Jeffrey Sherman, Deputy Chief Investment Officer at DoubleLine Capital, discusses the DoubleLine Fortune 500 Equal Weight ETF (DFVE). The Fortune 500 is an annual list published by Fortune since 1955, ranking the top 500 companies domiciled in the U.S. based on revenue. DFVE has an investable universe of 450 individual stocks, about 120 of which are not in the S&P 500. This approach allows for a different selection of securities that span the overall US economy, providing a complement to other strategies. Unlike most market indices that are market capitalization weighted, the Fortune 500 equally weighted index assigns an equal amount of capital to each security within the index. The advantage of an equally weighted index is that it helps to mitigate distortions caused by dominant large-cap companies, which receive the highest allocation in market-cap-weighted portfolios. Historically, the largest names do not always dominate, making a diversified portfolio beneficial.
Link to Prospectus: https://doubleline.com/wp-content/uploads/DoubleLine-ETF-Prospectus-DCMT-DFVE.pdf
As DoubleLine’s Deputy Chief Investment Officer, Jeffrey Sherman oversees and administers DoubleLine’s Investment Management sub-committee coordinating and implementing policies and processes across the investment teams. He also serves as lead portfolio manager for multi-sector and derivative-based strategies. Mr. Sherman is a member of DoubleLine’s Executive Management and Fixed Income Asset Allocation Committees. He can be heard regularly on his podcast “The Sherman Show” (Twitter @ShermanShowPod, ShermanShow@Doubleline.com) where he interviews distinguished guests, giving listeners insight into DoubleLine’s current views. In 2018, Money Management Executive named Jeffrey Sherman as one of “10 Fund Managers to Watch” in its yearly special report. Prior to joining DoubleLine in 2009, Mr. Sherman was a Senior Vice President at TCW where he worked as a portfolio manager and quantitative analyst focused on fixed income and real-asset portfolios. He was a statistics and mathematics instructor at both the University of the Pacific and Florida State University. Mr. Sherman taught Quantitative Methods for Level I candidates in the CFA LA/USC Review Program for many years. He holds a B.S. in Applied Mathematics from the University of the Pacific and an M.S. in Financial Engineering from the Claremont Graduate University. Mr. Sherman is a CFA® charterholder.
