Portfolio Intelligence podcast: a short history of ETFs
Steve Deroian, U.S. head of asset allocation models and ETF product at John Hancock Investment Management, discusses the history and benefits of exchange-traded funds (ETFs).
Since the first U.S. ETFs launched in 1993, these popular investment products have grown to more than $5 trillion in assets under management.
Deroian provides an insider’s perspective on which areas could see the fastest growth and why John Hancock opted for an active management approach in its first fixed-income ETF.
“What we've seen lately is a real acceptance of the fixed-income side of the market when it comes to ETFs.” —Steve Deroian, U.S. Head of Asset Allocation Models and ETF Product, John Hancock Investment Management
About the Portfolio Intelligence podcast
The Portfolio Intelligence podcast features interviews with asset allocation experts, portfolio construction specialists, and investment veterans from across John Hancock’s multimanager network. Hosted by John Bryson, head of investment consulting at John Hancock Investment Management, the dynamic discussion explores ideas advisors can use today to build their business while helping their clients pursue better investment outcomes.
Important disclosures
This podcast is being brought to you by John Hancock Investment Management Distributors, LLC, member FINRA,SIPC. The views and opinions expressed in this podcast are those of the speaker, are subject to change as market and other conditions warrant and do not constitute investment advice or a recommendation regarding any specific product or security. There is no guarantee that any investment strategy discussed will be successful or achieve any particular level of results. Any economic or market performance information is historical and is not indicative of future results, and no forecasts are guaranteed. Investing involves risks, including the potential loss of principal.
Investing involves risks, including the potential loss of principal. The fund is subject to the same risks as the underlying bonds in the portfolio such as credit, prepayment, call and interest-rate risk. As interest rates rise, the value of bond prices will decline.
A registration statement containing a preliminary prospectus (and statement of additional information) relating to shares of the ETF has been filed with the SEC, but has not yet become effective. Information contained herein is subject to completion or amendment. Shares of the ETF may not be sold, nor may offers to buy be accepted, prior to the time the registration statement becomes effective. The information in the prospectus (or statement of additional information) is not complete and may be changed. This communication is not an offer to sell this security and is not a solicitation to buy this security in any state where the offer or sale is not permitted.
Investors are advised to carefully consider the investment objectives, risks, charges, and expenses of an ETF before investing. The prospectus contains this and other important information about the ETF and should be read carefully before investing. A copy of the prospectus for John Hancock Corporate Bond ETF may be obtained by calling: 800-225-6020. A copy of the preliminary prospectuses for the John Hancock Mortgage Backed Securities ETF and John Hancock Ultra Short Income ETF may be obtained by calling 800-225-6020. Please read the prospectus carefully before investing.
John Hancock Corporate Bond ETF, John Hancock Mortgage Backed Securities ETF and John Hancock Ultra Short Income ETF are distributed by Foreside Fund Services, LLC in the United States, and are subadvised by our affiliate Manulife Investment Management (US) LLC. Foreside is not affiliated with John Hancock Investment Management Distributors LLC or Manulife Investment Management (US) LLC.
Shares of the ETF are not redeemable with the ETF other than in creation unit aggregations. Instead, investors must buy or sell the ETF shares in the secondary market at market price (not NAV) through a broker-dealer. In doing so, the investor may incur brokerage commissions and may pay more than net asset value when buying and may receive less than net asset value when selling.
There is no guarantee that any investment strategy illustrated will be successful or achieve any particular level of results. This material is for informational purposes only and is not intended to be, nor shall it be interpreted or construed as, a recommendation or providing advice, impartial or otherwise, regarding any security, mutual fund, ETF, sector, or index. Investors should consult with their financial professional before making any investment decisions.
The shares of the ETF do not represent a deposit or an obligation of, and are not guaranteed or endorsed by, any bank or other insured depository institution, and are not federally insured by the Federal Deposit Insurance Corporation, the Federal Reserve Board, or any other government agency.