Watson Wyatt suggests alternatives to ETFs

The vast majority of exchange-traded funds (ETFs) are unattractive long-term investments for most institutional investors, says investment consultancy Watson Wyatt. Institutional investors should consider ETFs in conjunction with other types of investments, says the firm, for a number of reasons. First, they generally carry higher fees than many institutional index products. They may also have tax implications that require specialist advice. And they often contain counterparty risks …