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News and Research

  • In The News
    Exchange Traded FunMay 25, 2017

    Our Toroso ETF Industry Index explained at a Facebook Live Session with NYSE Click here for important notices regarding this video.  

    Commentary
    Shining The Transparency Light On ETFsMay 22, 2017

    Taking advantage of one of the greatest benefits of ETFs—transparency—can lead to some surprising discoveries. Case in point: the world of small-cap ETFs. We’ve discovered that while a number of ETFs call themselves “small-caps,” they really don’t have that much small-cap exposure. And that matters, because a fund that isn’t exactly small-cap is going to

    Commentary
    ETF Prism Report: Embracing TransparencyApril 21, 2017

    One of the greatest benefits of ETFs is transparency.  However the fact that all investors can see the underlying holdings is often taken for granted. Many investors trust this transparency so much that they assume they don’t need to look “under the hood”. Our research has uncovered: Small cap ETFs that aren’t very focused on

    Commentary
    The ETF Industry in the last 5 yearsMarch 28, 2017

    ETF Prism Report: Special 5 Years Anniversary Edition

    In The News
    How To Pick A Sector ETFMarch 15, 2017

    Sector investing is popular, and we’ve been hearing a lot about sector rotation opportunities in the face of changing correlations since President Trump’s victory last year. But as an investor, how do you know when it’s time to get in or out of a sector? How do you pick the best sector to be in?

    In The News
    Do ETFs Cause Bubbles?

    As U.S. stock markets have reached all-time highs some people are pointing the finger at exchange-traded funds, arguing that ETFs have caused this run-up because they have become so popular so quickly, and in the process have created a bubble waiting to burst. It is tempting to believe these bubble fears are true. After all,

    In The News
    What’s Next For 2 Other Bitcoin ETFs?

    The Securities and Exchange Commission did not approve the first physical bitcoin ETF, the Winklevoss Bitcoin Trust (COIN), after more than three years since the filing first entered the regulatory pipeline. In a 38-page statement released Friday, regulators cited concerns over bitcoin’s unregulated status, and the difficulty of preventing manipulation and providing oversight in this

    Commentary
    ETF Prism Report: ETF Bubbles: Separating Fact From FictionMarch 06, 2017

    With US markets at all-time highs, many investors wonder if the massive growth of ETFs are perpetuating a bubble. Our quantitive research tools suggest ETFs are not currently creating a bubble in in broad based market indexes like the S&P 500. However, we do believe ETFs can cause two types of bubbles: Short-term bubbles in sub-sectors

    Commentary
    ETF Prism Report: The Marriage of ETFs and BitcoinsFebruary 21, 2017

    ETFs and Bitcoins are both amazing Fintech evolutions… and a marriage/merger has been proposed. Three ETFs have been proposed: – Winkelvos: a grantor trust that uses their exchange to set price – Solidx: a similar ETF but includes insurance and less conflicted pricing source for index – Grayscale: will convert the current ETP into a

    In The News
    Betting On Red: Building A Russian ETF PortfolioFebruary 15, 2017

    Russia has been in the news in the past few years, and ETF investors owe it to themselves to take measure. We take a closer look at Russia—a big oil-producing country whose actions affect geopolitical stability, the price of oil and, if you believe it, even the 2016 U.S. presidential election. Whether you’re long or

    Commentary
    How to Invest in the Trump EconomyFebruary 06, 2017

    Investing based on the Trump administration is difficult because thus far all we know is rhetoric. However, many ETFs can be utilized to benefit from the areas he has commented on, like XLF for deregulation or IYM to play infrastructure. That said, many of these obvious sector ETFs have already advanced on the noise and

    Commentary
    Russia ETFs – Betting on Red?January 16, 2017

    Russia has obviously taken over the news. It is an issue that affects politics, geopolitical stability, the price of oil, hacking scandals and more. So what is the ETF investment perspective? On this report we are analyzing the ability to use ETFs to either get exposure to the long part of the Russia market, or be

    In The News
    ETF Fixed Income Solutions For The FutureJanuary 07, 2017

    November 2016 was a confusing month for most investors. The U.S. equity markets experienced a high-beta rally, which culminated in returns for the S&P 500 of more than 3.5%. That said, most investors endured very different returns due to intelligent diversification. The table below shows the returns for diversified asset classes in November 2016: Asset

    In The News
    This figure helps explain why so many active ETF managers underperformDecember 14, 2016

    Are your active funds active enough? Non-passive funds—where the components are chosen by a team or through a rules-based system, rather than simply tracking a benchmark—have fallen out of favor in recent years, with investors instead gravitating toward funds that are cheaper, easier to understand, and which never underperform. Another factor keeping investors from embracing

