The growth of the ETF industry has spawned numerous tools that bring forth previously difficult-to-reach corners of the market at the fingertips of mainstream investors. The evolution of the exchange-traded product structure has not only become the preferred vehicle for investors looking to achieve cost-efficient diversification, this instrument has also struck a chord with active traders. ETFs are useful as building blocks in long-term portfolios, however they can also serve as incredibly powerful tactical tools for those looking to implement shorter-term trading strategies.
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UBS, one of the largest issuers of ETNs including a number of commodity products, is the latest to make an addition to the fast-growing ETP lineup. The new ETRACS DJ-UBS Commodity Index 2-4-6 Blended Futures ETN (BLND) will take a unique approach to delivering exposure to commodity futures. The underlying Dow Jones-UBS Commodity Index 2-4-6 [...]
ETFs have become so popular in recent years in part because of the tax efficiencies that they offer relative to traditional mutual funds. Due to the nuances of the creation / redemption mechanism, ETFs are generally able to give investors more control over their tax situation–instead of pinning them with capital gains obligations due to [...]
Equities inched higher throughout the week, bolstered by positive economic data release on the home front coupled with encouraging developments in the debt burdened Euro zone. Euphoria spread throughout Wall Street as investors digested better-than-expected consumer credit data along with optimistic forward looking commentary released by the Fed in the latest Beige Book report. Investors [...]
Equity markets hit the ground running last week as investors came back from the holiday weekend with a fairly optimistic outlook for 2012. U.S. stocks started off the year with a solid rally as investors’ confidence was bolstered by multiple better-than-expected economic data reports; consistent improvements in the housing market coupled with a downtick in [...]
As some financial advisors are now well aware, the term “ETF” is often used rather liberally to refer to a variety of different exchange-traded products that generally function in the same manner from the perspective of an investor. More accurately, ETFs can be described as a type of exchange-traded product, or ETP, an umbrella that [...]
As ETFs have burst on to the scene in recent years, just about every serious investor and professional money manager has taken a crash course in exchange-traded products, becoming familiar with the countless benefits and nuances of these products. Features such as enhanced transparency, upgraded tax efficiency, and low costs are generally well known at [...]
United States Commodity Funds, the company behind the ultra-popular natural gas (UNG) and crude oil (USO) products, has laid the groundwork for another unique exchange-traded commodity product. In a recent SEC filing, USCF outlined some details for a proposed Asian Commodity Basket Fund, which would include exposure to commodities deemed to maintain “systemic importance to Asian [...]
Though the entire ETF industry has grown at a blistering pace, certain segments of the market have expanded much more quickly than others over the past few years. Few types of financial products have seen stronger asset growth than commodity ETPs, as investors of all sophistication levels have embraced the exchange-traded structure as the most efficient means [...]
American equity markets rose again in Thursday trading as traders cheered better-than-expected economic data on the jobs front. As a result, the Dow finished ahead by 0.7% on the day while the S&P 500 rose by 1.1% and the tech-heavy Nasdaq gained 1.4% on the day. In commodity markets, gold managed to sneak by with [...]
The first half of 2011 is officially in the books, and many investors find their portfolios in approximately the same place as they were to start the year (though a furious rally in the final week of the quarter gave a nice boost at an opportune moment). Most major equity indexes are up slightly on [...]
