Are physical ETFs allowed to trade more often then what they report?

Question

Looking at any ETF, they often show a rebalance interval in a fact sheet. For example, DE0006289390 shows "quarterly" there.

May the managers/administrators (or however you call the people) of the ETF change the ETF more often? Do they have fixed dates when they rebalance or is there a kind of grace period / interval in which they have to do it?

Dheer · Answer

Rebalancing of ETF or any Mutual fund would be as per what is declared in the fact sheet.

Unless there is Gross misrepresentation, regulations don't apply

RiverNet · Answer

The deadline you're referring to would be the end of each quarter, when funds release their performance data.  What you often see happening is what's called "window dressing", which occurs near the end of the quarter when funds will do what they can to make their funds look better by dumping their losers and bulking up on the ones that performed well.
Here's an article that can help address much of what your question asks and explains the concept of window dressing:
https://www.investopedia.com/terms/w/windowdressing.asp

Are physical ETFs allowed to trade more often then what they report?

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