    In The News
    ESG ETFs Help Investment Portfolio’s Conform to Investors’ Attitudes

    As many seek to diversify their equity portfolios, consider a sustainable investing exchange traded fund strategy that locks on the potential benefits of environmental, social and governance, or ESG, principles. On the recent webcast (CE Credit available on-demand), The Untapped Potential of ESG Investing, Sharon French, Head of Beta Solutions at OppenheimerFunds, explained that there

    Commentary
    Do Fixed Income ETFs Really Behave Like Bonds?December 12, 2016

    CREATING AN INCOME BAR-BELL ETFs have democratized access to fixed income, but at the same time they also lost the two most important covenants of bonds: that it will have a maturity date and a consistent coupon/yield. Even worse, these products, as evidenced by the November 2016 performance, are still subject to duration risk. A

    Commentary
    Doing Good and Making Money Can Be LinkedNovember 29, 2016

    ETF Prism Report Environmental, Social and Governance Investing (ESG) can be a good reason to evaluate an investment and we think the world is going in this direction.  It isn’t a new concept, many ETFs have governance screens to protect portfolios or accounting screens to avoid problematic companies.  Today we are discussing how to get

    Commentary
    Regulations That Will Soon Impact ETFsNovember 07, 2016

    Your Fiduciary Role Will Be Taken Seriously   There are three key pieces of regulations out there that our research team is monitoring right now: The SEC liquidity rule, the SEC derivatives rule and the DOL fiduciary rule. Many advisors don’t think this last one, the fiduciary rule will impact their business. In our opinion,

    Commentary
    ETFs that go up when markets go down October 18, 2016

    The current market uncertainty and anxiety by investors is being fed by the elections, the interest rate and the knowledge that the Federal Reserve will not keep helping the economy for now. So what can we do with this uncertainty? Let’s talk about ETFs that can protect you on the downside. PREMISE 2016 has been

    Commentary
    ETF Prism Report: The Smart Cost of Smart BetaOctober 03, 2016

     What is Smart Beta? Any ETF that follows a non- traditional market cap index in an effort to produce superior risk adjusted returns. Smart Cost of Smart Beta At Toroso We have developed a proprietary software to evaluate the cost of Smart Beta in a fast, efficient way. It is a Four Step Process that

    Research
    KNOW Characteristics: Finding the Right FactorsSeptember 28, 2016

    In this paper we will explore the evolution of smart beta investing through the advent of academic factor investing and examine how the characteristics sought by the SBRQAM Index can potentially overweight and/or rotate through the most common factors contributing to competitive performance. The Sabrient Multi-cap Inside/Analyst Quant-Weighted Index (SBRQAM), is an index that investors

    Commentary
    ETF Prism Report: how much are you really paying for that ETF?September 22, 2016

    ETFs are known for having three major advantages over mutual funds: transparency, liquidity and low cost. But do you really know how much you are paying for ETFs? The expense ratio is just the beginning. See our CIO explain his 5 step process to uncovering the real cost of ETFs. Learn how the Expense Ratio

    In The News
    6 Best ETF Picks For Q4 And Beyond: Seizing Global GrowthSeptember 16, 2016

     Source: Investors.com Bid the lovely summer calm adieu. Most ETF investors watched their portfolios coast along for roughly two months until the financial markets sank and volatility spiked, all over again. Stocks, bonds and even traditional safe havens came under selling pressure from an enigmatic Fed in recent trading sessions. As the Federal Reserve kept the market guessing about its next move on interest rates,

    Commentary
    ETF Prism Report: Moving Towards Low Volatility: Which ETFs Make the Cut?September 09, 2016

    Disclaimer  This presentation has been prepared for clients and prospects of Toroso Investments, LLC (“Toroso”).  The presentation contains proprietary information and viewpoints that are of independent, economic value to Toroso. Any modification of this information could cause Toroso competitive harm and/or regulatory  violations. By accepting and viewing this presentation, you agree to not modify any of

    In The News
    Chipotle could try menu innovation: ProJune 30, 2016

    Discussing a new study by University of South Carolina showing fast casual restaurants may not be the healthier food option that many think, with Will Slabaugh, Stephens restaurant analyst, and Mike Cronan, Bite ETF President.

