Virtus Newfleet Dynamic Credit ETF
The Fund seeks high current income and capital appreciation, and may provide a rising interest rate hedge. It offers a way to outsource the complexity of allocating between two rapidly converging non-investment-grade credit sectors: high yield corporate bonds and floating rate bank loans.
Newfleet Asset Management, LLC
Newfleet Asset Management leverages the knowledge and skill of a team of investment professionals with expertise in every sector of the bond market, including evolving, specialized, and out-of-favor sectors. The team employs active sector rotation and disciplined risk management to portfolio construction.
Learn more about Newfleet Asset Management, LLC
David L. Albrycht, CFA
President and Chief Investment Officer
Industry start date: 1985
Start date as fund Portfolio Manager: 2016
David Albrycht is president and chief investment officer of Newfleet Asset Management, an investment management affiliate of Virtus Investment Partners. Prior to joining Newfleet in 2011, Mr. Albrycht was executive managing director and senior portfolio manager with Goodwin Capital Advisers, a former Virtus investment management subsidiary. He joined the Goodwin multi-sector fixed income team in 1985 as a credit analyst and has managed fixed income portfolios since 1991.
Mr. Albrycht is portfolio manager of the Virtus Newfleet Multi-Sector Short Term Bond Fund since 1993 and Virtus Newfleet Multi-Sector Intermediate Bond Fund since 1994. He is co-manager of the Virtus Newfleet Senior Floating Rate Fund since 2008, Virtus Tactical Allocation Fund and Virtus Newfleet High Yield Fund since 2011; Virtus Newfleet Core Plus Bond Fund, and Virtus Newfleet Low Duration Core Plus Bond since 2012. In addition, he co-manages two variable investment options and three closed-end funds, Virtus Total Return Fund Inc. (NYSE: ZF), Virtus Global Multi-Sector Income Fund (NYSE: VGI), and Virtus Global Dividend & Income Fund Inc. (NYSE: ZTR). He also is a manager of three exchange-traded funds, AdvisorShares Newfleet Multi-Sector Income ETF (NYSE: MINC), Virtus Newfleet Multi-Sector Bond ETF (NFLT), and Virtus Newfleet Dynamic Credit ETF (BLHY), and two offshore funds, the Virtus GF Multi-Sector Short Duration Bond Fund and Virtus GF Multi-Sector Income Fund. He is also responsible for the structuring and management of Newfleet’s CLO platform.
In Barron’s “Best Fund Families of 2016” annual rankings published in 2017, Virtus Investment Partners was ranked the #2 Taxable Bond Fund Family, and held the #1 position in 2012 and 2010, due in large part to the expert management of the firm’s multi-sector fixed income funds by Mr. Albrycht and the Newfleet team.1 The Virtus Newfleet Multi-Sector Short Term Bond Fund, managed by Mr. Albrycht, received the 2018 Lipper Fund Award for best Short-Intermediate Investment-Grade Debt Fund over ten years.2 Recognized in the industry as a leading multi-sector fixed income strategist, Mr. Albrycht has appeared on CNBC and Bloomberg Television, and been quoted or featured in Barron’s, The Wall Street Journal, Business Week, Dow Jones, and InvestmentNews.
While at Goodwin Capital, Mr. Albrycht also served as director of credit research. In addition, he managed the Phoenix MISTIC CDO, a $1 billion multi-sector collateralized debt obligation, where he was responsible for credit analysis and deal structure.
Mr. Albrycht earned a B.A., cum laude, from Central Connecticut State University and an M.B.A., with honors, from the University of Connecticut. He is a Chartered Financial Analyst® (CFA®) charterholder. He began his career in the investment industry in 1985.
1Barron's Best Mutual Fund Families Annual Rankings: Within the taxable bond category for 2016 (published February 11, 2017), 2012 (published February 11, 2013), and 2010 (published February 7, 2011), Virtus Investment Partners ranked 2 out of 61, 1 out of 62, and 1 out of 57 qualifying fund families for the 1-year period ended 12/31/16, 12/31/12, and 12/31/10, respectively. Barron’s annual fund family rankings are based on asset-weighted returns (excluding 12b-1 fees and sales charges) in five fund categories: U.S. equity, world equity, mixed asset, taxable bond, and tax-exempt bond, as calculated by Lipper. Each fund’s performance is measured against all other funds in its Lipper category, resulting in a percentile ranking which is weighted by asset size relative to the fund family’s other assets in its general classification.
Barron’s is a registered trademark of Dow Jones & Company; all rights reserved.
2Lipper Fund Awards: The Lipper Fund Awards from Refinitiv, granted annually, highlight funds and fund companies that have excelled in delivering consistently strong risk-adjusted performance relative to their peers. The awards are based on the Lipper Leader for Consistent Return rating, a risk-adjusted performance measure calculated over 36, 60 and 120 months. The fund with the highest Lipper Leader for Consistent Return (Effective Return) value in each eligible classification wins the Lipper Fund Award. Virtus Newfleet Multi-Sector Short Term Bond Fund (I: PIMSX) had the highest Effective Return value in its Lipper classification, Short-Intermediate Investment-Grade Debt Funds, out of 32 funds, based on total return for the 10-year period as of 11/30/18. Rankings do not include the effect of a fund’s sales load, if applicable. Ranking is for Class I shares only, other classes may have different performance characteristics.
