Putnam eyeing actively managed ETFs, CEO Reynolds says
Putnam Investments is discussing launching actively managed exchange-traded funds. “As actively managed ETFs become a reality, we want…
Putnam Investments is discussing launching actively managed exchange-traded funds. “As actively managed ETFs become a reality, we want to be part of it,” Robert Reynolds, president and CEO, said in an interview.
The firm is having conversations about the pros and cons of offering active ETFs versus mutual funds, he said. “We need to do careful analysis of what the advantages and disadvantages are of ETFs,” Mr. Reynolds said. Putnam doesn’t have a timetable for when it will make a decision.
Similarly, T. Rowe Price Group Inc. has filed with the Securities and Exchange Commission to launch actively managed ETFs. “We want to explore ETFs for existing and prospective clients who may want to access our investment expertise through such a vehicle,” Heather McDonold, a spokeswoman for T. Rowe, said. She declined to comment further.
Putnam and T. Rowe’s interest in actively managed ETFs is notable in the wake of the recent launch of actively managed exchange-traded funds by Pacific Investment Management Co. and the iShares ETF business of Barclays Global Investors. The Vanguard Group Inc. has also filed to offer an actively managed ETF.
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