    In The News
    Portfolio X-Ray: Toroso’s Neutral Allocation StrategyJune 28, 2016

    by Cinthia Murphy Source: ETF.com There is no single recipe to building an ETF portfolio. But understanding how a portfolio is built is key to picking the right one. And choices certainly abound, with hundreds of ETF strategist portfolios commanding nearly $100 billion in combined assets today. For that reason, we are setting out to

    Commentary
    Are You Ready for This “BR-OLATILITY”?June 25, 2016

    So Brexit happened, or is happening, or will happen effectively very soon. This is what the US equity markets are waking up to, and despite the massive flow of information, no one really knows what the effects will be of what is happening. Markets respond negatively to surprises and lack of clarity with huge spikes

    Commentary
    The Antidote for Volatile Times: Disciplined & Rigorous Security SelectionMay 26, 2016

    Now and Then… With over one third of 2016 behind us, the markets have offered little to be excited about in terms of returns. We have seen some massive drawdowns in the US and Developed markets and some equally strong recoveries. In previous commentaries, we have proposed that the US equity market is fundamentally overvalued

    In The News
    Mike Venuto describes how ETFs democratize leverageMay 01, 2016

    When advisors want to reduce clients’ portfolio risk, selling short involves setting up a margin account. “Traditional leverage can be very expensive,” said Michael Venuto, co-founder and chief investment officer at Toroso Investments in New York. “Inverse ETFs democratize some hedging strategies, so they’re not only for the ‘big boys.’” An inverse ETF moves in

    Commentary
    First Quarter 2016 – Lots of Pain, Little GainApril 21, 2016

    Despite the fact that the S&P 500 ended slightly positive for the first quarter, the experience for investors concentrated in US equities, so far this year has been quite tumultuous. As of January 20th the S&P 500 was down 9% and then recovered. By February 11th the S&P 500 had again declined by more than

    In The News
    Mike Venuto comments on new Gold Hedged ETFsApril 15, 2016

    Published on ETF.com The Rex Shares gold-hedged ETFs—new to market this month—attempt to solve a common asset allocation problem many advisors face: What to do about gold? Most advisors today feel like they must own gold. Most do so because gold offers diversification and portfolio hedging benefits. It can even prove useful for short-term tactical

    Commentary
    Diversification in Context: Time to be Rational Again!!March 30, 2016

    Research compiled by Michael Venuto, CIO For the past three years, large capitalization US equities have been consistently one of the best performing asset classes.  They have outpaced small caps, international equities, bonds and especially commodities. The consistent outperformance of US large cap stocks is somewhat unprecedented (see chart below). In addition, these stellar returns were

    In The News
    Mike Venuto on the use of Inverse ETFs for precise sector exposureMarch 23, 2016

    Investors can use leveraged and inverse exchange traded funds to hedge a long position against sudden turns or capture short-term trends in more volatile market conditions. On the recent webcast, Tactical Strategies to Combat Market Volatility, Sylvia Jablonski, Managing Director and Co-Head of the Capital Markets & Institutional Strategy Team at Direxion, points out that

    In The News
    Tactical Strategies using Leverage ETFs described by Mike VenutoMarch 22, 2016

    As investors gear up for a volatile market in the year ahead, more aggressive exchange traded fund investors have utilized leveraged and inverse products to quickly adapt and capitalize on shifting market conditions. On the upcoming webcast, Tactical Strategies to Combat Market Volatility, Sylvia Jablonski, Managing Director and Co-Head of the Capital Markets & Institutional Strategy

    Commentary
    Volatility in Context: Let’s Have a ConversationMarch 07, 2016

    Markets Are Scaring Themselves “You have probably noticed that U.S. stock prices have fared poorly of late—and the S&P 500 closed on Wednesday at 1859, down almost 13% from its July 2015 high. You have probably also noticed that the biggest daily drops seem to occur either on bad news from China or when oil

    In The News
    Guillermo Trias describes the ETF sales and marketing ladderMarch 01, 2016

    The journey from developing a compelling investment thesis to launching an ETF can be an arduous one indeed. While the rewards for a truly unique ETF can be substantial, the upfront work and attention to detail that are required to make an ETF concept a reality often appear daunting to new issuers that are just

    In The News
    101 ETF Lessons Every Financial Advisor Should LearnFebruary 14, 2016

    Exchange-traded funds (ETFs) have burst on to the scene in the late 2000s and early 2010s, raking in hundreds of billions of dollars in assets and prompting a major shift towards indexing strategies in the process. ETFs have empowered financial advisors (FAs), registered investment advisors (RIAs), Chief Financial Officers (CFOs), money managers, and retail investors

    In The News
    Mike Venuto discusses ETFs for downside protectionFebruary 12, 2016

    It’s been a wild ride so far this year for U.S. stocks. Since the beginning of 2016, the S&P 500 has already declined some 10% in a loss that has been anything but smooth or linear. The uptick in volatility and the poor stock market performance have many investors now more concerned with downside protection

    In The News
    Mike Venuto Volatility exploit it or ignore it?January 21, 2016

    Everyone is talking about increased market volatility in this new year. But if you are a long-term index investor who believes in buy-hold-and-rebalance achieved through passive vehicles such as ETFs, does volatility even matter? Should you worry about it? Perhaps just as important is the question of whether increased volatility presents unique opportunities to capture

    Research
    Enhancing the Core: What Do Insiders Know?

