Active ETFs - ready for takeoff
The combination of BlackRock and Barclays Global Investors, now almost a done deal, is likely to give a big push to the development of active ETFs.
These are already appearing in the US, the most recent development being from Grail Advisors, which has plans to bring out single manager active ETFs, having already launched a fund that combines stock picks from three teams of managers. Priced at 89 basis points a year, Grail’s ETFs will challenge the higher priced traditional mutual funds.
