ETFdb Logo
ETFdb Logo
  • ETF Database
  • Channels
    • Active ETF
    • Beyond Basic Beta
    • China Insights
    • Climate Insights
    • Commodities
    • Core Strategies
    • Crypto
    • Direct Indexing
    • Disruptive Technology
    • Energy Infrastructure
    • ETF Building Blocks
    • ETF Education
    • ETF Strategist
    • Financial Literacy
    • Fixed Income
    • Gold/Silver/Critical Minerals
    • Innovative ETFs
    • Institutional Income Strategies
    • Leveraged & Inverse
    • Managed Futures
    • Market Insights
    • Modern Alpha
    • Multifactor
    • Night Effect
    • Portfolio Strategies
    • Responsible Investing
    • Retirement Income
    • Richard Bernstein Advisors
    • Tax Efficient Income
  • Tools
    • ETF Screener
    • ETF Country Exposure Tool
    • ETF Sector Tracker Tool
    • ETF Database Categories
    • Head-To-Head ETF Comparison Tool
    • ETF Stock Exposure Tool
    • ETF Issuer Fund Flows
    • Indexes
    • Mutual Fund To ETF Converter
  • Research
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • Index Education
    • Index Insights
    • Top ETF Sectors
    • Top ETF Issuers
    • Top ETF Industries
  • Webcasts
  • Themes
    • AI ETFs
    • Blockchain ETFs
    • See all Thematic Investing ETF themes
    • ESG Investing
    • Marijuana ETFs
  • Multimedia
    • ETF 360 Video Series
    • ETF of the Week Podcast
    • ETF Prime Podcast
    • Video
  • Company
    • About VettaFi
    • Get VettaFi’ed
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. Ballast Enters ETF Market With Equity Fund, ‘MGMT’
News
Share

Ballast Enters ETF Market With Equity Fund, ‘MGMT’

Aaron NeuwirthDec 03, 2020
2020-12-03

Ballast Asset Management (“Ballast”), a fundamental equity manager, launched the Ballast Small/Midcap ETF (NYSE: MGMT) on Thursday. This is one of the first ETFs to trade small capitalization equities actively.

In Ballast’s opinion, small and mid-cap companies comprise a market segment that is both inefficient and poised for growth. Ballast seeks stellar management teams leading high-quality, smaller companies positioned to sustain growth and achieve success in the face of economic uncertainty.

MGMT is the newest entrant into a space that has traditionally been dominated by passive index ETFs. The investment team behind MGMT employs a rigorous research process to evaluate small and mid-cap companies and seeks to avoid companies that may not perform well.

In contrast, passive small-cap ETFs may invest in low-quality and potentially distressed companies alongside higher-quality counterparts. Ballast’s process is designed to uncover and invest in higher-quality companies led by outstanding management teams, which they believe will offer investors the opportunity to diversify their assets and potentially earn exceptional returns.

“Investing in great management teams has been a hallmark of our approach for years,” said Ragen Stienke, Founder and Portfolio Manager of Ballast Asset Management, the advisor to MGMT. “Our team dedicates significant time toward building relationships with management teams who have demonstrated an ability to act in the best interest of shareholders.”

Proper Management For MGMT

Ballast’s investment process scrutinizes compensation structures, assesses management’s alignment with shareholders, and evaluates responsible capital deployment.

“In today’s economic environment, we are particularly interested in executives who can understand and effectively respond to macroeconomic and industry shocks,” added Stienke. “First and foremost, we strive to minimize losses and downside volatility. Further, we seek to invest in such a way that our investors benefit when a company successfully pivots in the face of change.”

MGMT retains the flexibility to continue to own high-quality compounders as they successfully execute their strategies.

“When our work indicates a company is poised for success, we want our investors to benefit as long as the reward to risk balance remains in their favor. We don’t want to be forced to sell simply because of a market capitalization limit,” Stienke commented. “Other small cap strategies are often required to sell their best performers before intrinsic value is fully realized.”

For more information on Ballast’s ETF offering, visit www.mgmtetf.com.

This article originally appeared on ETFTrends.com.


Content continues below advertisement

» Popular Pages

  • Tickers
  • Articles

Jun 02

A Cash Alternatives ETF With a Distribution Yield Over 6%

Jun 02

Treasury Yields Snapshot: June 2

Jun 02

Main Management Market Note: June 2, 2023

Jun 02

China’s EV Market Recovers, Keep an Eye on KARS

Jun 02

A Debt Limit Deal Is Made, Target Treasuries of Any Duration

Jun 02

This Week in ETFs: Only 2 Launches, Many Closures

Jun 02

As Summer Nears, Eye Travel Stocks in JRNY

Jun 02

NYSE’s ETF Leaders: Northern Trust’s Michael Natale

Jun 02

Seize Market Gains & Optimize Dividends With KVLE

Jun 02

VettaFi Voices: Active or Passive for ESG ETFs?

QQQ

Invesco QQQ Trust

SPY

SPDR S&P 500 ETF Trust

SMH

VanEck Semiconductor ETF

VGT

Vanguard Information...

VOO

Vanguard S&P 500 ETF

IYW

iShares U.S. Technology ETF

XLK

Technology Select Sector SPDR...

JEPI

JPMorgan Equity Premium...

BOTZ

Global X Robotics &...

FNGU

MicroSectors FANG+ Index 3X...


Content continues below advertisement

Loading Articles...
Our Sites
  • VettaFi
  • Advisor Perspectives
  • ETF Trends
Tools
  • ETF Screener
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Database Pro
More Tools
  • Financial Advisor & RIA Center
Explore ETFs
  • ETF News
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Information
  • Contact Us
  • Terms of Use and Privacy Policy
  • © 2023 VettaFi LLC. All rights reserved.

Advertisement

Is Your Portfolio Positioned With Enough Global Exposure?

ETF Education Channel

How to Allocate Commodities in Portfolios

Tom LydonApr 26, 2022
2022-04-26

A long-running debate in asset allocation circles is how much of a portfolio an investor should...

Core Strategies Channel

Why ETFs Experience Limit Up/Down Protections

Karrie GordonMay 13, 2022
2022-05-13

In a digital age where information moves in milliseconds and millions of participants can transact...

}
X