High Fee sector Rotation

USA

Northern Lights lists sector rotating ETF of ETFs

Northern Lights, under its sub-brand Anfield, is listing an actively managed ETF of ETFs that rotates between sectors. The Anfield U.S. Equity Sector Rotation ETF (AESR) will rotate between GICS-defined sector ETFs based on economic forecasts.

There are 11 GICS sectors, but the fund plans to only hold between 8 – 10 of them. They will be weighted according to Anfield’s research on business fundamentals and technicals. 

The fund will charge a steep 1.42%.

Day Hagan and Ned Davis do the same thing

Ned Davis, the famous research shop and Day Hagan, the asset manager, are teaming up to offer an actively managed sector rotating ETF of ETFs (basically the same as the above).

The Day Hagan/Ned Davis Research Smart Sector ETF (SSUS) will buy sector ETFs based on Ned Davis research, in an effort to outperform the S&P 500. The research will look at technical, monetary, economic, valuation, and sentiment indicator, the prospectus says.

The fund has the added ability to swan off into cash (up to 50%) when the market nosedives.

The fund charges 0.78%.