Take a Less Volatile Route to International Diversification

Examine this active ETF’s risk-reduction approach to international diversification.


Many US investors may find their portfolios are underexposed to the growth and diversification opportunities of international stocks. Oftentimes, these investors are deterred from international investing due to the perceived and real risks involved. Our Natixis Seeyond International Minimum Volatility ETF, ticker symbol MVIN, was specifically designed to address these concerns. Unique in this respect, MVIN employs a risk-reduction strategy that invests in low-volatility international stocks and is actively managed to pursue optimal risk-adjusted returns.


Fund and Management

With the goal of providing investors with a lower-cost, lower-risk approach to accessing international stocks, Natixis tapped the expertise of Seeyond, a global investment unit of Ostrum Asset Management, to develop a solution. Seeyond specializes in non-traditional investment strategies and volatility management. With extensive knowledge in minimum volatility strategies and expertise in running them around the world, Seeyond designed the actively managed Natixis Seeyond International Minimum Volatility ETF.

Why Choose This ETF

International diversification can offer greater coverage:

• 7 of the 10 largest companies are based outside the US.2
• When US stocks are flat or down, international stocks may perform better.

 

Minimum volatility approach may produce a smoother and stronger return stream:

• The approach is focused on reducing risk.
• Lower-risk stocks historically offered better risk-adjusted returns than high-risk stocks from 1996 through 2016.3  
• It strives to include stocks that have low correlation to each other, offering additional diversification for investors.

 

Active ETF means access to what we consider high caliber active managers and a flexible, responsive investment approach:

• Along with all the efficiencies of traditional ETFs, including low cost, liquidity, transparency of holdings, and minimized taxes, the Natixis Seeyond International Minimum Volatility ETF offers the added potential benefit of high-value, expert active management.

• Actively managed products are more flexible and responsive to market movements than index products, giving the portfolio manager an opportunity to adjust holdings for the benefit of investors. Index products only change their holdings infrequently, when the index to which they’re benchmarked is reconstituted (often twice per year).





Would you like more information?


1 Ostrum Asset Management U.S., LLC (Ostrum U.S.) is the investment subadviser to the Natixis Seeyond International Minimum Volatility ETF. Seeyond is operated in the U.S. through Ostrum U.S.

2 Fortune Global 500, July 19, 2018

3 Source: Bloomberg/Seeyond. Based on risk (as measured by volatility) and returns of stocks included in the MSCI ACWI NR USD index from 1996 through 2016.

Performance data shown represents past performance and is no guarantee of, and not necessarily indicative of future results.

Before investing, consider the fund's investment objectives, risks, charges, and expenses. You may obtain a prospectus or a summary prospectus containing this and other information. Read it carefully.

Diversification does not eliminate the risk of experiencing investment losses. There is no assurance that the investment process will consistently lead to successful investing.

The principal risks of investing in the fund include Exchange-Traded Funds (ETFs), Active ETF, Equity Securities Risk, Foreign Securities Risk, Currency Risk. Read Risk Definitions.

ALPS Distributors, Inc. is the distributor for the Natixis Seeyond International Minimum Volatility ETF. Natixis Distribution, L.P. is a marketing agent. ALPS Distributors, Inc. is not affiliated with Natixis Distribution, L.P.

1625392.8.1