropes & Gray LLP as counsel; and State Street Bank and Trust Company as administrator, custodian, fund accounting and financial accounting agent, and transfer agent.

Printed from: MFWire.com/story.asp?s=66525

Copyright 2023, InvestmentWires, Inc.
All Rights Reserved