Daily ETF Watch: NextShares Get Go-Ahead

It looks like nontransparent actively managed ETFs—in the works for years—will soon become a reality. According to a Dec. 11 press release, Eaton Vance’s subsidiary NextShares Solutions has the necessary authorization to launch the 18 actively managed ETFs it has in registration. The funds cover various asset classes and strategies, and are slated to list on the Nasdaq stock exchange. They include the following:

• Eaton Vance Balanced NextShares
• Eaton Vance Global Dividend Income NextShares
• Eaton Vance Growth NextShares
• Eaton Vance Large-Cap Value NextShares
• Eaton Vance Small-Cap NextShares
• Eaton Vance Stock NextShares
• Eaton Vance Richard Bernstein All Asset Strategy NextShares
• Eaton Vance Richard Bernstein Equity Strategy NextShares
• Parametric Emerging Markets NextShares
• Parametric International Equity NextShares
• Eaton Vance Floating-Rate & High Income NextShares
• Eaton Vance Global Macro Absolute Return NextShares
• Eaton Vance Government Obligations NextShares
• Eaton Vance High Income Opportunities NextShares
• Eaton Vance Bond NextShares
• Eaton Vance TABS 5-to-15 Year Laddered Municipal Bond NextShares
• Eaton Vance High Yield Municipal Income NextShares
• Eaton Vance National Municipal Income NextShares

In a press release, NextShares Solutions said it plans to launch the first NextShares in a “staged introduction” in the first quarter of next year.

The underlying approach of the NextShares allows for nontransparent actively managed ETFs. Instead of offering daily transparency, the funds can release their holdings to the public like any actively managed mutual fund, while the fund’s daily pricing is based on NAV-based trading using a methodology patented by ETF industry mainstay Gary Gastineau.

Among the funds that have licensed the NextShares approach from Eaton Vance are American Beacon, Gabelli, Hartford, Pioneer Investments, Nile Capital Management, Principal Financial Group, Victory Capital Management and Broms Asset Management.

Contact Heather Bell at [email protected].