SOURCE: LocalShares

LocalShares

November 06, 2014 17:29 ET

Lipper Data Identifies Nashville Area ETF (NYSE: NASH) as the Top Performing Small-Cap ETF or Mutual Fund

The Nashville Area ETF Listed as #1 in Year-to-Date Returns as of October 31st, 2014 Out of 804 ETFs & Mutual Funds Lipper Identifies as Small-Cap Core

NASHVILLE, TN--(Marketwired - Nov 6, 2014) - In data published by the Wall Street Journal on November 4, 2014, Lipper, a global leader in supplying mutual fund information and fund ratings, fund analytical tools and fund commentary, identified the Nashville Area ETF (NYSE: NASH), the nation's first city-based exchange traded fund, as the #1 fund in year-to-date return on investment out of 804 ETFs & mutual funds the company identifies as small-cap core.

Using performance data as of 10/31, Lipper's top ten small-cap core list shows:

  • The Nashville Area ETF had realized a 12.78% NAV return year-to-date, while the next highest fund had returned 9.88% year-to-date, 2.80 points behind NASH
  • Of the funds listed in the top ten, the Nashville Area ETF had also realized the best one-year NAV return at 20.37% out of 784 funds
 
CALENDAR QUARTER END as of 9/30/2014
  Cumulative % Avg Annualized % Avg Annualized %
  Since Inception 1Year Since Inception
Fund NAV 15.58 17.32 13.22
Closing Price 15.58 17.32 13.22
       

Inception Date - 07/31/2013. Gross Expense Ratio - 0.65%

** The Fund's investment Adviser has contractually agreed to waive fees and expenses so that the Fund's Total Annual Operating Expenses will not exceed 0.49%. This fee waiver will remain in effect until December 31, 2016, and may be extended thereafter by the Adviser in its sole discretion. In the absence of current fee waivers, performance would be reduced.

The performance data quoted represents past performance. Past performance does not guarantee future results. The investment return and principal value of an investment will fluctuate so that an investor's shares, when sold or redeemed, may be worth more or less than their original cost and current performance may be lower or higher than the performance quoted. For performance data current to the most recent month-end, please visit www.NashvilleAreaETF.com.

"Certain U.S. regions provide strong economic opportunity for the companies based there, which is why corporate relocation to these markets has historically continued to climb," said William S. Decker, of LocalShares, Inc., the company behind the Nashville Area ETF. "Nashville is one such economy benefitting from the markedly low taxes of the state of Tennessee and other attributes. We are pleased with the performance of the fund, which we believe reflects both the vitality of this specific economy and the fact that geographic eco-systems like Nashville can add competitive value to companies based there. This is a direct reflection of the excellent Nashville companies which drive and are supported by our strong economy," said Decker. 

LocalShares, Inc. was founded in 2010 by Nashville business executives Elizabeth Seigenthaler Courtney, CEO of Seigenthaler Public Relations, Inc., William S. Decker, CEO of Decker Wealth Management, LLC and Michael D. Shmerling, chairman of XMi Holdings, to provide financial services products focused on the potential of geographic locations, such as American cities, as demonstrated by the publicly traded companies that surround them.

The Nashville Area ETF tracks the LocalShares Nashville Index, which uses an algorithm to identify and then weight the companies to be included in the index. The formula accounts for positive earnings, momentum and valuation metrics. In order to be included in the portfolio, companies must be headquartered in Davidson County or its surrounding counties and must meet certain requirements including, but not limited to:

  • market capitalizations of more than $100 million; and
  • average daily volume of stock traded that exceeds 50,000 shares.

According to Decker, the concept of the city-based ETF was developed based on the premise that every city's economy functions as its own ecosystem with unique resources, legislation and demographics inextricably interwoven. In developing a plan for a launch city, LocalShares concluded that Nashville met the fundamental criteria necessary for the concept. Nashville continues to collect accolades; it has been called America's healthcare hub by the Wall Street Journal, was the #1 market in the country (over one million persons) for job growth in 2012 according to the Bureau of Labor Statistics, and has regularly placed high on national lists for most business friendly cities. Nashville has maintained a high quality of life that sustains a productive and energized workforce. The area is further bolstered by the rich environment of research and ideas largely in part to 18 colleges and universities that call the city home.

An active secondary market for the Fund's shares may not exist. Although the Fund's shares will be listed on an exchange, subject to notice of issuance, it is possible that an active trading market may not develop or be maintained.

All ETF products are subject to risk, which may result in the loss of principal. Investment in smaller companies typically exhibit higher volatility. The Fund will invest substantially all of its assets in the securities of companies that have their headquarters or principal place of business located in the Nashville, Tennessee region. The Fund may be impacted by events or conditions affecting the region to a greater extent than a fund that did not focus its investments in that manner. The fund is expected to invest a relatively large percentage of its assets in the healthcare sector and negative performance of the sector will negatively impact the fund. Diversification may not protect against investment loss.

Carefully consider the Nashville Area ETF's investment objective, risk factors, and charges and expenses before investing. This and other important information can be found in the Nashville Area ETF's Prospectus, which may be obtained by calling 1-855-480-NASH (6274). Read it carefully before investing.

ETF shares are not redeemable with the issuing fund other than in large Creation Unit aggregations. Instead, investors must buy or sell ETF Shares in the secondary market with the assistance of a stockbroker. In doing so, the investor may incur brokerage commissions and may pay more than net asset value when buying and receive less than net asset value when selling. SEI Investments Distribution Co. is the distributor for the Nashville Area ETF. SEI Investments Distribution Co., 1 Freedom Valley Drive, Oaks, PA, 19456.

Contact Information

  • Michael Schulz
    Director of Marketing
    618 Church St. Ste. 220
    Nashville, TN 37219
    855-480-6274
    C: 615-878-9122
    www.LocalShares.com