In Reuters, Brian McCabe Discusses ETFs as a Share Class

In The News
April 23, 2024

Several asset management firms are seeking approval from the U.S. Securities and Exchange Commission (“SEC”) to offer a share class of existing mutual funds in the form of an exchange-traded fund (“ETF”).

Asset management partner Brian McCabe discussed this trend with Reuters, noting that Ropes & Gray has already filed an application for one client and was working on three or four others.

If regulators approve these filings, issuers would be able to roll out new ETF share classes of existing mutual funds more rapidly and cost-effectively since those products would rank alongside existing share classes aimed at institutional or retail investors or financial advisors.