“This is a real interesting development as Vanguard has historically been an indexer, which makes them a perfect fit for traditional indexed ETFs,” Matthew Tuttle, chief investment officer of Tuttle Tactical Management, told InvestmentNews. “The fact that they want to enter the active space seems to indicate that they believe that the active ETF industry is such an oncoming train that they are better off going along for the ride than they are trying to stand in front of it.”
Vanguard currently offers 70 U.S.-listed ETFs, all of which are passive index-based offerings, with $575.6 billion in net assets under management. The money manager is currently the second largest ETF provider in U.S. markets. Vanguard, though, does offer actively managed ETFs abroad.
For more information on active funds, visit our actively managed ETFs category.