Major research house, Zenith has initiated coverage on our new ETF—AB Managed Volatility Equities Fund (Managed Fund)—MVE Class (CXA: AMVE) with a Highly Recommended rating.
In issuing its ratings announcement Zenith has said they have “a high degree of confidence that the strategy will continue to deliver upon its objectives.”
Ben Moore, Managing Director of Retail, AllianceBernstein—Australia, has said he is pleased but not surprised that the Active ETF has been given the same Highly Recommended rating as the unlisted AB Managed Volatility Equities Fund (APIR: ACM0006AU).
“The strategy, which was built in response to client feedback, has largely been doing what it set out to do since inception,” said Ben. “Its objective has always been to both reduce downside risk in falling equity markets, as well as to reduce volatility by identifying and investing in high-quality listed securities with reasonable valuations, high-quality cash flows and relatively stable share prices.”
The strategy was developed nine years ago and has been offered as an unlisted managed fund in Australia since 2014. In 2021 we launched MVE as an active ETF listed on Cboe.
“Against a backdrop of an increasingly volatile market, we are pleased to be able to offer advisers and their clients, dual access to this well-regarded strategy.”
SEPTEMBER 17, 2021
The AB Managed Volatility Equities Fund (Managed Fund) – MVE Class ARSN 099 739 447 APIR ACM0006AU CXA: AMVE (“MVE Class”) has been assigned the highest possible investment rating by research house Lonsec.
Lonsec has conducted the first review of the MVE Class units, which were launched in April 2021, and has rated the vehicle, “Highly Recommended”, in line with the MVE Class managed fund.
AB Managing Director, Ben Moore is excited about the opportunity to communicate this news to financial advisers as the Active ETF was built in direct response to adviser feedback.
For more information about the MVE Class please visit our ETF Hub or view the press release.
AB Managed Volatility Equities Fund - MVE Class (“MVE-Class”) is a unit class of the AllianceBernstein Managed Volatility Equities Fund (“Fund”) (ARSN 099 739 447). AllianceBernstein Investment Management Australia Limited (ABN 58 007 212 606, AFSL 230 683) (“ABIMAL”) is the responsible entity of the Fund and is the issuer of units in the Fund. ABIMAL has appointed AllianceBernstein Australia Limited (ABN 53 095 022 718, AFSL 230 698) (“ABAL”) as the investment manager of the Fund. ABAL in turn has delegated a portion of the investment manager function to AllianceBernstein L.P. The MVE-Class’ Product Disclosure Statement (“PDS”) is available by contacting the client services team at AllianceBernstein Australia Limited at (02) 9255 1299 or at www.alliancebernstein.com.au. Investors should consider the PDS in deciding to acquire, or continue to hold, units in the Fund.
This information is for exclusive use of the wholesale person to whom it is provided and not to be relied upon by any other person. It is not intended for retail or public use and may not be further distributed without prior written consent of ABAL.
A Target Market Determination (“TMD”) for the AB Managed Volatility Equities Fund (Managed Fund) – MVE Class is available free of charge from our website www.alliancebernstein.com.au. The TMD sets out the class of persons who comprise the target market for the AB Managed Volatility Equities Fund (Managed Fund) – MVE Class and the distribution conditions that are applicable, together with a number of other matters which should be considered by retail investors and their advisers.
Information, forecasts and opinions set out in this document are not personal advice and have not been prepared for any recipient’s specific investment objectives, financial situation or particular needs. Neither this document nor the information contained in it are intended to take the place of professional advice. Please note that past performance is not indicative of future performance and projections, although based on current information, may not be realised. Information, forecasts and opinions (“Information”) can change without notice and neither ABIMAL or ABAL guarantees the accuracy of the information at any particular time. Although care has been exercised in compiling the information contained in this report, neither ABIMAL or ABAL warrants that this document is free from errors, inaccuracies or omissions.
This document is released by AllianceBernstein Australia Limited ABN 53 095 022 718, AFSL 230 698.
The Zenith Investment Partners (ABN 27 103 132 672, AFS Licence 226872) (“Zenith”) rating (assigned CXA:AMVE 17 May 2022; ACM0006AU 24 June 2021) referred to in this piece is limited to “General Advice” (s766B Corporations Act 2001) for Wholesale clients only. This advice has been prepared without taking into account the objectives, financial situation or needs of any individual, including target markets of financial products, where applicable, and is subject to change at any time without prior notice. It is not a specific recommendation to purchase, sell or hold the relevant product(s). Investors should seek independent financial advice before making an investment decision and should consider the appropriateness of this advice in light of their own objectives, financial situation and needs. Investors should obtain a copy of, and consider the PDS or offer document before making any decision and refer to the full Zenith Product Assessment available on the Zenith website. Past performance is not an indication of future performance. Zenith usually charges the product issuer, fund manager or related party to conduct Product Assessments. Full details regarding Zenith’s methodology, ratings definitions and regulatory compliance are available on our Product Assessments and at Fund Research Regulatory Guidelines.