Former TCW Fund Manager Joseph Shaposhnik launches new Rainwater Equity ETF aiming to revive active management

From Yahoo Finance: 2025-06-18 16:15:00

Former TCW fund manager Joseph Shaposhnik aims to revive active management with the Rainwater Equity ETF (RW) from his new firm, Rainwater Equity. RW offers long-term, tax-efficient exposure to global public companies with durable, repeat-purchase business models. The expense ratio is 1.25%, with top holdings like General Aerospace, HEICO Corp., and Microsoft Corp.

Shaposhnik believes investors have turned to products like thematic and leveraged ETFs due to the failure of active management. RW focuses on businesses with predictable recurring revenue models to provide stable and consistent returns. The fund was seeded by Bill Miller and aims to deliver superior returns over the long term.

Rainwater Equity ETF (RW) was launched by portfolio manager Joseph Shaposhnik to challenge the narrative that active management is no longer effective. By focusing on businesses with predictable revenue models, Shaposhnik believes RW can provide stable and consistent returns for investors and advisors.

Read more: Former TCW Fund Manager Launches New Active Equity ETF