NASHVILLE, Tenn., March 22, 2023 /PRNewswire/ — AllianceBernstein Holding L.P. (NYSE: AB) and AllianceBernstein L.P., a leading global investment management and research firm, announced today the launch of three new active exchange-traded funds (ETFs) on the New York Stock Exchange (NYSE): the AB US Low Volatility Equity ETF [NYSE: LOWV], the AB US High Dividend ETF [NYSE: HIDV] and the AB Disruptors ETF [NYSE: FWD]. Global liquidity provider Citadel Securities will be the Lead Market Maker on these products, bringing extensive industry experience and pricing expertise to AB’s ETF suite.
“Drawing upon the success of our inaugural ETFs launched in 2022, this new suite of Equity ETFs demonstrates our commitment to delivering best-in-class investment strategies in adaptable and accessible vehicles for all investors,” said Global Head of ETFs and Portfolio Solutions Noel Archard. “Our clients look to us for unique capital market insights across market cycles, and to introduce products that allow them to best manage their portfolios across evergreen investment themes like growth or income generation.”
AB’s new active ETFs include:
- [NYSE: LOWV]: The AB US Low Volatility Equity ETF is an actively managed ETF whose objective is capital appreciation with an emphasis on lower volatility compared to the broader US equity market.
- [NYSE: HIDV]: The AB US High Dividend ETF is an actively managed ETF that seeks to provide current income as well as long-term growth of capital. In pursuing the fund’s objective, AB utilizes a systematic approach to identify attractive US companies that pay dividends and have the potential for long-term capital generation. The fund may also invest in non-dividend paying companies.
- [NYSE: FWD]: The AB Disruptors ETF is an actively managed ETF that seeks long-term growth of capital by investing in a global portfolio of equity securities. In pursuing the fund’s objective, AB seeks to invest in “disruptive” innovation leaders. The fund may invest in any sector or industry.
“AB and Bernstein Private Wealth Management are focused on providing differentiated investment capabilities and wealth planning services to help clients manage their portfolios across market cycles,” said Onur Erzan Head of Global Client Group and Private Wealth at AllianceBernstein. “The launch of these new ETFs, led by our veteran investment teams, furthers our commitment to customizing investment solutions for different clients and their varying needs.”
For more information and to learn more about these ETFs, visit www.alliancebernstein.com/go/etfs.
AllianceBernstein is a leading global investment management firm that offers high-quality research and diversified investment services to institutional investors, individuals, and private wealth clients in major world markets. As of February 28, 2023, AllianceBernstein had $665 billion in assets under management. Additional information about AB may be found on our website, www.alliancebernstein.com.
Investing in securities involves risk and there is no guarantee of principal.
Investors should consider the investment objectives, risks, charges, and expenses of the Fund/Portfolio carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit us online at www.alliancebernstein.com or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.
Shares of the ETF may be bought or sold throughout the day at their market price on the exchange on which they are listed. The market price of an ETF’s shares may be at, above or below the ETF’s net asset value (“NAV”) and will fluctuate with changes in the NAV as well as supply and demand in the market for the shares. Shares of the ETF may only be redeemed directly with the ETF at NAV by Authorized Participants, in very large creation units. There can be no guarantee that an active trading market for the Fund’s shares will develop or be maintained, or that their listing will continue or remain unchanged. Buying or selling the Fund’s shares on an exchange may require the payment of brokerage commissions and frequent trading may incur brokerage costs that detract significantly from investment returns.
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Active Trading Risk: The Fund expects to engage in active and frequent trading, which will increase the portfolio turnover rate. A higher portfolio turnover increases transaction costs and may negatively affect the Fund’s return. Capitalization Risk: Investments in small- and mid-capitalization companies may be more volatile than investments in large capitalization companies. Investments in small- and mid-capitalization companies may have additional risks because these companies have limited product lines, markets or financial resources. Currency Risk: Fluctuations in currency exchange rates may negatively affect the value of the Fund’s investments or reduce its returns. Depositary Receipts Risk: Investing in depositary receipts involves risks that are similar to the risks of direct investments in foreign securities. Derivatives Risk: Derivatives may be difficult to price or unwind and may be leveraged so that small changes may produce disproportionate losses for the Fund. Dividend Paying Securities Risk: The Fund invests in securities that pay dividends. There can be no assurance that dividends will be declared or paid on securities held by the Fund in the future, or that dividends will remain at current levels or increase. Emerging Market Risk: Investments in emerging market countries may have more risk because the markets are less developed and less liquid as well as being subject to increased economic, political, regulatory, or other uncertainties. Equity Securities Risk: The Fund invests in publicly traded equity securities, and their value may fluctuate, sometimes rapidly and unpredictably, which means a security may be worth more or less than when it was purchased. Foreign (Non-U.S.) Investments Risk: Investments in securities of non-U.S. issuers may involve more risk than those of U.S. issuers. These securities may fluctuate more widely in price and may be more difficult to trade than domestic securities due to adverse market, economic, political, regulatory, or other factors. Global Risk: The Fund invests in companies in multiple countries. These companies may experience differing outcomes with respect to safety and security, economic uncertainties, natural and environmental conditions, health conditions, and/or systemic market dislocations. The global interconnectivity of industries and companies, especially with respect to goods, can be negatively impacted by events occurring beyond a company’s principal geographic location, which can contribute to volatility, valuation, and liquidity issues. New Fund Risk: The Fund is a recently organized, giving prospective investors a limited track record on which to base their investment decision. Non-Diversification Risk: The Fund may have more risk because it is “non-diversified”, meaning that it can invest more of its assets in a smaller number of issuers. Accordingly, changes in the value of a single security may have a more significant effect, either negative or positive, on the Fund’s net asset value. Quantitative Model Risk: AB uses a quantitative model to identify investment opportunities for the Fund. There is a risk that market behavior will change and the patterns upon which the models are based will weaken or disappear which would reduce the ability of the models to generate an excess return. Sector Risk: The Fund may have more risk because it may invest to a significant extent in one or more particular market sectors, such as the information technology sector. To the extent it does so, market or economic factors affecting the relevant sector(s) could have a major effect on the value of the Fund’s investments.
AllianceBernstein L.P. (AB) is the investment adviser for the Fund.
Distributed by Foreside Fund Services, LLC. Foreside is not related to AB or Citadel Securities.