Non-transparent ETF spreads are tighter than transparent ones

Non-transparent ETFs don’t disclose what they own. Market-makers have worked it out anyway

Blindfolded businessman

Market-makers are so good at pricing exchange-traded funds (ETFs) invested in US equities that they can still offer tight spreads when they don’t know what securities the fund is holding.

The average gap between prices to buy and sell actively managed non-transparent ETFs was 27 basis points on April 27, according to data from Bloomberg and ISS MI Simfund, a funds database. The average spread of 145 transparent ETFs invested in large and mid-cap US stocks was 33bp on the same day.

The active

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact or view our subscription options here:

You are currently unable to copy this content. Please contact to find out more.

Sorry, our subscription options are not loading right now

Please try again later. Get in touch with our customer services team if this issue persists.

New to View our subscription options


Want to know what’s included in our free membership? Click here

This address will be used to create your account

You need to sign in to use this feature. If you don’t have a account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here