New product introductions totaled 275 in the first ten months of 2011. October saw 27 new ETPs come to market, consisting of 17 ETFs and 10 ETNs. Three ETFs closed and liquidated, putting the net gain in listed products at 24 for October. The quantity of U.S. listings now stands at 1,359 (1,163 ETFs and 196 ETNs). There were two closures and one launch among the actively managed ETF subset. The current count of actively managed funds is just 39, representing less than 3% of the ETP population.
The surge in stock prices brought assets back to $1.1 trillion, with September now being the only month this year where assets failed to hold above the trillion-dollar mark. Trading activity declined nearly 5% for the month, which is not at all encouraging in a month of huge price gains. Dollar volume averaged just $92.5 billion per day.
The number of ETFs averaging more than $1 billion in daily trading activity (the Billion Dollar Club) slipped from 20 to 18 and accounted for more than 70% of all ETP dollars traded. Products averaging more than $100 million of trading per day increased slightly from 86 to 89 and accounted for 92.2% of dollar volume.
|October 2011 Month End||ETFs||ETNs||Total|
|Currently Listed U.S.||1,163||196||1,359|
|Listed as of 12/31/2010||967||132||1,099|
|New Introductions for Month||17||10||27|
|Delistings/Closures for Month||3||0||3|
|Net Change for Month||+14||+10||+24|
|New Introductions 6 mths||119||39||158|
|New Introductions YTD||205||70||275|
|Net Change YTD||+196||+64||+260|
|Assets Under Mgmt ($ billion)||$1,066||$15.0||$1,081|
|% Change in Assets for Month||+11.3%||+3.4%||+11.1%|
|Monthly $ Volume ($ billion)||$1,907||$36.4||$1,943|
|% Change in Monthly $ Volume||-4.5%||-23.2%||-4.9%|
|Avg Daily $ Volume > $1 Billion||17||1||18|
|Avg Daily $ Volume > $100 Million||87||2||89|
|Avg Daily $ Volume > $10 Million||246||11||257|
Data sources: AUM from National Stock Exchange, daily prices and volume of individual ETPs from Norgate Premium Data, fund counts and all other information compiled by Invest With An Edge.
New products launched in October (in chronological order), along with links to my initial analysis of each:
- CurrencyShares Chinese Renminbi Trust (FXCH) [A Dozen New ETFs in the First Dozen Days of October]
- ProShares Ultra VIX Short-Term Futures ETF (UVXY)
- ProShares Short VIX Short-Term Futures ETF (SVXY)
- AdvisorShares TrimTabs Float Shrink ETF (TTFS)
- Russell Small Cap Aggressive Growth ETF (SGGG)
- Russell Small Cap Consistent Growth ETF (SCOG)
- Russell Small Cap Contrarian ETF (SCTR)
- Russell Small Cap Low P/E ETF (SCLP)
- UBS ETRACS Monthly 2x Leveraged ISE Cloud Computing TR Index ETN (LSKY)
- ProShares Ultra DJ-UBS Natural Gas (BOIL)
- ProShares UltraShort DJ-UBS Natural Gas (KOLD)
- Market Vectors Renminbi Bond ETF (CHLC)
- VelocityShares 3x Long Gold ETN (UGLD) [VelocityShares Launches Eight Precious Metals ETNs]
- VelocityShares 3x Inverse Gold ETN (DGLD)
- VelocityShares 3x Long Silver ETN (USLV)
- VelocityShares 3x Inverse Silver (DSLV)
- VelocityShares 2x Long Palladium ETN (LPAL)
- VelocityShares 2x Inverse Palladium ETN (IPAL)
- VelocityShares 2x Long Platinum ETN (LPLT)
- VelocityShares 2x Inverse Platinum ETN (IPLT)
- iShares Emerging Markets Local Currency Bond Fund (LEMB) [LEMB Joins Crowded Emerging Markets Local Currency Niche]
- iShares MSCI USA Minimum Volatility Index Fund (USMV) [New iShares Low Volatility Suite]
- iShares MSCI EAFE Minimum Volatility Index Fund (EFAV)
- iShares MSCI All Country World Minimum Volatility Index Fund (ACWV)
- iShares MSCI Emerging Markets Minimum Volatility Index Fund (EEMV)
- Schwab US Dividend Equity ETF (SCHD) [Schwab Grabs Lowest Cost Dividend ETF Crown]
- RBS Global Big Pharma ETN (DRGS) [RBS Launches Questionable Pharma ETP]
Product closures/delistings in October:
- PowerShares Active AlphaQ (PQY) [Active ETFs Continue to Struggle: PQZ and PQY Close]
- PowerShares Active Alpha Multi-Cap (PQZ)
- Direxion Airline Shares (FLYX) [FLYX Fails to Fly]
Product changes in October:
- ProShares Ultra Silver (AGQ) had a 2-for-1 split effective 10/13/11.
- ProShares UltraShort Yen (YCS), ProShares UltraShort Real Estate (SRS), and ProShares UltraShort Utilities (SDP) had 1-for-3 reverse splits effective 10/13/11.
- WisdomTree Dreyfus Euro Fund changed its objective and its name to WisdomTree Euro Debt Fund (EU) effective 10/19/11.
- Five SPDR ETFs formerly based on KBW indexes changed to S&P Select Industry indexes effective 10/24/11. The new fund names are SPDR S&P Bank ETF (KBE), SPDR S&P Capital Markets ETF (KCE), SPDR S&P Insurance ETF (KIE), SPDR S&P Mortgage Finance ETF (KME), and SPDR S&P Regional Banking ETF (KRE).
- WisdomTree Dreyfus New Zealand Dollar Fund (BNZ) changed its objective, name, and ticker symbol to WisdomTree Australia & New Zealand Debt Fund (AUNZ) effective 10/25/11. The fund had a special distribution of $3.05 prior to the change.
- QuantShares U.S. Market Neutral Beta Fund (BTAH) changed its name to QuantShares U.S. Market Neutral High Beta Fund (BTAH) effective 10/26/11.
- EGShares Emerging Markets High Income Low Beta ETF (HILO) changed its name to EGShares Low Volatility Emerging Markets Dividend ETF (HILO) effective 10/28/11.
Announced Product Changes for Coming Months:
- Direxion plans to reverse split six ETFs effective 11/10/11. The affected funds are FAS, EDC, TMV, DRV, and LBJ at 1-for-5 and RUSL at 1-for-3. Press release (pdf).
- All Direxion Shares 2x Bull and Bear ETFs will convert to 3x on 12/1/11
- Van Eck Global and Merrill Lynch announced an agreement to seek SEC and shareholder approval for a fourth quarter 2011 exchange of six HOLDRS products into similar to-be-released Market Vector ETFs under the same ticker symbols. The new funds will be Market Vectors Oil Services ETF (OIH), Market Vectors Semiconductor ETF (SMH), Market Vectors Pharmaceutical ETF (PPH), Market Vectors Biotech ETF (BBH), Market Vectors Retail ETF (RTH), and Market Vectors Bank and Brokerage ETF (RKH).
Previous monthly ETF statistics reports are available here.
Disclosure covering writer, editor, publisher, and affiliates: No positions in any of the securities mentioned. No positions in any of the companies or ETF sponsors mentioned. No income, revenue, or other compensation (either directly or indirectly) received from, or on behalf of, any of the companies or ETF sponsors mentioned.