Rayliant Quantamental China Equity ETF Surpasses $100 Million in AUM
LOS ANGELES–(BUSINESS WIRE)–$RAYC–The Rayliant Quantamental China Equity ETF (Ticker: RAYC) has surpassed $100 million in assets under management. RAYC is the world’s first active China ETF and is managed by Rayliant Asset Management, an asset management firm focused on quantamental strategies that blend behavioral finance, data science and local China insights.
“We are excited for RAYC to pass this important AUM milestone so quickly,” said Jason Hsu, PhD, Rayliant’s Founder and CIO. “Until RAYC launched, U.S. investors were limited to passive or thematic China ETFs. But China is a complicated market where retail trading accounts for more than 80% of overall volume1. It’s one of the few major markets where we believe active management can still consistently deliver outsized returns. Given this and recent negative sentiment on China, RAYC is experiencing increased interest from sophisticated contrarian investors.”
Unlike passive ETFs, which track an index, Rayliant’s active ETFs are designed to capture long-term excess returns based on its quantamental approach. Rayliant ETFs employ a systematic approach that exploits mispricing in stocks and employ models that use numerous data sets and machine learning to calculate expected returns. In China, the strategies apply specialized data and models to capture features that make Chinese markets unique, including novel aspects of China’s accounting, regulations, market structure, state ownership, and investor behaviour.
“I’m pleased to congratulate Rayliant on this milestone for the RAYC ETF as it continues working to democratize international investing,” said Douglas Yones, Head of Exchange Traded Products, NYSE. “The New York Stock Exchange is excited to support Rayliant and other issuers bringing active management to the ETF industry.”
Rayliant also offers Rayliant Emerging Markets Quantamental Equity ETF (Ticker: RAYE) and Rayliant Developed Global Markets Quantitative Equity ETF (Ticker: RAYD).
1Source: Rayliant Research as of 31 March 2022.
About Rayliant
Rayliant Asset Management (“Rayliant”) is an SEC-registered investment adviser focused on generating alpha from investments in China and other inefficient emerging markets. It is an affiliate of Rayliant Global Advisors and its family of companies (collectively, “Rayliant”).
Rayliant develops innovative quant strategies that bring together elements of behavioral finance, data science and local market insights. There was more than USD 26 billion managed using Rayliant’s equity, fixed income, and alternatives strategies as of 31 March 2022. Its clientele includes institutional and high net worth investors globally, and the firm has offices in Beijing, Shanghai, Hangzhou, London, Los Angeles, and Taipei.
Rayliant was founded in 2016 by Jason Hsu, Ph.D. He also co-founded Research Affiliates, a smart beta and asset allocation leader with USD 169 billion in assets managed using its strategies (as of 31 December 2021). He is a professor of finance at UCLA Anderson School of Management and has won numerous awards for his research.
More information about Rayliant, please visit https://rayliant.com
For more information about Rayliant’s research, please visit https://rayliant.com/publications
For more information about the Rayliant Quantamental China Equity ETF (Ticker: RAYC), please visit https://funds.rayliant.com/rayc.html
Important Information
This document is issued by Rayliant Investment Research d/b/a Rayliant Asset Management (“Rayliant”). Unless stated otherwise, all names, trademarks and logos used in this material are the intellectual property of Rayliant.
This document is for informational purposes only. It is not a recommendation to buy or sell any financial instrument and should not be construed as an investment advice. No offer may be made without also providing the Prospectus, and the information in the Prospectus is controlling.
Risk of Investing
Investing involves risk, including the risk of total loss of principal. There can be no assurance that a Fund will achieve its stated objectives, and investments are subject to political, social, economic, or other developments that may impact a Fund’s objectives. Fluctuations in currency of foreign countries may also have an adverse impact on domestic currency values. Emerging markets involve heightened risks related to these same factors as well as increased volatility and lower trading volume. Diversification does not ensure a profit or guarantee against a loss. Securities focusing on a single country may be subject to higher volatility. Trading through Stock Connect is subject to a number of restrictions that may affect the Fund’s investments and returns. The Fund’s investments in China A Shares purchased through Stock Connect are generally subject to Chinese securities regulations and listing rules, among other restrictions. Investments in smaller companies typically exhibit higher volatility, and Investments that are managed according to a quantitative model can perform differently from the market as a whole. The fund is non-diversified.
Before investing in any ETF, it is critical for investors to carefully consider the fund’s investment objectives, risks, charges, and expenses. To obtain a full or summary Prospectus for the Rayliant Quantamental China Equity ETF, which contains this and other information, please visit https://funds.rayliant.com. Please read the Prospectus carefully and consider contacting a financial professional before investing.
The Rayliant Quantamental China Equity ETF is distributed by SEI Investments Distribution Company (SIDCO), which is not affiliated with Rayliant Asset Management, the Investment Adviser.
While reasonable care has been taken to ensure the accuracy of the information in this document, Rayliant does not give any warranty or representation, expressed or implied, and expressly disclaims liability for any errors and omissions. Information and opinions may be subject to change without notice. Rayliant accepts no liability for any loss, indirect or consequential damages, arising from the use of or reliance on this document.
Shares of ETFs are bought and sold at market price (not NAV) and are not individually redeemed from the Fund. Brokerage commissions will reduce returns.
The size of an ETF should not be viewed as an indicator of its performance, and past performance is not an indicator of future performance.
Contacts
USA Media Contact
Tyler Bradford
Hewes Communications
tyler@hewescomm.com
212-207-9454
Rayliant Media Contact
Jacob Chi
Senior Director, Head of Marketing
Rayliant Global Advisors
jacob.chi@rayliant.com