US regulator calls for rigorous review of risky ETFs

New York

A TOP member of a US securities regulator on Monday called for a more transparent and rigorous review process before approving rule changes to list riskier exchange-traded funds (ETF) that she believes could harm retail investors.

Securities and Exchange Commission Democratic member Kara Stein called for the reforms as part of a three-page dissent over a rule change that paved the way for seven new ETFs from AccuShares Investment Management to list on the Nasdaq stock market exchange.