ST. GEORGE – Soltis Investment Advisors has partnered with Lunt Capita and Elkhorn Securities in the launch of an exchange trade fund that results in a low-volatility approach to traditional investing in Standard & Poor’s 500 index companies.
Soltis/Lunt are both recognized as thought leaders in their respective industries and worked together to enhance and implement a better U.S. “core” equity strategy, according to their news release issued Thursday.
“We are excited to partner with Elkhorn and Lunt as we invest in the Elkhorn Lunt Low Vol/High Beta Tactical ETF. We believe in low-volatility investing and continually finding more efficient ways to invest for our clients,” Soltis president, CEO and CIO Hal Anderson said. “We recognize managing risk is just as, if not more important than, managing return. We believe this ETF offers a better way to be invested in U.S. Large cap equities. The fund will serve as a long-term core component of our U.S. large-cap equity strategy.”
As investors look for alternatives to active large-cap managers, LVHB offers a simple, yet dynamic low-volatility rotation strategy. According to the latest S&P Indices versus Active report published by S&P, less than 12 percent of active managers within the U.S. large-cap core mutual funds category have outperformed the S&P 500 index over the last 10 years.
“Low-volatility strategies have become popular in the past several years, but recent underperformance has shown investors that low-volatility isn’t always the best place to be,” Elkhorn CEO Ben Fulton said. “Factors, including low-volatility, have their own season and Lunt Capital’s strategy allows investors to tactically rotate between low-volatility and high-beta stocks within the tax-efficient ETF structure.”
Ed. CORRECTION Oct. 31, 11:49 a.m.: LVHB holds stocks and trades; it does not hold bonds and commodities. This report’s second paragraph has been corrected accordingly.