Equity
Overview
An actively managed portfolio of primarily international large-cap equity companies that seeks long-term growth of capital
About this Fund
- Invests in stocks of quality companies that have stable performance patterns and that trade at attractive prices
- An actively managed, high-conviction, core equity portfolio designed to outperform the MSCI EAFE Index over time, while emphasizing risk mitigation and seeking to capture most of the upside in rising markets
Investment Approach
- Holds 70-90 non-US large capitalization stocks, targeting an upside and downside capture (90%/70%)
- Differentiated research insights drive conviction, balancing quality, stability and reasonable pricing to identify stocks with attractive risk-adjusted return potential
- Buying high-quality, stable companies at the right price can beat the market and mitigate downside risk
Why Invest in This International Low-Volatility ETF?
- Attractive Growth Potential
ILOW is an actively managed core equity portfolio that seeks to outperform the market with lower volatility. - Focus on QSP
We believe an effective defensive strategy should be grounded in company fundamentals and focus on firms that exhibit characteristics of quality (consistent cash flows and measures of profitability like return on invested capital), stability (low volatility of returns relative to the market) and attractive pricing that make them less susceptible to wide market swings (QSP). - Better Outcome
By focusing on the fundamental drivers of high-quality, resilient business models at attractive prices, our international low-volatility ETF allows investors to participate in rising markets (upside capture of 90%) and mitigate risk (downside capture of 70%) when markets are declining, enabling investors to stay in the market through challenging conditions. - Access the Active Advantage
While traditional passive approaches to low volatility tend to focus on individual equities with low standard deviation, which can sacrifice high-growth names, the active approach to targeting lower down capture with relatively higher up capture can provide more of a core exposure with the benefits of lower volatility. - High-Conviction Stock Selection
Integrated use of both quantitative and fundamental research in making investment decisions allows us to build a high-conviction, core equity portfolio for this non-US equity low-volatility ETF. - Experienced Team
With over a decade of live track record, our investment team members use their judgment and experience to correct for biases and unintended risks, supporting the stability of our international low-volatility ETF, and they have successfully navigated turbulent market conditions since the launch of our platform in September 2011. - Uncorrelated Source of Return
Our active core equity portfolio with lower volatility international low-volatility ETF can be used to diversify the equity bucket or to complement existing defensive strategies in other asset classes.
Meet The Team
ETF Insight
AB’s Low-Volatility ETFs: Defense and Discipline in Unfriendly Markets
Strategies designed to bolster resilience in turbulent times could outperform over the long run.
Additional Information
Frequently Asked Questions:
Risks To Consider
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Investing in ETFs involves risk and there is no guarantee of principal.
Investors should consider the investment objectives, risks, charges and expenses of the Fund/Portfolio carefully before investing. For copies of our prospectus or summary prospectus, which contain this and other information, visit our Literature Center or contact your AB representative. Please read the prospectus and/or summary prospectus carefully before investing.
Shares of the ETF may be bought or sold throughout the day at their market price on the exchange on which they are listed. The market price of an ETF's shares may be at, above or below the ETF’s net asset value ("NAV") and will fluctuate with changes in the NAV as well as supply and demand in the market for the shares. Shares of the ETF may only be redeemed directly with the ETF at NAV by Authorized Participants, in very large creation units. There can be no guarantee that an active trading market for the Fund’s shares will develop or be maintained, or that their listing will continue or remain unchanged. Buying or selling the Fund’s shares on an exchange may require the payment of brokerage commissions and frequent trading may incur brokerage costs that detract significantly from investment returns.
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Derivatives Risk: Derivatives may be difficult to price or unwind and may be leveraged so that small changes may produce disproportionate losses for the Fund.
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Equity Securities Risk: The Fund invests in publicly traded equity securities, and their value may fluctuate, sometimes rapidly and unpredictably, which means a security may be worth more or less than when it was purchased.
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Foreign (Non-U.S.) Investment Risk: Investments in securities of non-U.S. issuers may involve more risk than those of U.S. issuers. These securities may fluctuate more widely in price and may be more difficult to trade than domestic securities due to adverse market, economic, political, regulatory, or other factors.
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Non-Diversification Risk: The Fund may have more risk because it is “non-diversified”, meaning that it can invest more of its assets in a smaller number of issuers. Accordingly, changes in the value of a single security may have a more significant effect, either negative or positive, on the Fund’s net asset value.
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New Fund Risk: The Fund is a recently organized, giving prospective investors a limited track record on which to base their investment decision.
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Distributed by Foreside Fund Services, LLC. Foreside is not affiliated with AllianceBernstein.
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AB funds may be offered only to persons in the United States and by way of a prospectus. This website should not be considered a solicitation or offering of any investment products or services to investors residing outside of the United States.
Investment Products Offered:
Are not FDIC Insured | May Lose Value | Are Not Bank Guaranteed
The [A/B] logo and AllianceBernstein® are registered trademarks used by permission of the owner, AllianceBernstein L.P.
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Prior to close of business on 7/15/2024, the AB International Low Volatility Equity ETF operated as an open-end mutual fund. The Fund has an identical investment objective and substantially similar investment strategies and investment risk profiles as the predecessor mutual fund. The NAV returns include returns of the Advisor Share Class of the predecessor mutual fund prior to the Fund’s commencement of operations. Performance for the Fund’s shares has not been adjusted to reflect the Fund’s shares’ lower expenses than those of the predecessor mutual fund’s Advisor Share Class. Had the predecessor fund been structured as an exchange-traded fund, its performance may have differed. Please refer to the current prospectus for further information. Prior to 7/15/2024, the Fund was called AB International Low Volatility Equity Portfolio. Data prior to 7/15/2024 relate to AB International Low Volatility Equity Portfolio.