After months of seemingly never-ending debates, the Greek negotiations finally came to a close this week as the country went forward with the proposed bond swap. A financial industry group dubbed Greece’s debt restructuring a “credit event”, in which holders of Greek credit default swaps will be entitled to compensations. On the home front, investors welcomed more good news as U.S. nonfarm payrolls data came in better than expected, pushing markets higher on hopes of further economic recovery. Despite the slight uptick in equities, gains were tempered by poor U.S. trade deficit data and an unchanged unemployment rate [see also The Turkey ETF Is Cooking].
The ETF industry cooled off a bit this week with just one new product hitting the markets. WisdomTree debuted their new first-to-market product, the Emerging Markets Corporate Bond Fund (EMCB), which will offer investors exposure to dollar-denominated corporate bonds from issuers in the developing world [see also WisdomTree Launches Emerging Markets Corporate Bond ETF (EMCB)].
Below, we outline three of the best ETF stories from around the web this past week:
Solar ETFs Wait For Their Day In The Sun at Weiss Money Network:
Over the last few years, interest in establishing exposure to alternative energy industries has surged, as investors continue to search for high growth segments within the global energy market. Although this asset class is promising over the long term, investments in alternative energies have a tendency to exhibit significant volatility. In this video, Ron Rowland examines solar and other alternative energy ETFs to determine if they are good buys right now.
Take ‘B’ Out Of BRIC For Now at IndexUniverse:
By far, the most popular foreign investment destinations remain the four largest emerging market countries: Brazil, Russia, India, and China, collectively known as the BRIC economies. Until recently, investors thought of these four countries as a force to be reckoned with on the global stage for years to come. What has been pulling down the BRIC powerhouse this year has been Brazil’s lagging performance and its dismal economic projections. This article, by Paul Baiocchi, discusses Brazil’s future and its impact on the BRIC market.
Understanding Some Misunderstood ETFs at ETF Database:
With now more than 1,400 ETFs available on the market, many investors have struggled to grasp the investment objectives of some of the newer and more complex products. In particular, there are three classes of ETFs that have been commonly misunderstood by the financial community: hedge fund, socially responsible, and commodity ETFs. In this article, Michael Johnston sets the record straight by delving into these commonly misunderstood ETFs.
Disclosure: No positions at time of writing.