One of the biggest complaints investors have against mutual funds is that they are priced only once a day, limiting their ability to jump out of a tanking fund before the price craters too seriously, MarketWatch reports.
Perhaps following the lead of
Perhaps due to the increasing competition from exchange-traded funds—particularly the possibility that actively managed ETFs might become a reality—more fund complexes will adopt this pricing structure.
“Traditional fund managers are concerned about how actively managed ETFs could come in with a competitive edge,” said Geoff Bobroff, president of Bobroff Consulting. “Pricing more often is one way fund firms could respond, trying to keep the ETFs at bay.”
Then again,