RiverShares are model portfolios that are comprised solely of RiverFront sub-advised exchange-traded funds (ETFs) and managed using our Price Matters® strategic allocation, tactical overlay and risk management processes. We have partnered with First Trust and ALPS to sub-advise international equity, domestic equity, and fixed income ETFs that may be purchased individually or as part of the RiverShares models. These models will seek to align with RiverFront asset allocation strategies based on investor time horizons and risk tolerances.
If you are a financial professional and would like more detail, pleaser register for the Advisor Only portion of our website or call 804-549-4800 for assistance.
Click the yellow buttons in the chart below to visit the sponsor page for that ETF.
|Riverfront Sub-Advised ETFS|
|FIXED INCOME||RiverFront Dynamic Core Income||RFCI||Total return with an emphasis on income as the source of that total return|
|RiverFront Dynamic Unconstrained Income||RFUN||Total return with an emphasis on income as the source of that total return|
|US EQUITIES||RiverFront Dynamic US Dividend Advantage||RFDA||Capital appreciation and dividend income|
|RiverFront Dynamic US Flex-Cap||RFFC||Capital appreciation|
|INTERNATIONAL EQUITIES||First Trust RiverFront Dynamic Developed International||RFDI||Long-term capital appreciation from developed international equity markets|
|First Trust RiverFront Dynamic Europe||RFEU||Long-term capital appreciation from European equity markets|
|First Trust RiverFront Dynamic Asia Pacific||RFAP||Long-term capital appreciation from Asian Pacific equity markets|
|First Trust RiverFront Dynamic Emerging Markets||RFEM||Capital appreciation from Emerging Market equities|
ALPS Portfolio Solutions Distributor, Inc., a FINRA member, is the distributor for the following ETFs: RFCI, RFUN, RFDA, and RFFC. ALPS Advisors, Inc. is the investment adviser to RFCI, RFUN, RFDA, and RFFC, and RiverFront Investment Group, LLC is the investment sub-adviser. ALPS is not affiliated with RiverFront Investment Group, LLC. First Trust Portfolios L.P. is the distributor of RFDI, RFEU, RFAP, and RFEM. First Trust Advisors L.P. is the adviser to RFDI, RFEU, RFAP, and RFEM, and RiverFront Investment Group, LLC is the investment sub-adviser. First Trust is not affiliated with RiverFront Investment Group, LLC.
An investor should consider investment objectives, risks, charges and expenses carefully before investing. To obtain a prospectus or summary prospectus, which contain this and other information, visit www.alpsfunds.com for RFCI, RFUN, RFDA, and RFFC, or www.ftportfolios.com for RFDI, RFEU, RFAP, and RFEM. Read the prospectus carefully before investing.
The RiverShares models are comprised solely of a combination of the 8 RiverFront sub-advised ETFs listed above.
To view the allocations and holdings of the models, please register for our Advisor Only portion of the website, or call 804-549-4800 for assistance.
RiverShares portfolios are asset allocation solutions comprised solely of actively managed ETFs that are sub-advised by RiverFront. More specifically, in order to be eligible for inclusion in the RiverShares portfolios, an ETF must be both (1) sub-advised by RiverFront, and (2) pay a sub-advisory fee of 0.35% per annum to RiverFront.
Because RiverFront receives a sub-advisory fee on each of the individual ETFs that comprise RiverShares portfolios, RiverFront does not earn any account-level fee with respect to any RiverShares accounts, including from a Sponsor Firm, in order to seek to ensure that a client does not pay more than once for the investment advice provided by RiverFront. Clients who access RiverShares portfolios through a Sponsor Firm, however, will typically pay additional fees to the Sponsor Firm. Clients should speak to their Financial Advisor for more information on such fees, as they may vary among Sponsor Firms.
RiverFront Sub-Advised ETFs are sub-advised by RiverFront and advised by either ALPS Advisors, Inc. (“ALPS”) or First Trust Advisors, L.P. (“First Trust”). For more information on the investment objectives, principle risks, and fees associated with these Funds, please see each Fund's prospectus and statement of additional information (“SAI”), which are available on the Advisors’ websites at alpsfunds.com and ftportfolios.com.
