ETF Daily News
New Complex ETFs May Face Long Wait For OK By SEC
December 08, 2011
The Securities and Exchange Commission may be heading “back to basics,” as complaints mount regarding the effects more complex ETFs may have on markets, according to an article on Reuters.
Some feel that more complex ETFs may be increasing market volatility or creating unseen risks for investors.
ETF sponsors may have to wait years for the SEC to approve filings for more complex products. The article highlights the SEC’s suspension of new leveraged or actively managed ETFs as an example.
The delays should not affect ETF sponsors that filed for funds based on in-house indexes, the Reuters story says.
For the full story, visit Reuters.com.