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, as well global fixed income funds. [click to continue…]
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 [...]