Tom Lydon – ETF Trends (Capital Allocators, EP.56)

<p>Tom Lydon is one of the leading experts in the ETF and mutual fund industries. He is the founder and CEO of ETF Trends, a business he created in 2004 whose website, <a href= "http://etftrends.com">etftrends.com</a>, is filled with news, analysis, and webcasts about the world of ETFs. Before creating ETF Trends, Tom ran a financial advisory and publication business that followed the mutual fund industry.</p> <p>Our conversation covers the evolution of mutual funds in the 80s and 90s and the rise of ETFs in the 2000s. We discuss the composition of the ETF marketplace, structure and tax advantages of ETFs, passive, factor and actively managed funds, characteristics of a superior manager, leveraged ETFs, VIX blowup, potential future problems in high yield and emerging market ETFs, and coming trends in the space.</p> <p><strong> </strong></p> <p><strong>Learn More</strong></p> <div> <div> <div><a href="http://capitalallocatorspodcast.com/premium">Discuss the show and Read the transcript</a></div> </div> </div> <p>Join Ted's mailing list at <a href= "http://capitalallocatorspodcast.com">CapitalAllocatorsPodcast.com</a></p> <p>Write a review on <a href= "https://itunes.apple.com/us/podcast/capital-allocators-with-ted-seides/id1223764016">iTunes</a></p> <p>Follow Ted on twitter at <a href= "http://www.twitter.com/tseides">@tseides</a></p> <p>For more episodes go to <a href= "http://capitalallocatorspodcast.com/podcast">CapitalAllocatorsPodcast.com/Podcast</a></p> <p> </p> <p><strong>Show Notes</strong></p> <p>2:01  – A look at Tom’s early career</p> <p>4:52 – What drove people to buy or sell a mutual fund in those early days</p> <p>5:33 – How did Tom's sell signal just before Black Monday impact the business</p> <p>6:21 – What were the right funds to invest with</p> <p>6:56 – What were the key trends during the 80’s and 90’s</p> <p>8:25 – Layers of cost for mutual funds in the early days</p> <p>9:04 – Average active management fee back then</p> <p>10:56 – Evolution of ETF’s</p> <p>13:49 – Some numbers on the ETF lands