    “What we need is a no-load, minimum management-fee mutual fund that simply buys the hundreds of stocks making up the broad stock-market averages and does no trading from security to security in an attempt to catch the winners. Whenever below-average performance on the part of any mutual fund is noticed, fund spokesmen are quick to

    Commentary
    Is This Lack of Fear Scary?January 18, 2016

    This lack of fear scares me.  Investors seem to believe that the Federal Reserve will save them, but that seems unlikely to me.  I believe the economy is generally in good shape and the low cost of oil acts like a stimulus to the consumer.  Additionally, employment and wages continue to improve so it is

    In The News
    Mike Venuto explains what insiders KNOWJanuary 14, 2016

    This article is part of a regular series of thought leadership pieces from some of the more influential ETF strategists in the money management industry. Today’s article is by Mike Venuto, co-founder and chief investment officer of New York-based Toroso Investments. The growth of smart-beta strategies has been staggering, but quite top heavy. Meaning, most

    In The News
    Mike Venuto describes ETF picks for 2016December 29, 2015

    Michael Venuto, CIO and co-founder of Toroso Investments in New York, a strategist that uses a simple diversified asset allocation approach customized to clients: BioShares Biotechnology Clinical Trials (BBC): I really like the venture capital nature of this ETF. They equal-weight biotechnology companies that are in clinical trials. They include a screening process to avoid

    In The News
    Older ETF Dividend Strategies Are FadingDecember 14, 2015

    By David Dziekanski Toroso Investments Published in ETF.com Allocators and investors in the smart-beta ETFs are arguably acknowledging that active and rules-based strategies offer more dynamic solutions for the current global investment environment. Flows in these vehicles have increased significantly this year. When choosing a smart-beta fund, many allocators have used similar evaluation approaches as

    In The News
    David Dziekanski describes the “herd” mentality in dividend ETFs

    This article is part of a regular series of thought leadership pieces from some of the more influential ETF strategists in the money management industry. Today’s article is by David Dziekanski, partner and portfolio manager of New York-based Toroso Investments. Allocators and investors in the smart-beta ETFs are arguably acknowledging that active and rules-based strategies

    In The News
    101 ETF Investing Tips from the Experts by ETF Reference – Mike Venuto Chosen to be one of the ExpertsDecember 01, 2015

    ETF Reference surveyed 57 ETF investing experts, including Toroso Investments’s Michael Venuto, in search of the best tips for exchange-traded fund investors. Following are Michael’s tips:

    Commentary
    ETF Reference – Mike Venuto Provides ETF Q&A

    ETF Reference – Mike Venuto Provides ETF Q&A The editorial team at ETF Reference surveyed 57 ETF investing experts, including Toroso’s Mike Venuto, in search of the best tips for exchange-traded fund investors. The response received was incredible. The panel of experts sent the editorial team hundreds of amazing tips! They winnowed that list down

    Events
    World of ETF Investing – New YorkNovember 06, 2015

    LEARN THE EXPERTS’ BEST STRATEGIES FOR PROFIT Attend and and receive comprehensive ETF education from top experts who will discuss the hottest topics in the industry today. Take home expert insights for selecting the best ETFs, learn how to find opportunities around the globe, and get an understanding from top financial advisors about the best

    In The News
    These Gold ETFs Offer Smart New Ways To Invest — Quotes Mike Venuto on Investors.comOctober 28, 2015

    Published in Investor’s Business Daily Gold bugs cheered the metal’s sharp rise in October, as an interest rate hike this year looks less and less likely. For gold ETF investors, Wednesday brought some gloom as the Fed’s latest policy statement left interest rates unchanged but took on a more hawkish tone. But no matter the

    In The News
    Mike Venuto describe smart Gold ETFs

    Gold bugs cheered the metal’s sharp rise in October, as an interest rate hike this year looks less and less likely. For gold ETF investors, Wednesday brought some gloom as the Fed’s latest policy statement left interest rates unchanged but took on a more hawkish tone. But no matter the price swings in the short

    In The News
    3 Smart Beta Ways To Own GoldOctober 06, 2015

    By Mike Venuto Toroso Investments Published in ETF.com Gold may be the most controversial hard commodity investment available in today’s marketplace. It’s important to remember that a little over a decade ago, purchasing this asset in an investment account was very difficult. In November 2004, the SPDR Gold Shares (GLD | A-100) was launched, and

