The actively managed exchange traded fund space has yet to blossom, but large fund providers are beginning to make headway, with the latest firm, States Street Global Advisors, home to the SPDR ETF line, announcing its intent to launch active funds soon.
SSgA, the third-largest U.S. ETF provider, will launch new actively managed funds, distribute the ETFs and partner with other asset managers, reports Jessica Toonkel for Reuters.
Jim Ross, head of SSgA’s ETF business, told Reuters that many managers that work with the provider want to get into the actively managed ETF business, but lack the distribution methods or SEC approval.
“This allows us have a bigger presence in the active space and we have a broad platform to partner with firms that do not have the capability to do this themselves,” Ross said in the Reuters article.