Rareview Capital LLC, a registered investment advisor and ETF sponsor focused on goals-based investment strategies, today announced the launch of the Rareview Inflation/Deflation ETF (symbol: FLTN).
FLTN is the first-of-its-kind ETF that seeks to provide investors protection from either an inflationary or deflationary environment.
FLTN is an actively managed ETF that seeks to achieve its investment objective through investments in inflation-protected Treasury securities (TIPS) or nominal US Treasury securities, depending upon the environment. Secondarily, the Fund will utilize various cash and derivative fixed income instruments to potentially capture changes in interest rates and the shape of the yield curve.
"With inflation at a 40-year high and expected to increase further, investors are rapidly losing their purchasing power," said Neil Azous, Founder & CIO at Rareview Capital. "That's why we're thrilled to be launching FLTN, an ETF that directly aims to address this seminal investment issue."
"We believe portfolio enhancements are necessary to protect purchasing power during periods of inflation and to provide ballast to stock holdings during periods of deflation, " Azous said. "Identifying the early vs. late stages of a Federal Reserve tightening cycle is essential for maximizing TIPS and nominal bond performance. Transitioning strategically between regimes can potentially increase returns over a passive fixed income product."