Waystone Supports Canaccord Genuity’s Quest® in Launching World’s First Cashflow Returns on Capital ETF
- World’s first ETF based on Cashflow Returns on Capital marks Quest’s entry into the ETF market after more than 30 years
- New fund brings Quest’s proprietary investment methodology to investors through a transparent, rules-based ETF structure
- Launched via Waystone’s white-label ETF platform, with the fund listing on the London Stock Exchange in USD and GBP
Waystone, a leading provider of specialist services to financial institutions, today announces the launch of the Quest Global Equity Cashflow Compounder ETF via its white-label ETF platform. The launch marks Quest’s first entry into the ETF market in its 30-year history.
The new ETF brings Quest’s established cashflow-based investment approach to investors through a transparent, rules-based structure. Listed on the London Stock Exchange in USD and GBP, the fund will initially target UK investors.
The ETF tracks the Quest Global Equity Cashflow Compounder Index, which comprises 30 liquid global companies selected for their ability to generate strong cashflows. Quest’s proprietary methodology focuses on the cash businesses generate relative to the capital they employ, offering investors an alternative measure of corporate quality to traditional accounting-based metrics such as return on equity.
Since its inception in 2015, the Index has delivered long-term returns in excess of the MSCI World Index. The launch makes Quest’s longstanding investment methodology available through an ETF for the first time, providing investors with a new way to access its approach to identifying high-quality global companies.
Hosted on Waystone’s white-label ETF ICAV platform, the fund benefits from Waystone’s specialist ETF infrastructure and services, supporting Quest’s entry into the ETF market without the cost and complexity of building its own operational set-up.
James Congdon, Head of Quest at Canaccord Genuity said: “For more than 30 years, Quest has provided institutional investors with differentiated research focused on cashflow as the foundation of corporate quality, and the launch of our first ETF marks an important new chapter in bringing insights from that research to a broader range of investors in a transparent, rules-based form. We are grateful to Waystone for their support in bringing this opportunity to market.”
Paul Heffernan, Global Head of Waystone ETFs said: “We are delighted to partner with Quest on its first ETF, bringing a distinctive investment strategy to market. This launch demonstrates how our ETF white-label platform can support established investment firms as they expand into ETFs, providing the specialist ETF expertise across capital markets, customised operating infrastructure and world class governance needed to launch efficiently and build for long-term growth.“
For More Information
Waystone press contact:
[email protected]
About Waystone
Waystone is a leading asset-servicing solutions provider of institutional governance, administration, risk and compliance services to financial institutions. With over 25 years’ experience and a comprehensive range of specialist services to its name, Waystone helps our clients structure, operate and grow through our expertise, innovation and digitisation, backed by the operational scale to support global expansion.
About Quest, Canaccord Genuity
Quest® is an analytical platform produced by Canaccord Genuity Limited that provides proprietary risk and valuation metrics, cash flow analysis, and trade validation summaries across 20,000 global equities. Launched in 1996 for institutional investors, the platform utilizes Cash Flow Returns on Capital (CFROC) and a 40-year discounted cash flow (DCF) model to challenge market consensus via objective cash flow analysis rather than traditional accrual-based metrics. The platform features include quantitative stock screens, portfolio review capabilities via the Quest triAngle model, and the Questy AI Assistant for direct financial metric retrieval. Quest® is authorized and regulated by the Financial Conduct Authority (FCA) in the United Kingdom.