NEW YORK, June 29, 2017 (GLOBE NEWSWIRE) -- Guggenheim Investments, the global asset management and investment advisory business of Guggenheim Partners, announced today it will reduce the management fee of the $13 billion Guggenheim S&P 500 ® Equal Weight ETF (NYSE Arca:RSP) from 0.40% to 0.20% 1 , effective June 30.
“This significant fee reduction is designed to benefit existing shareholders and acknowledge the increasing use of RSP by institutional and individual investors as a core equity holding,” said Douglas Mangini, Senior Managing Director and Head of Intermediary Distribution.
Introduced in 2003, RSP is the industry’s first strategic or “smart” beta ETF, offering investors equal weight exposure to all stocks within the S&P 500 ® Index—widely regarded as the best gauge of large-cap U.S. equities.
The combination of balanced exposure to all S&P 500 ® Index stocks with a disciplined quarterly rebalance has led to RSP’s outperformance over the cap-weighted S&P 500 ® Index since the fund's inception in both cumulative and average annual returns. 3
In fact, RSP has outperformed the S&P 500 ® in 100% of all monthly rolling 10-year time periods. 3,4
RSP is available through most broker-dealer firms and on several major no-transaction-fee platforms.
Average Annual Returns (as of 3.31.2017)
| 1-Year | 5-Year | 10-Year | Since Inception | ||||||
| RSP – Market Price | 16.98% | 13.57% | 8.11% | 11.17% | |||||
| RSP – NAV | 16.98% | 13.56% | 8.11% | 11.17% | |||||
| S&P 500 ® Index | 17.17% | 13.30% | 7.51% | 9.30% | |||||
Performance displayed represents past performance, which is no guarantee of future results. Investment returns and principal value will fluctuate so that when shares are redeemed, they may be worth more or less than original cost. Current performance may be lower or higher than the performance data quoted. For up-to-date fund performance, including performance current to the most recent month-end, please visit our website at GuggenheimInvestments.com.
About Guggenheim Investments
Guggenheim Investments is the global asset management and investment advisory division of Guggenheim Partners, LLC (“Guggenheim”), with $217 billion 2 in assets across fixed income, equity, and alternative strategies. We focus on the return and risk needs of insurance companies, corporate and public pension funds, sovereign wealth funds, endowments and foundations, consultants, wealth managers, and high-net-worth investors. Our 275+ investment professionals perform rigorous research to understand market trends and identify undervalued opportunities in areas that are often complex and underfollowed. This approach to investment management has enabled us to deliver innovative strategies providing diversification and attractive long-term results.
The funds may not be suitable for all investors. The broad diversification of equal weight strategies does not assure a profit, nor eliminate the risk of investment losses. When larger capitalization securities are in favor or in periods of severe market dislocation, an equal weighted strategy may underperform a cap-weighted strategy, and increased exposure to smaller capitalization companies may increase volatility. Investments in fixed-income securities are subject to the possibility that interest rates could rise, causing the value of the funds’ securities and share price to decline. The infrastructure industries can be significantly affected by general economic trends, government regulation and spending, commodity prices, supply and demand of services or fuel, and natural resource conservation. Please read a fund's prospectus for more information about these and other risks.
This material is not intended as a recommendation or as investment advice of any kind, including in connection with rollovers, transfers, and distributions. Such material is not provided in a fiduciary capacity, may not be relied upon for or in connection with the making of investment decisions, and does not constitute a solicitation of an offer to buy or sell securities. All content has been provided for informational or educational purposes only and is not intended to be and should not be construed as legal or tax advice and/or a legal opinion. Always consult a financial, tax and/or legal professional regarding your specific situation.
Read a fund’s prospectus and summary prospectus (if available) carefully before investing. It contains the fund’s investment objectives, risks, charges, expenses and other information, which should be considered carefully before investing. Obtain a prospectus and summary prospectus (if available) at www.guggenheiminvestments.com or call 800.820.0888.
1 Security Investors, LLC, the investment adviser to the Guggenheim S&P 500 ® Equal Weight ETF, intends to reduce the fund’s total annual fund operating expenses to 0.20%. The Advisor, therefore, expects to recommend that the fund’s Board of Trustees approve an amendment to the fund’s Advisory Agreement to reduce the management fee to 0.20% at the next regularly scheduled meeting of the Board scheduled to be held on or about August 24, 2017. In the interim, effective June 30, 2017, the Advisor has contractually agreed to waive a portion of its management fee to reduce the fund’s total annual fund operating expenses to 0.20%.
2 Guggenheim Investments total asset figure is as of 03.31.2017 and includes $11.7bn of leverage for assets under management and $0.4bn for assets for which we provide administrative services. Guggenheim Investments represents the following affiliated investment management businesses: Guggenheim Partners Investment Management, LLC, Security Investors, LLC, Guggenheim Funds Investment Advisors, LLC, Guggenheim Funds Distributors, LLC, Guggenheim Real Estate, LLC, GS GAMMA Advisors, LLC, Guggenheim Partners Europe Limited and Guggenheim Partners India Management.
3 At net asset value, through May 31, 2017.
4 Rolling 10-year return is the average annual return of each 120-month “rolling” monthly period beginning with the first 10-year period ending 4.30.2013 and continuing with each subsequent 10-year period calculated at month-end up until 5.31.2017. Rolling returns may be useful for examining the behavior of returns for holding periods similar to those actually experienced by investors.
Media Contact Ivy McLemore Guggenheim Partners 212.518.9859 – office Ivy.McLemore@guggenheimpartners.com
