After a much needed injection of cash into the American economy, this week was much less eventful than previous ones. Speculation of bad news set stock prices low Wednesday after the White House approached Congress with its own plan for the fiscal cliff. After an announcement by President Obama and Speaker Boehner that fiscal discussions have progressed, even if there is a difference of opinions, stocks bounced right back up. The UN recognized Palestine as a nonmember state, 138 votes to 9, the United States and Israel being two of the no-voting countries, leading to further tension in the Gaza strip. The Bundestag in Germany approved another wave of bailout loans to struggling Greece, which brought the economy up after a beginning-of-the-week slump [also see November ETF Roundup: Launches, Filings, and Closures].
FactorShares launched a new line of precious metal ETFs; its first new funds since being acquired by GenCap Ventures. These products include a focus on gemstone manufacturing (GEMS), mining and exploration (MSXX) ,along with a silver mining and exploration focus (SILJ).
Below we outline the three best stories from around the ETF space this past week:
1. BOND and Beyond: Top ETF Launches of 2012 at Index Universe:
As we approach the end of another amazing year for the ETF industry, many will turn their focus to which funds came out and actually exceeded expectations. Unforgettable returns from Pimco’s Total Return ETF (BOND) set the trend for yield-hungry investors ready to get out of the recession, but it wasn’t the only memorable fund this year. Paul Baiocchi lists which new funds made 2012 the year it was for ETF investors.
2. Dividend ETFs: Obama Wants Dividends Taxed as Ordinary Income at ETF Trends:
The ever-approaching fiscal cliff and the end of Bush tax cuts may soon redefine how we invest. President Obama ran his reelection with the platform that dividends should be taxed at the same rate as income for investors, unlike the current rate of at most 15%. John Spence discusses what investing trends Americans are likely to see as the end of the year draws closer [see also Free 7 Simple & Cheap All-ETF Portfolios].
3. Would A Physical Copper ETF Be A Bad Idea? at ETF Database:
Investing in industrial metals has seen a new wave of interest as construction and manufacturing firms are starting to pick up speed again. Modeled after the most popular metal funds, issuers like iShares and JP Morgan have filed for a physical copper ETFs, something that investors have been asking for. Jared Cumman’s sheds some light on these potential funds and why they won’t be right for every investor.
Disclosure: No positions at time of writing.