The ETF Rule in the US will lead to many new issues in the market across 2020; the ‘non-transparent active’ ETFs – in reality as transparent as mutual funds, and better described as periodically-disclosed ETFs, will increase in number. New smart-beta strategies and launches of funds based on existing smart-beta strategies will also grow.
ETFs are highly regulated funds, but it will still be key for investors to read the prospectus and to fully understand what they are invested in, especially as new products develop and become common place.
3. Dezember 2019