VVMIX — Advantus Dynamic Managed Volatility Fund

VVMIX Fund Overview

VVMIX — Advantus Dynamic Managed Volatility Fund is a US mutual fund managed by Managed Portfolio Series, categorised as Total Return Allocation. ABC INVEST provides holdings, performance, costs, cashflows, risk data, prospectus documents and SEC filings, sourced from SEC filings.

• Type: US mutual fund
• Manager: Managed Portfolio Series
• Category: Total Return Allocation
• Assets under management: $66.90M
• Ticker: VVMIX
• SEC CIK: 0001511699
• SEC series ID: S000051032
• Share class ID: C000160784

VVMIX Investment Objective and Strategy

Advantus Dynamic Managed Volatility Fund describes its objective and strategy as follows, from its latest prospectus filed with the SEC by Managed Portfolio Series.

Investment objective

The Advantus Dynamic Managed Volatility Fund (the Fund) seeks to maximize risk-adjusted total returns relative to its blended benchmark index, comprised of 60% S&P 500 Index and 40% Bloomberg Barclays U.S. Aggregate Bond Index (the blended benchmark index is referred to as the Benchmark Index).

Principal investment strategy

The Fund seeks to achieve its investment objective by investing in other funds and directly in securities, while using hedging techniques to manage portfolio risk and volatility. The Fund achieves its equity exposure by investing primarily in large capitalization equity securities or in exchange-traded funds (ETFs) that invest in large capitalization equity securities. The Adviser considers a company to be a large capitalization company if it has a market capitalization at the time of purchase within the range of companies included in the S&P 500 Index. The Fund achieves its fixed income exposure by investing primarily in fixed income securities that are investment-grade corporate bonds, ETFs that invest in investment-grade fixed income securities, exchange-traded notes (ETNs), interest rate swaps, treasury and interest rate futures, or other instruments that have characteristics similar to the fixed income securities included in the Bloomberg Barclays U.S.

Aggregate Bond Index. The Funds investments in fixed income securities may include privately placed securities that have not been registered under the Securities Act of 1933 (the Securities Act) but may be resold to qualified institutional buyers in accordance with the provisions of Rule 144A under the Securities Act (Rule 144A Securities). Under normal market conditions, the Fund seeks to maintain an average dollar-weighted effective duration for its fixed income portfolio of less than 10 years. Duration measures the sensitivity of the price of a fixed income investment to a change in interest rates. For example, an investment with a two-year duration means that it will decrease in value by 2% if interest rates rise 1%. Conversely, the investment will increase in value by 2% if interest rates fall 1%.

Over time, the Fund targets approximately 60% equity exposure and 40% fixed income exposure in its portfolio. As market conditions change, however, the equity allocation will change to manage overall Fund volatility, with a minimum equity allocation of 10% and a maximum equity allocation of 90% of the Funds total market value. Under normal market conditions the Fund may keep approximately 15% of the Funds total assets in cash or cash equivalents. In selecting investments, the Adviser considers factors such as, but not limited to, the Funds current and anticipated asset allocation positions, security pricing, industry outlook, current and anticipated interest rates and other market and economic conditions, general levels of debt prices and issuer operations. The Fund may also engage in frequent or short-term trading of securities and derivative instruments.

The Fund may invest in derivative instruments, primarily by holding long and/or short positions in S&P 500 futures contracts, to manage the Funds equity volatility. The Funds investments in derivatives may also include investments in options. In periods when the Adviser expects higher volatility in the equity market, as measured by the S&P 500 , the Fund will seek to reduce the equity volatility of its portfolio by either selling S&P 500 futures contracts (taking short positions in such contracts) or reducing its long positions in S&P 500 futures contracts. During periods of lower expected volatility in the equity market, the Fund will seek to increase its equity exposure by purchasing S&P 500 futures contracts (increasing its long positions) or reducing its short positions in such contracts.

Under normal market conditions, this hedging process targets, over an extended period of years, an average annualized volatility in the daily total returns of the Fund of approximately 10%. The Funds use of S&P 500 , treasury and interest rate futures contracts and interest rate swaps has the effect of introducing leverage into the Funds portfolio. Leverage is introduced because the initial amount required to purchase a futures contract is small in relation to the notional value of such contract.

VVMIX Costs and Fees

VVMIX costs about $61 per $10,000 invested per year in fund expenses.

• Net expense ratio: 0.61%
• Gross expense ratio: 0.99%
• Portfolio turnover: 1%
• Brokerage commissions: 3.05 bps of average net assets (SEC N-CEN)

VVMIX Cashflows

Over the 12 months to 2020-11, Advantus Dynamic Managed Volatility Fund had net inflows of $5.04M, from monthly SEC N-PORT filings.

VVMIX Debt Constituents

No individual debt constituents are reported in Advantus Dynamic Managed Volatility Fund's latest SEC N-PORT filing.

VVMIX Prospectus and SEC Filings

Official Advantus Dynamic Managed Volatility Fund filings on SEC EDGAR — prospectus, portfolio holdings and annual reports.

• Prospectus (485BPOS) — filed 2020-01-10
• Prospectus (485BPOS) — filed 2019-01-02
• Prospectus (485BPOS) — filed 2018-01-05
• Portfolio holdings (N-PORT) — filed 2021-01-13
• Portfolio holdings (N-PORT) — filed 2020-10-27
• Portfolio holdings (N-PORT) — filed 2020-07-23
• Annual census (N-CEN) — filed 2020-11-13
• Annual census (N-CEN) — filed 2019-11-14

Related Funds

Other Total Return Allocation funds tracked on ABC INVEST:

• Federated Total Return Bond Fund (FTRFX)
• Columbia Balanced Fund (CBLAX)
• MFS Total Return Fund (MSFRX)
• AllianzGI Income & Growth Fund (AZNAX)
• AQR Risk Parity Fund (AQRNX)

Data Sources

ABC INVEST compiles this page from public filings made to the U.S. Securities and Exchange Commission (SEC) through EDGAR: portfolio holdings and monthly cashflows from Form N-PORT, expenses and returns from fund prospectuses (Form 485BPOS) and the SEC DERA Risk/Return Summary data sets, annual data from Form N-CEN, and shareholder reports from Form N-CSR.