AdvisorShares Debuts TrimTabs Float Shrink ETF

AdvisorShares, the ETF sponsor most known for being a dominant provider of actively managed funds, introduced its twelfth ETF with the debut of the AdvisorShares TrimTabs Float Shrink ETF (NYSE: TTFS). The new ETF seeks to generate long-term returns in excess of the total return of the Russell 3000 Index, with less volatility than the index itself.

The actively managed ETF has a net expense ratio of 0.99% and already has more than $2.6 million in assets under management, according to data on the AdvisorShares Web site.

The AdvisorShares TrimTabs Float Shrink ETF is equal-weighted to 100 of the Russell 3000 stocks. Those stocks are selected by the ETFs manager on the basis of the best liquidity characteristics – companies shrinking the float, growing free cash flow and not increasing their leverage ratio.

TrimTabs founder Charles Biderman and Minyi Chen will manage the new ETF.

Top-10 holdings in TTFS currently include Digimarc (Nasdaq: DMRC), Teekay Tankers (NYSE: TNK), CoinStar (Nasdaq: CSTR) and Capella Education (Nasdaq: CPLA).

AdvisorShares had $202 million in ETF assets under management at the end of September, according to data from the National Stock Exchange.