Eighteen names were added to ETF Deathwatch for September, nine came off due to improved health, and four were removed because of closure. The net increase of five names pushes the count to 330 products, consisting of 227 ETFs and 103 ETNs. With 1,643 active listings at the end of August, that equates to one of every five (20%) products being on ETF Deathwatch.
Industry watchers questioned the need for gold bullion funds denominated in yen, euros, and pounds when they were introduced back in February. Apparently, the marketplace agreed, and the AdvisorShares Gartman Gold ETFs are now on ETF Deathwatch. Huntington has two ETFs on the market, and both were added this month, placing 100% of the firm’s ETFs in jeopardy.
Three more iPath ETNs joined the list, which seems to be fairly common for this brand. Currently, 46 of the 72 iPath ETNs, or 64% of its product lineup, find themselves on Deathwatch. These 46 ETNs have an average age of 54.9 months, and only two are less than 40 months old, making it difficult to claim “newness” is a factor.
The race between iShares and WisdomTree to see which firm could get a floating rate treasury ETF to market first was all for naught as both products have failed to gain any traction with investors. Even PIMCO’s generic “FIVZ” treasury ETF finds itself struggling nearly five years after it was introduced.
Poor liquidity is the primary concern with any product listed here. The lack of volume leads to wide bid-ask spreads and/or no depth behind those quotes. Four products went the entire month of August without any trades, and 136 had zero volume on the last day of the month.
The average age of products on the list increased from 43.9 to 44.8 months, and 91 are now more than five years in age. The average asset size is $6.6 million, up slightly from $6.5 million a month ago, and 56 have asset levels below $2 million.
Here is the Complete List of 330 Products on ETF Deathwatch for September 2014 compiled using the objective ETF Deathwatch Criteria.
The 18 ETPs added to ETF Deathwatch for September:
- AdvisorShares Gartman Gold/British Pound (GGBP)
- AdvisorShares Gartman Gold/Euro (GEUR)
- AdvisorShares Gartman Gold/Yen (GYEN)
- AdvisorShares International Gold (GLDE)
- Huntington EcoLogical Strategy (HECO)
- Huntington US Equity Rotation Strategy (HUSE)
- iPath DJ-UBS Platinum ETN (PGM)
- iPath DJ-UBS Softs ETN (JJS)
- iPath Pure Beta Cocoa ETN (CHOC)
- iShares Currency Hedged MSCI EAFE ETF (HEFA)
- iShares Treasury Floating Rate Bond ETF (TFLO)
- Market Vectors Renminbi Bond (CHLC)
- PIMCO 3-7 Year U.S. Treasury Index (FIVZ)
- PowerShares DB Japanese G-Bond Futures ETN (JGBL)
- ProShares UltraShort Russell2000 Growth (SKK)
- SPDR Barclays 0-5 Year TIPS ETF (SIPE)
- WisdomTree Bloomberg Floating Rate Treasury (USFR)
- Workplace Equality Portfolio (EQLT)
The 9 ETPs removed from ETF Deathwatch due to improved health:
- Alerian Energy Infrastructure ETF (ENFR)
- FlexShares Intl Quality Dividend Dynamic (IQDY)
- IQ Canada Small Cap (CNDA)
- iShares B – Ca Rated Corporate Bond (QLTC)
- iShares Baa – Ba Rated Corporate Bond (QLTB)
- iShares MSCI Global Energy Producers (FILL)
- PowerShares S&P Emerging Markets High Beta (EEHB)
- ProShares 30 Year TIPS/TSY Spread (RINF)
- PureFunds ISE Junior Silver (SILJ)
The 4 ETPs removed from ETF Deathwatch due to delisting:
- ALPS|GS Momentum Builder Multi-Asset Index ETF (GSMA) [ALPS Goldman Sachs ETFs to Close]
- ALPS|GS Momentum Builder Growth Equities and U.S. Treasuries Index ETF (GSGO)
- ALPS|GS Momentum Builder Asia ex-Japan Equities and U.S. Treasuries Index ETF (GSAX)
- ALPS|GS Risk-Adjusted Return US Large Cap Index ETF (GSRA)