Angel Oak Capital Advisors Debuts UltraShort ETF Focused on Structured Credit Opportunities
October 25 2022 - 8:00AM
Business Wire
A leading structured credit investment firm
brings new short-duration investment opportunity in first ETF
offering
Angel Oak Capital Advisors, an investment management firm that
specializes in value-driven structured credit, is excited to
announce the launch of the Angel Oak UltraShort Income ETF (NYSE:
UYLD). The firm’s first exchange-traded fund, which complements its
existing lineup of mutual funds and private strategies, provides
investors a unique opportunity to invest in short-duration
structured credit assets and cash-like instruments that seek to
provide higher yield without sacrificing credit quality.
The actively managed ETF is one of the first in the ultrashort
space that will have a sizable allocation to non-agency residential
mortgage-backed securities as well as asset-backed securities.
This, which drives a differentiated yield and higher credit quality
profile, provides ETF investors with a type of strategy that has
not existed in the wrapper to date.
“Angel Oak has been a leader in the structured credit investment
space for over a decade, and we are excited to bring our unique
approach to short-duration structured credit investing to the ETF
marketplace,” said Sreeni Prabhu, group CIO and managing partner at
Angel Oak Capital Advisors. “In recent history there has rarely
been an investment opportunity as strong as what we see in the
short-duration space to generate yield with the risk profile we are
targeting. We are thrilled to launch this ETF at a pivotal moment
for investors seeking such strategies.”
Since 2008, Angel Oak has served as a pioneer for investing in
structured credit assets, including non-agency residential
mortgage-backed securities, collateralized loan obligations and
consumer asset-backed securities. With more than $20 billion in
assets under management1 and an experienced portfolio management
team, Angel Oak believes its bottom-up approach to uncovering yield
in the short-duration space will drive institutional and retail
dollar flows alike.
To support Angel Oak’s advancement into the ETF industry, the
firm added Ward Bortz in June to serve as head of ETFs. Bortz
previously served as head of strategy for fixed-income factors at
Invesco US.
“Joining Angel Oak and spearheading the launch of the UltraShort
Income ETF was an enticing opportunity because of the firm’s
dedicated approach to structured credit assets and the chance to
bring a new product to market that we’ve heard investors ask for,”
said Bortz. “We look forward to the success of UYLD and growing
Angel Oak’s ETF offerings in the future.”
To learn more about the Fund and Angel Oak, please visit
angeloakcapital.com.
About Angel Oak Capital Advisors, LLC
Angel Oak is an investment management firm focused on providing
compelling fixed-income investment solutions to its clients. Backed
by a value-driven approach, Angel Oak seeks to deliver attractive,
risk-adjusted returns through a combination of stable current
income and price appreciation. Its experienced investment team
seeks the best opportunities in fixed income, with a specialization
in mortgage-backed securities and other areas of structured
credit.
1Estimated as of 9/30/22. Assets under management represents the
sum of assets managed or serviced, and committed but uncalled
capital.
Investors should carefully consider the investment objectives,
risks, charges and expenses of the Fund. This and other important
information about the Fund is contained in the Prospectus which can
be obtained by calling Shareholder Services or from
www.angeloakcapital.com. The Prospectus should be read carefully
before investing.
Investing involves risk; principal loss is possible.
Investments in debt securities typically decrease when interest
rates rise. This risk is usually greater for longer-term debt
securities. Investments in lower-rated and nonrated securities
present a greater risk of loss to principal and interest than
higher-rated securities do. Investments in asset-backed and
mortgage-backed securities include additional risks that investors
should be aware of, including credit risk, prepayment risk,
possible illiquidity, and default, as well as increased
susceptibility to adverse economic developments. Derivatives
involve risks different from—and in certain cases, greater than—the
risks presented by more traditional investments. Derivatives may
involve certain costs and risks such as illiquidity, interest rate,
market, credit, management, and the risk that a position could not
be closed when most advantageous. Investing in derivatives could
lead to losses that are greater than the amount invested. The Fund
may use leverage, which may exaggerate the effect of any increase
or decrease in the value of securities in the Fund’s portfolio or
higher and duplicative expenses when it invests in mutual funds,
ETFs, and other investment companies. For more information on these
risks and other risks of the Fund, please see the
Prospectus.
ETFs may trade at a premium or discount to NAV. Shares of any
ETF are bought and sold at market prices (not NAV) and are not
individually redeemed from the Fund. Brokerage commissions will
reduce returns. The Fund is an actively managed ETF, which is a
fund that trades like other publicly-traded securities. The Fund is
not an index fund and does not seek to replicate the performance of
a specified index.
The Angel Oak Funds are distributed by Quasar Distributors,
LLC.
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version on businesswire.com: https://www.businesswire.com/news/home/20221025005348/en/
Media: Trevor Davis, Gregory FCA for Angel Oak Capital Advisors
443-248-0359 trevor@gregoryfca.com Company: Randy Chrisman, Chief
Marketing & Corporate IR Officer, Angel Oak Capital Advisors
404-953-4969 randy.chrisman@angeloakcapital.com
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