Since their debut in financial markets, the vast majority of exchange-traded funds (ETFs) have been passively managed, either tracking an index or tweaking an index in some way to achieve their investment goals.
That has changed in recent years. In 2021 through the third quarter, ETF providers launched 332 products – with 197 of them, or 59%, managed by real, live humans, according to ETF.com. Seven of the top 10 ETF launches in 2021 (ranked by assets under management) are actively managed, gobbling up $10.2 billion in assets amongst them.
One of the more intriguing launches of 2021 sits not far outside the top 10: Goldman Sachs Future Tech Leaders Equity ETF (GTEK) amassed an impressive $260 million in less than three months of existence.
Sign up for Kiplinger’s Free E-Newsletters
Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.
Profit and prosper with the best of expert advice - straight to your e-mail.
Goldman’s managers and a horde of more than 80 fundamental equity analysts are on a mission to identify innovative companies aligned with durable, long-term growth themes – and ones that trade for reasonable valuations to boot.
You might assume that GTEK is chock-full o’ tech – and you’d be right: Nearly 75% of assets are invested in technology firms; the tech-adjacent communication services sector claims 13%.
Some 62% of the portfolio is invested in U.S. companies, including Marvell Technology (MRVL, semiconductors) and Workday (WDAY, cloud software). But the sizable remainder of assets is spread across another dozen or so countries. Top GTEK holdings MediaTek and Silergy are a pair of Taiwanese silicon firms.
-
Is Goldman Sachs Stock Still a Buy After Earnings?Goldman Sachs stock is struggling for direction Tuesday even after the financial giant beat expectations for its third quarter. Here's what you need to know.
-
Ford Stock Is Rising After Getting a Big Upgrade at Goldman SachsFord stock has struggled in recent months, but Goldman Sachs is upbeat about improving profitability. Here's what you need to know.
-
Goldman Sachs Reports Q2 Earnings Beat, Dividend Hike
Goldman Sachs stock finished higher Monday after the big bank beat expectations for its second quarter and raised its dividend. Here's what you need to know.
-
Bond Basics: Zero-Coupon Bondsinvesting These investments are attractive only to a select few. Find out if they're right for you.
-
Bond Basics: How to Reduce the Risksinvesting Bonds have risks you won't find in other types of investments. Find out how to spot risky bonds and how to avoid them.
-
What's the Difference Between a Bond's Price and Value?bonds Bonds are complex. Learning about how to trade them is as important as why to trade them.
-
Bond Basics: U.S. Agency Bondsinvesting These investments are close enough to government bonds in terms of safety, but make sure you're aware of the risks.
-
Bond Ratings and What They Meaninvesting Bond ratings measure the creditworthiness of your bond issuer. Understanding bond ratings can help you limit your risk and maximize your yield.
