T. Rowe Price filed an application with the SEC for exemptive relief to offer non-transparent, actively managed exchange-traded funds, according to company spokeswoman Heather McDonold.
If the Securities and Exchange Commission approves, the firm would have the ability to offer a variety of non-transparent active ETFs.
“We see non-transparent active ETFs as an alternative vehicle for potentially delivering our investment management expertise to investors, without the prospect of daily disclosures impacting our existing mutual fund shareholders, consistent with their best interests,” Ms. McDonold said in an e-mail.
The exemptive relief application would allow T. Rowe Price to launch an actively managed, non-transparent ETF in any investment strategy, provided it met the conditions for relief.
Ms. McDonold declined to disclose the specific conditions, and representatives from the SEC did not respond to a request for comment at press time.
T. Rowe does not currently offer any ETFs.