Parnassus Investments Debuts Active ETFs
Parnassus Investments launched its first two active ETFs: the Parnassus Core Select ETF (NYSE: PRCS) and the Parnassus Value Select ETF (NYSE: PRVS). Both ETFs will maintain concentrated portfolios of approximately 25 U.S. large-cap stocks, compared to typical 40-stock portfolios. PRCS focuses on high-quality stocks positioned for long-term growth, while PRVS targets undervalued stocks poised for recovery.
The ETFs offer investors benefits including selective exposure to sustainable businesses, intraday trading flexibility, enhanced tax efficiency, and daily transparency of holdings. PRCS will be managed by Todd Ahlsten, Benjamin Allen, and Andrew Choi, while PRVS will be managed by Billy Hwan and Krishna Chintalapalli.
Parnassus Investments ha lanciato i suoi primi due ETF attivi: il Parnassus Core Select ETF (NYSE: PRCS) e il Parnassus Value Select ETF (NYSE: PRVS). Entrambi gli ETF manterranno portafogli concentrati di circa 25 azioni statunitensi a grande capitalizzazione, rispetto ai tipici portafogli di 40 azioni. PRCS si concentra su azioni di alta qualità posizionate per la crescita a lungo termine, mentre PRVS mira a titoli sottovalutati pronti per una ripresa.
Gli ETF offrono agli investitori vantaggi tra cui esposizione selettiva a imprese sostenibili, flessibilità nel trading intraday, maggiore efficienza fiscale e trasparenza quotidiana delle partecipazioni. PRCS sarà gestito da Todd Ahlsten, Benjamin Allen e Andrew Choi, mentre PRVS sarà gestito da Billy Hwan e Krishna Chintalapalli.
Parnassus Investments lanzó sus primeros dos ETF activos: el Parnassus Core Select ETF (NYSE: PRCS) y el Parnassus Value Select ETF (NYSE: PRVS). Ambos ETF tendrán carteras concentradas de aproximadamente 25 acciones de gran capitalización en EE. UU., en comparación con las típicas carteras de 40 acciones. PRCS se enfoca en acciones de alta calidad con potencial de crecimiento a largo plazo, mientras que PRVS apunta a acciones infravaloradas con posibilidades de recuperación.
Los ETF ofrecen a los inversores beneficios como una exposición selectiva a negocios sostenibles, flexibilidad en el trading intradía, mayor eficiencia fiscal y transparencia diaria de las participaciones. PRCS será gestionado por Todd Ahlsten, Benjamin Allen y Andrew Choi, mientras que PRVS será gestionado por Billy Hwan y Krishna Chintalapalli.
파르나수스 투자가 첫 두 개의 능동형 ETF인 파르나수스 코어 셀렉트 ETF (NYSE: PRCS)와 파르나수스 밸류 셀렉트 ETF (NYSE: PRVS)를 출시했습니다. 두 ETF 모두 전형적인 40종목 포트폴리오에 비해 약 25개의 미국 대형주로 구성된 집중 포트폴리오를 유지할 것입니다. PRCS는 장기 성장 가능성이 있는 고품질 주식에 집중하고, PRVS는 회복 가능성이 있는 저평가된 주식을 목표로 합니다.
이 ETF들은 투자자에게 지속 가능한 사업에 대한 선택적 접근, 하루 거래의 유연성, 향상된 세금 효율성, 보유 자산의 일일 투명성을 제공합니다. PRCS는 Todd Ahlsten, Benjamin Allen, Andrew Choi가 관리하며, PRVS는 Billy Hwan과 Krishna Chintalapalli가 관리합니다.
Parnassus Investments a lancé ses deux premiers ETF actifs : le Parnassus Core Select ETF (NYSE: PRCS) et le Parnassus Value Select ETF (NYSE: PRVS). Les deux ETF maintiendront des portefeuilles concentrés d'environ 25 actions américaines à grande capitalisation, par rapport aux portefeuilles typiques de 40 actions. PRCS se concentre sur des actions de haute qualité positionnées pour une croissance à long terme, tandis que PRVS cible des actions sous-évaluées susceptibles de reprendre de la valeur.
Les ETF offrent aux investisseurs des avantages tels qu'une exposition sélective à des entreprises durables, une flexibilité dans le trading intrajournalier, une efficacité fiscale accrue et une transparence quotidienne des avoirs. PRCS sera géré par Todd Ahlsten, Benjamin Allen et Andrew Choi, tandis que PRVS sera géré par Billy Hwan et Krishna Chintalapalli.
Parnassus Investments hat seine ersten beiden aktiven ETFs eingeführt: den Parnassus Core Select ETF (NYSE: PRCS) und den Parnassus Value Select ETF (NYSE: PRVS). Beide ETFs werden konzentrierte Portfolios von etwa 25 US-Standardwerten führen, im Vergleich zu typischen 40-Werte-Portfolios. PRCS konzentriert sich auf hochwertige Aktien, die auf langfristiges Wachstum ausgerichtet sind, während PRVS auf unterbewertete Aktien abzielt, die sich von einer Erholung erholen könnten.
Die ETFs bieten Anlegern Vorteile wie selektive Exposition gegenüber nachhaltigen Unternehmen, Flexibilität beim Intraday-Handel, verbesserte Steuerliche Effizienz und tägliche Transparenz über die Bestände. PRCS wird von Todd Ahlsten, Benjamin Allen und Andrew Choi verwaltet, während PRVS von Billy Hwan und Krishna Chintalapalli verwaltet wird.
