Envestnet Portfolio Solutions Inc. continues to diversify its portfolio with new investments in the iShares U.S. Equity Factor ETF (LRGF) and Vanguard ESG US Stock ETF (ESGV) [b5e464c3]. During the third quarter, the company acquired 5,328 shares of LRGF, valued at approximately $231,000 [b5e464c3]. Other hedge funds, including Ullmann Wealth Partners Group LLC, JPMorgan Chase & Co., Tolleson Wealth Management Inc., and Stokes Family Office LLC, have also recently bought and sold shares of LRGF [b5e464c3]. The iShares U.S. Equity Factor ETF is an exchange-traded fund based on the STOXX U.S. Equity Factor index, which tracks US large- and mid-cap equities. The fund selects and weights stocks to maximize exposure to five factors: momentum, quality, value, low volatility, and size. LRGF has a market capitalization of $1.63 billion, a price-to-earnings ratio of 15.32, and a beta of 0.98. Its one-year low is $38.73 and its one-year high is $52.57 [b5e464c3].
In addition to the investment in LRGF, Envestnet Portfolio Solutions Inc. purchased 3,051 shares of Vanguard ESG US Stock ETF (ESGV), valued at approximately $229,000 [ec34821e]. Other large investors, including Soundwatch Capital LLC, Financial Engines Advisors L.L.C., US Financial Advisors LLC, PNC Financial Services Group Inc., and Betterment LLC, have also modified their holdings of the business [ec34821e]. Vanguard ESG US Stock ETF has a market capitalization of $7.88 billion, a price-to-earnings ratio of 19.70, and a beta of 1.03. The ETF is based on the FTSE USA All Cap Choice index and is managed by Vanguard. Envestnet Portfolio Solutions Inc.'s investment in Vanguard ESG US Stock ETF was disclosed in the company's filing with the Securities and Exchange Commission (SEC) [ec34821e].
Meanwhile, Franklin Templeton has completed the reorganization of the ClearBridge All Cap Growth ESG ETF (CACG) into the ClearBridge Large Cap Growth ESG ETF (LRGE) [b7eca60b]. This reorganization involved transferring nearly all assets of CACG to LRGE, with CACG shareholders receiving LRGE shares equivalent to the net asset value of their CACG investments as of June 14, 2024 [b7eca60b]. Approved by the funds' boards of trustees on February 29, 2024, the reorganization did not require shareholder approval. LRGE focuses on long-term capital appreciation by investing in large-cap companies with strong ESG attributes and the potential for significant earnings growth. The reorganization could lead to more efficient management and potentially higher returns for shareholders. Shareholders received LRGE shares at net asset value, maintaining the value of their investments. The reorganization was approved by boards of trustees, reflecting strong governance oversight. However, since it did not require shareholder approval, it may raise governance concerns among investors. There may be potential risks associated with integrating assets from CACG to LRGE that could affect short-term performance [b7eca60b].
Reservoir Link Energy Bhd's (RLEB) subsidiary, Founder Group Ltd (FGL), is planning to list on the Nasdaq Stock Exchange in the third quarter of 2024 [d9c44b09]. The issue price of shares under its initial public offering (IPO) will be at least US$4 each. The floating exercise is expected to raise up to US$21.16 million under the maximum scenario and US$4.6 million under the minimum scenario [d9c44b09]. FGL is an investment holding company with its key subsidiary, Founder Energy Sdn Bhd (FESB), involved in the solar industry in Malaysia. RLEB, which acquired a 51% stake in FESB in 2021, has completed a total of 1,513MW in solar projects. FGL is awaiting approval from the US Securities and Exchange Commission and Nasdaq for its draft prospectus and proposed listing, respectively. The listing is expected to potentially dilute RLEB's effective equity interest in FGL to 41.33% under the minimum scenario and 32.20% under the maximum scenario. The IPO proceeds will be used for geographical expansion, expansion of renewable energy potential, general working capital requirements, and mergers and acquisition costs. FGL plans to expand to Singapore, the Philippines, and Indonesia for future solar PV projects. The Sustainable Energy Development Authority (Seda) Malaysia expects the country's net energy metering (NEM) program to contribute 1,287MW to renewable energy generation by 2025. Seda has approved a total of 10,530 projects for NEM, expected to generate 492.17MW of renewable energy [d9c44b09].