MFS Unveils Ninth Blended Research Emerging Markets ETF with 2% Tracking Error Target
MFS launched its ninth actively managed ETF, MFS Blended Research Emerging Markets Equity ETF, targeting a 2% tracking error versus the MSCI Emerging Markets Index. The ETF joins eight active funds with over $1.7 billion in assets and is run by a six-person Quantitative Solutions team.
1. Launch of BREE ETF
On March 5, MFS began trading its ninth actively managed ETF, MFS Blended Research Emerging Markets Equity ETF. This fund expands MFS’s active ETF lineup to nine products launched since late 2024.
2. Investment Strategy and Objectives
BREE blends fundamental and quantitative research to build a diversified emerging markets portfolio. It aims to outperform the MSCI Emerging Markets Index with a targeted tracking error of approximately 2% over a full market cycle.
3. Management Team
The ETF is led by portfolio manager Jed Stocks and supported by five experienced quantitative professionals. The team is part of MFS’ Quantitative Solutions group, which draws on over 300 investment experts.
4. Active ETF AUM Growth
MFS’ existing eight active ETFs have amassed over $1.7 billion in assets under management. Across its Blended Research strategies, MFS oversees $25.9 billion, contributing to a firmwide total of $661.8 billion.