A new ETF issuer is launching two strategies that aim to capture high-conviction bets shared by high-conviction mutual fund managers.
The Alpha Intelligent funds use machine-learning processes to select companies seen as overweight based on a consensus of 50 actively managed mutual funds in either category. Princeton and its parent company Mount Yale Capital Group launched the AI-driven strategy in separately managed and unified managed accounts in March 2020.
Princeton, which managed just shy of $1 billion in assets at the end of 2020 according to its most recent disclosures, has also filed to launch four other ETFs using the amalgamation strategy in small- and midcap value and growth combinations.
All six of the launched or proposed ETFs in the issuer’s filing are actively managed and are fully transparent.
The firm did not respond to a request for comment Tuesday.