Newly launched investment firm CresAlta Investment Management has entered the ETF market with two actively managed funds aimed at long-term wealth creation and portfolio diversification as investors grapple with growing concentration in mega-cap equities.
The firm launched the CresAlta Global Dividend ETF (NYSE:CVGD) and the CresAlta Small and Mid-Cap ETF (NYSE:CVSM) alongside six separately managed account strategies. Both ETFs use a Section 351 in-kind conversion strategy, allowing equities to be transferred into the funds through tax-deferred in-kind contributions at launch.
Key features of the ETFs include:
- CresAlta Global Dividend ETF (CVGD):
- Actively managed global equity strategy focused on long-term capital appreciation and income generation.
- Invests in financially strong, dividend-paying companies.
- Uses proprietary business cycle analysis and dynamic dividend-category rotation.
- Typically holds 35–50 stocks.
- Top 10 holdings account for roughly 35%–40% of the portfolio.
- CresAlta Small and Mid-Cap ETF (CVSM):
- Actively managed value-oriented SMID-cap strategy.
- Targets companies with attractive valuations and improving fundamentals.
- Incorporates the same business cycle and dividend rotation framework.
- Typically holds 40–60 positions.
- Top 10 holdings make up around 30% of the portfolio.
- CresAlta currently offers six SMAs spanning global equities, blue-chip value, sustainable investing, all-cap strategies and natural resources.
Joshua Stevens, chief investment officer at CresAlta, said the strategies were developed over the past two decades within AMG National Trust's AMG Capital Management division and are designed to provide "counterweights to the passive" as many investors unknowingly become concentrated in a narrow group of stocks through index exposure. He added that the ETF wrapper offers a more tax-efficient and accessible structure while preserving the firm's long-standing investment process.
The launch comes as active managers increasingly pitch differentiated strategies to investors seeking diversification beyond dominant mega-cap technology names. CresAlta said it plans to expand its ETF lineup further as it builds out its platform for advisors, family offices and individual investors.
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