Morningstar Alternatives Solution ETF - ALTS Morningstar Alternatives Solution ETF

ProShares Morningstar Alternatives Solution ETF seeks investment results, before fees and expenses, that track the performance of the Morningstar® Diversified Alternatives IndexSM.

  • Provides a multi-alternative solution powered by a Morningstar index.
  • Allocates among a comprehensive set of ProShares alternative ETFs designed to enhance risk-adjusted returns when added to a traditional stock and bond portfolio.
  • Offers the benefits of an ETF: liquidity, transparency and cost effectiveness.
  • Learn how ALTS provides a multi-alternative strategy in a single ETF.
  • Morningstar CIO discusses the Morningstar Diversified Alternatives Index. Watch the video.

Index/Benchmark Summary

The index is designed to provide diversified exposure to alternative asset classes in order to enhance risk-adjusted portfolio returns when combined with a range of traditional investments. It allocates among a comprehensive set of alternative ETFs that employ alternative and non-traditional strategies such as long/short, market neutral, managed futures, hedge fund replication, private equity, infrastructure or inflation-related investments. The index consists exclusively of ProShares ETFs.

The index allocates to the underlying ETFs based on a proprietary optimization model—which annually calculates the allocation to each underlying ETF based on the improvement in portfolio risk/return characteristics each underlying ETF provides to a traditional stock and bond portfolio. In addition, at each monthly rebalance, the index applies a tactical momentum signal designed to increase the allocations towards asset classes that exhibit positive relative trends over the prior six months.

See Fund Asset Allocations for the underlying ETFs. The index is constructed and maintained by Morningstar, Inc. and its subsidiary Ibbotson Associates.

Index Holdings as of 6/30/20

Index Sector Weightings § Weight
MRGR 29.19%
HDG 23.30%
FUT 15.14%
TOLZ 10.50%
RALS 9.84%
RINF 9.13%
PEX 2.90%

§ Sum of weightings may not equal 100% due to rounding.