AZTLAN Equity Management Launches AZTLAN Global Stock Selection DM SMID ETF, Tracking Solactive Index
Solactive is pleased to announce its first engagement with AZTLAN Equity Management, LLC (AZTLAN), an independent investment management firm specializing in global small and mid-cap (SMID) equity strategies. In partnership with Tidal ETF Services, LLC (Tidal), AZTLAN launches the AZTLAN Global Stock Selection DM SMID ETF. It seeks to track the performance of the Solactive Aztlan Global Developed Markets SMID Cap Index, which uses a factor-based approach.
The Solactive Aztlan Global Developed Markets SMID Cap Index is a representation of securities from the developed markets’ small and mid-cap segments, selected based on a combination of equity risk factors.
The starting universe of the index is composed of securities from three developed markets (North America, Western Europe, and Asia) and nine sectors (Materials, Industrials, Consumer Discretionary, Consumer Staples, Health Care (excluding pharmaceutical industry or sub-sector), Financials, Information Technology, Communication Services, and Utilities). It then equally weights six factors (value, cash flow, capital structure, growth, earning per share (“EPS”) revisions, and price momentum), resulting in a portfolio of 27 securities of the top-ranked companies within each of the three regions and nine sectors noted above.
The ETF listed on the New York Stock Exchange (NYSE) under the ticker AZTD.
Timo Pfeiffer, Chief Markets Officer of Solactive, comments: “Multifactor-based investment offers exposure to stocks with different features. It has been recently gaining attention from investors as a way of diversifying their portfolio in volatile times. We are very grateful for AZTLAN Equity Management’s trust in our services, and we cannot wait to provide them with more indices for future products going forward.”
Alejandro Garza, AZTLAN’s Founder and Portfolio Manager, comments: “Given the wide range of broad-based products available to investors, we found it timely to launch an Exchange Traded Fund that is highly concentrated and focused on fundamentals. We believe investors are in need of differentiated products and AZTLAN prides itself on its deep knowledge and experience in the SMID cap space.”