Allspring Global Investments has expanded its ETF lineup with the launch of two new equity funds. The Allspring LT Large Cap Growth ETF (AGRW) and the Allspring Special Large Value ETF (ASLV) listed on the NYSE Arca today. The funds are versions of two of the firm’s existing strategies. Both carry an expense ratio of 0.35%.
A Focus on Mispriced Large-Cap U.S. Stocks
AGRW invests in large-cap U.S. stocks. The fund may also use futures contracts to help keep its cash invested. Neville Javeri, Paul Roach, and Jake Seltz oversee the actively managed fund by using a bottom-up, research-driven approach.
The fund’s managers implement an in-house valuation methodology to seek out mispriced companies and arrive at a fairly concentrated portfolio of roughly 50 securities.
A Value Investing Approach
Meanwhile, ASLV takes a value investing approach. The fund does this by aiming to identify high-quality companies trading below their intrinsic value, according to its prospectus.
Like AGRW, the fund invests primarily in large-cap U.S. stocks. However, it can allocate up to 20% of its portfolio to international equities, including American depositary receipts. ASLV typically holds about 30-50 large companies.
The fund is managed by James M. Tringas, Bryant VanCronkhite, and Shane Zweck. A press release notes that the fund managers focus on companies that feature track records of strong management and flexible balance sheets. They view this as contributors to future value creation.
Although both of these funds are focused on large-caps, AGRW’s selection universe includes stocks within the market capitalization range of the S&P 500 Index. ASLV, on the other hand uses the Russell 1000 to set the size range for its holdings.
See More: Are There Opportunities in Smaller Stocks?
“These strategies have operated across market cycles, but we’re particularly enthusiastic about offering them as an ETF in the current environment,” said Global Head of Product Development and Innovation Rick Genoni.
“After a long period when the stock market was dominated by a handful of large tech companies, we see financial advisors and their clients growing increasingly interested in efficiently diversifying their equity market exposure through active portfolio management. We think these strategies in this format were made for this moment,” he added.
These two launches mark Allspring’s continued push in the ETF space. The firm made its ETF debut in December 2024 with the release of three fixed income ETFs. Allspring currently manages nearly $590 million in ETF assets.
For more information, please visit VettaFi.com | ETF Trends.
