MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication
an InvestmentWires' Publication
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|
MutualFundWire.com
The insiders' edge for 40 Act industry executives!
an InvestmentWires' Publication |
|
Monday, April 18, 2011 Are Active ETFs Just Hype? Active ETFs haven't quite gained the traction and following that their purveyors envisioned in the past year, The Wall Street Journal reports. To be sure, the pub does name a few active ETFs that have a strong investor base, including ones from Pimco [see profile]; BlackRock's iShares [see profile]; and WisdomTree [see profile]. However, the pub also mentions another struggling active provider, Grail Advisors, which sold itself last week to Ameriprise's Columbia Management. Since early 2010, the number of active ETFs and their total assets have expanded -- to 33 funds and $4.2 billion as of March 31, from 14 funds and $93 million last year, according to IndexUniverse. However, those figures still pale in comparison to traditional ETFs, which number some 900, with about $1 trillion in assets. And to date, active ETFs' performance has reportedly been lackluster. Of the eight active ETFs specializing in stocks and more than a year old, only two beat the S&P 500, according to IndexUniverse. ETF fundsters interested in learning more about why the subsector still hasn't gotten a strong footing may want to read the rest of the article. Printed from: MFWire.com/story.asp?s=36566 Copyright 2011, InvestmentWires, Inc. All Rights Reserved |