Redmontian Wealth Launches New Total Market ETF with Zero Management Fees
Redmontian Wealth (RW) announced today the launch of its flagship exchange-traded fund, the Redmontian Total Market Index (RTM), opening investment opportunities across multiple sectors with a focus on VMA Echo Stocks. The fund debuts with 10,000 shares priced at $8 each and promises a monthly dividend structure unusual in today’s market.
Investment Strategy and Holdings
RTM distinguishes itself by offering broad market exposure across sectors including Raw Resources, Technology, and various other industries. According to Redmontian Wealth, the fund will maintain a “publicly viewed and consistently updated list of shares,” providing transparency to investors about its holdings.
“Our growth strategy involves adjusting weighted exposures as necessary while steadily expanding our technology sector investments,” said a spokesperson for Redmontian Wealth. “We’ll incorporate additional shares strategically to enhance exposure and maximize returns for our investors.”
Fee Structure and Dividend Policy
In a move that sets it apart from most ETF offerings, Redmontian Wealth announced that RTM will charge no management fees. Instead, all profits generated by RW from the fund will be reinvested directly back into the index, potentially increasing its overall value.
The fund has established an initial dividend policy of $0.25 per share monthly, though the company notes that this amount “can easily be removed or changed by the CEO of RTM’s Host RW,” suggesting that investors should be prepared for potential adjustments to the dividend structure.
Governance and Growth
The ETF’s structure includes provisions for creating additional shares, which can only occur after a vote between Redmontian Wealth’s two owners. This controlled expansion mechanism aims to manage the fund’s growth while maintaining its investment focus.
Redmontian Wealth has made RTM “open to anyone who wants to invest, regardless of their financial situation,” positioning it as an inclusive investment vehicle despite its specialized focus on Echo Stocks.
Vanguard Faces Bank Run as Withdrawal Requests Go Unprocessed
In related news, Vanguard—the company that owns and controls VMA Echo Stocks—is facing what appears to be a bank run situation, with numerous reports of customers unable to withdraw their funds. Market insiders report that Vanguard has been declining or indefinitely delaying withdrawal requests, triggering panic among investors.
What we’re seeing with Vanguard bears all the hallmarks of a classic liquidity crisis. Their apparent inability to process withdrawal requests raises serious questions about the underlying stability of the VMA ecosystem that forms the foundation of funds like RTM.
Channels have been flooded with accounts from Vanguard clients claiming their withdrawal requests have been pending for days or weeks without resolution. This has sparked concerns about potential contagion effects that could impact the backing of VMA Echo Stocks.
The timing of RTM’s launch amid this controversy has drawn both criticism and praise from market watchers. Some view it as a risky move to build a fund around assets linked to a platform experiencing withdrawal issues, while others see it as an opportunistic entry into a market that may be temporarily undervalued due to the Vanguard situation.
Vanguard has not replied only a brief unofficial statement indicating they are experiencing higher than normal transaction volumes and are working diligently to process all customer requests, without directly addressing the alleged withdrawal restrictions.
Investors interested in learning more about the RTM fund can visit Redmontian Wealth’s Discord for additional information.