Eaton Vance Launches a Brave New ETF World

The video discusses non-transparent ETFs, a new investment vehicle combining active management with exchange-traded benefits. It highlights the challenges faced by active investing, such as underperformance against benchmarks, and introduces Eaton Vance Stock NextShares as a solution. Non-transparent ETFs allow managers to maintain proprietary strategies while offering potential cost and tax advantages. The video also compares active and passive investing, emphasizing the long-term competitiveness of active strategies when costs are reduced.

What is one of the potential benefits of non-transparent ETFs mentioned in the video?

• They guarantee higher returns than all other investments.

• They offer potential cost and tax advantages.

• They are only available to institutional investors.

• They require daily disclosure of holdings.

What challenge has active investing faced in recent years?

• Excessive regulation by financial authorities.

• Lack of interest from investors.

• Inability to outperform index funds.

• Limited availability of active funds.

How much money is currently invested in actively managed mutual funds in the United States?

• $1 trillion

• $5 trillion

• $10 trillion

• $20 trillion

What is a key feature of non-transparent ETFs that differentiates them from traditional ETFs?

• They disclose their holdings daily.

• They do not disclose their holdings daily.

• They are only available to retail investors.

• They have no trading costs.

What is the trading mechanism of non-transparent ETFs based on?

• Daily market price fluctuations.

• A fixed price set by the fund manager.

• A premium or discount relative to the net asset value.

• The average price of similar ETFs.