The Securities and Exchange Commission is trying to speed up its approval process for exchange-traded funds.

ETFs must obtain exemptions from the Investment Company Act, Andrew Donohue, director of the division of investment management said. One of the most significant ways the SEC is looking to improve the approval process is by introducing an ETF rule.

The SEC is also considering allowing advisors that introduce a second ETF similar to an earlier one to bring it to market without going through the exemptive applications process a second time.

"So while you are thinking creatively about the types of indices and ETFs to develop, we are trying to think creatively about ways in which we can improve our ETF review process," Donohue said.

He noted that although there has been interest in actively managed ETFs for a number of years now, no one so far has tackled the issue of transparency.

In the first six months of this year, 62 new ETFs were introduced.

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