Lipper, Inc. is a nationally recognized organization that ranks the performance of mutual funds.
Past performance is no guarantee of future results. Strong ratings may not be indicative of positive fund performance. Performance for some funds may be negative.
Virtus Newfleet ETFs: Please consider the Fund’s objectives, risks, charges, and expenses before investing. Contact us at 1-800-243-4361 or visit Newfleet.com for a prospectus, which contains this and other information about the Fund. Read the prospectus carefully before investing.
Virtus Newfleet ETFs distributed by ETF Distributors LLC, an affiliate of Virtus ETF Advisers LLC.
Senior Managing Director, Senior Portfolio Manager, and Bank Loan Sector Head
Industry start date: 1996
Start date as fund Portfolio Manager: 2016
Frank Ossino is senior managing director, senior portfolio manager, and sector head of the bank loan asset class at Newfleet Asset Management, an investment management affiliate of Virtus Investment Partners. Mr. Ossino serves as co-portfolio manager of the Virtus Newfleet Senior Floating Rate Fund, Virtus Newfleet High Yield Fund, and Virtus Newfleet Dynamic Credit ETF (BLHY), as well as a number of other subadvised portfolios in leveraged finance including Newfleet’s collateralized loan business. Additionally, Mr. Ossino is responsible for the structuring and management of Newfleet’s CLO platform.
From 2004 to 2011, Mr. Ossino was a portfolio manager at Hartford Investment Management Company and in 2012, he managed mutual funds focused on bank loans and a commingled bank loan portfolio for institutional investors at Hartford Funds’ subadviser Wellington Management. Previously, he held a variety of credit analyst and portfolio management positions at CIGNA, HVB Bank, and FleetBoston Financial.
Mr. Ossino earned his M.S. in international economics and finance from Brandeis University and Luigi Bocconi University in Milan, Italy and a B.S. in economics, cum laude, from Brandeis University. He began his career in the investment industry in 1996.
William Eastwood, CFA
Senior Managing Director, Portfolio Manager, and Head of Trading
Industry start date: 1996
Start date as fund Portfolio Manager: 2019
Bill Eastwood is a senior managing director, portfolio manager, and head of trading at Newfleet Asset Management, an investment management affiliate of Virtus Investment Partners. Mr. Eastwood’s trading responsibilities are primarily for leveraged finance. In addition, he serves as co-portfolio manager of the Virtus Newfleet High Yield Fund and Virtus Newfleet Dynamic Credit ETF (NYSE: BLHY).
Mr. Eastwood joined Newfleet in 2011 as a senior fixed income trader. Prior to joining Newfleet, he served as a senior fixed income trader at several firms, including Neuberger Berman, PPM America, and Phoenix Investment Counsel.
Mr. Eastwood earned a B.S. in finance from Post University, and an M.B.A. from the University of Hartford. He is a CFA® (Chartered Financial Analyst®) charterholder. He began his career in the investment industry in 1995.
Eric Hess, CFA
Managing Director, Portfolio Manager, and High Yield Sector Head
Industry start date: 2006
Start date as fund Portfolio Manager: 2019
Eric Hess is a managing director, portfolio manager, and sector head of high yield credit at Newfleet Asset Management, an investment management affiliate of Virtus Investment Partners. He is also responsible for credit research of the energy sector. In addition, he serves as co-portfolio manager of the Virtus Newfleet High Yield Fund and Virtus Newfleet Dynamic Credit ETF (NYSE: BLHY).
Prior to joining Newfleet in 2011, Mr. Hess served on the fixed income team at Goodwin Capital Advisers, a former Virtus investment management subsidiary. He joined Goodwin Capital’s corporate credit research group in 2010. Previously, he was a credit analyst for The Travelers Companies.
Mr. Hess earned a B.B.A. in finance from the University of Notre Dame. He is a Chartered Financial Analyst® (CFA®) charterholder. Mr. Hess began his career in the investment industry in 2006.
Combines two compelling non-investment-grade bond segments with historically low correlations to core fixed income into one portfolio
Top-down analysis determines sector allocations and industry positioning, with the ability to invest up to 100% in U.S. Treasuries when market conditions warrant
Security selection driven by bottom-up analysis of individual bond quality, credit risk, valuation, company management, structure, and technical elements
Positions & Distributions
Top Issuers (% Fund)
|TREASURY BILL 11/14/2019||
|TREASURY BILL 02/27/2020||
|SITEONE LANDSCAPE SUPPLY HO 4.835 10/29/2024||
|APPLIED SYSTEMS INC 5.085 09/19/2024||
|VERTAFORE INC 5.335 07/02/2025||
|EVERI PAYMENTS INC 5.085 05/09/2024||
|UFC HOLDINGS LLC 5.335 04/29/2026||
|GVC HOLDINGS PLC 4.457 03/16/2024||
|NVA HOLDINGS 4.835 02/02/2025||
|SURGERY CENTER HOLDINGS INC 5.335 08/31/2024||
Does not include cash/cash equivalents.
|Ex-Date||Record Date||Payable Date||Dividend Income||ST Capital Gains||LT Capital Gains||Distribution Total|
Performance & Risk
|1 Month||3 Month||YTD||1 Year||3 Years||5 Years||10 Years||Since Inception|
Performance data quoted represents past results. Past performance is no guarantee of future results and current performance may be higher or lower than the performance shown. Investment return and principal value will fluctuate, so your shares, when redeemed, may be worth more or less than their original cost.
