Tidal Files Six Active Equity ETFs With Risk-Control Strategies

Tidal Financial has filed for six actively managed ETFs covering emerging markets, international equities, U.S. equities, and U.S. and international small caps, with the sub-adviser yet to be announced. Three funds would use a proprietary model that selects monthly from six “Alpha Regimes” combining factors such as quality, growth, value, income and lower volatility. A separate “Alpha Guard” signal monitors high-yield credit stress daily and can shift up to 50% of assets into cash and short-term securities. The two small-cap strategies would instead use credit-focused, bottom-up stock selection based on leverage, credit spreads, cash flow, valuations, fundamentals and analyst sentiment. The international strategies may also invest in emerging markets and China A-shares.