INDIANAPOLIS, April 12, 2022 /PRNewswire/ -- Innovative Portfolios, LLC is promoting its two newly-launched exchange-traded funds (ETFs), the Dividend Performers ETF (IPDP) and Preferred-Plus ETF (IPPP) at EXCHANGE: An ETF EXPERIENCE—the 2022 conference in Miami Beach, Florida. One of the most recent examples of mutual funds converting to ETFs, IPDP and IPPP listed on the Cboe BZX Exchange on March 7, 2022.
Dave Gilreath, Managing Director and Chief Investment Officer of Innovative Portfolios, admits the firm is eager to promote its newly-converted funds at the ETF conference April 11-14. "We're proud of their 3-year track records as mutual funds and are excited about their conversion to ETFs. We believe they offer more transparency, tax efficiency, and lower fees as ETFs for investors who are seeking greater income generation."
Managing Director and Chief Financial Officer Ron Brock adds, "Active management and our focus on income—through dividends and option overlays—should be big differentiators for these two new ETFs. And their conversion from mutual funds means they are more readily accessible to investors."
The Dividend Performers ETF (IPDP) invests in primarily large-capitalization common stocks of dividend-paying U.S. companies, with an option overlay that seeks to enhance overall distributions to shareholders. Dividend Performers ranked 1st out of 11 funds in Morningstar's category of U.S. Derivative Income and 1st out of 8 funds in the same category, based on NAV total return for the one- and three-year periods, respectively, ending 3/31/22.
The Preferred-Plus ETF (IPPP) invests in U.S. preferred stocks with the goal of offering dividend income. The strategy also includes an option overlay feature in an effort to provide incremental income to investors. Preferred-Plus ranked 2nd out of 19 funds and 2nd out of 15 funds in Morningstar's U.S. Preferred Stock category for the one- and three-year periods, respectively, ending 3/31/22, based on NAV total return.
Innovative Portfolios is an institutional-level money management firm backed by the knowledge and resources of an experienced team. By employing option-based overlay portfolio strategies and diversified underlying portfolios, Innovative Portfolios makes this type of strategy available to retail investors.
Cboe BZX Exchange is a premier marketplace for exchange-traded products (ETPs) globally, and the fastest-growing ETP exchange with more than 600 ETPs listed from over 60 issuers around the world.
About Innovative Portfolios, LLC:
Based in Indianapolis, Indiana, Innovative Portfolios provides strategic investment solutions to RIAs and institutional clients, with sales team members located throughout the United States. Innovative Portfolios Principal Dave Gilreath is a contributor of investment commentary to CNBC.com, FA Financial Advisor, Fox Business, and TD Ameritrade Network. Visit innovativeportfolios.com for more information.
DISCLOSURES
Innovative Portfolios, LLC is investment advisor to Preferred-Plus ETF and Dividend Performers ETF.
Carefully consider the Fund's investment objective, risk factors, charges and expenses before investing. This and additional information can be found in the Preferred-Plus ETF and Dividend Performers ETF prospectus, which can be obtained by calling 800 617-0004 or by visiting Innovativeportfolios.com. Please read the prospectus carefully before investing.
The performance data quoted represents past performance; past performance does not guarantee future results. Prior to March 7, 2022, listing date, the ETFs operated as a mutual funds.
Investing in the Funds involves risk. The Funds may invest in options. All investment strategies carry risk, and transactions in options may carry a high degree of risk. Investors should carefully consider a Fund's risks and investment objectives as an investment in a Fund may not be appropriate for all investors and is not designed to be a complete investment program.
Derivative Securities Risk: The Fund invests in options that derive their performance from the performance of the S&P 500 Index. Derivatives, such as the options in which the Fund invests, can be volatile and involve various types and degrees of risks, depending upon the characteristics of a particular derivative. Derivatives may entail investment exposures that are greater than their cost would suggest, meaning that a small investment in a derivative could have a substantial impact on the performance of the Fund. The Fund could experience a loss if its derivatives do not perform as anticipated, or are not correlated with the performance of their underlying asset or if the Fund is unable to purchase or liquidate a position because of an illiquid secondary market. The market for many derivatives is, or suddenly can become, illiquid. Changes in liquidity may result in significant, rapid, and unpredictable changes in the prices for derivatives
Dividend-Paying Security Risk: Securities that pay high dividends as a group can fall out of favor with the market, causing these companies to underperform companies that do not pay high dividends. Also, companies owned by the Fund that have historically paid a dividend may reduce or discontinue their dividends, thus reducing the yield of the Fund.
REIT Risk: Investment in real estate companies, including REITs, exposes the Fund to the risks of owning real estate directly. Real estate is highly sensitive to general and local economic conditions and developments.
Preferred Security Risk: Preferred securities generally are subordinated to bonds and other debt instruments in a company's capital structure and therefore will be subject to greater credit risk than those debt instruments. In addition, but not limited to, preferred securities are subject to other risks, such as being called by the issuer before its stated maturity, subject to special redemption rights, having distributions deferred or skipped, rising interest rates causing the value to decline, having floating interest rates or dividends, and having limited liquidity. Preferred securities that do not have a maturity date are perpetual investments.
©2022 Morningstar, Inc. All rights reserved. The information contained herein: (1) is proprietary to Morningstar and/or its content providers; (2) may not be copied or distributed; and (3) is not warranted to be accurate, complete, or timely. Neither Morningstar nor its content providers are responsible for any damages or losses arising from any use of this information. Past performance is no guarantee of future results.
Dividend Performers and Preferred-Plus ETFs are distributed by Foreside Fund Services, LLC.
SOURCE Innovative Portfolios
