Innovative Partnership Transforms Investment Strategies
New models combine BondBloxx fixed income ETFs with best-in-class equity strategies
SMArtX Advisory Solutions and BondBloxx are joining forces to create and distribute multi-asset model portfolios known as BASE Portfolios. These innovative and modular portfolios aim to equip financial advisors with advanced tools necessary for implementing both goals-based and risk-based investment strategies.
Through this collaboration, SMArtX Investment Solutions utilizes a diverse range of BondBloxx precision ETFs, merging them with leading U.S. equity SMAs and ETFs in a flexible, open-architecture approach that fosters significant investment possibilities.
Understanding BASE Portfolios
The BASE Portfolios include three distinct, modular sub-portfolios tailored to various investment needs:
Protection Portfolio
This portfolio focuses on duration exposure, safeguarding investments against interest rate fluctuations.
Income Portfolio
Dedicated to credit exposure, this portfolio seeks to provide stable income streams through diversified bond investments.
Growth Portfolio
Focusing on equity exposure, the growth portfolio is designed to capitalize on market opportunities, aiming for capital appreciation.
Jonathan Pincus, CEO of SMArtX, expressed his enthusiasm regarding the partnership: "The alliance with BondBloxx combines their cutting-edge fixed income solutions with our expertise in asset allocation and manager selection. Together, we are creating a robust, integrated approach to investments that can benefit a wide range of clients."
BondBloxx has changed the landscape of fixed income investing. Their precision ETFs enable investors to tailor exposures across a comprehensive spectrum of duration and credit risk areas.
SMArtX's Chief Investment Officer, Dan Phillips, highlighted the significance of this collaboration: "The investment industry was in urgent need of the innovative tools that BondBloxx has introduced. With their fixed income ETFs, we can now cater to our clients’ distinct needs effectively."
Brian O'Donnell, Co-Founder and Head of Sales at BondBloxx, added, "These models provide investors with an enticing opportunity to integrate equity components into a diversified portfolio alongside our specialized fixed income ETFs. We are thrilled to improve choices in the expanding multi-asset model investment sector."
About SMArtX Advisory Solutions
SMArtX Advisory Solutions offers award-winning Unified Managed Account (UMA) technology on a highly scalable, cloud-native platform. This technology caters to registered investment advisors (RIAs), asset managers, and FinTech companies. SMArtX streamlines workflow, modernizes managed accounts, and introduces configurable technology for trading, billing, and investment distribution.
About BondBloxx
BondBloxx Investment Management Corporation is distinguished as the first ETF issuer with a singular focus on fixed income investing. They provide clients with exposures ranging from U.S. Treasuries to investment-grade and high-yield corporate bonds, as well as emerging market bonds, tax-aware strategies, and private credit options. Their mission emphasizes a fixed income-first approach, enabling individuals to fine-tune their investment portfolios. For further insights, you can learn more about their offerings.
Investors are encouraged to think critically about the Funds' objectives, risks, charges, and expenses prior to investing. More detailed information can be found in the Funds' prospectus or summary prospectus.
It is vital to recognize the potential risks associated with investing, including the loss of principal. Fixed income investments carry interest rate risk, as their value may decrease when interest rates rise, along with credit risk linked to the issuer's capacity to fulfill interest and principal payments.
Frequently Asked Questions
What are BASE Portfolios?
BASE Portfolios are model portfolios created by SMArtX and BondBloxx that include various modular sub-portfolios tailored to different investment strategies.
Who are the partners involved in the BASE Portfolios?
The partners in this initiative are SMArtX Advisory Solutions and BondBloxx Investment Management Corporation.
What investment strategies do BASE Portfolios support?
BASE Portfolios support both goals-based and risk-based investment strategies through innovative, modular design.
What types of exposures do BondBloxx ETFs provide?
BondBloxx ETFs provide precise exposures across various categories, including U.S. Treasuries, corporate bonds, emerging markets, and more.
Why are fixed income ETFs important for investors?
Fixed income ETFs play a crucial role by providing tailored investment solutions that can help meet specific client needs and manage risk effectively.
