F/m Investments’ US Benchmark Series raises $4.25 billion since August 2022
F/m Investments LLC (“F/m”) announces The US Treasury 3 Month Bill ETF (Ticker: TBIL) has crossed the $3 billion threshold in assets, highlighting investors' demand for innovative ways to access the short end of the yield curve. TBIL and the nine additional ETFs that comprise the US Benchmark Series give investors access to US Treasuries at 10 specific points across the US Treasury yield curve.
Each ETF in the US Benchmark Series holds the most current (“on the run[1]”) US Treasury security that corresponds to its tenor. The 10 ETFs in the Series are:
- The US Treasury 3 Month Bill ETF (TBIL)
- The US Treasury 6 Month Bill ETF (XBIL)
- The US Treasury 12 Month Bill ETF (OBIL)
- The US Treasury 2 Year Note ETF (UTWO)
- The US Treasury 3 Year Note ETF (UTRE)
- The US Treasury 5 Year Note ETF (UFIV)
- The US Treasury 7 Year Note ETF (USVN)
- The US Treasury 10 Year Note ETF (UTEN)
- The US Treasury 20 Year Bond ETF (UTWY)
- The US Treasury 30 Year Bond ETF (UTHY)
The Series has raised more than $4.25 billion in total in the 18 months since launch, confirming investor demand for a better way to invest in US Treasury securities.
“TBIL’s continued growth highlights investors’ appetite for easy access to safety and yield at the short end of the curve,” said Alexander Morris, F/m’s President, and CIO. “In a market inundated recently by novel asset classes and even cryptocurrencies, the US Benchmark Series ETFs – both short and longer durations – are attracting assets from investors seeking duration exposure with the clarity and precision that these ETFs enable.”
While TBIL remains the most recognized of F/m’s products, it’s not their most recent innovation. Consistent with F/m’s mission to provide a set of tools that investors can use to build portfolios with precision and efficiency, F/m in January launched the US Credit Series, a suite of ETFs that track the industry’s first investable index in investment grade credit.
“We launched TBIL and the US Benchmark Series to bring efficiency and simplicity to US Treasury investing, but our goal was always larger,” said Pete Baden, senior portfolio manager and co-creator of the US Benchmark Series. “It’s our mission to build institutional quality, precise, diversified portfolios with the ease and efficiency of ETFs.”
As part of F/m’s mission to expand access for investors, they recently filed a novel exemptive application with the U.S. Securities and Exchange Commission (the “SEC”) seeking an order that would permit each of the ETFs in the US Benchmark Series to offer a mutual fund share class. The exemptive relief requested by the application is the first of its kind in the ETF industry and, if granted by the SEC, has the potential to make the US Benchmark Series accessible to investor segments that today can only access mutual funds.
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[1] This periodic transition to the most-recently auctioned Treasury bill, note, or bond of a stated maturity, which is referred to as the “on-the-run” or “OTR” security of that maturity, occurs on one day. An OTR security is the most recently issued of a periodically issued security (as opposed to an off-the-run security, which is a security that has been issued before the most recent issue and is still outstanding).
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About US Treasury 3 Month Bill ETF
The investment objective of the US Treasury 3 Month Bill ETF is to seek investment results that correspond (before fees and expenses) generally to the price and yield performance of the ICE BofA US 3-Month Treasury Bill Index (G0O1)
About The US Benchmark Series
The US Benchmark Series allows investors of all sizes to own each of the “Benchmark” US Treasuries in a single-security ETF. Each ETF holds the most current (“on the run”) US Treasury security that corresponds to its stated tenor. For more information, please visit www.ustreasuryetf.com.
About F/m Investments
F/m Investments is a $6 billion multi-boutique investment firm providing diversified investment strategies to advisors and institutional investors across asset classes, markets, and styles. For more information, please visit www.fminvest.com.
Investors should consider the investment objectives, risks, charges and expenses carefully before investing. For a prospectus or summary prospectus with this and other information about the Fund, please call (888)123-4589 or visit our website at www.fminvest.com. Read the prospectus or summary prospectus carefully before investing.
Disclosures:
Investors should consider the investment objectives, risks, charges and expenses carefully before investing. For a prospectus or summary prospectus with this and other information about the Fund, please call 1-800-617-0004 or visit our website at www.ustreasuryetf.com. Read the prospectus or summary prospectus carefully before investing.
As with all ETFs, Shares may be bought and sold in the secondary market at market prices. Interest rate risk is the risk of losses attributable to changes in interest rates. In general, if prevailing interest rates rise, the values of debt instruments tend to fall, and if interest rates fall, the values of debt instruments tend to rise.
Fund Risks: The UST 3 Month Bill Fund may be susceptible to an increased risk of loss, including losses due to adverse events that affect the UST 3 Month Bill Fund’s investments more than the market as a whole, to the extent that the UST 3 Month Bill Fund’s investments are concentrated in a particular issue, issuer or issuers, country, market segment, or asset class. While U.S. Treasury obligations are backed by the “full faith and credit” of the U.S. Government, such securities are nonetheless subject to credit risk (i.e., the risk that the U.S. Government may be, or be perceived to be, unable or unwilling to honor its financial obligations, such as making payments).
ICE BofA US 3-Month Treasury Bill Index is comprised of a single issue purchased at the beginning of the month and held for a full month. At the end of the month that issue is sold and rolled into a newly selected issue. The issue selected at each month-end rebalancing is the outstanding Treasury Bill that matures closest to, but not beyond, three months from the rebalancing date. To qualify for selection, an issue must have settled on or before the month-end rebalancing date.
Investments involve risk. Principal loss is possible.
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