In a filing to the US SEC, BlackRock has requested approval for actively-managed exchange-traded products that do not disclose their holdings on a yesterday basis. TheWall Street Journal suggests the move is a frontier for the industry, however, in July, Eaton Vance applied to regulators for permission to create and sell NextShares or exchange traded managed funds, which also aim to keep holdings out of the public eye. Transparency has long been part of the appeal of ETFs, but as the low-cost investment vehicles attract more and more money flow, hedge funds have begun to design investment strategies based on pricing discrepancies or structural flaws in ETFs, as we reported in early October. We also reported daily that Eaton Vance, which has gained support from Columbia Threadneedle Investments and a number of other asset managers, has had to delay plans to issue NextShares while it awaits regulatory clearance.
In a filing to the US SEC, BlackRock has requested approval for actively-managed exchange-traded products that do not disclose their holdings on a daily basis. TheWall Street Journal suggests the move is a frontier for the industry, however, in July, Eaton Vance applied to regulators for permission to create and sell NextShares or exchange traded managed funds, which also aim to keep holdings out of the public eye. Transparency has long been part of the appeal of ETFs, but as the low-cost investment vehicles attract more and more money flow, hedge funds have begun to design investment strategies based on pricing discrepancies or structural flaws in ETFs, as we reported in early October. We also reported yesterday that Eaton Vance, which has gained support from Columbia Threadneedle Investments and a number of other asset managers, has had to delay plans to issue NextShares while it awaits regulatory clearance.