To say opinions on the future of active ETFs are mixed would be a major understatement. Nearly two years after PowerShares launched its first line of active ETFs and a year after the much-publicized launch of the Grail American Beacon Large Cap Value ETF (GVT), active ETFs remain stuck in first gear. Investors have expressed excitement over the development of an investment option combining active management with the benefits of the exchange-traded structure, but have so far been hesitant to put their money where their mouth is. [click to continue…]
The monthly data release of ETF trading data from the National Stock Exchange always provides a comprehensive industry snapshot, detailing fund flows, asset levels, and the latest update on an increasingly-competitive battle for market share. There is no shortage of number-crunching following each release, but most of the analysis focuses on high level industry trends, such as month-over-month growth, cash inflows, and success of recent high-profile launches. [click to continue…]
T. Rowe Price has filed with the Securities and Exchange Commission for approval to launch a line of actively-managed ETFs. In its filing for exemptive relief with the SEC, T. Rowe indicated that its initial fund would invest primarily in domestic fixed income securities, but that it could eventually launch domestic and international equity ETFs, [...]
PIMCO, the Newport Beach, California-based bond fund giant, launched its latest exchange-traded fund on Wednesday, the Intermediate Municipal Bond Strategy Fund. The new ETF, which comes with an expense ratio of 35 basis points, will trade under the ticker MUNI, which was somehow still available. The ETF will be managed by John Cummings, the company’s [...]
Newport Beach, California-based PIMCO announced Tuesday the launch of its first actively-managed bond ETF, the Enhanced Short Maturity Strategy Fund. The new ETF will trade on the NYSE Arca Exchange under the ticker MINT and charge expenses of 0.35%. MINT is intended to be a higher yielding alternative to money market funds, and will invest [...]
Earlier this year, best-selling author Harry Dent , Jr. ventured into the ETF industry, launching the Dent Tactical ETF (DENT) in a move that further blurred the lines between active and passive management. DENT is actively managed by a team of analysts using primarily economic and demographic analysis to determine the overall trend of U.S. [...]
San Francisco-based iShares, the established market leader in the bond ETF space, has filed for two additional ETFs that would expand its coverage of fixed income ETF opportunities. The two new proposed funds include:
Earlier this year, San Francisco-based Grail Advisors broke onto the actively-managed ETF scene with the launch of its highly anticipated Grail American Beacon Large Cap Value ETF (GVT). After the follow-up launch of four additional ETFs last week, Grail is moving ahead with plans for two actively-managed fixed income ETFs. The proposed funds, both of [...]
Over the past several years, exchange-traded funds have enjoyed a tremendous surge in popularity, passing many major milestones as they were embraced by retail and institutional investors alike. Once comprised solely of “plain vanilla” products tracking well-known equity indexes, the ETF industry has evolved at an incredible pace in recent years, and now offers investors [...]
Although ETFs and mutual funds seem in many ways to be natural rivals, one of the most closely-watched trends in the “active vs. passive” debate has been the development of a hybrid type of investment option: actively-managed ETFs. While the space has mostly taken “baby steps” to this point, it appears to be poised for [...]
Over the last several months, a number of actively-managed ETFs have been launched. These investment vehicles are essentially a hybrid of traditional mutual funds and ETFs, providing many of the benefits that have boosted the ETF industry (lower fees, greater transparency and flexibility, etc.), while implementing an active trading strategy in an attempt to outperform a market [...]
Had Jerry Seinfeld pursued a career in finance, I imagine he’d be having a field day around the water cooler with the launch of the Grail American Beacon Large Cap Value ETF (GVT) yesterday: “What’s the deal with actively managed ETFs…isn’t the whole point of an ETF that is isn’t actively managed?” Since one of [...]
