American Century Investment is planning on entering the exchange traded fund arena after the independent investment management firm hired Edward Rosenberg, previously of FlexShares as senior V.P. and head of ETFs.
“We are being responsive to evolving client needs. With active and smart beta ETF strategies, we would make our investment expertise available in another vehicle – an ETF package,” Dave MacEwen, Co-CIO American Century, told ETF Trends.
Specifically, value, growth, income and alternatives are some areas that American Century could cover in an ETF offering.
“American Century is committed to entering the ETF space,” MacEwen added. “We understand this may be challenging, but we’ve done the research as to what it takes to be successful. We are fully in!”
To head up its ETF efforts, American Century Investments hired Rosenberg, whom had previous experience in the ETF space at Northern Trust’s FlexShares business where he served as senior vice president and head of ETF capital markets and analytics.
“Ed brings nearly two decades of ETF experience to this newly created position at American Century Investments,” Jonathan Thomas, president and chief executive officer for the firm, said in a note. “We’ll leverage his expertise to develop an array of ETF solutions as we continue to invest in our capabilities that meet our clients’ needs – in the ways they prefer – throughout their lifetimes.”
Rosenberg will be responsible for creating American Century’s new line of ETFs, which will include actively managed options.
“Our clients know and already appreciate the active management capabilities we will harness as we develop new ETF strategies,” Peruvemba Satish, American Century senior vice president, portfolio manager and director of global analytics, said in a note. “With the active ETF segment of the market still in the early stages of development, we’re confident American Century can be a very relevant player by providing the solutions our clients need now and in the future.”