Bridgeway Capital Management has launched the EA Bridgeway Blue Chip ETF ((BBLU )). The actively managed exchange traded fund, which trades on the NYSE Arca, seeks to provide long-term total returns on capital by investing in blue-chip stocks.
According to Bridgeway, under normal circumstances, BBLU invests at least 80% of its net assets (plus borrowings for investment purposes) in blue-chip stocks as determined at the time of purchase. For purposes of the fund’s investments, Bridgeway considers “blue-chip stocks” to be stocks issued by the largest 150 U.S. companies as defined by market capitalization. These stocks tend to be well-known and established companies.
Per the fund’s summary prospectus, BBLU’s management team uses a model-driven statistical approach to select around 35 securities within the blue-chip category. This statistical approach was developed employing academic theory and incorporates logic, data, and evidence.
Bridgeway’s securities selection process investment process also incorporates material environmental, social, and governance information as a consideration and excludes any tobacco companies. Bridgeway uses ESG research and/or ratings information provided by third parties in performing this analysis and considering ESG risks.
The fund’s top three holdings as of October 17 are Chevron Corp. (weighted at 4.37%), Visa Inc. (4.16%), and United Parcel Service Inc. (3.97%).
BBLU has an expense ratio of 0.15%.
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