Some asset managers are reluctant to launch active ETFs because they don’t want to reveal their investment strategies and are concerned about cannibalizing their existing mutual funds.

However, more fund companies are filing to launch actively managed ETFs because they don’t want to get left behind as more investors migrate to the low-cost and transparent financial products. [Special Report on Active ETFs]

Money managers see ETFs as “a new distribution channel,” and “are additive in many cases” to other investment structures, including mutual funds, said Deborah Fuhr, co-founder of research firm ETFGI, in a Pensions & Investments report.

Most ETFs track indices rather than having an active manager calling the shots. There are 1,445 ETFs trading in the U.S., and only about 58 of them are active. [Active ETF Market Gearing Up]

Yet actively managed ETFs are viewed as driving the next round of the industry’s growth. [Growing Interest for Actively Managed ETFs]

PIMCO Total Return ETF (NYSEArca: BOND) is the largest active fund in the business and is managed by bond guru Bill Gross. It’s the ETF version of the huge mutual fund of the same name.