Transparency—along with liquidity and low fees—is one of a trio of exchange-traded fund (ETF) advantages often touted by their manufacturers. And the U.S. Securities and Exchange Commission aims to keep it that way, at least for now. Last week, the U.S. regulator rejected a proposal by BlackRock to launch a non-transparent ETF. The question is, what now?
RBC Global Asset Management is opening five exchange-traded funds focused on income, access to international markets and reduced exposure to foreign currency risk.
Burton Malkiel is updating his iconic book to reflect the rise of exchange-traded funds. But what will he say about products like smart beta that blur the lines between active and passive management?
A new research paper addresses the critics of leveraged exchange-traded funds (ETFs) by pointing out that they ignore the effects of capital flows on ETF rebalancing demand. The authors demonstrate that capital flows can either increase or decrease ETF rebalancing demand because those flows alter the size of the ETF.
Vanguard Investments Canada has lowered the management fees on more than half of its 21 Canadian exchange-traded funds.
Star power can make a lot of money in Hollywood, but it can be toxic in the investment industry. That message came across loud and clear the other week when superstar investor Bill Gross left the firm he founded to go to a competitor. One interesting development that has come along with Gross’s departure has been where investors are choosing to put their money—exchange-traded funds, which have experienced a big bump in assets.
Proposed changes to the pension plan investment rules signal good news for ETFs
As Canadian institutional investors embrace fixed income exchange-traded funds, they need to be aware of where the liquidity is coming from - and what it means for performance.
The California Public Employees’ Retirement System's (CalPERS) decision to dump its hedge fund program has set off a discussion about the importance of cost, simplicity and liquidity in investment products. These are three characteristics that have helped the exchange-traded fund (ETF) industry grow among institutional investors. So what could CalPERS' move mean for ETFs in the future?
Having been well schooled in the meaning of the term “black swan event” over the last decade, investors are already peeking around corners and looking for places to hide in case something unexpected pops up to derail the global economy. And, as tensions rise in Ukraine and other areas of the world, investors seem more jittery than ever. So how is all this fear playing out in the exchange-traded fund space? A couple of trends came to light this past week.