AdvisorsShares has 18 active ETFs in its suite, with its first acitvely managed ETF, the AdvisorShares WCM/BNY Mellon Focused Growth ADR ETF (NYSEArca: AADR), approaching its three-year mark.

“We believe (but can’t be certain) this could be the first 5-star actively managed ETF,” Noah Hamman, AdvisorShares’ CEO, said in the article.

Recently, the SEC lifted its moratorium on derivatives in active ETFs. New applicants can now use futures, options and swaps as management tools for actively managed ETFs. [Several Fund Firms Eyeing Active ETFs]

The land grab, though, has stalled on the transparency issue as many would-be sponsors have balked at the daily disclosure rules that could promote front running. Nevertheless, there are proposals with the SEC to address the transparency issue. For instance, Eaton Vance has proposed the creation of nontransparent exchange traded managed funds to circumvent the issue. [Newfangled ETFs from Eaton Vance Would Deter Frontrunning]

For more information on active ETFs, visit our actively managed ETFs category.

Max Chen contributed to this article.