MutualFundWire.com: Active ETFs Miss Out on the Small-Cap Party
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Monday, June 16, 2008

Active ETFs Miss Out on the Small-Cap Party


Active ETFs burst onto the scene this year, but so far, there have been no such ETFs focused on small-cap stocks. In Monday's Wall Street Journal Fund Track column, Ian Salisbury explores why this is the case and writes that active ETFs being so far limited to just large-cap stocks and short-terms bonds could be a "thorny problem", noting that the small-cap area is where active managers have historically found it easiest to uncover bargains.

Invesco PowerShares described the idea of a small-company fund as "interesting" but said they have no immediate plans to put one out on the market.


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