Funds outperform benchmarks within one year of launch
DENVER–(BUSINESS WIRE)–ALPS Advisors, Inc., an asset manager and wholly owned subsidiary of SS&C Technologies, Inc., today celebrated the one-year anniversary of its strategic partnership with Smith Capital Investors, an investment management firm focused on fixed-income investing.
On June 29, 2018, ALPS Advisors and Smith Capital Investors launched the ALPS | Smith Total Return Bond Fund and ALPS | Smith Short Duration Bond Fund. As of June 30, 2019, the Funds’ one-year anniversary, the Funds surpassed a collective $250 million in total assets.
“We are pleased with our initial performance and growth in reaching this first milestone and we are evermore excited for the opportunity to serve clients and deliver on our core tenets of risk-adjusted returns and preservation of capital,” said Gibson Smith*, Founder of Smith Capital Investors.
“We recognized an opportunity to launch a unique and differentiated fixed-income strategy to help advisors and institutions improve their investment portfolios,” said Mike Sleightholme, Senior Vice President and General Manager, SS&C Technologies. “The robust interest in the Funds over the past year validates our belief that investors are seeking active fixed-income strategies beyond passive or closet-indexing.”
About the Funds
Since inception, the Funds have excelled in beating their benchmarks, delivering the risk-adjusted returns and capital preservation that have become a hallmark of the Smith Capital Investors team.
The ALPS | Smith Total Return Bond Fund (SMTHX) returned 10.27% for the period between June 29, 2018 and June 30, 2019 and ranked in the top decile in the Morningstar Intermediate Core-Plus Bond category for the period. The Fund outperformed the Bloomberg Barclays US Aggregate Bond Index by 2.40%, which returned 7.87% for the same period.
The ALPS | Smith Short Duration Bond Fund (SMDSX) returned 4.42% between June 29, 2018 and June 30, 2019 and ranked in the 40th percentile in the Short Term Bond Morningstar category during the same period. The Fund outperformed the Bloomberg Barclays 1-3 Year US Govt/Credit Index, which returned 4.27% for the same period, by 0.15%.
Performance data quoted represents past performance. Past performance is no guarantee of future results so that shares, when redeemed, may be worth more or less than their original cost. The investment return and principal value will fluctuate. Current performance may be higher or lower than the performance quoted. For the most current month-end and standardized performance data please call 866.759.5679 or click on SMTHX or SMDSX to view it on alpsfunds.com. Performance includes reinvested distributions and capital gains.
About SS&C Technologies
SS&C is a global provider of investment and financial software-enabled services and software for the global financial services and healthcare industries. Founded in 1986, SS&C is headquartered in Windsor, Connecticut and has offices around the world. Some 18,000 financial services and healthcare organizations, from the world’s largest institutions to local firms, manage and account for their investments using SS&C’s products and services. For more information, visit www.ssctech.com.
About ALPS Advisors
ALPS Advisors, Inc., a wholly owned subsidiary of SS&C Technologies, Inc., is a leading provider of investment products for advisors and institutions. With over $14 billion in assets under management (as of 6/30/2019), the firm provides access to asset classes and boutique asset managers in real assets, alternatives, thematic/factor and fixed income through both ETF and open-end mutual fund structures. For more information, visit www.alpsfunds.com.
About Smith Capital Investors
Smith Capital Investors, a Colorado-based investment management firm, is focused on income investing with a keen eye on risk-adjusted returns and preservation of capital. Smith Capital Investors deploys an actively managed, fundamentally driven investment process led by an experienced, investment-centric, and proven team of investment professionals. For more information on Smith Capital Investors, please visit www.smithcapitalinvestors.com.
Important Disclosures and Definitions
The Bloomberg Barclays U.S. Aggregate Bond Index is a broad-based benchmark that measures the investment grade, U.S. dollar-denominated, fixed-rate taxable bond market. This includes Treasuries, government-related and corporate securities, mortgage-backed securities, asset-backed securities and collateralized mortgage-backed securities.
The Bloomberg Barclays US Government/Credit Index is composed of all publicly issued, fixed-rate, nonconvertible, investment-grade corporate debt. Issues are rated at least Baa by Moody’s Investors Service or BBB by Standard & Poor’s, if unrated by Moody’s. Collateralized Mortgage Obligations (CMOs) are not included. Total return comprises price appreciation/depreciation and income as a percentage of the original investment.
One may not invest directly in an index.
The ALPS | Smith Short Duration Bond Fund seeks as high a level of current income as is consistent with preservation of capital.
The ALPS | Smith Total Return Bond Fund seeks to obtain a total maximum return, consistent with preservation of capital.
An investor should consider investment objectives, risks, charges and expenses carefully before investing. To obtain a prospectus, which contains this and other information, call 1.866.759.5679 or visit www.alpsfunds.com. Please read the prospectus carefully before investing.
An investment in the Funds involves risk, including loss of principle.
©2019 Morningstar. All Rights Reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
Fixed Income Securities Risk. A rise in interest rates typically causes bond prices to fall. The longer the duration of the bonds held by a fund, the more sensitive it will likely be to interest rate fluctuations. Duration measures the weighted average term to maturity of a bond’s expected cash flows. Duration also represents the approximate percentage change that the price of a bond would experience for a 1% change in yield. For example: the price of a bond with a duration of 5 years would change approximately 5% for a 1% change in yield. The price of a bond with a duration of 10 years would be expected to decline by approximately 10% if its yield was to rise by +1%. Bond yields tend to fluctuate in response to changes in market levels of interest rates. Generally, if interest rates rise, a bond’s yield will also rise in response; the duration of the bond will determine how much the price of the bond will change in response to the change in yield.
The Fund’s investments in fixed-income securities and positions in fixed-income derivatives may decline in value because of changes in interest rates. As nominal interest rates rise, the value of fixed-income securities and any long positions in fixed-income derivatives held by the Fund are likely to decrease, whereas the value of its short positions in fixed-income derivatives is likely to increase.
Market Risk. Overall securities market risks may affect the value of individual instruments in which the Fund invests. Factors such as domestic and foreign economic growth and market conditions, interest rate levels, and political events affect the securities and derivatives markets. When the value of the Fund’s investments goes down, your investment in the Fund decreases in value and you could lose money.
* Gibson Smith is a Registered Representative of ALPS Distributors, Inc.
ALPS Portfolio Solutions Distributor, Inc. is the distributor for the Funds.
ALPS Distributors, Inc., ALPS Advisors, Inc. and ALPS Portfolio Solutions Distributor, Inc. are affiliated.
Senior Account Executive
Water & Wall Group
Tel: (212) 625-2365
E-mail: [email protected]