Exchange-traded funds don't appear to have been the cause of Thursday's
flash crash, but the day could stand as a blemish on
the products' reputation for reliability as trading vehicles.
Morningstar Inc., the immensely powerful arbiter of the mutual
fund industry, is turning its attention to a corner of the business it
has long ignored: closed-end funds.
Early signs suggest ETFs played a big role in Thursday's turmoil. It's
too early to tell if they were victims or somehow contributors to the
problem.
The past year's small-cap stock rally may well be spent, but a raft of
new exchange-traded funds with bullish marketing materials suggest fund
companies still smell opportunity.
The Vanguard Group is now offering its brokerage clients commission-free
transactions across its line of exchange-traded funds.
by Gail Liberman
Popularity, turnover, structure and other factors affect index funds and ETFs.
by
Dorothy Hinchcliff
The author of a paper that looks at how to determine optimal leverage in
an investment portfolio is the 2010 first-place winner of a $10,000 award for advancements in active management.
Exchange-traded funds that focus on dividend-paying
stocks trailed the market in 2009, but they may
attract bond investors who are worried about the
prospect of rising interest rates.
by Marla Brill
More advisors think both bond mutual funds and ETFs belong in client portfolios.
by Alan Lavine
Keeping ETF dividends in cash may reduce total return.
The passage of health-care overhaul has buoyed shares of exchange-traded
funds focused on the sector.
A parade of big-name mutual fund companies have filed paperwork to launch actively managed ETFs, but it could take years before any of them attract significant interest from investors.
J.P. Morgan Chase indicated it plans to offer actively managed exchange-traded funds,
following recent moves by competitors.
by
Dorothy Hinchcliff
In what seems to be a continuing race among providers to introduce exchange-traded
funds, Boston-based Direxion announced today that it has launched six
new leveraged ETFs.
The parade of mutual fund companies jumping into the ETF business continues. The latest entrant: Eaton Vance Corp.
Investors seeking safety have been pouring cash into bond funds-but,
when it comes to exchange-traded funds, they run the risk of limiting
their gains or magnifying their losses.
by
Ray Fazzi
Legg Mason Inc. has filed an application with the Securities and
Exchange Commission to launch actively managed exchange-traded funds,
according to published reports.