Sales Charge and Expenses
Fees & Expenses
|Total Expense Ratio (Gross)||0.80|
|Total Expense Ratio (Net)||0.68|
|30-day SEC Yield||4.85|
|30-day SEC Yield (unsubsidized)||3.18|
|Distribution Rate (as of 10/14/2019)||4.40|
|Number of Days Fund has Traded at a:|
|Period||Less than -2%||-1.51% to -2.00%||-1.01% to -1.50%||-0.51% to -1.00%||-0.01% to -0.50%||0.00% to 0.50%||0.51% to 1.00%||1.01% to 1.50%||1.51% to 2.00%||Greater than 2%|
|2017-Q4: 10/2/2017 through 12/29/2017||0||0||0||4||53||6||0||0||0||0|
|2018-Q1: 1/2/2018 through 3/29/2018||0||0||0||17||41||3||0||0||0||0|
|2018-Q2: 4/2/2018 through 6/29/2018||0||0||6||20||30||8||0||0||0||0|
|2018-Q3: 7/2/2018 through 9/28/2018||0||0||0||6||57||0||0||0||0||0|
|2018-Q4: 10/1/2018 through 12/31/2018||0||4||6||28||23||2||0||0||0||0|
|2019-Q1: 1/2/2019 through 3/29/2019||1||0||1||32||24||3||0||0||0||0|
|2019-Q2: 4/1/2019 through 6/28/2019||0||0||1||27||35||0||0||0||0||0|
|2019-Q3: 7/1/2019 through 9/30/2019||0||0||0||25||38||1||0||0||0||0|
Documents & Resources
Please consider the investment objectives, risks, charges and expenses of the Fund carefully before investing. The prospectus contains this and other information about the Fund. Contact us at 1-888-383-0553 or visit www.virtus.com for a copy of the Fund's prospectus. Read the prospectus carefully before you invest or send money.
The Fund is an actively managed exchange-traded fund (“ETF”) and does not seek to replicate the performance of a specified index. The Fund may have a higher portfolio turnover than funds that seek to replicate the performance of an index.
Performance data quoted represents past results. Past performance is no guarantee of future results and current performance may be higher or lower than the performance shown. Investment return and principal value will fluctuate so your shares, when redeemed, may be worth more or less than their original cost.
Closing Price: The Closing Price is the price of the last reported trade on the fund's primary exchange. If there has been no reported trade for a particular date, the Closing Price represents the 4PM Bid/Offer Midpoint.
4PM Bid/Offer Midpoint: The midpoint between the highest bid and the lowest offer on the listing exchange, as of the time that the Fund's NAV is calculated (usually 4:00pm Eastern Time).
Premium/Discount: The amount the Fund is trading above or below the reported NAV (based on 4PM Bid/Offer Midpoint).
The Fund is an exchange-traded fund (“ETF”). The “net asset value” (NAV) of the Fund is determined at the close of each business day, and represents the dollar value of one share of the Fund; it is calculated by taking the total assets of the Fund, subtracting total liabilities, and dividing by the total number of shares outstanding. The NAV of the Fund is not necessarily the same as its intraday trading value. Fund investors should not expect to buy or sell shares at NAV because shares of ETFs such as the Fund are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Thus, shares may trade at a premium or discount to their NAV in the secondary market. Brokerage commissions will reduce returns.
NAV returns are calculated using the Fund’s daily 4:00 p.m. NAV, and include the reinvestment of all dividends and other distributions (reinvested at the Fund's NAV on distribution ex-date). Market price returns are calculated using the 4:00 pm midpoint between the bid and offer, and include the reinvestment of all dividends and other distributions (reinvested at the 4:00pm bid/offer midpoint on distribution ex-date). Market price returns do not represent the return you would receive if you traded at other times.
30-day SEC Yield is a standardized yield calculated according to a formula set by the SEC, and is subject to change.
30-day SEC Yield (unsubsidized) is the 30-day SEC Yield without the effect of applicable expense waivers.
Distribution Rate is the annual rate that an investor would receive if the most recent distribution remained the same going forward. The rate represents a single distribution from the Fund and does not represent total return of the Fund. The distribution rate is calculated by annualizing the most recent distribution and dividing it by the most recent NAV.
Returns for periods of less than one year are cumulative total returns.
Not insured by FDIC/NCUSIF or any federal government agency. No bank guarantee. Not a deposit. May lose value.
Distributed by ETF Distributors LLC