The American Stock Exchange has patents for software that could lead to the launch of the first true actively managed exchange traded funds (ETFs) this year. John Spence for MarketWatch.com reports the patented software publishes a value for the fund throughout the trading day without the manager disclosing the portfolio holdings or trades. The Exchange has a committed issuer already to launch the actively managed ETFs. Other companies are interested in listing actively managed ETFs, some of which have been under development for seven years.
The opinions and forecasts expressed herein are solely those of Tom Lydon, and may not actually come to pass. Information on this site should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any product.