New Risk On Risk Off ETNs Tuned to Recent Market Conditions
UBS launched ETRACS Fisher-Gartman Risk On ETN (ONN) and ETRACS Fisher-Gartman Risk Off ETN (OFF) on November 30, 2011. The new exchange-traded notes (“ETNs”) are described as comprehensive “risk on” and “risk off” trading vehicles based on the newly invented Fisher-Gartman Risk Index. The...
New iShares International Preferred ETF Is Mostly Canadian
BlackRock introduced what is essentially a Canadian financials preferred stock fund on November 17 with a name of iShares S&P International Preferred Stock Fund (IPFF). The new ETF has an 85% allocation to the financial sector and a 73% allocation to Canada. I’m not implying these allocations...
CPER: Now You Can Buy Copper in a Fund Format
United States Commodity Funds LLC teamed up with SummerHaven Index Management to bring out a copper futures fund that attempts to optimize the performance impacts caused by contango and backwardation. The United States Copper Index Fund (CPER) launched on November 15, 2011 with an objective to track...
Global X Hopes You Will “Like” Its New Social Media ETF
On November 15, 2011, Global X Funds launched the Global X Social Media Index ETF (SOCL), the first ETF to target social media companies. The underlying Solactive Social Media Index is designed to reflect the performance of companies providing social networking, file sharing, and other web-based media...
PowerShares Adds Inverse Versions of Japanese Bond ETNs
PowerShares launched a pair of DB Inverse JGB Futures ETNs in early November (11/9/11). The new exchange-traded notes (“ETNs”) are based on the DB USD Inverse JGB Futures Index, which is intended to measure the performance of a short position in 10-year JGB Futures in U.S. dollars. Investor fees...
Russell Takes Factor ETFs International
Russell launched another suite of Factor ETFs on November 3, 2011, this time targeting international developed markets. Russell Developed ex-U.S. High Momentum ETF (XHMO), Russell Developed ex-U.S. Low Beta ETF (XLBT), and Russell Developed ex-U.S. Low Volatility ETF (XLVO) all use the same basic approach...
PowerShares Fills the Void for KBW Indexed ETFs
Invesco PowerShares introduced four ETFs on November 1st, all based on financial sector indexes from Keefe, Bruyette & Woods (KBW). Although they are in fact new ETFs, it may be easier to think of them as replacements for the four SPDR ETFs that recently changed their benchmarks from KBW to S&P...
New PIMCO International Bond ETFs Lack Data
PIMCO launched three international bond ETFs earlier this month. All are designed to track long-standing Bank of American/Merrill Lynch indexes. For unknown reasons, PIMCO chose not to share any historical index data with potential ETF shareholders. This leaves prospective investors without yield,...
RBS Launches Questionable Pharma ETP
The Royal Bank of Scotland last week (10/24/11) launched an exchange-traded note (“ETN”) linked to the performance of the NYSE Arca Equal Weighted Pharmaceutical Total Return Index. There are already four exchange-traded funds (“ETFs”) tracking this industry. Why anyone would want to gain...
Schwab Grabs Lowest Cost Dividend ETF Crown
Charles Schwab Corporation (SCHW) introduced the Schwab U.S. Dividend Equity ETF (SCHD) on 10/20/11. With an expense ratio of just 0.17%, the new ETF becomes the lowest cost U.S. listed dividend fund. Schwab’s online customers can also buy and sell it commission-free. According to the underlying...
