An active ETF, or actively managed exchange-traded fund. is a type of investment fund that is managed by a team of professionals who actively select and manage the securities within the fund. Unlike passive ETFs, which track a specific index. active ETFs aim to outperform their benchmarks by making strategic investment decisions based on market conditions and research.
How our ETFs fit into our Active-Passive Model Strategies
Russell Investments Active-Passive Model Strategies blend active management with efficient passive exposures shaped by 40 years of model portfolio experience.
Why our ETFs
We help advisors pursue more for their clients through actively managed ETF solutions backed by institutional expertise, deep research, and a commitment to partnership. From portfolio construction to implementation, our approach is designed to help you navigate complexity, uncover opportunities, and deliver better client outcomes.
Get to Yes
Partnership starts with understanding your goals. Our multi-style investment approach is designed to combine complementary perspectives and asset classes to help you build portfolios tailored to your clients’ needs and objectives.
Our Funds bring conviction
Our rigorous manager research and specialist insights help identify differentiated opportunities across global markets. Drawing on 90 years of experience and a deep research platform, our funds bring conviction to every investment decision.
Open Your Access
Actively managed ETFs can provide access to opportunities beyond traditional market-cap-weighted exposures. Our open-architecture approach and institutional investment expertise help advisors access a broader opportunity set while maintaining the convenience and efficiency of an ETF.
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Brad Jung
Co-Head of North America Advisor & Intermediary Solutions
“We are excited to use the ETF chassis to deliver our very best investment ideas to our advisor and investor partners. Our open-architecture approach brings together leading managers and diverse investment strategies into an ETF wrapper.”
Emily Steinbarth
Co-Head of North America Advisor & Intermediary Solutions
"By combining multiple investment strategies in a single vehicle, we help investors reduce reliance on any one style, adapt more efficiently through change, and enable advisors to spend less time on implementation and more time with clients."
FAQs
Active ETFs can offer:
• Professional management
• Transparency of pricing and holdings
Generally lower fees as compared with similar active mutual funds
No minimum investment
Similar to active mutual fund investing, the risks of active ETF investing may include underperformance or loss of invested capital due to market volatility, economic downturns. or manager decisions. Additionally. investors should consider the follow ng risks when trading ETFs on an exchange:
lntraday Price Volatility: The market prices of shares are expected to fluctuate, in some cases materially, in response to changes in a fund's NAV, the intra-day value of a fund's holdings, and supply and demand for shares. Russell Investments cannot predict whether shares will trade above, below or at their NAV. An investor may pay significantly more or receive significantly less than a fund's NAV per share during periods when there is a significant premium or discount.
Trading Volume/Liquidity: The market price of shares, like the price of any exchange-traded security, includes a "bid-ask spread" charged by the market makers or other participants that trade the particular security. The spread of a fund's shares varies over time based on the fund·s trading volume and market liquidity and may increase if the fund's trading volume, the spread of the fund's underlying securities, or market liquidity decrease.
A multi-manager approach can provide diversification of investment strategies, styles and managers in a single fund, with access to insights from specialist money managers, and ongoing professional oversight.
Russell Investments' approach involves continually researching investment strategies and managers from around the world, seeking to determine the best combination of active managers and investment styles for the portfolio. Each manager strategy is chosen to serve a specific purpose in the portfolio. Over time, adjustments may be made to ensure the portfolio remains aligned with objectives.
Active ETFs are traded on major exchanges, just like individual stocks. Investors can buy and sell active ETFs through a financial advisor or directly through brokerage accounts. The process is similar to buying or selling stocks, providing investors with a convenient and accessible way to invest in active strategies. It's essential to consider your investment goals, risk tolerance, and time horizon before investing in any financial product, including active ETFs