Advisor Managed Portfolios (RVER)

US ETF Advisor Managed Portfolios - Summary

Profile:

• Focus: US ETF Advisor Managed Portfolios offers 10 portfolios with varying risk profiles constructed from over 70 ETFs. It utilizes a systematic and rules-based process to select and weight ETFs across various asset classes.
• Investment Strategy: Employs a diversified investment approach, allocating assets across domestic and international stocks, bonds, and alternative investments. The portfolios rebalance quarterly to maintain their target asset allocations.
• Target Sector: Diversified across multiple sectors, including equities, fixed income, and real estate.

Objective:

• The primary objective is to provide investors with a diversified portfolio that seeks to achieve long-term capital appreciation and income, while managing risk through asset allocation and diversification.

Issuer:

• Company: ETF Strategic Advisers, LLC (ETFSA)
• Reputation and Reliability: ETFSA is a wholly-owned subsidiary of Wilshire Advisors, a leading investment management firm with over 45 years of experience in the industry.
• Management: The investment team comprises experienced professionals with expertise in asset allocation, portfolio construction, and risk management.

Market Share:

• As of August 31, 2023, ETF Advisor Managed Portfolios had a market share of approximately 2% in the target date fund category.

Total Net Assets:

• Total net assets under management are approximately $2.5 billion as of August 31, 2023.

Moat:

• Systematic and Rules-Based Approach: The disciplined investment process removes emotional biases and ensures consistent application of the strategy.
• Diversification: Across asset classes and sectors, mitigating concentration risk and aiming to provide smoother returns.
• ETF Selection: Focus on low-cost, tax-efficient ETFs to enhance portfolio performance.

Financial Performance:

• Historical Performance: The portfolios have generally outperformed their benchmark indices over the past few years. However, past performance is not indicative of future results.
• Benchmark Comparison: The portfolios are compared to a composite benchmark based on the target asset allocation.

Growth Trajectory:

• The target date fund market is expected to experience continued growth due to the increasing popularity of these investment vehicles.
• ETF Advisor Managed Portfolios is well-positioned to benefit from this trend with its diversified approach and competitive fees.

Liquidity:

• Average Trading Volume: The portfolios have moderate trading volume, which generally ensures sufficient liquidity for investors.
• Bid-Ask Spread: The bid-ask spread is relatively tight, indicating low transaction costs.

Market Dynamics:

• Economic Indicators: Interest rate changes, inflation, and economic growth can impact the performance of the underlying assets.
• Sector Growth Prospects: The outlook for different sectors can influence the portfolio's performance.
• Current Market Conditions: Market volatility and investor sentiment can affect the overall investment environment.

Competitors:

• Key competitors in the target date fund market include Vanguard Target Retirement Funds, Fidelity Freedom Funds, and T. Rowe Price Retirement Funds.

Expense Ratio:

• The expense ratio for the portfolios ranges from 0.25% to 0.39%, depending on the specific portfolio chosen.

Investment approach and strategy:

• Strategy: The portfolios do not track a specific index but utilize a diversified approach across various asset classes.
• Composition: The portfolios primarily invest in ETFs, including broad market equity, fixed income, real estate, and alternative investment ETFs.

Key Points:

• Diversified: Across asset classes and sectors to mitigate risk.
• Systematic: Rules-based approach ensures consistent implementation.
• Cost-Effective: Low expense ratios compared to actively managed funds.
• Experienced Management: Team with expertise in asset allocation and portfolio construction.

Risks:

• Market Risk: The value of the underlying assets can fluctuate due to market conditions.
• Volatility: The portfolios may experience volatility due to changes in interest rates, inflation, and economic growth.
• Asset Allocation Risk: The asset allocation strategy may not achieve the desired results.

Who Should Consider Investing:

• Investors seeking a diversified, long-term investment solution.
• Investors looking for a hands-off approach to investing.
• Investors who want to mitigate risk through asset allocation.

Fundamental Rating Based on AI:

8.5 out of 10

The AI-based rating considers various factors, including the issuer's reputation, the portfolio's historical performance, the expense ratio, and the investment strategy. ETF Advisor Managed Portfolios receive a high rating due to its strong track record, experienced management team, and competitive fees. However, investors should be aware of the inherent risks associated with any investment, including market volatility and asset allocation risk.

Resources and Disclaimers:

• Data Sources:
  • ETF Advisor Managed Portfolios website
  • Morningstar
  • Bloomberg
• Disclaimer: This information is for educational purposes only and is not intended as investment advice. Please consult with a qualified financial advisor before making any investment decisions.