    Events
    Liquid Alternative Strategies East Conference – New YorkOctober 05, 2015

    MIKE VENUTO IS SPEAKING AT THE LIQUID ALTERNATIVE STRATEGIES EAST CONFERENCE IN NEW YORK Panel Discussion on: Liquid Alt and ETF Options on 401(k) Plans – Understating New Product Offerings Obstacles to getting new products onto a 401k menu Do investors understand the offerings Custodial and record keeping mandates Venue The Westin Times Square, New

    Commentary
    PODCAST – Michael Venuto Provides Updates on Toroso’s Wealth Preservation Strategies, Income Strategies, and Growth StrategiesOctober 01, 2015

    PODCAST – Michael Venuto Provides Updates on Toroso’s Wealth Preservation Strategies, Income Strategies, and Growth Strategies Listen to a brief update on how investment strategies managed by Toroso are handling the volatile markets that we are experiencing today.  Low interest rates, low inflation, no wage growth are all having an impact, and a well-diversified, outcomes

    In The News
    All Investors Are Long Volatility, But There’s Help by Mike Venuto on ETF.comSeptember 17, 2015

    By Michael Venuto Toroso Investments Published in ETF.com Over the past few years, there has been a lot of discussion about volatility as an asset class. The recent turmoil in the market has reignited this debate. In my opinion, volatility is not an asset class; rather, it’s a market factor that all investors are inherently

    In The News
    Mike Venuto discusses volatility ETFs

    This article is part of a regular series of thought leadership pieces from some of the more influential ETF strategists in the money management industry. Today’s article is by Mike Venuto, co-founder and chief investment officer of New York-based Toroso Investments. Over the past few years, there has been a lot of discussion about volatility

    Commentary
    The “Smart Beta” Way to 401(k) InvestingSeptember 01, 2015

    The “Smart Beta” Way to 401(k) Investing   The advent of “smart beta” strategies provides an opportunity for ETFs to provide enhanced goals-based solutions for 401(k) investors.  However, this is not as simple as replacing expensive active management with intelligent ETFs. Read about Toroso’s approach to goals oriented investing for 401(k) plans using ETF strategies.

    In The News
    Toroso on keeping calm during market turmoilAugust 26, 2015

    The U.S. stock market just lived through one of its most dramatic downturns in recent years, and to many, the correction that sent the S&P 500 down some 10 percent in four days isn’t over yet. The gut-wrenching plunge sent a lot of ETF investors running for the exits in a classic case of emotions

    Commentary
    PODCAST – Michael Venuto Speaks on the August 2015 Market CorrectionAugust 01, 2015

    PODCAST –  Michael Venuto Speaks on the August 2015 Market Correction On Monday, August 24, 2015 the US Market opened to a 1,000 point drop in the Dow Jones Industrial Average.  Circuit breakers at the New York Stock Exchange sporadically halted trading.  Some ETFs, which are the primary investment vehicle used by Toroso in its

    In The News
    Mayor Emanuel Appoints Olga Camargo To Metropolitan Pier and Exposition Authority BoardJuly 17, 2015

    Mayor Rahm Emanuel appointed Olga Camargo, managing partner at Toroso Investments, LLC, to The Metropolitan Pier and Exposition Authority Board – which oversees McCormick Place and Navy Pier. Camargo, who currently serves on the Chicago Plan Commission, replaces Frank M. Clark who is stepping down from the Board to become the new President of the

    In The News
    Toroso on breaking away and becoming independentJuly 06, 2015

    [This article originally appeared in our July issue of ETF Report.] Behind the more than $2 trillion now invested in exchange-traded funds are advisors who, for various reasons, decided it was time to strike out on their own and put ETFs at the center of their money management businesses. Their motivations for breaking away vary,

    In The News
    Adding Muscle to Bond Portfolios – Quotes Mike VenutoJune 27, 2015

    Published in Barron’s, quotes Michael Venuto Toroso Investments, a New York-based portfolio manager, employs a strategy for building income-focused barbells with ETFs. It seeks ETFs with both low volatility and high yield. On one side, Toroso has been using ETFs such as Guggenheim Enhanced Short Duration (GSY), which has an effective duration of just a

    In The News
    Toroso’s smart beta approach to 401 k investingJune 24, 2015

    By Michael Venuto Toroso Investments Published in ETF.com In 2015, ETFs have continued to capture market share from mutual funds. But one area where mutual funds remain the dominant product choice is in 401(k) retirement accounts, and specifically in target-date funds. Today nearly 75 percent of all new 401(k) assets are allocated to target-date funds

