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The Best of Both Worlds

While the active vs. passive investment debate is ongoing, actively managed Exchange Traded Funds (ETFs) are gaining momentum in 2010 as investors discover more about the advantages and benefits they offer. Investment flexibility, cost efficiency and professional money management continue to be cited as the most popular features of this relatively new investment option.

One company at the forefront of this trend is Fund.com (OTCBB:FNDM), which, through a subsidiary, launched an actively managed ETF product with NY Times best selling author Harry Dent last fall. Globe Newswire reported in September 2009, the ETF traded over one million shares in the first four days of its launch, making it the largest and fastest growing actively managed ETF in existence.  This is the first product of Advisor Shares Investments, LLC, a majority-owned subsidiary of Fund.com.

Taking a look Fund.com’s Advisors Shares ETF platform today, new and different options are allowing asset managers and major banks to launch private label ETFs. This unique actively managed ETF distribution platform is reportedly designed for optimum efficiency without the high-priced retail marketing costs and delays.

Now with more than a billion dollars in assets under management, Fund.com appears to be gaining scale and momentum.  Actively managed Exchange Traded Funds will undoubtedly continue to evolve and change as they become more widely accepted by investors and financial product producers. And the future looks bright. It will be interesting to watch Fund.com and its partners as the innovative firm reveals the latest exciting developments in the actively managed ETF industry.

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