• How ETFs Distort Earnings Announcements
  • Investors are concerned that increased AUM in passive investments may distort stock prices
  • Symmetric has developed a methodology for estimating the degree of ETF activity in stocks
  • We demonstrate that increased ETF activity in stocks correspnds to lower volatility on earnings announcements
  • Portfolio managers may want to minimize their exposure to these high ETF activity positions, while increasing exposure to low ETF activity positions