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To restate the question that was raised below and then downvoted, I'm curious what the business model and business strategy are with these funds. The press rel
by allochthon 8y ago
To restate the question that was raised below and then downvoted, I'm curious what the business model and business strategy are with these funds. The press release gives us a sense of the benefit to consumers; what is the flipside?
- bradleybuda 8y agoMatt Levine discussed this in "Money Stuff" yesterday (sorry, can't find a link). My understanding is that there are two reasons: 1) The bank still makes some money charging a fee to lend the shares in the ETF to short sellers. 2) Fidelity sees this as a loss leader for higher-priced funds and traditional investment advice / wealth management.