Kathleen Moriarty Interviewed by Reuters on SEC’s ETF Approval Timing
Reuters recently interviewed Corporate partner Kathleen Moriarty after the second annual ETF Trends’ EFT Bootcamp, a conference regarding both trends and the future of exchange-traded funds (ETFs), to discuss the events of August 24, when the failure of rules designed to ensure orderly trading in equities triggered a halt in trading in 455 stocks and exchange-traded funds. This event may cause the Securities and Exchange Commission (SEC) to slow the approval of new ETFs.
Said Moriarty, “The events of August 24 may also hurt efforts to introduce non-transparent actively managed exchange-traded funds. The thing is the SEC does not get credit for an ETF if it is good for investors, but they do get the blame if they approve an ETF and investors get hurt.”