Macquarie Asset Management expands active US ETF platform with launch of large-cap growth ETF

Rhea-AI Summary

Macquarie Asset Management has launched the Macquarie Focused Large Growth ETF (LRGG), trading on NYSE Arca. Managed by Bradley Klapmeyer and Bradley Angermeier, LRGG aims to provide investors with a quality-first investment approach. This ETF joins three others launched in November 2023, expanding Macquarie's active ETF offerings.

LRGG uses both qualitative and quantitative analysis to identify companies with sustainable competitive advantages. The new ETF intends to meet the evolving needs of investors looking for diverse, high-quality investment options.

Macquarie Asset Management manages approximately $US612 billion in assets and offers a wide range of investment solutions across various markets.

Positive

• Launch of a new ETF increases product diversity.
• Managed by experienced team, Bradley Klapmeyer and Bradley Angermeier.
• Focus on quality-first investment approach may attract risk-averse investors.
• Qualitative and quantitative analysis aims for sustainable competitive advantages.
• Part of a broader strategy, complementing three ETFs launched in November 2023.
• Macquarie manages approximately $US612 billion in assets, indicating robust market presence.

Negative

• Investing in ETFs involves risks, including the possibility of losing all invested capital.
• Market risk and volatility can significantly impact fund performance.
• Growth stocks can exhibit dramatic price changes, adding to investment risk.
• Nondiversified nature of LRGG can lead to higher volatility compared to more diversified funds.

PHILADELPHIA--(BUSINESS WIRE)-- Macquarie Asset Management today announced the launch of the Macquarie Focused Large Growth ETF (LRGG), which began trading on the NYSE Arca today. The new offering is managed by the firm’s large-cap growth team, Bradley Klapmeyer and Bradley Angermeier, as they bring their quality-first investment philosophy to clients looking for more flexibility and choice in investment vehicles.

Macquarie Asset Management launched its first three active ETFs in November 2023 – the Macquarie Global Listed Infrastructure ETF (BILD), the Macquarie Energy Transition ETF (PWER) and the Macquarie Tax-Free USA Short Term ETF (STAX). The LRGG ETF will be the firm’s fourth ETF, complementing the existing strategies and expanding everyday access to active investments for investors.

“By adding LRGG to our platform, we’re excited to bring the expertise of our large-cap growth team and their capabilities to the ETF market,” said Anthony Caruso, Head of ETF Strategy, Macquarie Aset Management. “This ETF complements our existing BILD, PWER and STAX solutions, as we offer a diverse suite of solutions to meet the evolving needs of today’s investors.”

The managers’ concentrated portfolio is constructed using a two-sided quality analysis process that includes qualitative fundamental research complimented by quantitative quality analysis. Qualitative aspects focus on a research-driven, bottom-up approach to assess industry structure, competitive advantage, management strength and long-term potential. Quantitative analysis emphasizes the level and trajectory of key quality characteristics including returns on capital, asset efficiency, margins, cash flow, stability, and organic growth.

“Our philosophy and investment approach are rooted in the belief that quality-first investing, through a focused portfolio, is the best path to durable compounding results,” said Bradley Klapmeyer, senior portfolio manager, Macquarie Asset Management. “Our internal team of subject matter experts conduct rigorous fundamental research to identify companies we believe possess sustainable competitive advantages, the essential characteristic that enables persistent and superior levels of long-term profitability and growth.”

To learn more about Macquarie Asset Management’s global ETF platform, click here.

Disclosures

Investing in any exchange-traded fund involves the risk that you may lose part or all of the money you invest.

Carefully consider the Fund's investment objectives, risk factors, and charges and expenses before investing. This and other information can be found in the Fund's prospectus or the summary prospectus, which may be obtained by visiting the Macquarie ETF Trust resource pages or calling 844 469-9911. Read the prospectus carefully before investing.

The Macquarie ETF Trust Funds are distributed by Foreside Financial Services, LLC. Foreside Financial Services, LLC is not affiliated with any Macquarie entity, including Macquarie Asset Management and Delaware Distributors, L.P.

Investing in any exchange-traded fund involves the risk that you may lose part or all of the money you invest. Over time, the value of your investment in the Fund will increase and decrease according to changes in the value of the securities in the Fund’s portfolio. An investment in the Fund may not be appropriate for all investors. The Fund’s principal risks include but are not limited to the following:

Market risk is the risk that all or a majority of the securities in a certain market — like the stock market or bond market — will decline in value because of factors such as adverse political or economic conditions, future expectations, investor confidence, or heavy institutional selling.