- Launch of new investment vehicles expanding product offering
- More concentrated portfolio strategy (25 stocks vs typical 40)
- Enhanced tax efficiency through ETF structure
- Daily transparency of holdings
- Experienced management teams for both ETFs
- None.
Insights
The launch of Parnassus's first two actively managed ETFs represents a significant strategic expansion into a rapidly growing market segment. Their concentrated portfolio approach of 25 stocks, compared to traditional 40-stock portfolios, signals a high-conviction strategy that could appeal to investors seeking focused exposure. The tax efficiency and intraday trading flexibility of the ETF structure provides advantages over traditional mutual funds.
This move aligns with the broader industry trend of active managers entering the ETF space, which saw record inflows in recent years. The combination of Parnassus's established sustainable investing expertise with the ETF wrapper could attract both ESG-focused investors and those seeking tax-efficient exposure to active management. The firm's 40-year track record and veteran management team adds credibility to these offerings in an increasingly competitive market.
The timing of Parnassus's ETF launch is strategic, capitalizing on growing investor demand for actively managed ETFs and sustainable investment options. The concentrated portfolio approach differentiates these products in a crowded market, while the focus on large-cap stocks provides liquidity and stability. The dual offering strategy - core select and value select - allows investors to choose based on their investment style preferences.
The market potential for these products is significant, given the continued shift from mutual funds to ETFs and increasing interest in sustainable investing. The transparency and tax efficiency of ETFs, combined with Parnassus's established brand in sustainable investing, creates a compelling value proposition for both institutional and retail investors seeking actively managed sustainable solutions.
Parnassus Core Select ETF and Parnassus Value Select ETF Provide Investors with Access to High-Conviction Portfolios With the Flexibility to Pursue Outperformance
The Parnassus Core Select ETF is an actively managed ETF that seeks to achieve strong long-term returns by investing in a concentrated portfolio of approximately 25 high-quality, attractively priced
The Parnassus Value Select ETF is an actively managed ETF that seeks to achieve strong long-term returns by investing in a concentrated portfolio of approximately 25 undervalued
“Over our 40-year history, Parnassus has earned a reputation for high-conviction stock picking. These new ETFs comprise our best ideas in pursuit of outperformance. They will be portfolios of about 25 stocks, as compared to our typical 40-stock portfolios,” said Benjamin Allen, CEO of Parnassus Investments. “With the launch of PRCS and PRVS, our investment process and expertise will be accessible to a new audience of ETF investors.”
Both ETFs embody the key strengths of Parnassus’s investment approach, offering benefits for investors, including:
- Selective Exposure: PRCS and PRVS provide investors with access to carefully researched selections of high-quality companies that demonstrate strong financial prospects and sustainable business practices. PRCS focuses on stocks positioned for long-term growth and durability, while PRVS focuses on resilient companies facing temporary challenges, capturing recovery opportunities to drive sustainable, long-term value.
- Simplicity and Transparency: Both ETFs share the same experienced investment team, philosophy and approach as their mutual fund counterparts, making them ideal complements to a balanced portfolio.
- Investment Vehicle Choice: With an ETF structure, investors gain intraday trading flexibility and enhanced tax efficiency through the creation and redemption process, and daily transparency of holdings.
This strategic move into the ETF market enhances Parnassus’s ability to meet the evolving needs of investors with actively managed ETF solutions focused on quality and long-term growth. These ETFs will improve tax and cost efficiency, increasing the opportunity to help long-term investors compound their wealth responsibly.
For more information, please visit www.parnassus.com/etfs.
About Parnassus Investments
Parnassus Investments is a research-driven investment boutique founded in 1984 on the belief that a well-managed responsible investment strategy could outperform traditional approaches. It offers a focused set of eight highly active
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© 2024 Parnassus Investments, LLC. PARNASSUS, PARNASSUS INVESTMENTS and PARNASSUS FUNDS are federally registered trademarks of Parnassus Investments, LLC.
ESG investing risk refers to the risk stemming from the environmental, social, and governance factors that the Fund applies in selecting securities. The Funds seek to invest in high quality companies with sustainable business practices and to avoid investments in companies that do not meet its quality expectations. This may affect the Funds' exposure to certain companies or industries and cause the Funds to forego certain investment opportunities. The Funds are non-diversified under the Investment Company Act and employs a concentrated investment strategy. Large-capitalization companies may be unable to respond quickly to new competitive challenges and also may not be able to attain the high growth rate of successful smaller companies, especially during extended periods of economic expansion. In addition to large-capitalization companies, the Funds may invest in small- and/or mid-capitalization companies, which can be particularly sensitive to changing economic conditions since they do not have the financial resources or the well-established businesses of large-capitalization companies. Foreign markets can be more volatile and less liquid than the U.S. market due to increased risks of adverse issuer, political, regulatory, market or economic developments and can perform differently from the U.S. market.
The Parnassus Funds are distributed by Parnassus Funds Distributor, LLC. Investing involves risk, and loss of principal is possible.
Before investing, an investor should carefully consider the investment objectives, risks, charges and expenses of a fund and should carefully read the prospectus or summary prospectus, which contain this and other information. The prospectus or summary prospectus can be found on the website, www.parnassus.com, or by calling (800) 999-3505.
ETF investing involves risk, and loss of principal is possible. 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.
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Media:
Joseph Collins
Partner at River Communications
jcollins@riverinc.com
Source: Parnassus Investments
FAQ
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