Inside The ETFdb 60 Index: August 2011

Published on by on August 2, 2011 | Updated August 23, 2011

The ETFdb 60 Index is an equal-weighted benchmark comprised of the largest ETF in each ETFdb Category, excluding inverse and leveraged ETFs. The Index gives an indication of the overall direction of the investable asset classes represented by this group of ETFs. At present, the ETFdb 60 Index includes 32 equity ETFs, 14 fixed income ETFs, 5 commodity ETFs, 2 real estate ETFs, and 6 miscellaneous ETFs (including currencies and multi-asset funds). For more information about the ETFdb 60 Index, or to see a complete list of holdings, click here.

Monthly Winners and Losers

July was yet another step back for the ETFdb 60 Index, as significant weakness from most equity components weighed heavily on this benchmark. Only a small handful of ETFs managed to gain ground last month; most funds lost ground despite a furious rally in the final week of the first half.

Monthly Winners

The big winners in July highlight the increased risk aversion among investors; gold, volatility, and inflation-protected bonds, three asset classes that generally thrive in tumultuous environments, climbed sharply higher:

Monthly Winners
ETF ETFdb Category Monthly %
Volatility ETN (VXX) Volatility +10.8%
Gold SPDR (GLD) Precious Metals +8.4%
TIPS Bond Fund (TIP) Inflation-Protected Bonds +5.9%

Monthly Losers

There was no shortage of ETFs in the red during June, as losers outnumbered winners by more than four-to-one last month. Two of the biggest losers were repeats from May; GDX and PBW have slid precipitously over the last two months:

Monthly Losers
ETF ETFdb Category Monthly %
Clean Energy Portfolio (PBW) Alternative Energy Equities -7.9%
Homebuilders SPDR (XHB) Building & Construction -7.1%
Industrials SPDR (XLI) Industrials Equities -6.2%

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