Best New Asset Allocation ETF: PowerShares DWA Tactical Multi-Asset Income Portfolio (DWIN)
Awarded to the most important ETF launched in 2016 that combines exposure to multiple asset classes.
PowerShares has an entire line of ETFs that incorporate the Dorsey Wright relative strength model into various segments of the stock market. But in 2016, for the first time, it applied the model to an asset allocation ETF. The "fund of exchange-traded funds" usually holds five ETFs chosen based on yield and price momentum. Those ETFs can be from any asset class, including equities, bonds, REITs, preferred stocks and more. Since its inception in March 2016, DWIN has garnered a strong following, and already has $117 million in assets. It's a modestly priced fund with an expense ratio of 0.69%, which is in line with other Dorsey Wright ETFs.
- Aptus Behavioral Momentum ETF (BEMO)
- iSectors Post-MPT Growth ETF (PMPT)
- Premise Capital Frontier Advantage Diversified Tactical ETF (TCTL)
- REX Gold Hedged S&P 500 (GHS)
Best New Smart-Beta/Factor ETF: Fidelity Dividend ETF For Rising Rates (FDRR) and Vanguard International High Dividend Yield ETF (VYMI)
Awarded to the most important new ETF launched in 2016, regardless of asset class, that uses a quantitative, research-driven approach to attempt to deliver superior long-term risk-adjusted returns.
This year, the award for Best New Smart-Beta or Factor ETF was a tie between the intriguing Fidelity Dividend ETF For Rising Rates (FDRR) and the Vanguard International High Dividend Yield ETF (VYMI). While FDRR has proven to be a timely product given the Fed’s current pattern of rate hikes, VYMI was one of Vanguard’s very selective launches, one half of a pair of funds targeting the international dividend space. The two funds seem to embrace both sides of the coin, with the former tapping into one of the key issues of the moment and the latter offering investors a fairly timeless core exposure.
- Elkhorn Fundamental Commodity Strategy ETF (RCOM)
- Fidelity Low Volatility Factor ETF (FDLO)
- iShares Edge MSCI Min Vol USA Small Cap ETF (SMMV)
Best New Active ETF: JPMorgan Diversified Alternatives ETF (JPHF)
Awarded to the most important new actively managed ETF launched in 2016, regardless of asset class. Only ETFs with inception dates after Dec. 31, 2015, are eligible. ETF must be classified as “Active per SEC” by FactSet to qualify.
JPHF brings together two key elements for an actively managed ETF to be successful: A powerful brand name and methodology that allows it wide latitude to pursue alpha practically anywhere it can find it. It can invest in equity, fixed income, currencies, commodities and derivatives while implementing basically any type of strategy its managers please.
- Amplify YieldShares CWP Dividend & Option Income ETF (DIVO)
- Guggenheim Total Return Bond ETF (GTO)
- Janus Short Duration Income Fund (VNLA)
- SPDR DoubleLine Short Duration Total Return Tactical (STOT)