BETHESDA, Md., Aug. 30, 2016 /PRNewswire/ -- AdvisorShares,
a leading sponsor of actively managed exchange-traded funds (ETFs),
announced today that Dorsey, Wright & Associates (DWA), a
Nasdaq Company, will assume sub-advisor responsibilities of the
AdvisorShares WCM/BNY Mellon Focused Growth ADR ETF (NYSE Arca:
AADR) on September 1, 2016. On that
date, the fund will be subsequently renamed the AdvisorShares
Dorsey Wright ADR ETF, and will retain the AADR ticker symbol.
John G. Lewis, CMT, senior vice
president and senior portfolio manager of DWA will serve as the
lead portfolio manager of AADR. BNY Mellon, the world's largest
depositary for American Depositary Receipts (ADRs) will continue to
provide their expertise to the portfolio management and to all
other market intermediaries. In pursuing its investment strategy,
DWA will continue AADR's investment objective that seeks long-term
capital appreciation above international benchmarks including its
primary benchmark, the BNY Mellon Classic ADR Index, as well the
MSCI EAFE Index, which is the active ETF's secondary benchmark.
AADR's investment focus will follow the portfolio manager's core
philosophy of relative strength investing, which involves buying
securities – domestically traded ADRs – that have appreciated in
price more than other securities within its investment universe and
holding those ADRs until they sufficiently underperform. In doing
so, DWA employs their proprietary macroeconomic sector ranking and
individual stock rotation methodology. AADR's systematic investment
process refrains from using fundamental company data and is based
entirely on the market movement of international companies, which
measures current sector and industry group allocation to order to
keep a diversified underlying portfolio. While no consideration is
given to developed and emerging markets, AADR will allocate between
the two depending on global price trends. The portfolio manager
ultimately constructs a concentrated portfolio of 30-50 equities
that demonstrate favorable relative strength characteristics.
"Dorsey, Wright and Associate's well-established expertise and
track record of industry-leading technical investing is evident,
particularly in their international equity approach that will be
employed in AADR," said Noah Hamman
chief executive officer of AdvisorShares. "We believe the
transition from one accomplished portfolio manager to another will
benefit both current and prospective AADR shareholders, providing
an offering that will continue to seek both better relative and
risk-adjusted returns than its international benchmarks within a
fully transparent and operationally efficient ETF structure."
"Financial advisors continue to gravitate towards the innovation
and flexibility that ETFs provide," added Tom Dorsey, founder of DWA. "We are excited to
partner with AdvisorShares on AADR as our latest ETF offering. And
in particular, we look forward to be part of this next evolutionary
phase for the marketplace, where we are able to package our active
portfolio management within a fully transparent ETF
structure."
"Our technical investment process employed in AADR reflects our
relative strength philosophy," said Mr. Lewis. "We utilize a
proprietary approach that is entirely systematic and seeks to
remove any human emotion from the decision process, which helps
allow us to execute our established investment process through all
types of market environments. We believe that our international
equity approach has long-provided an investment solution to our
clients and we now look forward to delivering that same expertise
through AADR and the structural benefits of an actively managed
ETF."
On Wednesday, August
31st at 2:00 pm
EDT, Mr. Lewis will hold an investor conference call to
provide an overview of AADR's investment strategy—Dial-In:
800-356-8278; Code: 176071. For financial professionals and
investors requesting more information, please visit
www.advisorshares.com or call an AdvisorShares investment
consultant at 1-877-THE-ETF1 (1-877-843-3831).
About AdvisorShares
A leading provider in the actively managed ETF marketplace,
AdvisorShares offers 22 active ETFs with $1.2 billion of assets under management (as of
August 26, 2016). Visit
www.advisorshares.com to register for free weekly economic
commentary. For educational insight into the active ETF
marketplace, visit www.alphabaskets.com, follow @AdvisorShares on
Twitter, and on Facebook.
About Dorsey, Wright & Associates, LLC (DWA), a Nasdaq
Company
Dorsey, Wright & Associates (DWA), a Nasdaq Company, is a
registered investment advisory firm based in Richmond, Virginia. Dorsey Wright was acquired by Nasdaq (Nasdaq:
NDAQ) last year and the combined group represents one of the
largest providers of smart beta indexes with nearly $49 billion in assets under management. DWA and
Nasdaq develop innovative products across myriad asset classes and
help create more opportunities for financial advisors. Since 1987,
DWA has been an advisor to financial professionals on Wall Street
and investment managers worldwide. The company offers comprehensive
investment research and analysis through their Global Technical
Research Platform and provides research, modeling and indexes which
apply DWA's expertise in Relative Strength to various financial
products including exchange trade funds, mutual funds, UITs,
structured products, and separately managed accounts.
Before investing you should carefully consider the Fund's
investment objectives, risks, charges and expenses. This and other
information is in the prospectus, a copy of which may be obtained
by visiting the Fund's website at www.AdvisorShares.com.
Please read the prospectus carefully before you invest.
Foreside Fund Services, LLC, distributor.
There is no guarantee that the Fund will achieve its investment
objective. An investment in the Fund is subject to risk, including
the possible loss of principal amount invested. Emerging Markets,
which consist of countries or markets with low to middle income
economics can be subject to greater social, economic, regulatory
and political uncertainties and can be extremely volatile. Other
Fund risks include concentration risk, foreign securities and
currency risk, ADRs which may be less liquid, large-cap risk, early
closing risk, counterparty risk and trading risk, which can
increase Fund expenses and may decrease Fund performance. The Fund
is, also, subject to the same risks associated with the underlying
ETFs, which can result in higher volatility. This Fund may not be
suitable for all investors. See prospectus for detail regarding
risk.
Shares are bought and sold at market price (closing price) not
net asset value (NAV) and are not individually redeemed from the
Fund. Market price returns are based on the midpoint of the bid/ask
spread at 4:00 pm Eastern Time (when
NAV is normally determined) and do not represent the return you
would receive if you traded at other times.
Press Contact:
Ryan
Graham
AdvisorShares
202-684-6442
rg@advisorshares.com
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