What are quoted funds?

Quoted funds are managed funds that are traded on a stock exchange. They function like managed funds, but traded like shares which can be bought and sold during trading day on the stock exchange. Quoted funds are actively managed by fund managers to generate alpha and outperform relevant benchmarks.

Quoted funds will aim to beat the benchmark using a number of active investing strategies. They operate in a similar way to traditional managed funds but have the benefit of transparent, live intra-day pricing and market making ability which ensures liquidity.

Investors invest in the quoted fund by using a stockbroker as if they were buying a share. Similarly, liquidating the investment follows a similar process to selling a share. This means that your quoted fund investment can be monitored and reported like any of your other shares.

They are also sometimes known as listed managed funds, active ETFs, Exchange Quoted Managed Funds (EQMFs) or Exchange Traded Managed Funds (ETMFs).