Alger Launches the Alger Russell Innovation ETF (Ticker: INVN) to Capture the Next Wave of Market Disruptors
Alger announced the launch of the Alger Russell Innovation ETF (Ticker: INVN), a fully transparent ETF that provides investors with a systematic approach to investing in innovation.
NEW YORK, January 6, 2025 – Fred Alger Management, LLC (“Alger”), a privately held $27.4 billion growth equity investment manager, today announced the launch of the
Alger Russell Innovation ETF (Ticker: INVN), a fully transparent ETF that provides investors with a systematic approach to investing in innovation.
The Alger Russell Innovation ETF seeks to track the performance of the Alger Russell Innovation Index, which is designed to capitalize on the most innovative companies in the Russell 1000 Index by identifying the top 50 companies of the Russell 1000 with high ratios of research and development (R&D) expenditures relative to enterprise value (EV), along with other factors. The names are equally weighted at each quarterly review.
“Innovation is accelerating change for businesses and transforming the economy, which means investors must think and act differently. One way to take advantage of this change is to allocate assets to innovation, which we believe has the potential to be an important component of investors’ portfolios,” said Brad Neuman, CFA, Alger’s Director of Market Strategy. “A fundamental change in how businesses pursue growth is upending conventional accounting practices, creating a need for new approaches to bring innovation out of the shadow of financial statements and into an accessible investing vehicle.”
Alger worked with FTSE Russell to build the underlying index. FTSE Russell is responsible for administering, calculating, and governing the index.
“The U.S. equity market has transformed over the past decade due to the rise of investments in intangible assets. Companies now derive value from intellectual property, R&D, data, and human capital, replacing physical asset-heavy industries. However, this rapid growth has led to rich valuation multiples and market concentration, especially among large-cap leaders,” said Sebastian Lancetti, CFA, Head of Index Research for the Americas at FTSE Russell. “Looking ahead, identifying the next wave of winners requires a discerning approach, focusing on companies with the capacity to both invest in innovation and deliver tangible economic results. The Russell 1000 Index ensures broad market representation, industry diversification, and future-proofing against emerging trends.”
“Alger has been focused on identifying and investing in growth, innovation, and change for 60 years. The Alger Russell Innovation ETF’s underlying methodology is unique, and we believe may highlight some of the most innovative companies where spending on innovation is potentially being undervalued by investors,” said Dan Chung, CEO and Chief Investment Officer at Alger.
The portfolio management team includes Dan Chung, Brad Neuman, and Greg Adams. They have an average of 30 years of investing experience.
“We continue to hear from clients that they are looking for differentiated investment opportunities, and we believe that the Alger Russell Innovation ETF is a unique way to address this growing demand,” said Alger’s President and Chief Distribution Officer Christoph Hofmann. “We continue to commit resources to expanding Alger’s ETF line-up, as demonstrated last year by the launch of the Alger Concentrated Equity ETF (CNEQ) and the Alger AI Enablers & Adopters ETF (ALAI), as well as the transition from semi-transparent to fully transparent ETFs. We strive to ensure our clients have the products and vehicles they need to service their clients and their long-term investing needs.”
The Alger Russell Innovation strategy is also available to investment professionals in a separate account.
CONTACTS:
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Prosek Sheila Cooney
203-745-2523
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Alger Scott A. Anderson 212-806-2972
mediarelations@alger.com
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