T. Rowe Price, which less than a year ago debuted its first active Exchange-Traded Funds, has decided to expand those offerings.
The Baltimore-based asset manager announced Wednesday that it would offer the U.S. Equity Research ETF, which is similar to the corresponding mutual fund. The company said the two funds will share the same portfolio management team, which is comprised of the firm’s equity research directors for North America. The two funds seek to use an active approach to stock selection to add value to the S&P 500.
In August 2020 T. Rowe launched its first active ETFs, which included four funds whose investment style mirrored their corresponding flagship mutual funds.
Asset managers have added ETFs to appeal to investors who want the features of continuous trading and real-time, market-determined pricing unavailable with mutual funds.