Actively managed ETFs have been slow to catch on. Investors are smart enough to understand that one of the major benefits of ETFs is their low cost. The reason ETFs are so inexpensive is because they are passively managed, as opposed to actively. They are based on indexes, and there is very little human interaction involved.
Actively managed ETFs cost more because there is more human involvement in managing them. Humans are much more expensive than computers, so costs are higher. All that said, Wall Street continues to create, package, and push actively managed ETFs. Why? Because the profit margins are so high.
There are about 1,500 ETFs to choose from today, but only 60 of them are actively managed. If you are looking for an ETF that is managed by people, rather than machines, use this list as a jumping off point.
