Megaphone icon ETF Database is now VettaFi. Read More >
ETFdb Logo
ETFdb Logo
  • ETF Database
  • Channels
    • Active ETF
    • Alternatives
    • Beyond Basic Beta
    • China Insights
    • Climate Insights
    • Commodities
    • Core Strategies
    • Crypto
    • Disruptive Technology
    • Dividend
    • Dual Impact
    • Emerging Markets
    • Energy Infrastructure
    • Entrepreneur ETF
    • Equity ETF
    • ESG
    • ETF Building Blocks
    • ETF Education
    • ETF Strategist
    • Fixed Income
    • Future ETFs
    • Gold & Silver Investing
    • Innovative ETFs
    • Institutional Income Strategies
    • Leveraged & Inverse
    • Managed Futures
    • Modern Alpha
    • Multi-Asset
    • Multi-Factor
    • Nasdaq Investment Intelligence
    • Portfolio Strategies
    • Retirement Income
    • Smart Beta
    • Thematic Investing
    • Volatility Resource
  • 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
    • ETF Data for Journalists
    • ETF Nerds
  • Research
    • First Bitcoin ETF
    • ETF Education
    • Equity Investing
    • Dividend ETFs
    • Leveraged ETFs
    • Inverse ETFs
    • 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
  • Videos & Podcasts
    • ETF 360 Video Series
    • ETF Trends on Videos
    • ETF Trends on Podcasts
    • ETF Prime Podcast
  • PRO
    • Pro Content
    • Pro Tools
    • Advanced
    • FAQ
    • Pricing
    • Free Sign Up
    • Login
  1. American Century Releases Low-Volatility ETF, LVOL
News
Share

American Century Releases Low-Volatility ETF, LVOL

Aaron NeuwirthJan 14, 2021
2021-01-14

Nearly three years to the day from the launch of its first ETFs, American Century Investments rolled out the global asset management firm’s first actively-managed low-volatility ETF, fittingly named the American Century Low-Volatility ETF (LVOL), listed on the NYSE Arca, starting Thursday. Designed for investors seeking capital appreciation, LVOL, with a total expense ratio of 0.29 percent, will disclose its holdings daily.

“We have the opportunity to offer an ETF that has the objective of tempering volatility using our proprietary active methodology,” said Ed Rosenberg, head of ETFs for the firm. “Because LVOL is actively managed, it will enable a nimble approach that can adapt to quantitative insights and challenging market conditions.”

American Century Low Volatility ETF’s managers use quantitative models to select securities with attractive fundamentals that they expect will provide returns that will reasonably track the market over the long term while seeking less volatility.

According to Rosenberg, the LVOL portfolio managers aspire to deliver market returns in normal markets while losing less in drawdowns by correcting low-volatility indexes’ shortcomings. “We’re emphasizing strong fundamentals in an effort to limit potential risk of speculative companies with questionable profits,” he said. “We’re also expanding risk measures beyond volatility to capture other downside and balance sheet risks while focusing on volatility at the portfolio level as well as the individual stock level.”

Rounding Out American Century

The fund is co-managed by Steven Rossi, CFA, Tsuyoshi Ozaki (both of the Disciplined Equity team), and Rene Casis. Rossi joined American Century from RS Investments in 2016, Ozaki from Axioma Inc. in 2017, and Casis from 55 Institutional and BlackRock before that, in 2018.

The launch of LVOL rounds out a successful three-year period for American Century’s ETF business. “Since the launch of our ETFs, American Century has been one of the fast-growing new entrants into the ETF space,” Rosenberg said. “We’ve raised more than $3.5 billion since 2018.” (American Century and Avantis Investors ETFs combined.) Its initial offerings, American Century STOXX U.S. Quality Value (VALQ) and American Century Diversified Corporate Bond (KORP), rolled out January 2018, followed by American Century Quality Diversified International ETF (QINT), American Century STOXX U.S. Quality Growth ETF (QGRO) and American Century Diversified Municipal Bond ETF (TAXF) later that year.”

In April 2020, the firm became the first asset manager to launch two actively managed, semi-transparent exchange traded funds utilizing Precidian Investments’ ActiveShares methodology: American Century Focused Dynamic Growth ETF (FDG) and American Century Focused Large Cap Value ETF (FLV). In July, American Century launched two active Environmental, Social and Governance ETFs, American Century Sustainable Equity ETF (ESGA) and American Century Mid Cap Growth Impact ETF (MID) utilizing the New York Stock Exchange (NYSE) Actively Managed Solution, the first-time use of the new active ETF structure.

For more information about American Century Investments, visit americancentury.com.

This article originally appeared on ETFTrends.com.


Content continues below advertisement

» Popular Pages

  • Tickers
  • Articles

Jun 24

As Inflation Rises, Try Equal Weighting Equity Holdings

Jun 24

Cybersecurity Investments Could be an Opportunity

Jun 24

Diversifying During Rate Hikes With a Real Estate ETF

Jun 24

Don't Ever Bet Against the S&P 500

Jun 24

Have We Reached Rock Bottom?

Jun 24

Coinbase Poised to Launch Derivatives Product

Jun 24

Any Time is the Right Time to Begin Investing

Jun 24

American Century’s Sandra Testani

Jun 24

Exxon Demands Higher Carbon Tax: This Fund Benefits

Jun 24

Gender Matters When it Comes to Retirement Planning

QQQ

Invesco QQQ Trust

SPY

SPDR S&P 500 ETF Trust

VOO

Vanguard S&P 500 ETF

ARKK

ARK Innovation ETF

VTI

Vanguard Total Stock Market...

XLE

Energy Select Sector SPDR...

VYM

Vanguard High Dividend Yield...

IVV

iShares Core S&P 500 ETF

SCHD

Schwab US Dividend Equity ETF...

XLK

Technology Select Sector SPDR...


Content continues below advertisement

Loading Articles...
Help & Info
  • Contact Us
  • Mission Statement
  • Press
Tools
  • ETF Screener
  • ETF Analyzer
  • Mutual Fund to ETF Converter
  • Head-To-Head ETF Comparison
  • ETF Country Exposure Tool
  • ETF Stock Exposure Tool
  • ETF Performance Visualizer
  • ETF Database Model Portfolios
  • ETF Database Realtime Ratings
  • ETF Database Pro
More Tools
  • ETF Launch Center
  • Financial Advisor & RIA Center
  • ETF Database RSS Feed
Explore ETFs
  • ETF News
  • ETF Picks of the Month
  • ETF Category Reports
  • Premium Articles
  • Alphabetical Listing of ETFs
  • Best ETFs
  • Browse ETFs by ETF Database Category
  • Browse ETFs by Index
  • Browse ETFs by Issuer
  • Compare ETFs
Legal
  • Terms of Use and Privacy Policy
  • © ETF Flows LLC
Follow ETF Database
Follow ETF Database

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