Angel Oak Capital Advisors’ UltraShort Income ETF Surpasses $100M in Assets in One Year, Sets Stage for ETF Platform Growth in 2024

Rhea-AI Summary

Angel Oak Capital Advisors announces that the Angel Oak UltraShort Income ETF has surpassed $100 million in assets under management within one year of its launch. The company's ETF platform has grown to approximately $300 million in assets under advisement across its two funds and sub-advisory services. The UYLD ETF offers investors a distinct yield profile through its investments in non-agency residential mortgage-backed securities and consumer-based asset-backed securities, with a duration below one year. The fund has delivered a 5.95% total return since its inception.

Positive

• The Angel Oak UltraShort Income ETF has grown to over $100 million in assets under management within one year of its launch, reflecting the success of Angel Oak's ETF platform.
• The UYLD ETF offers a distinct yield profile and has outperformed cash-like investments and many of its peers, delivering a 5.95% total return since its inception.

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• None.

The structured credit-focused investment shop finds success in delivering distinct income solutions under the exchange-traded fund wrapper, sub-advisory services

ATLANTA--(BUSINESS WIRE)-- 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.

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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.

 

View source 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

Source: Angel Oak Capital Advisors LLC

FAQ

What is the Angel Oak UltraShort Income ETF's total assets under management?

The Angel Oak UltraShort Income ETF has surpassed $100 million in assets under management within one year of its launch.

What is the investment focus of the UYLD ETF?

The UYLD ETF primarily invests in non-agency residential mortgage-backed securities and consumer-based asset-backed securities.

What is the duration of the UYLD ETF?

The UYLD ETF maintains a duration below one year.

What is the total return of the UYLD ETF since its inception?

The UYLD ETF has delivered a 5.95% total return since its inception.