Simplify Asset Management today announced the launch of its new ETF, the Simplify Macro Strategy ETF (NYSE Arca: FIG). Described in a press release as “a modern version of the balanced portfolio”, FIG is designed to be a balanced portfolio in terms of asset class risk structured to seek equity-like returns with lower volatility.
The fund will invest in equity, fixed income and alternative ETFs and derivatives, with a trading strategy based on the portfolio management team’s interpretation of major national, regional and economic events. world.
“We are very pleased to add this fund to our growing lineup, building on our history of launching innovative ETFs that help reduce market volatility and improve investors’ ability to stay on course,” said Michael Green. , portfolio manager and chief strategist at Simplify, in a press release. “With equities and fixed income both going through a period of negative returns due to the current market environment, investors are eager to find ways that will help them hedge their downside risk, provide un correlated and generate revenue.”
Green added, “We believe the traditional 60/40 portfolio no longer offers the protection and diversification it once did, so we’re excited to offer an easily accessible solution to the allocation problem.”
Simplify views FIG as a total portfolio solution for investors due to the fund’s exposure to a diverse set of risk factors. Using a combination of equity futures, puts and calls, FIG aims to provide core equity exposure that is hedged and positively convex.
Hedged exposures to credit risk and volatility premiums aim to provide income with limited duration exposure, while exposure to managed commodity and rate futures aims to add absolute return, sensitivity to inflation and a diversification of equities in the portfolio.
FIG is the latest addition to Simplify’s ETF lineup, which offers investors innovative solutions to navigate today’s challenging market environment.
Earlier this year, Simplify launched the Simplify Managed Futures Strategy ETF (NYSE Arca: CTA)which seeks absolute returns that are weakly correlated to the equity market, while ETFs such as the Simplify US Equity PLUS Downside Convexity ETF (SPD) and the Simplified Interest Rate Hedging ETF (PFIX) offer exposure to large cap domestic equities and fixed income securities, while using options to hedge against downside risk.
Simplify also offers the Simplify Healthcare ETF (ROSE)an actively managed ETF focused on leading companies in biotech and healthcare, which is also the first ETF committed to donating all net profits from fund management to breast cancer organization Susan G. Komen.
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