Jaffe, Lydon Discuss the Funds Business and ETF Impact

Senior MarketWatch columnist Chuck Jaffe joined ETF Trends publisher Tom Lydon at the Morningstar Investment Conference in Chicago discuss the evolution of the funds business, including the impact of exchange traded funds.

“They (ETFs) are not necessarily disruptive. They are forward-thinking in terms of what they give people an ability to do and seeing advisors talking about what’s next,” said Jaffe.

This week, it was revealed that ETFs are now larger based on combined assets under management. The more than 5,800 exchange traded products listed around the world have a combined $2.971 trillion in assets under management, just ahead of combine AUM of $2.969 trillion for hedge funds.

Jaffe also noted the ETF business is not immune to so called lumps of coal, saying that the “Real question is where is it going to come up from? Certainly some of the granularity that we’ve seen, there’s some bad ideas out there.

Watch the video below to see the full interview.

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