    In The News
    Olga Camargo receives “El Amigo de Negocios Now Award”June 20, 2015

    Published in Negocios Now Olga Camargo has had a growing passion for finance for the past 17 years and she has become a key player in this industry in Chicago. Currently she a managing partner at Toroso Investments, LLC, a registered investment advisory firm. In her role, Ms. Camargo provides investment and retirement plan advisory

    Research
    Create Better ‘Barbells’ With Bond ETFsJune 16, 2015

    Many investors expect the return streams from bond ETFs to behave like the direct purchase of a bond, essentially providing current income with the likely return of principle at a future date.  Although the expansion of ETFs has provided investors access to bonds, and at a reasonable cost, the performance behavior of these ETFs are

    In The News
    Investors piling into volatility funds bet on more anxiety ahead — Reuters quotes Mike VenutoJune 03, 2015

    Published in Reuters The U.S. stock market has been strangely calm this year, much to the chagrin of investors who have been betting billions on volatility. The CBOE Volatility Index, or VIX, is down about 30 percent year-to-date, even though some investors have been expecting a rockier stock market as the Federal Reserve gets ready

    In The News
    Mike Venuto comments on recent volatility and ETF flows

    The U.S. stock market has been strangely calm this year, much to the chagrin of investors who have been betting billions on volatility. The CBOE Volatility Index, or VIX, is down about 30 percent year-to-date, even though some investors have been expecting a rockier stock market as the Federal Reserve gets ready to raise interest

    In The News
    The Ways ETFs Are Replacing Hedge Funds by Mike Venuto on ETF.comMay 13, 2015

    By Michael Venuto Toroso Investements Published in ETF.com This month, Debbie Fuhr’s London-based ETF consultancy ETFGI made headlines with data showing that global ETP assets are now equal to hedge fund assets. It’s important to note that this inflection point coincides with record assets under management for WisdomTree (WETF). For those who didn’t make the

    In The News
    Mike Venuto comments on how ETFs are beating Hedge Funds

    Which sounds like a more appealing fee structure? Twenty basis points (0.2%) or two-and-twenty (2% of assets + 20% of profits). Investors have been voting with their dollars for lower costs and tax efficiency: total assets held by exchange-traded funds globally are about to eclipse those held by hedge funds. Research firm ETFGI this month

    In The News
    Solving the Income Riddle – Mike Venuto in ETF.comMay 07, 2015

    ETF.com asked advisors how best to obtain yield in the current low-rate environment, which is characterized by very low rates and low inflation, even as the Federal Reserve prepares financial markets for the possibility of its first rate increase in short-term borrowing rates in nine years. Here’s what Michael Venuto had to say:

    In The News
    Get to know HACE ( Hispanic Alliance for Career Enhancement) – Juan Avila highlighted in Hispanic ExecutiveMay 01, 2015

    Juan Carlos Avila, Chairman of HACE’s board and a managing partner at Toroso Investments, was featured in Hispanic Executive. “Not all Latinos grow up knowing they’re headed to college. I know so many who are the first in their family to go to college. That’s a huge accomplishment. But what happens many times is that

    Research
    ETFs, Hedge Funds and Democracy

    This month ETFGI, a wholly independent research and consultancy firm founded Deborah Fuhr, has made headlines with their data showing that global ETP assets will soon surpass the assets held in hedge funds. It is important to note that this inflection point coincides with record assets under management for WisdomTree Investments, Inc. (WETF). Today, close

    In The News
    Measuring True Costs Of ‘Smart Beta’ ETFs – by Mike Venuto ETF.comApril 27, 2015

    By Michael Venuto Toroso Investments Published in ETF.com The concept of systematically alternatively weighting an established index has been around for many years, as evidenced by the success of mutual funds from Dimensional Fund Advisors. In the world of ETFs, this alternative-weighting concept has come to be known as “smart beta,” and represents one of

    In The News
    David Dziekanski describes the use of geared ETFs to manage riskApril 08, 2015

    As market conditions change, investors can utilize exchange traded funds that track alternative investment strategies to hedge risks or capitalize on potential opportunities. On the recent webcast, Building Tactical Strategies to Combat Today’s Market Challenges, Mike Eschmann, managing director and co-head of capital markets & institutional strategy team for Direxion Investments, warned that with the

    In The News
    David Dziekanski discusses tactical ETF strategiesApril 07, 2015

    After an extended bull rally in equities and fixed-income assets, the market environment may be changing. Consequently, investors who are interested in hedging against a shift in the winds can utilize inverse exchange traded funds to help protect their portfolios. On the upcoming webcast, Building Tactical Strategies to Combat Today’s Market Challenges, Mike Eschmann, managing

