Vident Financial, LLC today announced that the PPTY- U.S. Diversified Real Estate ETF (NYSE Arca: PPTY) has reached a significant milestone: $100 million in assets under management (AUM).
PPTY accomplished this impressive achievement in less than a year since its launch on March 27th, 2018, making it one of the most successful new ETFs to come to market.
“The most important factors when investing in real estate aren’t a secret—location, property type, and leverage levels. We designed PPTY to provide investors a common-sense alternative to traditional cap-weighted real estate ETFs, which ignore these fundamentals.” said Fred Stoops, Head of Real Estate at Vident Financial. “If you wouldn’t buy a house without consider location, why would you own a real estate ETF that ignores something so basic?”
“We’re pleased that investors have gravitated to our approach as quickly as they have,” he added.
PPTY’s portfolio is constructed based on the actual properties owned by each company in its investment universe (i.e. US REITs). This distinct approach allows PPTY to build a portfolio of REITs that delivers the consistent property type and geographic diversification that real estate investors typically seek. Leverage and governance criteria are further included to reduce exposure to high-risk companies.
Since its launch earlier on March 27, 2018, PPTY has delivered a total return of 17.63% through 1.31.2019.
“PPTY has proven to be a very successful addition to Vident’s ETF suite and an outstanding example of our distinct principles-based investment approach,” said Vident Financial CEO Vince Birley. “We are delighted to see how PPTY is resonating with investors and advisors.“
PPTY is part of Vident Financial’s family of ETFs that also includes the Vident International Equity Fund (VIDI), Vident Core U.S. Equity Fund (VUSE), Vident Core U.S. Bond Strategy (VBND) and the Forensic Accounting Long-Short ETF (FLAG). As of DATE, Vident’s ETF family had a total of approximately $1.6 billion in AUM.
About Vident Financial
Vident Financial develops investment market solutions (indices and funds) based on a distinct philosophy. Their investment strategies are founded upon sound principles that help identify environments where capital is going to thrive long-term, measuring different factors (human productivity, value, quality leadership, and governance) embedded within multiple process layers. Visit www.videntfinancial.com for more information.
Vident ETF's are dedicated to a principle based investing approach, overweighting in countries and companies with strong leadership and governance that foster greater prosperity. Therefore, prudent fiscal management and ethical governance are emphasized.
Vident Financial has been dedicated to answering to one shareholder, the Vident ETF shareholder. Vident's company structure assures that excess profits are used for the ETF shareholders either in the form of further research or fee reductions. Vident's corporate structure advocating for the fund shareholders has been compared to Vanguard's corporate structure.
*Fund Standardized Performance: PPTY market/NAV performance (respectively) as of *12.31.2018 is as follows; Since Inception (3/27/2018), 5.44%/5.65%. The Gross Expense Ratio of PPTY is 0.53%.
Performance data quoted represents past performance and is no guarantee of future results. Investment return and principal value of an investment will fluctuate so that an investor`s shares, when redeemed, may be worth more or less than the original cost. Current performance may be lower or higher than the original cost. Returns for periods of less than one year are not annualized. Returns are determined based on the midpoint of the bid/ask spread at 4:00pm Eastern time, when the NAV is typically calculated. Market returns does not represent the returns you would receive if you traded shares at other times.
Market Price: The current price at which shares are bought and sold. Market returns are based upon the midpoint or the last bid/ask spread at 4:00pm Eastern time.
NAV: The dollar value of a single share, based on the value of the underlying assets of the fund minus its liabilities, divided by the number of shares outstanding. Calculated at the end of each business day.
The fund’s investment objectives, risks, charges and expenses must be considered carefully before investing. The prospectus and summary prospectus (PPTY) contains this and other important information about the investment company, and a free hardcopy of the prospectus may be obtained by calling 1-800-617-0004. Read carefully before investing.
Investments involve risk. Principal loss is possible. Because the Fund is a fund of funds, its investment performance largely depends on the investment performance of the Underlying Funds in which it invests. An investment in the Fund is subject to the risks associated with the Underlying Funds that comprise the Index, including risks related to investments in derivatives, REITs, foreign securities and municipal securities. Fixed-income securities’ prices generally fall as interest rates rise. High yield securities are subject to the increased risk of an issuer’s inability to meet principal and interest payment obligations. These securities may be subject to greater price volatility due to such factors as specific corporate developments, interest rate sensitivity, negative perceptions of the non-investment grade securities markets, real or perceived adverse economic conditions, and lower liquidity. Preferred stock is subject to many of the risks associated with debt securities, including interest rate risk. In addition, preferred stock may not pay a dividend, an issuer may suspend payment of dividends on preferred stock at any time, and in certain situations an issuer may call or redeem its preferred stock or convert it to common stock. International investments may also involve risk from unfavorable fluctuations in currency values, differences in generally accepted accounting principles, and from economic or political instability. There is no guarantee that the fund will meet its investment objective. The Fund may invest in derivatives, including futures contracts, which are often more volatile than other investments and may magnify the Fund’s gains or losses. The fund is new with limited operating history. The Funds have the same risks as the underlying securities traded on the exchange throughout the day at market price. The Fund’s investments will be concentrated in an industry or group of industries to the extent the Index is so concentrated, and the Index is expected to be concentrated in real estate-related industries.
The Vident Funds (VIDI, VBND and VUSE) are distributed by Quasar Distributors, LLC. The fund's investment advisor is Exchange Traded Concepts LLC. VIDI, VBND, and VUSE's sub-advisor is Vident Investment Advisory (VIA). Vident Financial owns the indexes that underline the funds. Quasar is not affiliated with Vident Financial, Exchange Traded Concepts, or Vident Investment Advisory. FLAG is distributed by SEI Investments Distribution Co., which is not affiliated with Quasar Distributors or Exchange Traded Concepts, or any of its affiliates.