Active management also empowers managers to assess individual issuers more closely than passive funds do. As Fed uncertainty grows, that can help active funds stand out if the Fed fails to properly navigate either its mandate or political pressure. Managers can leverage their experience, fundamental research, and active adaptability to make portfolios more resilient. Looking ahead to 2026, then, investors may want to consider active ETFs to add those attributes to their portfolios. For more news, informatio ...

Core Insights - The potential invasion of Venezuela poses significant geopolitical risks that could impact global markets, particularly through fluctuations in oil prices [1][2][3] - Venezuela's oil production, accounting for 1% of global consumption, could lead to notable short-term impacts on energy prices and inflation if disrupted [2] - Military action in Venezuela could have broader implications for regime change and oil production, affecting financial markets worldwide [3] Active ETFs and Investment Strategies - Active ETFs provide flexibility to adjust to geopolitical risks and focus on company fundamentals, which can help investors navigate market shocks [4] - The T. Rowe Price Equity Research ETF (TSPA) exemplifies an active ETF that utilizes a bottom-up portfolio construction approach, identifying companies with strong fundamentals [5] - Transitioning to active ETFs by the end of 2025 may be a strategic move for investors to prepare for potential geopolitical risks in the upcoming year [5]

The exchange-traded fund industry is having a record year with assets already hitting over $1 trillion+ and active managers are driving a big part of that growth.  "Third-quarter activity confirmed what we’ve seen building over the past several years: Active ETFs continue to drive innovation and flows," wrote Dan Aronson, Managing Director, ETF Client Product Specialist Group, in Janus Henderson’s ‘ETF Pulse’ through the 3Q.Active managers can be part of the decision-making in which stocks to include using ...

Baron Capital launched five active ETFs, extending its long-term approach of investing in growth companies into the ETF wrapper, according to a Monday press release. ...

Increasing interest in active management has been a persistent trend in 2025. Still, the current momentum should continue to drive demand in 2026. Goldman Sachs and MFS Investment Management are two of the ETF providers leading the proverbial charge. Their active ETFs cater to various asset classes as well as investment styles. Jamie Harrison, Head of ETF Capital Markets at MFS and Marissa Ansell, Goldman Sachs Head of ETF Investment Strategy joined VettaFi Industry Analyst Cinthia Murphy to discuss the ong ...

Core Insights - Goldman Sachs announced plans to acquire Innovator Capital Management for $2 billion, positioning itself as the second-largest player in the defined-outcome ETF market [2][5] - The acquisition reflects a trend of consolidation in the ETF industry as competition intensifies, with many new product providers entering the market [3][4] Company Summary - The acquisition will elevate Goldman Sachs from an early-stage defined-outcome issuer to a significant player, gaining Innovator's 150 defined-outcome products and $28 billion in assets [5] - Currently, Goldman has three buffer ETFs with approximately $36 million in assets under management, indicating a need to align its offerings with market demand [4] Industry Summary - The ETF market is expected to see increased consolidation and M&A activity as firms seek scale and unique product offerings to meet growing investor demand for defined-outcome ETFs [3][4] - The trend is driven by wealth managers looking to provide niche strategies, with a particular focus on defined outcome and buffered ETFs [4]

Group 1 - Proactive provides fast, accessible, informative, and actionable business and finance news content to a global investment audience [2] - The news team covers medium and small-cap markets, as well as blue-chip companies, commodities, and broader investment stories [3] - Proactive has bureaus and studios in key finance and investing hubs including London, New York, Toronto, Vancouver, Sydney, and Perth [2] Group 2 - The company is focused on sectors such as biotech and pharma, mining and natural resources, battery metals, oil and gas, crypto, and emerging digital and EV technologies [3] - Proactive adopts technology to enhance workflows and improve content production [4] - All content published by Proactive is edited and authored by humans, ensuring adherence to best practices in content production and search engine optimization [5]

Group 1 - Oddball funds, which are not tied to traditional stock and bond markets, offer high diversification potential but may also create investor anxiety due to their idiosyncratic nature [1] - UBS has lowered the minimum asset threshold for its Consolidated Advisory Program and alternative investments-dedicated CAP Select offering, expanding eligibility for alternative-friendly advisory programs [2] - Financial advisors are increasingly utilizing model portfolios for their scalability in portfolio management, whether built in-house or outsourced [3] Group 2 - The AI boom has led to a decline in the quality of investments as investors chase high returns, raising concerns about the neglect of balance sheets [4] - The anticipated influx of new cryptocurrency-focused ETFs due to eased US regulations is expected to create more accessible and liquid investment options in the crypto space [5] - Over 1,300 active ETFs have launched in 2024, with lower fees and greater tax efficiency being key advantages over traditional mutual funds [6] Group 3 - BlackRock's private credit CLO has failed to meet performance tests, leading to management fee waivers and a need for corrective measures to protect safer securities [7] - Clarion Partners Real Estate Income Fund is transitioning to an interval fund structure to enhance liquidity for shareholders, marking a significant change under the Investment Company Act of 1940 [8] - The misfire at Blue Owl highlights the importance of proration in semiliquid funds, allowing managers to handle less liquid assets without facing large redemption pressures [9] Group 4 - The IMF has raised concerns regarding the rapid growth of private credit investments and the emergence of new private rating agencies, which could impact the quality of investment-grade classifications [10] - The growth of retail funds is creating new risks for general partners (GPs), necessitating preparations for potential industry-wide effects such as shifting allocations and liquidity stress [11]

Group 1 - Megacap tech firms and AI hyperscalers like Amazon, Alphabet, Oracle, and Meta have issued nearly $90 billion in bonds, surpassing their total bond sales over the last 40 months [1] - Investors are demanding higher yields from AI bonds compared to previous months, indicating a shift in market sentiment [1] - The significant amount of investment-grade issuance from these firms may affect the overall investment-grade landscape, complicating the uncertain rate outlook amid a divided Federal Reserve and persistent inflation [2] Group 2 - Active ETFs are positioned to address risks associated with the proliferation of AI bonds, offering advantages over passive bond funds [3] - Active ETFs provide greater tax efficiency and flexibility due to their creation/redemption mechanism, which avoids taxable events [3] - The active investing freedom of ETFs allows them to adapt to market shifts and focus on fundamental research, providing a deeper understanding of issuer health [4]

Core Insights - Inflation remains a persistent challenge for consumers and the stock market, particularly since the pandemic, influencing economic and political narratives [1] - The Federal Reserve's rate cuts and the limited availability of official inflation data have increased inflation risk for investors [1] Active ETFs - Active ETFs provide flexibility and a focus on fundamental research, which can help navigate macroeconomic uncertainties [2] - These ETFs utilize fundamental metrics like cash flow and profitability to identify resilient investment opportunities [2] - Active ETFs can adjust their investments more readily than passive funds, allowing for strategic responses to market changes [2] Inflation-Sensitive Investments - Certain active ETFs target sectors that benefit from rising inflation, focusing on input goods that typically see price increases [3] - A specific example is the T. Rowe Price Natural Resources ETF (TURF), which charges a 44 basis point fee and invests in global companies within key supply chains [4] - The lack of official inflation data may complicate market analysis, but active ETFs can provide flexibility and potential outperformance [4]