The ETF Investor

Factor- and style-based investment strategies continue to evolve and attract the attention of portfolio managers and analysts alike. But when an ETF Manco proposes the amalgamation of two of their factor-based ETFs into a vanilla, size-based ETF, the inevitable question arises about the future of factor investing.

There has been a sudden surge in interest in precious metal ETFs in recent months, especially in platinum. What is driving this demand? Why can only some banks, and no asset managers, be issuers of commodity ETPs? In addition to platinum, we cover gold, silver, palladium and rhodium in this podcast.

The appeal of dividends in an investment strategy is well-known, and arguably timeless, but supplementing this strategy with share buybacks is perhaps less well-known, and certainly not one that has been easily accessible for retail investors. The range of investment strategies available through the Actively-Managed Certificate (AMC) wrapper, listed on the JSE, continues to expand, and now also allows for easy access to an enhanced yield strategy, combining dividends and share buybacks in one portfolio.

Liquid Private Credit in the US market is an investment opportunity not readily available to South African investors in any form other than an actively-managed certificate (AMC). Prior to the global financial crisis in 2008, most companies raised capital and financing by traditional means such as either banks or via public debt, but subsequent regulatory changes restricted the amount of bank lending to smaller and riskier businesses. In simple terms, that’s where private credit stepped in to fill the gap thus created in the market.

When one of the largest active fund managers in South Africa join the ETF industry, people take notice, and others ask questions. What’s behind the Coronation strategy, and what’s inside their range of AMETFs?