The ETF ballgame is in its third inning, and active ETFs "just settling into the first inning."
| James Ross|
State Street Corp, SPDR ETF
Executive Vice President, Global Head
So argues Jim Ross
in a recent guest column for Institutional Investor
. Ross serves as executive president at State Street Global Advisors (SSgA
]) and global head of SSgA's SPDR
Ross compares active ETFs' slow first few years with the slow early days of ETFs themselves. He sees the importance of cost and the weirdness of fixed income as continuing to drive active ETF growth going forward, and he sees hurdles like transparency and three-year track records being overcome in time.
"We could be entering a market in which investors begin to look more favorably on active funds, because correlations have decreased, volatility has returned, and dispersions may increase," Ross writes.
Neil Anderson, Managing Editor
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