Angel Oak Capital Advisors’ UltraShort Income ETF Surpasses $100M in Assets in One Year, Sets Stage for ETF Platform Growth in 2024
October 24 2023 - 9:43AM
Business Wire
The structured credit-focused investment shop
finds success in delivering distinct income solutions under the
exchange-traded fund wrapper, sub-advisory services
Angel Oak Capital Advisors LLC, an investment management firm
that specializes in value-driven structured credit, is proud to
announce that the Angel Oak UltraShort Income ETF (NYSE: UYLD) has
grown to more than $100 million in assets under management in less
than one year since its inception on Oct. 24, 2022. This important
milestone reflects Angel Oak’s success since launching its
exchange-traded fund platform one-year ago, which has grown to
approximately $300 million in assets under advisement across its
two funds and through its sub-advisory services.
Launched in October 2022, UYLD was the company’s initial entry
into the ETF market. Now accessible on more than 20 platforms,
including LPL Financial, Stifel Nicolaus, Rockefeller Capital
Management and Schwab, the Fund offers investors a distinct yield
profile through its investments, primarily in non-agency
residential mortgage-backed securities and consumer-based
asset-backed securities, while maintaining a duration below one
year. Angel Oak’s distinct approach aims to provide advisors with a
higher-yielding, short-duration ETF compared to conventional money
market strategies or other short-duration funds. The Fund has
outperformed cash-like investments and many of its peers,
delivering a 5.95% total return since its inception.1
“We’re pleased that our team’s approach and strategy have
delivered for our investors at the one-year mark,” said Ward Bortz,
ETF portfolio manager and head of distribution for public
strategies at Angel Oak. “We remain in a complex fixed-income
environment, but our approach to managing duration risk coupled
with the ability to find higher income without reducing credit
quality has resonated with investors across Angel Oak’s broad
platform, including our ETF solutions.”
In 2024, Angel Oak intends to grow its ETF platform
substantially, bringing new ETFs to market and opportunistically
serving as a sub-advisor to support asset managers bringing new and
innovative strategies to market. Alongside UYLD, Angel Oak also
offers the Angel Oak Income ETF (NYSE: CARY). These ETFs complement
Angel Oak’s group of public and private strategies, which include
hedge funds, closed-end funds, interval funds and mutual funds that
are predominantly focused on opportunities in non-agency RMBS and
structured credit more generally.
“Angel Oak has thrived by delivering a broad platform of
distinct investment strategies to both institutional investors and
advisors,” remarked Sreeni Prabhu, group chief investment officer
and managing partner at Angel Oak. “We believe that the
infrastructure we have built over the past ten years combined with
our investment prowess can help build a leading ETF platform
dedicated to delivering differentiated, structured credit-driven
solutions for advisors.”
To learn more about UYLD, click here.
About Angel Oak Capital Advisors
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.
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 at 855-751-4324 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.
_________________
1Since UYLD’s inception date of Oct. 24,
2022, the Bloomberg U.S. Treasury Bills Index has returned 4.42%
and the Morningstar Ultrashort Bond Category has returned 5.04% as
of Sept. 30.
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version on businesswire.com: https://www.businesswire.com/news/home/20231024187713/en/
Media: Trevor Davis, Gregory FCA for Angel Oak 443-248-0359
trevor@gregoryfca.com
Company: Randy Chrisman, Chief Marketing and Corporate Investor
Relations Officer, Angel Oak 404-953-4969
randy.chrisman@angeloakcapital.com
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