Not the most surprising development in the exchange-traded fund (ETF) world, but notable all the same: ETF assets globally finally topped US$3 trillion at the end of May according to London-based research firm, ETFGI. But as ETFs reach a new milestone, a couple of other ETF stories last week showed a couple of shifts in the space - gold and smart beta.
Assets invested in ETFs and ETPs across the globe have broken through the US$3-trillion milestone, finds ETFGI’s preliminary monthly global insight report. As of the end of May, assets under management reached a new record of US$3.015 trillion. And, says the report, the global ETF industry currently consists of 5,757 ETFs and ETPs, as well […]
And while global ETF assets are edging closer to US$3 trillion in asset under management, the industry has reached another milestone - 500 ETFs have closed or delisted. That’s a 22.7% mortality rate given the 2,207 that have been listed on U.S. exchanges. Of the 1,712 products currently listed and traded today, the loss of a further 315 from the deathlist could significantly boost that percentage. But this could be a good thing.
Want to invest like a billionaire or in a particular city? Thematic exchange-traded funds (ETFs) could be the solution.
This year, the fastest-growing strategy in the realm of exchange-traded funds (ETFs) has been the use of multi-factor models. This strategy—which provides simultaneous exposure to several dimensions of the market, such as value, momentum, dividend and volatility—often brings better risk-adjusted returns. But, critics note, it fails to completely eliminate unpredictability. Read: Can ETFs work in […]
In some circles it’s called a “liquidity sleeve” - that sliver of exchange-traded fund (ETF) exposure that can keep at least a portion of your exposure liquid in case you need to liquidate in a hurry. For active managers, however, ETFs have another use: as a tool to avoid the dreaded “cash drag” -- that 3 to 5 percent hit on performance that comes from holding the necessary cash to manage investor redemptions. But does it always work?
A new study by Greenwich Associates finds that large institutional investors are turning to bond ETFs in greater numbers as they struggle to find products in a highly challenging fixed income space. What happens when they decide to cash in?
As investors worry about economic growth prospects and overvalued stock prices, their concerns are having an impact on exchange-traded funds (ETFs). A couple of reports on money flowing in and out of ETFs last month points to four important investment trends to watch out for in the months ahead.
Assets in ETFs and ETPs across the globe reached US$2.9 trillion in April, finds preliminary monthly data from research firm ETFGI. Assets fell short of breaking through the US$3-trillion milestone, but the firm predicts that will occur in the next couple months. To date, the global ETP industry is composed of 5,719 ETFs and ETPs, […]
As exchange-traded funds look to best their hedge fund counterparts in the coming months and years (thanks ETFGI for the research!), however, it’s worth noting that the two are alike in one other important way. Today ETFs face a lot of the challenges hedge funds did just a decade ago when it comes to penetrating the pension space.