Dave Nadig, director of research and CIO at ETF Trends, ETF Database, told ETF Wrap that although the proposal, if it is realized would represent “a significant blow to the advantage ETFs have traditionally enjoyed vs. mutual funds,” he sees ETFs still maintaining a number of benefits.

Proponents of ETFs make the case that those funds have democratized access to the market, giving investors of all stripes the ability to gain access to areas and strategies that they would not easily get access to without paying hefty fees.

Invesco makes the case that more than 50% of those...