AllianceBernstein’s Archard On Active Equity ETFs

Noel Archard, CFA, Global Head of ETFs and Portfolio Solutions at AllianceBernstein, joined Julie Cooling, Founder and CEO of RIA Channel, to discuss AB’s suite of ETFs. 

AllianceBernstein launched its first two active fixed-income ETFs in September 2022.  By year-end 2023, the firm managed twelve transparent active ETFs, including five equity funds and seven fixed-income funds.

The decision regarding which strategies to launch considers those that complement existing fund offerings. Two fund offerings that can be additive to popular allocations to low-cost large-cap core index funds include the AB US High Dividend ETF (HIDV) and the AB US Low Volatility Equity ETF (LOWV).  The high dividend fund uses AB’s strong, active research team to build a portfolio that offers sector-neutral and beta-one exposure to large-cap US stocks with a greater dividend yield than the index without overweighting deep-value sectors. The low volatility fund is classified as a large-cap core equity fund that seeks to invest in quality companies while mitigating downside return potential. 

Resources:

Managing Equity Volatility Goes Both Ways

Equity Outlook: Three Questions for Investors in 2024