LODI becomes AAM's fourth ETF launched this
year and newest offering in growing ETF suite
MONUMENT, Colo., Dec. 4, 2024
/PRNewswire/ -- Advisors Asset Management (AAM), a
leading investment solutions provider, has expanded its
exchange-traded fund (ETF) offerings with the launch of the AAM SLC
Low Duration Income ETF, (NYSE: LODI), sub-advised by SLC Fixed
Income, part of SLC Management.
The AAM SLC Low Duration Income ETF is actively managed, employs
a 100% bottom-up issue selection process and tactically manages
sector rotations to build a portfolio of high-conviction,
investment grade corporate and securitized investments. LODI seeks
to outperform the Bloomberg U.S. 1-3 Yr Govt/Credit Index on a
total return basis, as well as aiming to provide a higher level of
income.
"AAM is proud to deepen its commitment to opportunities within
the ETF space by launching LODI in partnership with an exceptional
manager in SLC Management who brings decades of expertise in fixed
income investing," said Cliff
Corso, President, CIO, AAM. "With today's dynamic market
environment—characterized by shifting interest rates and growing
demand for diversified income solutions—LODI is positioned to help
investors navigate uncertainty while seeking long-term stability
and returns."
LODI is designed to lower fixed income portfolio volatility
through duration reduction while also modestly increasing duration
and credit risk away from money market and equivalent instruments
to potentially enhance income and total return.
"We believe short duration credit and securitized opportunities
can be advantageous to investors, offering attractive yields with
lower sensitivity to interest rate volatility," said
Richard Familetti, CIO, U.S.
Total Return Fixed Income, SLC Management. "Within SLC
Fixed Income, managing duration risk is a critical part of our
investment strategy, and the LODI ETF can provide a unique balance
of income generation and risk mitigation, making it a valuable
addition to a diversified portfolio."
About Advisors Asset Management
For 45 years, AAM has
been a trusted resource for financial advisors and broker/dealers.
The firm offers access to alternatives, exchange-traded funds,
fixed income markets, managed accounts, mutual funds, structured
products, and unit investment trusts. AAM is a part of SLC
Management, the institutional alternatives and traditional asset
management business of Sun Life. For more information, visit
www.aamlive.com.
For the one-year period ending September
30, 2024, AAM facilitated over $35
billion in combined sales and investments through 16,400
financial professionals industry-wide who accessed AAM's investment
solutions platform.*
*Of the $35 billion, approximately
$8 billion were Exchange-Traded Fund
(ETF), Managed Account (SMA), Mutual Fund, and Unit Investment
Trust (UIT) assets, while $27 billion
was in Fixed Income securities, including bonds and Structured
Products.
The fund's investment objectives, risks, charges and expenses
must be considered carefully before investing. The statutory and
summary prospectus contains this and other important information
about the investment company, and it may be obtained by calling
800.617.0004 or visiting www.aamlive.com. Read it carefully before
investing.
Investing involves risk; Principal loss is possible.
Principal Risks: Fixed-income securities are
subject to the ability of an issuer to make timely principal and
interest payments (credit risk), changes in interest rates
(interest-rate risk), the creditworthiness of the issuer and
general market liquidity (market risk). In a rising
interest-rate environment, bond prices may fall and may result in
periods of volatility and increased portfolio redemptions. In a
declining interest-rate environment, the portfolio may generate
less income. Mortgage-backed and asset-backed securities are
subject to higher interest rate and prepayment risk; the value of
these investments may be reduced or become worthless if they are
"subordinated" and receive interest or income payments only after
other interests in the same mortgage or asset pool are satisfied.
Active trading may increase the Fund's transaction costs, affect
performance, and increase your taxable distributions. New Fund
Risk: The Fund is a recently organized investment company with
no operating history. As a result, prospective investors have no
track record or history on which to base their investment decision.
Management Risk: The Fund is actively managed and may not
meet its investment objective based on the Adviser's success or
failure to implement investment strategies for the Fund. CLO
Risk: CLOs are securities backed by an underlying portfolio of
loan obligations. CLOs issue classes or "tranches" that vary in
risk and yield and may experience substantial losses due to actual
defaults, decrease of market value due to collateral defaults and
removal of subordinate tranches, market anticipation of defaults
and investor aversion to CLO securities as a class.
High-Yield Securities Risk: High-yield securities (also
known as "junk bonds") carry a greater degree of risk and are
considered speculative by the major credit rating agencies.
Privately Issued Securities Risk: The Fund may invest in privately
issued securities issued under Rule 144A or Regulation S under the
Securities Act of 1933, as amended. Sales of privately issued
securities are subject to numerous restrictions including, but not
limited to, that sales of privately issued securities may typically
be made only to qualified institutional buyers, in privately
negotiated transactions, to a limited number of purchasers, or in
limited quantities after being held for a specific period of
time.
Advisors Asset Management, Inc. (AAM) is a SEC-registered
investment advisor and member FINRA/SIPC. | Registration does not
imply a certain level of skill or training. | 18925 Base Camp Road
| Monument, CO 80132
AAM ETFs are distributed by Quasar Distributors, LLC. AAM and
Quasar are not affiliated.
For more information, visit www.aamlive.com | X (Twitter):
@aamlive | LinkedIn:
https://www.linkedin.com/company/advisors-asset-management-inc-/
CRN: 2024-1126-12139 R
CONTACT:
Matthew Bono
JConnelly
(973) 590-9110
mbono@jconnelly.com
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SOURCE Advisors Asset Management
