XTF introduces ETF sector-rotation and country-rotation managed portfolios. Exchange-traded fund (ETF) manager XTF has introduced a pair of products -- the Sector Rotation Portfolio and the Country Rotation Portfolio -- designed to give investors satellite exposure to an array of sector- and country-specific ETFs.

"While the [Sector Rotation Portfolio] and [Country Rotation Portfolio] portfolios aren't designed to function as an investor's core portfolio, they can provide a very important add-on role, allowing the investor full diversification, across not only one or two sector or country ETFs, but across nearly two dozen," says Michael Woods, CEO of New York-based XTF. "They are both ideal for the 'core and explore' approach to investing."

Particulars

For the Sector Rotation Portfolio, or SRP, XTF evaluates sectors based on a seven-to-10-year U.S. Treasury benchmark, and then either fully invests in it or not at all. XTF caps single-sector investment at 105 of the overall SRP. The sectors covered are financial, information technology, health care, consumer staples, telecom services, consumer discretionary, materials, industrials, utilities and energy.

The Country Rotation Portfolio, or CRP, exploits the individual risk environments in 13 countries to create a risk-to-reward profile that is compared to an equivalent investment in intermediate-term U.S. Treasuries. The countries covered are the Netherlands, Germany, France, Switzerland, Italy, the U.K., Belgium, Australia, Singapore, Hong Kong, Japan, Canada and South Africa.

XTF managed around $250 million at the time of its latest ADV filing with the Securities and Exchange Commission. -FWR

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