NEW YORK, Feb. 10, 2016 (GLOBE NEWSWIRE) -- Guggenheim Investments, the global asset management and investment advisory business of Guggenheim Partners, today announced the launch of Guggenheim Total Return Bond ETF (NYSE Arca:GTO). The ETF uses a multi-sector strategy and invests primarily in investment-grade fixed income securities across multiple sectors.
GTO joins Guggenheim Enhanced Short Duration ETF (GSY) as investment vehicles that provide the benefits of an ETF structure with the dynamics of an actively managed fixed-income strategy.
Driven by a macro view that utilizes quantitative and qualitative processes to understand and manage risk, Guggenheim’s award-winning fixed-income expertise seeks to identify and exploit market opportunities.
Guggenheim leverages more than 150 fixed-income professionals in addition to an internal legal team to thoroughly analyze and research each investment.
“With the traditional view of core fixed-income management quickly becoming antiquated in a persistent low-yield environment, investors and advisors must begin looking toward alternative solutions,” said Scott Minerd, Chairman of Investments and Global CIO for Guggenheim Investments.
“Nearly two-thirds of the Barclays Capital U.S. Aggregate Bond Index is composed of low-yielding government or government-related securities. Our investment team’s rigorous and specialized credit analysis work to uncover attractive duration and yield in otherwise underappreciated asset classes, such as commercial asset-backed securities (ABS) and collateral loan obligations (CLOs) seeking to deliver strong performance independent of the Barclays Agg.”
Guggenheim’s actively managed approach provides the portfolio investment team the latitude to express its market views, while still adhering to the ETF’s stated objectives— offering investors enhanced yield opportunities within a risk-managed approach.
For more information, please visit http://www.guggenheiminvestments.com/etf or call 888.WHY.ETFs to speak to a representative.
About Guggenheim Investments
Guggenheim Investments is the global asset management and investment advisory division of Guggenheim Partners, with $198 billion2 in assets across fixed income, equity, and alternative strategies. We focus on the return and risk needs of insurance companies, corporate and public pension funds, sovereign wealth funds, endowments and foundations, consultants, wealth managers, and high-net-worth investors. Our 275+ investment professionals perform rigorous research to understand market trends and identify undervalued opportunities in areas that are often complex and underfollowed. This approach to investment management has enabled us to deliver innovative strategies providing diversification and attractive long-term results.
1Thomson Reuters Lipper Fund Awards 2015 "Best Fixed Income Funds Small Fund Family." Granted to the fund family with the lowest average decile ranking for Consistent Return, a measure of funds’ historical risk-adjusted returns, relative to peers over the 3-year period. To qualify, a fund family must have at least three fixed income funds and less than $52.6 billion in assets under management as of 12.31.2014. Guggenheim Funds ranked 1 out of 73 eligible companies. In cases of identical results the lower average percentile rank will determine the winner. Lipper, a wholly owned subsidiary of Thomson Reuters, is a leading global provider of mutual fund information and analysis to fund companies, financial intermediaries and media organizations.
2Guggenheim Investments total asset figure is as of 12.31.2015. The assets include leverage of $11.976bn for assets under management and $0.487bn for assets for which we provide administrative services. Guggenheim Investments represents the following affiliated investment management businesses: Guggenheim Partners Investment Management, LLC, Security Investors, LLC, Guggenheim Funds Investment Advisors, LLC, Guggenheim Funds Distributors, LLC, Guggenheim Real Estate, LLC, Transparent Value Advisors, LLC, GS GAMMA Advisors, LLC, Guggenheim Partners Europe Limited and Guggenheim Partners India Management.
This fund may not be suitable for all investors. • The fund’s market value will change in response to interest rate changes and market conditions among other factors. In general, bond prices rise when interest rates fall and vice versa. • The fund’s exposure to high yield securities may subject the Fund to greater volatility. • When market conditions are deemed appropriate, the fund will leverage to the full extent permitted by its investment policies and restrictions and applicable law. Leveraging will exaggerate the effect on net asset value of any increase or decrease in the market value of the Fund’s portfolio. • The fund may invest in derivative instruments, which may be more volatile and less liquid, increasing the risk of loss when compared to traditional securities. Certain of the derivative instruments are also subject to the risks of counterparty default and adverse tax treatment. • Instruments and strategies (such as borrowing transactions and reverse repurchase agreements) may provide leveraged exposure to a particular investment, which will magnify any gains or losses on those investments. • Investments in reverse repurchase agreements expose the Fund to the many of the same risks as investments in derivatives. • The fund’s investments in other investment vehicles subject the fund to those risks and expenses affecting the investment vehicle. • The fund’s investments in foreign securities carry additional risks when compared to U.S. securities, due to the impact of diplomatic, political or economic developments in the country in question (investments in emerging markets securities are generally subject to an even greater level of risks). • Investments in syndicated bank loans generally offer a floating interest rate and involve special types of risks. • The fund’s investments in municipal securities can be affected by events that affect the municipal bond market. • The fund’s investments in real estate securities subject the fund to the same risks as direct investments in real estate, which is particularly sensitive to economic downturns. • The fund’s investments in restricted securities may involve financial and liquidity risk. • You may have a gain or loss when you sell your shares. Non-Diversified Fund Risk. The Fund is considered non-diversified and can invest a greater portion of assets in securities of individual issuers than a diversified fund. As a result, changes in the market value of a single investment could cause greater fluctuations in Share price than would occur in a diversified fund.
Read a fund’s prospectus and summary prospectus (if available) carefully before investing. It contains the fund’s investment objectives, risks, charges, expenses and other information, which should be considered carefully before investing. Obtain a prospectus and summary prospectus (if available) at www.guggenheiminvestments.com or call 800.820.0888.
The referenced fund is distributed by Guggenheim Funds Distributors, LLC. Guggenheim Investments represents the investment management businesses of Guggenheim Partners (“Guggenheim”), which includes Security Investors, LLC (“SI”), the investment advisor to the referenced fund. Guggenheim Funds Distributors, LLC is affiliated with Guggenheim and SI.
Media Contact Ivy McLemore Guggenheim Partners 212.518.9859 – office 917.809.0725 – mobile Ivy.McLemore@guggenheimpartners.com
Source: Guggenheim Investments