Panagram AAA CLO ETF's Average Process Pillar and People Pillar ratings result in a Morningstar Medalist Rating of Neutral. The portfolio maintains a cost advantage over competitors, priced within the second-lowest fee quintile among peers.  

 The strategy merits an Average Process Pillar. The strategy earns an Average People Pillar rating. Management team members could invest more of their own money in the fund. The strategy's parent firm has some investor-friendly attributes, like overall attractive fees and high portfolio management retention. As a result, the firm gets an Average Parent Pillar rating.

Analyst Rating

Morningstar's style-agnostic investment process evaluation looks for strategies that should be able to outperform their Morningstar Category index on a risk-adjusted basis over time. Panagram AAA CLO ETF earns an Average Process Pillar rating.    The most notable contributor to the rating is the firm's five-year retention rate of 100% over the period. Low expenses across its parent firm's funds, whose fees, on average, rank in the cheapest quintile of their respective category, also influence the rating. The pattern of low fees at the firm suggests that it is focused on delivering strong results for investors. Lastly, the process is limited by the experience of the management team, which averages one year at this fund.

 Compared with other funds in the Ultrashort Bond Morningstar Category, this fund takes on significantly lower credit risk. But in terms of long-term interest-rate sensitivity, it hews closely to its average peer over the past few years. Moreover, it displays no significant biases in terms of credit quality, bond sectors, or maturity when compared to its category peers in recent years.   

  The portfolio has a higher average surveyed credit quality of AAA, compared with the typical peers' A. Strategies with less credit risk may help to provide a reliable ballast during periods of market stress.

Average

Process

Panagram AAA CLO ETF earns an Average People Pillar rating. The most significant contributor to the rating is the firm's five-year retention rate of 100%. A low cost, with fees that rank in its category's cheapest quintile, also improves the rating. A higher expense ratio reduces net returns, so low costs give this team an advantage. Lastly, the rating is limited by the experience of the management team, which averages one year at this fund.


None of the managers here invest any money in the strategy, which is disappointing, as such investments help align managers' interests with fundholders.

People

Since its inception only one year ago, Panagram Structured Asset Management has demonstrated that it can be trusted as much as the next asset manager. As a result, it has an Average Parent Pillar rating. Panagram Structured Asset Management currently runs two vehicles, with a total of $294.9 million under management and a bench of two portfolio managers. As a consequence of being a young firm, the management team is unseasoned. The small group has an average of one year of industry experience.  

 The firm’s inexpensive fees on open-end and exchange-traded funds truly evince a firmwide commitment to minimizing costs and maximizing investors’ returns. The average net expense ratio of the firm’s funds falls within the lowest quintile of firms.  

 To retain an Average rating, Panagram Structured Asset Management will be expected to uphold a consistent track record of positive investor experience.

Parent

Panagram AAA CLO ETF

CLOX is an actively managed fund that invests in USD-denominated collateralized loan obligations rated AAA and of any maturity.

Panagram Bbb-B Clo Etf

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Panagram Launches Second Active CLO ETF

CLOX seeks consistent return income with limited downside risk NEW YORK, July 19, 2023 /PRNewswire/ -- Panagram Structured Asset Management ("Panagram"), a $14.7+ billion credit asset manager specializing in collateralized loan obligations ("CLOs"), announced the launch of its second ETF: Panagram AAA CLO ETF (NYSE: CLOX). CLOX prioritizes capital preservation by investing in AAA-rated CLOs.

News for Panagram AAA CLO ETF ETF (CLOX)