The folks at Grail Advisors
should be smiling. They're set to debut what they're pitching as the industry's first actively managed ETF on Monday and no less than the Wall Street Journal
has picked up on the launch in the Monday edition of the
Fund Track column
. The American Beacon
-sub-advised fund comes with an expense ratio of 79 basis points and its assets will be allocated among Brandywine Global Investment Management
, Hotchkis & Wiley Capital Management
and Metropolitan West Capital Management
There are already other products in the market that describe themselves as active ETFS, such as those offered by Invesco PowerShares
. However, in those ETFs managers purchase stocks based on computer models.
Other firms planning to throw their hat into the active ETF arena include Pimco
Grail's product represents "the next step in the ETF evolution," Grail Advisors CEO
, was quoted as saying in the column, penned by Shefali Anand.
Some industry watchers, though, continue to be skeptical about the demand for
such a product.
editor Matt Hougan
says Grail's product may face difficulty
in drawing assets because it doesn't have a proven track record. Since their debut last year, three Invesco PowerShares
actively managed stock ETFs have thus far attracted only $15 million.
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