Virtus Investment Partners, Inc. (NYSE: VRTS) has converted two existing Zevenbergen mutual funds into actively managed exchange-traded funds, expanding its ETF lineup with high-growth equity strategies. The reorganization creates the Virtus Zevenbergen Innovative Growth ETF (NYSE: ZINN) and the Virtus Zevenbergen Discovery Growth ETF (NYSE: ZDIS), preserving the investment philosophy of the predecessor funds while offering intraday tradability and tax efficiencies.

The two new ETFs hold a combined $207.8 million in assets under management (AUM) as of June 30, 2026. The Innovative Growth ETF holds $137.7 million, while the Discovery Growth ETF holds $70.1 million. Both funds were originally launched on August 31, 2015.

Zevenbergen Capital Investments LLC (ZCI), an investment manager of Virtus, will continue to manage both portfolios. ZINN seeks long-term capital appreciation by investing in a concentrated portfolio of companies across capitalizations and life cycle stages with strong growth prospects. ZDIS targets companies in the early stages of their life cycle, often driven by technological advancement.

What the Numbers Show

The conversion consolidates over two decades of fund history into a single ETF structure. The Innovative Growth ETF represents approximately 66% of the combined AUM ($137.7 million vs $70.1 million), indicating a larger investor base or higher asset accumulation in the broader growth strategy compared to the discovery-focused mandate.

William J. Smalley, executive managing director of Virtus ETF Solutions, stated that the introduction expands Virtus’ lineup of actively managed ETF strategies. Nancy Zevenbergen, CFA, president and chief investment officer of ZCI, noted that the move provides increased transparency and access for shareholders who have held the research for more than a decade.

ZCI specializes in high-growth and technology equity strategies for separately managed portfolios, mutual funds, and ETFs. Founded in 1987, the firm focuses on founder-led companies with strong financials and experienced management teams.

Virtus Investment Partners, Inc. today announced the launch of the Virtus InfraCap Preferred and Income Securities ETF (VPFF), an actively managed exchange-traded fund designed to generate current income through a portfolio of preferred securities issued by U.S. companies. The fund is subadvised by Infrastructure Capital Advisors, LLC and represents the 27th ETF offered through Virtus’ multi-manager ETF platform, Virtus ETF Solutions. This launch addresses investor demand for an unlevered version of the Virtus InfraCap U.S. Preferred Stock ETF (PFFA).

Investment Strategy

The fund invests primarily in U.S. preferred securities, utilizing an active management approach to mitigate risks associated with callable securities, fluctuating interest rates, and issuer concentration. The portfolio management team relies on market analysis, fundamental research, and ongoing portfolio reviews to identify investment opportunities.

Management Commentary

Jay Hatfield, CEO and CIO of Infrastructure Capital, highlighted the fund's alignment with market needs. "In the current market environment, investors are seeking high income with low volatility," said Hatfield. "VPFF seeks to offer investors the benefits of a high-yielding diversified basket of preferred stocks, with rigorous and active risk management."

William J. Smalley, executive managing director of Virtus ETF Solutions, emphasized the strategic importance of the launch. "The launch of VPFF further strengthens Virtus’ position as a leading provider of preferreds strategies within the ETF market," Smalley stated. "VPFF applies Infrastructure Capital’s active investment process and implementation techniques in a portfolio that is designed for investors seeking current income with an emphasis on disciplined security selection and risk management."

Key Fund Details