While certain RiverShares, Advantage and ETF Advantage portfolios will have similar strategies and investment objectives, it is important to understand that there will be key differences between RiverShares, Advantage and ETF Advantage portfolios. First, each program will invest in different securities and will, therefore, perform differently. For example, the Asset Allocation Team may determine that an investment in a particular security is suitable for Advantage but not for the RiverShares models. Because RiverShares models can only invest in a series of ETFs sub-advised by RiverFront (“Eligible ETFs”), if RiverFront wants to implement a new investment strategy within RiverShares, RiverFront may need to develop a new ETF in order to do so. This will cause performance differences between one Investment Solution provided as a RiverShares portfolio and the same Investment Solution provided as an Advantage or ETF Advantage portfolio. Further, RiverShares and Advantage Solutions will have different costs/fees associated with them (see Item 5 of RiverFront’s ADV Part 2A for more information).
RiverShares portfolios will target a 2% cash allocation and are only able to enact defensive tactical strategies by shifting portfolio assets into bond ETFs instead of cash. In periods of market decline, these portfolios may perform worse than Advantage or ETF Advantage portfolios that can have a higher allocation to cash/cash equivalents should the selected bond ETF underperform an equivalent cash allocation.
RiverFront employees are registered representatives of ALPS Distributors, Inc. The employees are registered due to their work with respect to the registered investment companies for which RiverFront serves as sub-advisor. ALPS is not affiliated with RiverFront Investment Group, LLC.
The portfolio weights and statistics shown are based on RiverFront’s Separately Managed Accounts (SMA) and are not calculated or derived from any Unified Managed Account (UMA) or Model Delivery Platform (MDP). While our SMAs and models for UMAs and MDPs will have similar investment weightings, there may be differences between the models; as such, there will be differences in the current portfolio weights/statistics in actual client accounts.
RiverFront Investment Group, LLC is an investment adviser registered with the Securities Exchange Commission under the Investment Advisers Act of 1940. The company manages a variety of portfolios utilizing stocks, bonds, and exchange-traded funds (ETFs). Any discussion of the individual securities that comprise the portfolios is provided for informational purposes only and should not be deemed as recommendation to buy or sell any individual security mentioned.
Past performance is no guarantee of future results.
ETFs are subject to substantially the same risks as those associated with the direct ownership of the securities comprising the index on which the ETF is based. Additionally, the value of the investment will fluctuate in response to the performance of the underlying index. ETFs typically incur fees that are separate from those fees charged by RiverFront. Therefore, investments in ETFs will result in the layering of expenses.
RiverFront Sub-Advised ETFs could be considered “start-up” or early stage funds with low assets under management. RiverFront might have its own seed capital invested in certain of its Sub-Advised ETFs and/or could have discretionary control of a significant amount of RiverFront client assets invested in its Sub-Advised ETFs. Withdrawing seed capital or RiverFront client assets from the Sub-Advised ETFs could disadvantage the Funds and, as a result, other investors in the Funds, including other RiverFront clients.
Small, mid- and micro-cap companies may be hindered as a result of limited resources or less diverse products or services and have therefore historically been more volatile than the stocks of larger, more established companies.
International and emerging markets investing includes exposure to risks such as currency fluctuations, foreign taxes and regulations, and the potential for illiquid markets and political instability.
Investing in foreign companies poses additional risks since political and economic events unique to a country or region may affect those markets and their issuers. In addition to such general international risks, the portfolio may also be exposed to currency fluctuation risks and emerging markets risks as described further below.
Changes in the value of foreign currencies compared to the U.S. dollar may affect (positively or negatively) the value of the portfolio’s investments. Such currency movements may occur separately from, and/or in response to, events that do not otherwise affect the value of the security in the issuer’s home country. Also, the value of the portfolio may be influenced by currency exchange control regulations. The currencies of emerging market countries may experience significant declines against the U.S. dollar, and devaluation may occur subsequent to investments in these currencies by the portfolio.
Foreign investments, especially investments in emerging markets, can be riskier and more volatile than investments in the U.S. and are considered speculative and subject to heightened risks in addition to the general risks of investing in non-U.S. securities. Also, inflation and rapid fluctuations in inflation rates have had, and may continue to have, negative effects on the economies and securities markets of certain emerging market countries.
Using a currency hedge or a currency-hedged product does not insulate the portfolio against losses.
Fixed income securities' value generally declines in a rising interest rate environment.
High-yield securities are subject to greater risk of loss of principal and interest, including default risk, than higher-rated securities.
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