Notable investor Bill Miller is getting into the exchange traded fund game, according to securities filings. Miller Value Partners made the initial filings for what appears to be its first ETFs on Wednesday — the Miller Value Partners Appreciation ETF and the Miller Value Partners Leverage ETF. The Appreciation fund will be an actively managed fund holding 20 to 40 common stocks that Miller believes “have an above-average probability of outperforming the S & P 500 Index over a multi-year time horizon.” Miller famously beat the S & P 500 for 15 straight years ending in the mid-2000s with his fund at the time, the Legg Mason Value Trust. The leveraged ETF is also actively managed, but will include leveraged ETFs and swaps on the S & P 500 in addition to equities and standard ETFs. Miller Value Partners will use an “adaptive, data-driven approach” to determine each day whether the fund should be leveraged or unleveraged, the filing said. The ETF filings says there will be information about the funds’ daily holdings available, but it is not clear if that will include the daily buys and sells shown by some other active ETFs, such as Cathie Wood’s Ark Invest products. The top holdings for Miller’s main investment fund at the end of the December include stocks like homebuilder Taylor Morrison and lender OneMain Financial , according to FactSet. While Miller has made his name as a value investor, he has expanded his portfolio to include bets on certain tech stocks like Amazon . He has also taken short positions against Tesla and dabbled in bitcoin in his personal accounts. Neither of the new ETF has tickers or fees listed yet, which is not unusual for initial filings. The filings could become effective after 75 days, putting the potential launch date in July. The filings were first reported by Bloomberg News.
