Optimal Tax Launches OTAX With Quality, Momentum and Value Stock Sleeves

Optimal Tax Asset Management has launched the actively managed Optimal Tax Managed Equity ETF (OTAX), investing across U.S. large-, mid- and small-cap stocks using a proprietary quantitative model. The strategy screens roughly 1,500 companies for quality, primarily using free-cash-flow return on invested capital. More than 50% of assets are expected in a large-cap core sleeve, complemented by mid-cap momentum and small-cap value-and-quality allocations. OTAX may invest less than 10% internationally and can use other ETFs, including affiliated, active, index, hedged and buffer strategies. The non-diversified fund will normally maintain at least 80% in equities.