JACKIE NOBLETT, SENIOR REPORTER, IGNITES:
I'm with Steve Cook of Harbor Capital.
Can you start with how you identify managers
that might have strategies that would work on an ETF
and how you gauge their interest in putting them in ETFs?
STEVE COOK, MANAGING DIRECTOR, HARBOR CAPITAL ADVISORS: Sure.
We do a lot of market research in terms
of what we think products might be successful in the ETF
space, competitive landscape.
Obviously, right now with the active ETF landscape,
there isn't a whole lot of product
in the market across asset classes,
and so there's kind of some green fields there.
Our investment research team is constantly out in the market
trying to uncover qualified new managers where
we think they're going to deliver idiosyncratic returns
and generate alpha for clients.
And as long as the base is there in terms of their investment
process or philosophy, that's where we really
begin to determine whether or not a product would be
appropriate as an active ETF.
JACKIE NOBLETT: Is there still hesitancy out there around
ETFs from a portfolio manager perspective?
STEVE COOK: The market really hasn't evolved.
I would say 10 years ago, the conversations
that we were generally having were,
is our strategy appropriate, would it work in the active ETF
structure.
And I think the conversations have moved on from there.
I think, by and large, the market
understands that a product or an investment strategy that
would work in a mutual fund, for the most part,
would work as an active ETF strategy.
JACKIE NOBLETT: Thanks so much for talking with me, Steve.
STEVE COOK: Jackie, thanks for having me.
It was great catching up.