You’ll be hearing more about “nontransparent” exchange-traded funds, now that the Securities and Exchange Commission is poised to approve a wave of them. ETFs are known for being transparent, in the sense that they generally disclose their holdings daily. Nontransparent ETFs are a new category that will allow asset managers to actively manage a fund, as mutual-fund managers do, without having to disclose all of the fund’s investments every day. The idea is that nontransparency will allow active ETF managers to pursue their...

Source: Wall Street Journal May 06, 2019 02:01 UTC