In order for an independent ETF group to be effective, two things would need to happen:
1. There has to be full participation and endorsement by the major providers – especially major players like BlackRock, State Street and Vanguard.
2. The goals and objectives of the group have to be clear. We need more education on ETFs – their qualities, benefits and how they work. Providers have been doing a great job of this, but there still needs to be more. Another key point is the 401(k) market. It would be interesting to hear more about the ETF industry’s game plan on that front.
For more information on ETFs, visit our ETF 101 category.
Max Chen contributed to this article.