BlackRock has filed registration statements with the U.S. Securities and Exchange Commission to offer exchange-traded fund (ETF) share classes for five active mutual funds. The funds invest in high-yield bonds, municipal bonds and dividend-paying equities. Together, they have nearly $55 billion in assets.
The ETF share classes would give investors access to the funds’ existing strategies through a structure that can offer greater tax efficiency, lower costs and the ability to trade shares on an exchange. Existing mutual fund shareholders would not be required to move their investments.
The filings reflect a broader industry trend: asset managers are converting mutual funds to ETFs or launching ETF versions of existing funds as investor preferences shift.