Deutsche Borse will launch trading with actively managed mutual funds on
May 19. Initially, the new segment will contain around 2,600 funds to be
traded in the Open Market at the Frankfurt Stock Exchange.
These exchange-traded mutual funds will further expand the exchange’s
product range which currently comprises actively- and passively-managed
index funds. Private investors, who will now be able to trade a broad
spectrum of funds without a front-end load, are the main target group
for the new segment.
The funds will be traded exclusively on the floor of the Frankfurt Stock
Exchange. Exchange trading
with mutual funds opens up an additional distribution channel for fund
issuers and a new business area for intermediaries on the Frankfurt
Stock Exchange.
Deutsche Borse will define minimum quote sizes and maximum spreads,
designed to guarantee the highest possible price quality. Trading will
take place from 9am to 8pm. Intermediaries will ensure continuous
quoting for the funds in real time, thus guaranteeing liquid trading at
the lowest transaction costs, and the greatest possible transparency for
investors.