|
Index ETF Assets decline by $4.26 billion
January 6, 2009
SAN DIEGO (ETFguide.com) – According to the Investment Company Institute (ICI), the combined assets of U.S. exchange-traded funds (index ETFs and active ETFs) declined by $4.26 billion to $478.06 billion in November 2008.
This is a 0.9% decrease compared to October and a decrease of 16.4% or $94.07 billion compared to November 2007, when ETF assets were $572.13 billion.
During November, the value of all ETF shares issued exceeded that of shares redeemed by $23.73 billion. In November 2007, ETFs experienced a net issuance of $8.74 billion.
The bulk of ETF assets is in just a handful of funds like the SPDRs S&P 500 (AMEX: SPY), the iShares MSCI EAFE Index Fund (NYSEArca: EFA), and the Vanguard Total Stock Market ETF (NYSEArca: VTI). Together these funds alone account for just over $113 billion or almost one-quarter percent of all ETF assets.
|
Below is an excerpt from the ETF Profit Strategy Newsletter – Published on Oct.21, 2008
At the time, the Dow was above 9,000. It dropped below 7,500 and rallied into Nov./Dec
|
|
Market Meter
 |
Short-Term: published on Oct. 21, 2008
The Dow should find a “trade-able bottom” between 7200 – 7,500
Mid-Term: published on Oct. 21, 2008
Once bottomed, the stock markets will rally into Nov/Dec
Long-Term: >> Sign up to find out
|
|
How did you do? >> Sign up for the ETF Profit Strategy Newsletter to be a step ahead
|
The biggest etf performance gainers over the past 12-months have been short ETFs (a la ProFunds, Rydex & Direxion) and funds that utilize leverage to magnify their returns. The ProShares family of ETFs, which uses such strategies, manages around $21 billion.
ETFs are low cost index funds that trade like stocks. They can bought and held, leveraged with margin, hedged with options, or sold short.
The Investment Company Institute (ICI) is a national association of U.S. registered investment companies. |
