The exchange traded fund industry is growing up, but the ETF managed account segment is just getting started.
ETF Trends’ Tom Lydon sat down with Ben Johnson, Director of Passive Funds Research at Morningstar, and Matthew Hougan, President of IndexUniverse, to discuss ETF strategists and the growth in the ETF managed accounts space.
“Some of these guys are great, really high quality portfolios, well thought-out processes,” Hougan said. “I’m very excited about this space.”
Hougan, though, cautions that investors should take a longer look at the structure and strategy of the ETF managed portfolios as we are in a changing market.
“I worry that investors get too tied up with track records,” Hougan said. “A lot of these ETF Strategists have phenomenal track records between 2008 and 2010 period. We’re in a new era, with potential rising rates and different environment.”