Growth stocks reflect projections of future earnings and revenue. These prices may rise or fall dramatically depending on whether those projections are met. These companies’ stock prices may be more volatile, particularly over the short term.

Governments or regulatory authorities may take actions that could adversely affect various sectors of the securities markets and affect fund performance.

Large-capitalization companies tend to be less volatile than companies with smaller market capitalizations. This potentially lower risk means that the Fund's share price may not rise as much as the share prices of funds that focus on smaller capitalization companies.

The possibility that a single security’s increase or decrease in value may have a greater impact on a fund’s value and total return because the fund may hold larger positions in fewer securities than other funds. In addition, a fund that holds a limited number of securities may be more volatile than those funds that hold a greater number of securities.

A nondiversified fund has the flexibility to invest as much as 50% of its assets in as few as two issuers with no single issuer accounting for more than 25% of the fund. The remaining 50% of its assets must be diversified so that no more than 5% of its assets are invested in the securities of a single issuer. Because a nondiversified fund may invest its assets in fewer issuers, the value of its shares may increase or decrease more rapidly than if it were fully diversified.

Nothing presented should be construed as a recommendation to purchase or sell any security or follow any investment technique or strategy.

All third-party marks cited are the property of their respective owners.

Not FDIC Insured • No Bank Guarantee • May Lose Value

Macquarie Asset Management (MAM) is the asset management division of Macquarie Group. MAM is an integrated asset manager across public and private markets offering a diverse range of capabilities, including real assets, real estate, credit, equities and multi-asset solutions. The public markets businesses of MAM include investment products and advisory services distributed and offered by and referred through affiliates which include Delaware Distributors, L.P., a registered broker/dealer and member of the Financial Industry Regulatory Authority (FINRA), and Macquarie Investment Management Business Trust (MIMBT), a Securities and Exchange Commission (SEC)-registered investment advisor. Investment advisory services are provided by a series of MIMBT. Macquarie Group refers to Macquarie Group Limited and its subsidiaries and affiliates worldwide. Delaware Funds by Macquarie refers to certain investment solutions that MAM distributes, offers, refers, or advises.

Other than Macquarie Bank Limited ABN 46 008 583 542 (“Macquarie Bank”), any Macquarie Group entity noted in this document is not an authorized deposit-taking institution for the purposes of the Banking Act 1959 (Commonwealth of Australia). The obligations of these other Macquarie Group entities do not represent deposits or other liabilities of Macquarie Bank. Macquarie Bank does not guarantee or otherwise provide assurance in respect of the obligations of these other Macquarie Group entities. In addition, if this document relates to an investment, (a) the investor is subject to investment risk including possible delays in repayment and loss of income and principal invested and (b) none of Macquarie Bank or any other Macquarie Group entity guarantees any particular rate of return on or the performance of the investment, nor do they guarantee repayment of capital in respect of the investment.

© 2024 Macquarie Management Holdings, Inc.

[3575478] 05/2024 | MET-545085

About Macquarie Asset Management

Macquarie Asset Management is a global asset manager, integrated across public and private markets. Trusted by institutions, governments, foundations and individuals to manage approximately $US612 billion in assets, we provide a diverse range of investment solutions including real assets, real estate, credit and equities & multi-asset.

Macquarie Asset Management is part of Macquarie Group, a diversified financial group providing clients with asset management, finance, banking, advisory, and risk and capital solutions across debt, equity and commodities. Founded in 1969, Macquarie Group employs approximately 20,600 in 34 markets and is listed on the Australian Securities Exchange.

All figures as at 31 March 2024. For more information, please visit Macquarie.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240515212719/en/

Media inquiries

Lucy MacNichol

Macquarie Asset Management

PH: +1-267-809-2771

E: lucy.macnichol@macquarie.com

Source: Macquarie Asset Management

FAQ

What is the ticker symbol for Macquarie's new large-cap growth ETF?

The ticker symbol for Macquarie's new large-cap growth ETF is LRGG.

When did Macquarie Asset Management launch the LRGG ETF?

Macquarie Asset Management launched the LRGG ETF in May 2024.

Who manages the Macquarie Focused Large Growth ETF (LRGG)?

The Macquarie Focused Large Growth ETF (LRGG) is managed by Bradley Klapmeyer and Bradley Angermeier.

What is the investment approach of the LRGG ETF?

The LRGG ETF employs a quality-first investment approach, using both qualitative and quantitative analysis to identify companies with sustainable competitive advantages.

How does Macquarie's new ETF, LRGG, complement its existing offerings?

The LRGG ETF complements Macquarie's existing offerings by expanding the firm’s active ETF platform, providing more diverse and flexible investment options.