ETFS / TIPPING POINT
ETFs: GETTING AHEAD OF THE CURVE
ETFs poised to take over? The fee-only guys may think so, and if they’re right, should transactional advisors be moving to get ahead for the curve? WP finds out
Most clients insist on knowing exactly how much something costs and with the coming of CRM2, they’re poised to soon get that intel — from an itemized breakdown of what their transactional advisor does for them to a greater understanding of the MERs attached to the mutual funds he or she sells. And human nature being what it is, argue some industry analysts, if there is indeed a cheaper, equally viable option available, investors will go for it. In a nutshell, that’s the debate and, quite frankly, the anxiety swirling around the growing strenght of exchange traded funds — ETFs — and the sprouting awareness among even the most retail of retail clients of the cost-effective alternative they present to triedand-true mutal funds.
42 | MAY 2014
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7/04/2014 11:05:52 PM