Get to know active ETFs

The advantages of passive exchange-traded funds (ETFs) without being bound to an underlying index.

The benefits of active ETFs

Active ETFs feature active management, meaning a manager (or team) selects fund holdings. Passive ETFs aim to track the risk/return profile of an index by either mirroring holdings or selecting a subset of holdings that may produce a similar risk/return outcome.


More financial professionals are choosing ETFs as an investment vehicle for their clients’ core portfolios.

Tax advantage

ETFs offer tax efficiency through secondary market trading and in-kind redemptions, which help minimize taxable events for investors.

Returns

Active ETFs give you the opportunity for better-than-index returns.

Client goals

ETFs help advisors offer holistic wealth management and objective-based investing to clients.

Flexibility

Managers can help trade anytime during the trading day.

Active ETF essentials

Capital Group’s ETF sales specialist John Finneran covers:

  • The rapid growth and types of ETFs
  • The broad range of investment objectives covered by active ETFs

“If you see an ETF that is benchmarked to an index that you see scrolling across the bottom of your screen every single day, but that ETF is actively trying to outperform that benchmark, it is an active ETF.”

John Finneran

ETFs from Capital Group

Our active ETFs are objective-oriented strategies that offer more choice for our investors along with the full support of Capital Group's extensive resources and The Capital System™. 

 

The Capital System drives long-term results through a multi-manager approach, creating diverse portfolios and aligning compensation with clients’ long-term success over various periods.

EXPLORE OUR ETFS

Access the Morgan Stanley MSPS platform and get started now

Morgan Stanley Portfolio Solutions (MSPS) is your destination for all things ETF at Morgan Stanley. Visit the MSPS platform to access all Capital Group ETFs.

Investments are not FDIC-insured, nor are they deposits of or guaranteed by a bank or any other entity, so they may lose value.
Investors should carefully consider investment objectives, risks, charges and expenses. This and other important information is contained in the ETF prospectuses and summary prospectuses, which can be obtained from a financial professional and should be read carefully before investing.
Capital Group exchange-traded funds (ETFs) are actively managed and do not seek to replicate a specific index. ETF shares are bought and sold through an exchange at the then current market price, not net asset value (NAV), and are not individually redeemed from the fund. Shares may trade at a premium or discount to their NAV when traded on an exchange. Brokerage commissions will reduce returns. There can be no guarantee that an active market for ETFs will develop or be maintained, or that the ETF's listing will continue or remain unchanged.
Statements attributed to an individual represent the opinions of that individual as of the date published and do not necessarily reflect the opinions of Capital Group or its affiliates. This information is intended to highlight issues and should not be considered advice, an endorsement or a recommendation.
All Capital Group trademarks mentioned are owned by The Capital Group Companies, Inc., an affiliated company or fund. All other company and product names mentioned are the property of their respective companies.
Use of this website is intended for U.S. residents only. Use of this website and materials is also subject to approval by your home office.
Capital Client Group, Inc.
This content, developed by Capital Group, home of American Funds, should not be used as a primary basis for investment decisions and is not intended to serve as impartial investment or fiduciary advice.
Capital Group manages equity assets through three investment groups. These groups make investment and proxy voting decisions independently. Fixed income investment professionals provide fixed income research and investment management across the Capital organization; however, for securities with equity characteristics, they act solely on behalf of one of the three equity investment groups.