News

After launching the world’s first mutual fund 100 years ago, MFS Investment Management is poised to make its debut in the ETF market. In the most powerful sign yet that the low-cost trading vehicles are taking over the world of investing, the firm has applied to create five actively managed exchange-traded funds spanning stocks and bonds, according to Monday filings with the Securities and Exchange Commission.

Exchange traded funds have taken over as the dominant holding in the fast-growing multitrillion-dollar US model portfolio market, helping to turbocharge their already rapid growth. ETFs accounted for 51 per cent of underlying assets at the end of last year, up from 46.7 per cent in early 2022, according to data from Broadridge Financial Solutions, a financial technology company, which puts the size of the US model portfolio market at $5.1tn.

Interactive Brokers, an automated global electronic broker, has introduced High Touch Prime Brokerage and Global Outsourced Trading to help select US hedge funds manage and grow their businesses. Eligible hedge fund clients of Interactive Brokers can now take advantage of high touch services that seamlessly deliver Interactive Brokers’ automated and cost-effective platform but with personal resources and attention.

State Street Global Advisors is to reduce the number of European listings for five exchange traded funds in order to concentrate liquidity.