Columbia Threadneedle Investments has listed its CT QR Series Global Equity Active Ucits ETF on Deutsche Börse Xetra, SIX Swiss Exchange, and the London Stock Exchange.
The strategy is designed as a core global equity allocation, seeking to outperform the MSCI All Country World Index (ACWI) through active stock selection across large- and mid-cap stocks in 23 developed and 24 emerging markets.
The Ucits fund ( the EU’s regulated cross-border investment vehicles) combines the firm’s quantitative research capabilities with input from its global fundamental research team of more than 200 analysts. The portfolio currently holds roughly 35% of the MSCI ACWI by number of constituents, focusing on stocks the manager expects to outperform while excluding those deemed likely to lag.
The “QR Series” process integrates quantitative modelling with fundamental analysis. Stocks are rated and ranked from strong buy to strong sell, narrowing the investment universe and excluding weaker candidates. Portfolio construction is benchmark-aware to limit sector and geographic biases, shared the asset manager, with rebalancing twice a year and daily monitoring to respond to rating changes.
The ETF targets a tracking error of 2% to 4%, aiming to deliver improved risk-adjusted returns relative to the benchmark while maintaining cost efficiency. The strategy is aligned with Article 8 of the Sustainable Finance Disclosure Regulation, meaning it promotes environmental and/or social characteristics as part of its investment approach.
Christopher Lo, senior portfolio manager at Columbia Threadneedle Investments, said: “Following the launch of the US and European Equity Active UCITS ETFs last year, this new Global Equity Active ETF provides UK and European Investors a portfolio invested only where opportunity is strongest, not where the index dictates, resulting in a meaningful deviation from benchmark holdings, delivering a truly active exposure. That’s why, today, the portfolio holds positions in 35% of its benchmark, showing conviction in the companies which our research positively highlights.
The new Global Active ETF uses the same quantitative model as all the Active ETFs in the QR Series, which has been refined over more than 20 years and combines Quality, Catalyst, and Value insights with real-time fundamental research.”
Michaela Collet Jackson, head of distribution and marketing, Emea, at Columbia Threadneedle Investments, commented: “This is the next milestone for our Active ETF ambitions in the UK and across Europe. We have seen strong interest in the initial Active ETFs launched last year, reflecting an appetite for our truly active approach. We are very pleased to continue to expand our range, meeting demand from investors for a differentiated, active and research-backed solution which can act as a core equity allocation. We recognise that Active ETFs have an important role to play as portfolio building blocks for a wide range of investors and we are already working on the next wave of launches, which will complement our fundamental active high alpha funds.”