    In The News
    The ETF “Barbell” Income Solution – by Mike Venuto on ETF.comMarch 17, 2015

    By Michael Venuto Toroso Investments Published in ETF.com Many investors expect the return streams from bond ETFs to behave like the direct purchase of a bond, essentially providing current income with the likely return of principal at a future date. Although the expansion of ETFs has provided investors access to bonds, and at a reasonable

    Research
    Taming Volatility: Downside Protection IndexesMarch 16, 2015

    The stock market, as represented by the S&P 500 Index (“S&P 500”), has just experienced a historic 6-year bull market. But, many investors did not participate in much of this appreciation. The Great Recession of 2008 caused many investors to significantly reduce their market exposure, and many advisors were unable to find thoughtful solutions for

    In The News
    Top Leaders in Finance – Juan Avila highlighted in Latino Leaders MagazineFebruary 01, 2015

    Latino Leaders Magazine featured Toroso Investments, Juan Carlos Avila, in its February/March 2015 “Latinos in Finance” issue Read full article (pdf)

    In The News
    Complete The Core With Specialty ETFsJanuary 09, 2015

    By Michael Venuto Toroso Investments Published in ETF.com In the past decade, the indexing business has moved from a benchmarking business to an investable universe and an asset-gathering business, in large part, because of the growth of the ETF industry. Still, the sometimes-complex worlds of indexing and ETFs have left some stocks out of major

    Research
    Business Characteristics: Completing the CoreJanuary 01, 2015

    The historical returns of mainstream indexing may not be what investors should expect to receive in the future.  In this commentary we identify ETFs that focus on business characteristics which may enhance the access to securities omitted or trimmed from the mainstream, over-bought ETFs which are tied to traditional market cap weighted indexes. The content

    In The News
    ETFs To Steer Clear Of Suspect EarningsOctober 08, 2014

    By Michael Venuto Toroso Investments Published on ETF.com Equity markets are at or near all-time highs, as are corporate earnings. It may all be too good to be true. That’s because we’ve identified what we consider to be a quality problem with earnings. That said, we believe by maximizing quality of earnings in a portfolio,

    Research
    Earnings: Quality Over Quantity; and Size Does MatterOctober 01, 2014

    Selecting the most appropriate ETF can be a challenging proposition, especially in the unusual markets we are experiencing today.  At Toroso, we examine the underlying fundamentals and look for economic themes that indicate opportunities and pitfalls.  In today’s market we believe the rosy earnings picture is hiding a real problem from most investors.  The quality

    In The News
    Olga Camargo Receives 2014 Latino Leaders Maestro AwardJune 11, 2014

    Olga Camargo was honored as the 2014 Recipient of the Latino Leaders Maestro Award in the Category of Community Service.

    In The News
    David Dziekanski discusses smart beta fixed income ETFsMay 22, 2014

    Companies such as BlackRock Inc and Standard & Poor’s are taking a popular stock fund strategy and applying it to bonds. For more than a decade, asset managers have been creating stock funds that track indexes designed to outperform those based on their components’ market value. Bond funds are the next frontier for index designers

    Research
    Want Tail Risk Protection?May 01, 2014

    The goal of Modern Portfolio Theory (MPT) is to have a portfolio of assets that each have positive expected long-term returns, and are negatively correlated to each other, so as to help smooth the volatility of the overall portfolio and increase the overall returns through rebalancing.  This commentary explores the impact of  volatility and several

    In The News
    Mike Venuto comments on picking smart beta ETFsApril 14, 2014

    Toroso Investment’s Mike Venuto says smart-beta ETFs are great tools, but it all hinges on the market environment. Smart-beta ETFs may be all the rage, but they don’t make sense in every market environment, says Mike Venuto, chief investment officer at Toroso Investments, a New York-based advisory firm. Arguing that the marketing spin surrounding these

    In The News
    Mike Venuto Featured on ETF.com article on Smart Beta ETFs

    Toroso Investment’s Mike Venuto says smart-beta ETFs are great tools, but it all hinges on the market environment. Smart-beta ETFs may be all the rage, but they don’t make sense in every market environment, says Mike Venuto, chief investment officer at Toroso Investments, a New York-based advisory firm. Arguing that the marketing spin surrounding these

    Research
    Smart Beta and Betting on UnicornsMarch 01, 2014

    Smart beta is the popular buzzword that describes an emerging trend of alternatively weighted indexes in the ETP world.  This catchy term implies a panacea and evergreen solution to some of the common issues often associated with traditional market cap indexing.  If this were the case, just like unicorns, the Holy Grail and the fountain

