This Week In ETFs: July 24th Edition

by on July 24, 2011 | ETFs Mentioned:

This week saw yet more back-and-forth trading as major equity indexes posted their best single day in over a year, coupled by losses in other trading sessions. Perhaps the biggest story of the week are the talks on the U.S. debt deal, which seem to be all words and no action. While Congressmen seemed optimistic about reaching an agreement by the August 2nd deadline, investors grow more worried by the day as no solid plan has been put in place or seems close to passing both chambers of the legislative branch. Across the pond, a new plan to help Greece out has spurned investor confidence in the euro for the time being, though with another 109 billion euro bailout, it seems that the Euro-zone may have only bought themselves time before the next fiscal crisis strikes.

Amid the current environment, we outline the three best ETF stories from around the web to give investors perspective on how this industry has fared today’s tumultuous markets.

ETF Mythbusting: Short Selling The iShares Silver Trust (SLV) at ETF Daily News:

As gold has continued to soar in price, more and more investors have turned to silver as a more affordable safe haven, as the precious metal offers similar benefits as gold, at much cheaper prices on a per ounce basis. One of the most popular ETFs for gaining silver exposure is the physically-backed iShares Silver Trust (SLV). A close look at this product reveals that physical silver is not the only trading method employed, as there is some short selling occurring behind the scenes. This article, by Noel Archard, delves into the nuances of short-selling this particular ETF and what is and is not off limits for traders and the issuer alike.

Study: Marketing Key To ETF Market Growth at IndexUniverse:

The ETF space has long been known for its innovation when it comes to the individual products that it releases. But while the ETF industry has been growing rapidly, now with over $1.116 trillion in assets and approximately 1,300 funds to choose from, a recent study concludes that marketing could push this space into new levels, and a lack of marketing can cause the industry to go in the opposite direction. This can be evidenced by a number of new funds which fail to get off the ground simply because investors are not aware of them. This article, by Cinthia Murphy, outlines this new study, and how proper marketing could help propel the ETF space to the predicted $3 trillion in assets by 2016.

Inflation ETF Special: 25 ETF Ideas To Fight Rising Prices at ETF Database:

Inflation has been a popular topic in recent months, as predictions have failed to meet actual outcomes. Though numerous analysts have forecast a major surge of inflation on the rise, it has yet to materialize, leaving investors frustrated when trying to make a play for the future. Inflation, though, seems inevitable and has forced many investors to take precautionary measures when it comes to portfolio allocations. This article, by Stoyan Bojinov, outlines 25 ETF options to help investors fight off inflation for the future of their portfolio.

Disclosure: No positions at time of writing.