PGIM is bridging the gap between the two options following its latest launch.
PGIM has announced the launch of the first of four actively managed equity ETFs it plans to issue in 2018. PGIM QMA Strategic Alpha Large-Cap Core ETF (PQLC) is accompanying the two actively managed fixed income ETFs PGIM launched earlier this year.
With an expense ratio of 0.17%, PQLC is half the cost of the average passive ETF, according to the firm. PGIM plan to launch three more Strategic Alpha ETFs by the end of 2018:
- PGIM QMA Strategic Alpha Small-Cap Growth ETF (PQSG)
- PGIM QMA Strategic Alpha Small-Cap Value ETF (PQSV)
- PGIM QMA Strategic Alpha International Equity ETF (PQIN).
Stuart Parker, CEO of PGIM Investments, said: "Adding equity to our mix of ETF strategies gives investors a cost-effective way to access the equity markets while obtaining the potential benefits of active management. Introducing these funds - managed by one of the industry's pioneering quantitative managers - is a natural evolution in our effort to create new investment vehicles that meet investors' evolving needs."