The folks at a 48-year-old, $71-billion-AUM* asset manager in Massachusetts are rolling out their ninth ETF. The new, active fund is also their first ETF powered by one of their five multi-asset class strategies.

This morning, Ben Inker and John Thorndike, co-heads of asset allocation at GMO [profile], unveiled the launch of the GMO Dynamic Allocation ETF (GMOD on the NYSE Arca, Inc.). Boston-based Grantham, Mayo, Van Otterloo & Co. LLC serves as investment advisor to the new ETF.

GMOD's inception date was yesterday (October 13). The new fund comes with an expense ratio of 50 basis points (which bakes in a 23bps fee waiver promised through November 2, 2026).

Inker and Thorndike, who already manage the GMO Dynamic Allocation Strategy, will PM the new ETF. Inker highlights the duo's "decades of experience in asset allocation."

"We're excited to offer our time-tested approach in the ETF structure that clients increasingly demand," Inker states.

Thorndike describes GMOD as providing "a multi-asset portfolio within a single ETF that does the reallocating on investors' behalf, allowing them to benefit from compelling opportunities as they arise, like today's attractive deep value and international stocks, without constantly realizing capital gains."

"Taxable investors can be hesitant to take advantage of new opportunities because they don't want to sell from existing positions with embedded gains," Thorndike states.

GMOD is an actively managed series of the 2023 ETF Series Trust II. The new ETF's other service providers include:

ACA's Foreside Fund Services, LLC as distributor;

Morgan, Lewis & Bockius LLP as counsel;

PricewaterhouseCoopers LLP as independent accounting firm; and

State Street Bank and Trust Company as administrator, custodian, dividend disbursing agent, securities lending agent, and transfer agent.

*As of September 30, 2025. 

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