Tim Coyne, head of ETF capital markets at State Street Global Advisors, has commented that RIAs and institutional asset managers are as concerned about liquidity and trading strategies as ETF performances.
“Not only can it drive people away from your product, it can drive people away from your platform,” Eric Pollackov, managing director of ETFs at Charles Schwab, said about ETF trade executions.
Earlier this year, the New York Sock Exchange Arca proposed to allow ETF sponsors pitch cash incentives to market makers directly to generate higher liquidity. [ETF Providers on ‘Pay to Play’]
For more information on the ETF industry, visit our current affairs category.
Max Chen contributed to this article.