Investment Product and Service Launches

Art by Jackson Epstein

Nationwide Launches U.S. Equity Fund

Nationwide has added a new option to its menu of funds with the launch of its Nationwide GQG U.S. Quality Equity Fund.

The fund, built from the GQG U.S. equity strategy, is designed to solve the needs of institutional investors looking for diversified, alpha-producing U.S. equity solutions. It will be sub-advised by GQG Partners, a boutique investment firm founded in 2016 by Rajiv Jain, its chairman and chief investment officer (CIO) who has more than 25 years of investment experience.

“We look forward to this new partnership with Rajiv and his team of experienced professionals who have quickly developed a strong and respected reputation among institutional investors,” says Mike Spangler, leader of the investment management group at Nationwide. “We’re confident their expertise can help make the Nationwide GQG U.S. Quality Equity Fund a successful addition to our existing portfolio we offer to institutional investors.”

GQG’s research team includes non-traditional analysts, such as those with investigative journalism and specialized accounting backgrounds, alongside analysts with more traditional skill sets. GQG says it believes the combination of skill sets helps it develop a more comprehensive view of some of the world’s most well-known companies.

“Nationwide is the ideal strategic partner for GQG Partners with its commitment to excellence and client-focused culture,” Jain says. “Our goals of protecting and compounding capital while aligning with clients are paramount in our business.”

Fidelity Investments Lowers Minimum for Premium Class of Index Funds

Fidelity Investments is lowering the investment minimum for its Institutional Premium Class of the Fidelity Freedom Index Funds.

The company says it is lowering the minimum by 95%, from $100 million to $5 million. With this action, the firm says all Fidelity Freedom Index Funds will have total net expenses equal to or lower than comparable Vanguard index target-date funds (TDFs), regardless of investment level. The new minimum was effective as of January 19.

“At Fidelity, we have a long history of providing investors with a wide array of high-quality products at exceptional value to help them meet their investment goals,” says Daniel Terio, vice president, target-date products, Fidelity Investments. “This 95% reduction in the investment minimum for the Institutional Premium Class of Fidelity Freedom Index Funds builds on that legacy, providing millions of customers—individual investors, workplace retirement plan sponsors and participants, and financial advisers—an even more compelling value proposition.” 

Versor Investments Builds New Investor Research Center

 Versor Investments (formerly ARP Investments), a quantitative investment management firm focused on alternative investment strategies, has announced the creation of a new investor research center located in The Athenaeum section of its site.

The Athenaeum includes publications from two of Versor’s founding partners, Deepak Gurnani and Ludger Hentschel, each with more than 25 years of experience in quantitative research and investing.

“Versor’s background is in scientific, hypothesis-driven investing that allows for diversified sources of absolute return across asset classes,” says Gurnani. “Innovation and cutting-edge technology drive our investment philosophy to systematically create superior risk-adjusted returns.”

The Athenaeum provides investors with more than 30 research papers on topics including tactical asset allocation, enhancing hedge fund portfolio returns, analyzing risk/return, quantifying alternative risk premia inherent in hedge funds and using separate accounts for risk management.

Included in The Athenaeum is Versor’s newly published white paper on macro investing, “Global Macro: Portfolio Diversification for Turbulent Times,” which follows concerns that global bond and equity values may be stretched.