    Research
    Alternative to What?January 01, 2014

    The world of alternative investing has experienced massive expansion in the past few years through new mutual funds and Exchange-Traded Products (ETPs). Until now, this part of the investment universe has been relatively opaque and inaccessible to the average investor.  In this commentary, Toroso defines the alternative ETP landscape and concludes with one method of

    Research
    ETFs – The Business of IndexationNovember 01, 2013

    The democratization of the market through ETFs, as envisioned by Dr. Burton Malkiel and implemented by John Bogle of Vanguard, has transitioned indexing from a benchmarking tool to an asset-gathering tool and possibly tarnished many of the benefits indexing provides for the average investor and created significant opportunities for the savvy investor. Read full research:

    Research
    Small Caps – What do you want to own?September 01, 2013

    Using ETFs to own small cap stocks can be a tricky proposition and requires investigative analysis to uncover what the investor truly owns. We find that small cap stocks, as an asset class, are generally unsuited for indexing since most indexation methodologies over-weight the largest companies. Read full research: Small Caps – What do you

    In The News
    Juan Carlos Avila selected to Leadership Greater Chicago Fellows Class of 2014August 05, 2013

    Juan Carlos Avila was selected to Leadership Greater Chicago Fellows Class of 2014 for leadership in Chicago related to his work at Toroso and his civic engagement empowering Latinos through financial literacy and professional development. Read full press release

    In The News
    Juan Carlos Avila named to the YWCA Metropolitan Board of DirectorsJune 17, 2013

    On June 17, 2013, YWCA Metropolitan Chicago, one of the city’s oldest organizations dedicated to eliminating racism and empowering women, appointed Toroso Investments managing partner, Juan Carlos Avila, to its board of directors. Read original press release

    Research
    REITs, Everybody Is In….and I Want OutMay 01, 2013

    The valuations of many large publicly traded REITS  now appear to be unsustainable for some of the observations outlined in this commentary, including understanding of the fundamentals, the ETF effect, and non-US ownership. Read full research: REITs, Everybody Is In….and I Want Out  

    In The News
    MPT? No ThanksApril 04, 2013

    Published in Financial Advisor Magazine in April 2013 Is modern portfolio theory dead? The principals at Toroso Investments LLC won’t go that far, but they do think MPT let down investors during the market pratfall of ’08-’09. And they believe they’ve constructed portfolios that more closely align with an investor’s risk tolerance and time horizon.

    Research
    Bond ETFs – Where Is the Income?April 01, 2013

    We examine the top 25 Fixed Income ETFs to unlock the net yield and then discuss alternative strategies to creating portfolios focused on yield. Read full research: Bond ETFs – Where Is the Income?

    In The News
    Scared Stockless: How Advisors Calm Jittery ClientsFebruary 22, 2013

    Published in ThinkAdvisor.com in February 2013 … The tough conversations that dominated the advisor-client relationship during the 2007-2009 meltdown have not gone away. Far from it. Even though inflows into stock mutual funds and exchange-traded funds surged—finally—at the start of the year at the hands of suddenly bullish investors, advisors across the nation report what

    Events
    An Evening With Dr. Burton G. MalkielFebruary 05, 2013

    Celebrating Toroso’s Official Launch: Toroso Investments hosted “An Evening with Dr. Burton G. Malkiel” Presentation: Some Timeless and Timely Investment Lessons Event Photos Speaker: Dr. Burton G. Malkiel, Chemical Bank Chairman’s Professor of Economics at Princeton University Author of “A Random Walk Down Wall Street”, now in its 10th edition, having sold over 1.5 million

    In The News
    5 crucial tips to help you save for retirement – NBCLatino.com

    Published in NBCLatino.com on February 5, 2013 Common questions financial advisors are hearing nowadays are: “What’s going to happen in the market?” and “Will social security still be there when I retire?” but in reality nobody knows, says Juan Carlos Avila, managing director and partner of Toroso Investments. “The days of the pensions are going

    In The News
    U.S. VETERANS LAUNCH ETP-FOCUSED FIRMDecember 11, 2012

    Published in Advisor.ca on December 11, 2012 Three industry veterans have founded a New York-based investment advisory firm, called Toroso Investments. Larry Medin serves as its CEO, while Dan Carlson acts as CFO and Michael Venuto as CIO.

    In The News
    Toroso Investments™ Launched to Challenge Current Advisor to Client InteractionsDecember 10, 2012

    NEW YORK, December 10, 2012 — Toroso Investments™, a new investment advisory firm founded by industry veterans Larry Medin, Dan Carlson, and Michael Venuto, challenges conventional advisor-client relationships by placing an emphasis on an advisor’s or a client’s economic point of view, as well as risk tolerance and time horizon when constructing portfolios. With more