The newest exchange-traded funds to hit the market appear to be edging toward active management, The Wall Street Journal reports.

Based on custom indexes or models that select companies that meet certain financial criteria from indexes, the new ETFs offer "active management in an ETF shell," according to Ronald DeLegge, publisher of

Subscribe Now

Access to premium content including in-depth coverage of mutual funds, hedge funds, 401(K)s, 529 plans, and more.

3-Week Free Trial

Insight and analysis into the management, marketing, operations and technology of the asset management industry.