The firm Janus, originally famous for their mutual funds, filed with the Securities and Exchange Commission to bring actively managed exchange traded funds (ETFs) to the market.
Transparency is a huge issue for actively managed ETFs, and has been one of the major obstacles in getting these funds trading activity off the ground. Oliver Ludwig for Index Universe reports transparency issues have been argued to be counter to what an active ETF would be aiming for, due to the front running issue, however, others still claim that a transparent active ETF is still a long shot from regulatory approval. [PIMCO’s ETF Hits $1 Billion With Active Success.]
The Janus funds are blanketing a large portion of the market, from long-term growth of capital and current income through equities of companies of any size and fixed-income securities of various maturities and quality from governments and corporations. A fund of funds of ETFs is also in the hopper. [ETFs Gaining Traction With Active Managers.]
Tisha Guerrero contributed to this article.
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