ALPS Introduces New Income ETF

ETF Trends

ALPS, the ETF issuer behind the two dividend dogs funds, is introducing the RiverFront Strategic Income Fund (RIGS) today. The new ETF emphasizes income as the primary source of total returns. RIGS has annual fees of 0.22%.

The new ETF is based on the investing principles of RiverFront Investment Group. The firm, in its own words, “is guided by a philosophy that embraces the dynamic nature of the complex global markets through which it navigates daily. This means we are in a constant state of action – moving fluidly and rapidly, seizing opportunities without losing sight of the long-term strategy.”

Virginia-based RiverFront offers mutual funds and separately managed accounts. The firm also offers ETF only portfolios.  RIGS will hold various debt instruments including convertible bonds and preferred stocks. The new ETF will also invest in mortgage-backed securities and since no credit limitations have been set, RIGS can also invest in high-yield bonds.

“The average maturity or duration of the Fund’s portfolio of fixed income securities will vary based on the Sub-Adviser’s assessment of economic and market conditions, as well as current and anticipated changes in interest rates; however, the Sub-Adviser intends to manage the Fund’s portfolio so that it has an average duration of between two and ten years, under normal circumstances,” according to ETF Daily News.

Other ALPS ETFs include the ALPS Sector Dividend Dogs ETF (SDOG) and the ALPS International Sector Dividend Dogs ETF (NYSEArca: IDOG) , which debuted in late June.

ALPS Sector Dividend Dogs ETF

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SDOG

ETF Trends editorial team contributed to this post.

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