SEC approval for ETF

So probabaly the time is going to come where we can see this market to boom.

Once ETF is approved by SEC, we can touch even 20k dollars in some weeks.

As the U.S. securities regulator on Thursday voted unanimously to propose easing its rules for approving low-risk exchange-traded funds (ETFs) in what could potentially be a major win for the $3.5 trillion market.

As per the voting,the voting was 5-0 by the committee members which are there.

There can be a change in rule rule to apply to open-ended ETFs, a type of mutual fund that does not have restrictions on the amount of shares it can issue, which covers the vast majority of ETFs today.

ETF issuers must be having permissions by SEC.

Democratic Commissioner Rob Jackson said he reluctantly voted for the rule change due to potential risk factors to investors, while Commissioner Kara Stein, also a Democrat, emphasized the enforcement of existing oversight controls.

“The rule would include many of the website disclosure requirements that are in existing orders such as disclosing the ETFs current net asset value per share, market price, and premium or discount - each as of the prior business day,” said Stein.

The Investment Company Institute, a Washington-based trade group that advocates for regulated funds, including ETFs, applauded the SEC proposal.

“Investors - and the asset managers who serve them - deserve a more uniform ETF regulatory framework. The time is right to codify these exemptive orders into a single rule,” the group said in a statement.

Todd Rosenbluth, director of ETF & mutual fund research at CFRA Research, said the proposed rule change could “support new ETF launches, particularly tied to long-term thematic approaches, from small independent asset managers.”

BlackRock Inc and Vanguard Group accounted for more than 60 percent of the record inflows of $655 billion that entered ETFs globally in 2017, according to Morningstar Inc.

Melissa Garville, a BlackRock spokeswoman, said: “ETFs are driving investor progress by helping tens of millions of people generate wealth and meet retirement goals. That is why BlackRock has long supported regulation of the ETF market that enhances transparency, market quality and choice for investors. We look forward to reviewing the proposal in more detail and commenting in due course.”

Sources-

https://www.reuters.com/article/us-usa-sec-etf/u-s-securities-regulator-unveils-proposal-to-ease-etf-approvals-idUSKBN1JO2EV