USAA Launches Portfolio Of Smart Beta And Fixed Income Exchange Traded Funds (ETFs)

SAN ANTONIO, Oct. 26, 2017 /PRNewswire/ -- USAA announced today the initial trading of its first USAA-branded exchange traded funds (ETFs) on NYSE Arca. Consisting of four smart beta equity ETFs and two fixed income ETFs, the new suite of funds are built as core portfolio-building solutions and provide investors more investment choices at a competitive entry point. The smart beta equity ETFs strategy is to focus on two primary factors: value and momentum, which identify stocks with attractive valuations and positive price momentum. The strategy includes holdings that are weighted in such a way to help diversify the risk of the individual holdings.

The new actively-managed fixed income ETFs capitalize on USAA's decades of experience in Core Bond categories. The USAA Core Intermediate-Term Bond ETF has an investment objective that focuses on high current income without undue risk to principal and the USAA Core Short-Term Bond ETF features an investment objective that focuses on high current income consistent with preservation of capital. USAA is a significant institutional investor in ETFs and has been investing successfully the USAA way in fixed income for more than 40 years.

Additional information on the new USAA ETFs:

    ETF Name                           Ticker Inception            Expense

                                       (NYSE) Date                 Ratio(1)
    ---                                -----  ----                 -------

    Actively Managed Fixed Income ETFs
    ----------------------------------

    USAA Core Short-Term Bond ETF      USTB             10/26/17   .40% Gross

                                                                 .35% Net
    ---                                                      ---   --------

    USAA Core Intermediate-Term Bond
     ETF                               UITB             10/26/17   .45% Gross

                                                                 .40% Net
    ---                                                      ---   --------

    Smart Beta Equity ETFs
    ----------------------

    USAA MSCI USA Value Momentum Blend
     Index ETF                         ULVM             10/26/17   .25% Gross

                                                                 .20% Net
    ---                                                      ---   --------

    USAA MSCI USA Small Cap Value
     Momentum Blend Index ETF          USVM             10/26/17   .30% Gross

                                                                 .25% Net
    ---                                                      ---   --------

    USAA MSCI International Value
     Momentum Blend Index ETF          UIVM             10/26/17   .40% Gross

                                                                 .35% Net
    ---                                                      ---   --------

    USAA MSCI Emerging Markets Value
     Momentum Blend Index ETF          UEVM             10/26/17   .50% Gross

                                                                 .45% Net
    ---                                                      ---   --------

    1: The Adviser has contractually
     agreed to waive a portion of its
     management fees in an amount
     equal to 0.05% of the average
     daily net assets of the Fund
     through 10/15/18 and the waiver
     cannot be terminated or reduced
     without approval of the Fund's
     Board of Trustees ("Board")
     during that term.

"At USAA, we continually strive to meet our members' needs and help them achieve their financial goals. We've had a long and successful history offering marketplace ETFs and currently have more than $5 billion invested in third party ETFs through multiple asset classes," said John Spear, Chief Investment Officer, USAA Mutual Funds. "When you add our core competency of active fixed income fund management and track record providing smart beta strategies, it was a logical next step to offer USAA-branded ETFs to complement our investment solutions and help our members prepare for their financial future."

Disclaimer
Consider the investment objectives, risks, charges and expenses and other information of the USAA ETFs, available in each ETF's prospectus, carefully before investing. Contact us at 800-531-8910 for a prospectus containing this and other information about the funds from USAA Investment Management Company, Distributor. The information provided does not constitute a recommendation of any investment strategy or product for a particular investor and should not be considered advice given in a fiduciary capacity, including within the meaning of ERISA. Investors should consult a financial advisor/financial consultant before making any investment decisions.

About USAA
The USAA family of companies provides insurance, banking, investments, retirement products and advice to 11.7 million current and former members of the U.S. military and their families. Known for its legendary commitment to its members, USAA is consistently recognized for outstanding service, employee well-being and financial strength. USAA membership is open to all who are serving our nation in the U.S. military or have received a discharge type of Honorable - and their eligible family members. Founded in 1922, USAA is headquartered in San Antonio. For more information about USAA, follow us on Facebook or Twitter (@USAA), or visit usaa.com.

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SOURCE USAA