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Compass Expands ETF Lineup With Three New Funds

ETFtrends.com

Compass EMP Funds, the Tennessee-based registered investment advisor and index developer, significantly bolstered its ETF lineup today with the introduction of three new funds, bringing its ETF stable to eight products.

The new ETFs from Compass are the Compass EMP US Small Cap 500 Volatility Weighted Index ETF (CSA) , the Compass EMP US Large Cap High Dividend 100 Volatility Weighted Index ETF (CDL) and the Compass EMP US Small Cap High Dividend 100 Volatility Weighted Index ETF (CSB) .

“CSA seeks to provide investment results that track the performance of the CEMP US Small Cap 500 Volatility Weighted Index before fees and expenses. The Index is a passive broad market index consisting of the common stock of the 500 largest U.S. based companies with a market capitalization of less than $3 Billion with four quarters of positive earnings weighted based on their daily standard deviation (volatility),” according to a statement issued by Compass.

The Compass EMP US Large Cap High Dividend 100 Volatility Weighted Index ETF “seeks to provide investment results that track the performance of the CEMP US Large Cap High Dividend 100 Volatility Weighted Index before fees and expenses. The Index is a passive broad market index consisting of the common stock of the highest 100 dividend yielding stocks of the CEMP U.S. Large Cap 500 Volatility Weighted Index. The 100 largest U.S. based companies with four quarters of positive earnings are weighted based on their daily standard deviation,” according to Compass. [Getting to Know Low Vol ETFs]

Compass is no stranger to low volatility ETFs and enhanced volatility strategies. The firm’s first three ETFs were the Compass EMP U.S. 500 Volatility Weighted Index ETF (CFA) , the Compass EMP U.S. 500 Enhanced Volatility Weighted Index ETF (CFO) and the Compass EMP U.S. EQ Income 100 Enhanced Volatility Weighted Fund (CDC).

Last August, the firm added its fourth ETF, the Compass EMP U.S. Discovery 500 Enhanced Volatility Weighted Index ETF (CSF). [Compass EMP Adds Fourth ETF]

The ability to move to cash is a hallmark of several of Compass’ other ETF offerings. As stocks rebound from that hypothetical decline, the ETFs’ underlying indices begin reducing cash and adding equity exposure, providing investors with the advantages of dollar-cost averaging. [Compass EMP Enters ETF Arena With Three Unique Funds]

The “seeks to provide investment results that track the performance of the CEMP US Small Cap High Dividend 100 Volatility Weighted Index before fees and expenses. The Index is a passive index and generally consists of the common stock of the 100 highest dividend yielding stocks of the CEMP U.S. Small Cap 500 Volatility Weighted Index. The index securities are then weighted based on their daily standard deviation,” according to Compass.

ETF Trends editorial team contributed to this post.

The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.