Cathie Wood Inspires Boom in New Funds That Upend ETF Order
Not so long ago, actively managed ETFs were rare. Now they’re being created at twice the rate of their passive rivals.
Inspired by the success of Cathie Wood’s ARK Innovation ETF (ticker ARKK), exchange-traded fund issuers have this year launched 115 active products versus just 51 passive funds, according to data compiled by Bloomberg.
It’s a comeback of sorts for stock pickers, and in an unlikely corner of Wall Street. Most active managers fail to beat their benchmarks net of fees -- a fact that has seen passive ETFs lure roughly $3 trillion over the past decade, while active funds gained only about $200 billion.
[https://www.bloomberg.com/news/articles/2021-06-19/passive-investing-world-turned-upside-down-as-active-funds-boom?srnd=premium](https://www.bloomberg.com/news/articles/2021-06-19/passive-investing-world-turned-upside-down-as-active-funds-boom?srnd=premium)
https://www.reddit.com/r/StockMarket/comments/o3ry9v/cathie_wood_inspires_boom_in_new_funds_that_upend/
